Press Release

Secretary Gutierrez Announces Proposal to Waive Duties on Emergency Relief Supplies

TAMPA, Fla.—Today, U.S. Department of Commerce Secretary Carlos M. Gutierrez announced a proposed regulation that would allow the Commerce Department to temporarily suspend the collection of antidumping and countervailing duties on imports of supplies for use in emergency relief work in areas where the President has declared a state of emergency.

"This Administration is committed to making sure the American people have the resources they need in the event of an emergency," said Gutierrez. "This proposed regulation will help the Federal Government respond to disasters and help Americans rebuild their lives, cities, and communities."

Under the proposed regulation, the Secretary would consider written requests for a duty waiver on a case-by-case basis. If he determines it appropriate to waive duties on particular imports of emergency supplies, he will notify the person who submitted the request and instruct U.S. Customs and Border Protection the merchandise to enter the United States free of antidumping and countervailing duties. If the particular merchandise is used in the United States for purposes other than emergency relief work, it may be subject to seizure or other penalty.

There will be a public comment period on this proposal, during which written comments may be submitted to the Department of Commerce. Comments must be submitted no later than 30 days after the Federal Register publication date. After the comment period closes, the Commerce Department will review comments and make a final decision.

Secretary Gutierrez made his announcement in Tampa, Florida before boarding a NOAA Hurricane Hunter to learn firsthand about America's readiness for this year's hurricane season.

Background:
Section 318(a) of the Tariff Act of 1930 (19 U.S.C. § 1318(a)) gives the Secretary of the Treasury authority, on a temporary basis, to take certain actions immediately where the President declares the existence of an emergency. Specifically, the Secretary may "permit... the importation free of duty of... supplies for use in emergency relief work." This authority, insofar as it encompasses antidumping and countervailing duties (AD/CVD), was delegated to the Secretary of Commerce in 1979. All functions of the Secretary of Treasury under this provision, with respect to the AD/CVD functions, were transferred to Commerce pursuant to Reorg. Plan No. 3 of 1979, to be exercised in consultation with the Secretary of the Treasury. Reorg. Plan No. 3 is set out as notes under 19 U.S.C.A. § 2171. Authority under Section 1318 was transferred to Commerce under Section 5(a)(1)(E) of the Plan. The proposed rule, if adopted, would establish procedures for importation of supplies for use in emergency relief work free of antidumping or countervailing duties, as authorized under section 318(a) of the Act.

For more information on the Federal Register Notice visit http://www.access.gpo.gov/su_docs/fedreg/frcont06.html