Saturday, October 12, 2013

U.S. Federal Government Shutdown-Update IV

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October 11, 2013


U.S. Federal Government Shutdown - Update IV

Dear Customer,

In addition to our previous communications on the subject, below please find updated information on the U.S. government shutdown's effect on various government agencies: 
U.S. Customs (CBP) - TRQ Entry Processing
Due to issues with their current ability to effectively monitor tariff-rate quotas, CBP HQ has approved the entry of shipments subject to tariff rate quotas (which opened Oct. 1, 2013 or thereafter) at the lower rate of duty.
Importers should be aware that, although merchandise is being released as entered, CBP headquarters will work with ports at a future date to determine appropriate tariff rates as required. Be advised that shipments which are entered at the lower duty rate may be subject to additional duty assessment if the quota is ultimately deemed unavailable for the importation.  Importers also have the option of warehousing merchandise until the shutdown is resolved.
Food and Drug Administration (FDA)
The Food and Drug Administration (FDA) Import Operations staff is continuing to perform their import review functions during the federal government shutdown.  The agency is working at reduced service levels so they continue to warn of potential delays in exam/clearance. 
The FDA is consolidating work at some FDA ports of entry during the shutdown.  For example, the FDA offices in Alexandria Bay, N.Y. and Massena, NY have temporarily closed and FDA clearances for those ports will be handled by the FDA office in Ogdensburg, N.Y.
DGF (U.S.) has been gathering statistics and we are currently reflecting negligible effects on FDA clearance times from before the shutdown. While we are seeing slight intermittent FDA delays - they are not consistent in any one port or area. We will continue to monitor and will communicate any changes.
Defense Contract Management Agency (DCMA) 
Sources have noted the DCMA has been able to resume issuance of duty-free certificates to support HTS 9808 claims on entries. 
Federal Communications Comission (FCC)
Products needing certification from Federal Communications Comission (FCC) approved telecommunication certification bodies (TCBs) are being held up as those labs cannot submit their reports to the now-shuttered FCC websites for ultimate approval.  
While regular Customs entries should continue to flow as normal, it is possible that imports subject to OGA (i.e. FDA, USDA, F&W, etc.) review and clearance will experience delays during the government shutdown period – and, after it ends, there will certainly be backlogs.
Importers whose goods are subject to OGA permits or licenses should ensure they have obtained them prior to shipping.  Importers may experience delays or the inability to obtain those permits/licenses until the shutdown is over.    

DHL will continue to gather information on what effects the shutdown is having on importers. Additional information will be broadcast as it becomes available.      
If you have any questions, please contact your DHL Global forwarding representative or chb.consulting@dhl.com .
 Regards,
 
Paul Vroman
Manager, Regulatory & Compliance Consulting
DHL Global Forwarding
U.S.


MarketingCommunicationsDGFUSA@dhl.com | Miami, FL 33126 US
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