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CBP steps up enforcement of pocketing fabric rule

05
Dec '08
U.S. Customs and Border Protection announced that it is verifying duty-free preference claims under the Dominican Republic-Central America-United States Free Trade Agreement (CAFTA-DR) pocketing fabric rule.

The rule, which became effective August 15, requires pocketing fabric in many garments be produced from yarns and fabric produced in a CAFTA-DR country in order for the completed apparel imported into the United States to receive duty-free treatment.

This action follows a review of CAFTA-DR preference claims. The review found non-compliance for apparel declared as manufactured using certain yarns and/or fabrics commonly referred to as being in short supply.

“CBP is stepping up efforts to verify preference claims in accordance with its commitment to enforce trade preference programs,” said Dan Baldwin, Assistant Commissioner for CBP's Office of International Trade. “With $22 billion in apparel imported last year under trade preference programs, it's important that CBP has a strong textile enforcement program to verify duty-free claims.”

In 2007, more than 40 percent of all duties collected by CBP attributed to imports of textiles and wearing apparel.

The textile industry is a CBP designated Priority Trade Issue (PTI) - high-risk areas that can cause significant revenue loss, hurt the U.S. economy, or threaten the health and safety of the American people. The goal of the textiles PTI is to ensure that textile imports fully comply with applicable laws, regulations, quotas, free trade agreement requirements and intellectual property provisions.

U.S. Customs and Border Protection is the unified border agency within the Department of Homeland Security charged with the management, control and protection of our nation's borders at and between the official ports of entry.

U.S. Customs and Border Protection


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