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US Foreign-Trade Zone (FTZ) Management

FTZ Management: Knowledge Based Articles - Russia Chapter 99 to Override Column 2 Duties

Setting up a Russia Chapter 99 HTS to Override Column 2 Duties

Background on Russia Chapter 99
CBP published the following CSMS 52458835, regarding a new filing requirement for certain HTS numbers, that goes in effect on 07/27/2022. Impacted HTS that have a Country of Origin of Russia need to include HTS number 9903.90.08 with the tariff line. This HTS is applied as an ‘Overriding’ HTS and ‘shall be subject to a 35 percent ad valorem rate of duty in lieu of the rates of duty provided for such articles in Column 2 of the HTSUS in chapters 1 to 97’.
Please see the below CSMS for complete information and the HTS numbers that are impacted: CSMS 52458835.
This article is an overview of how to manage the Russia Chapter 99 to Override Column 2 in the US ABI and US FTZ modules.

Setting Up an Override HTS in HTS maintenance

Chapter 99 for Russia is handled the same as Section 301 in the HTS Maintenance tables with one exception. Section 301 duties are in addition to duties of the base HTS where the Chapter 99 for Russia will be in leu of base HTS Column 2 duties.
To add Chapter 99 for Russia via the HTS Maintenance screen:
  1. Click
    Add Record
    . A pop-up will appear.
  2. Insert the chapter 99 HTS code in the
    HTS Number
     box.
  3. Click
    Load SPI Codes
    .
  4. Click
    Submit.
     You will be re-directed back to the main HTS screen as the pop-up closes, and the HTS data will be pre-populated in the grid:
    There are some manual updates that are needed to the pre-populated data:
    The Additional Duty Ind field will be populated with a
    Not Selected
    :
    • Not Selected
       should be updated to
      Overriding
      .
  5. Click Insert to
     finish. This HTS is now ready to be applied.
US FTZ Processing of Russia Chapter 99 Override Duties
For US FTZ, if you are using the HTSNum2 fields to store your Chapter 99 data for Section 301 in your Item Master and Transactions, the same set up will be used for the Chapter 99 for Russia override.

This article applies to:

  • Product: ONESOURCE Global Trade
  • Sub-Product: US Regimes & Connectivity

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