[Congressional Bills 113th Congress]
[From the U.S. Government Publishing Office]
[H.R. 5291 Introduced in House (IH)]

113th CONGRESS
  2d Session
                                H. R. 5291

   To amend the Harmonized Tariff Schedule of the United States with 
respect to goods exported for processing abroad and reimported, and for 
                            other purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             July 30, 2014

  Mr. Owens introduced the following bill; which was referred to the 
                      Committee on Ways and Means

_______________________________________________________________________

                                 A BILL


 
   To amend the Harmonized Tariff Schedule of the United States with 
respect to goods exported for processing abroad and reimported, and for 
                            other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. TREATMENT OF GOODS EXPORTED FOR MODIFICATION AND REIMPORTED.

    (a) Textile and Apparel Goods.--
            (1) In general.--Subchapter II of chapter 98 of the 
        Harmonized Tariff Schedule of the United States is amended by 
        inserting in numerical sequence the following subheading, with 
        the article description having the same degree of indentation 
        as the article description for subheading 9802.00.60:


``       9802.00.70       Textile and apparel  A duty upon the      Free (CL, CO, IL,    A duty upon the      ''
                           goods classifiable   full value of the    JO, KR, P, PA, PE,   full value of the    .
                           under chapter 61,    imported article,    SG)                  imported article,
                           except goods of      less the cost or    A duty upon the       less the cost or
                           heading 9802.00.90   value of             full value of the    value of
                           and goods imported   materials,           imported article,    materials,
                           under provisions     including thread,    less the cost or     including thread,
                           of subchapter XIX    yarn, fabric, or     value of             yarn, fabric, or
                           or XX of this        components the       materials,           components the
                           chapter, if          product of the       including thread,    product of the
                           exported for         United States and    yarn, fabric, or     United States and
                           further processing   provided for under   components the       provided for under
                                                any of headings      product of the       any of headings
                                                5106 through 5110,   United States and    5106 through 5110,
                                                5204 through 5207,   provided for under   5204 through 5207,
                                                5306 through 5308,   any of headings      5306 through 5308,
                                                5401 through 5406,   5106 through 5110,   5401 through 5406,
                                                or 5508 through      5204 through 5207,   or 5508 through
                                                5511, or chapter     5306 through 5308,   5511, or chapter
                                                60 or 61 (see U.S.   5401 through 5406,   60 or 61 (see U.S.
                                                note 4 of this       or 5508 through      note 4 of this
                                                subchapter)          5511, or chapter     subchapter)
                                                                     60 or 61 (see U.S.
                                                                     note 4 of this
                                                                     subchapter) (AU,
                                                                     B, BH, C, CA, E,
                                                                     MA, MX, OM)
                                                                    Free, for products
                                                                     described in U.S.
                                                                     note 7 to this
                                                                     subchapter
                                                                    Free, for
                                                                     qualifying
                                                                     articles from sub-
                                                                     Saharan African
                                                                     countries
                                                                     enumerated in U.S.
                                                                     note 7 to this
                                                                     subchapter

            (2) Conforming amendment.--U.S. note 4 to subchapter II of 
        chapter 98 of the Harmonized Tariff Schedule of the United 
        States is amended, in the matter preceding paragraph (a), by 
        inserting ``and subheading 9802.00.70'' after ``9802.00.90''.
    (b) Commingling of Fungible Goods Exported for Repairs or 
Alterations.--U.S. note 3 to subchapter II of chapter 98 of the 
Harmonized Tariff Schedule of the United States is amended by adding at 
the end the following:
    ``(e) For purposes of subheadings 9802.00.40 and 9802.00.50, if an 
article is exported from the United States for the purpose of repairing 
or altering the article and the article is subsequently imported into 
the United States--
            ``(1) the article shall be considered to be the same 
        article that was exported without regard to whether the article 
        contains 1 or more components recovered from an identical or 
        similar article that was also exported from the United States; 
        and
            ``(2) the cost or value of any such components shall not be 
        included in the value of the article when the article enters 
        the United States.''.
    (c) Articles Previously Imported.--
            (1) Duty treatment.--The article description for heading 
        9801.00.20 of the Harmonized Tariff Schedule of the United 
        States is amended to read as follows: ``Articles, previously 
        imported, with respect to which the duty was paid upon such 
        previous importation or which were imported previously free of 
        duty, if (1) reimported, without having been advanced in value 
        or improved in condition by any process of manufacture or other 
        means while abroad, after having been exported under lease or 
        similar use agreements, bailment agreements, or for 
        warehousing, repackaging, or both, and (2) reimported by or for 
        the account of the person who imported it into, and exported it 
        from, the United States.''.
            (2) Commingling of fungible goods.--The U.S. notes to 
        subchapter I of chapter 98 of the Harmonized Tariff Schedule of 
        the United States are amended by adding at the end the 
        following new note:
    ``3.(a) For purposes of heading 9801.00.20--
            ``(i) fungible goods exported from the United States may be 
        commingled, and
            ``(ii) the origin, value, and classification of such goods 
        may be accounted for using an inventory management method.
    ``(b) If a person chooses to use an inventory management method 
under paragraph (a) with respect to fungible goods, the person shall 
use the same inventory management method for any goods with respect to 
which the person claims fungibility.
    ``(c) For purposes of this note--
            ``(i) the term `fungible good' means any good that is 
        commercially interchangeable with another good and that has 
        properties that are essentially identical to the properties of 
        another good; and
            ``(ii) the term `inventory management method' means any 
        method for managing inventory that is based on generally 
        accepted accounting principles.''.
    (d) Use of Manufacturer's Identification Code for Textile and 
Apparel Products.--The U.S. notes to chapter 98 of the Harmonized 
Tariff Schedule of the United States are amended by adding at the end 
the following new note:
    ``4. For textile and apparel products classified in subchapter I or 
II of this chapter, the manufacturer's identification code (MID) of the 
facility that repairs, alters, assembles, processes, stores, or 
otherwise handles the products may be used on any customs entry 
documentation or electronic data transmission that requires 
identification of the manufacturer.''.

SEC. 2. EFFECTIVE DATE.

    (a) In General.--Subject to subsection (b), the amendments made by 
this Act shall apply to goods entered, or withdrawn from warehouse for 
consumption, on or after the 15th day after the date of the enactment 
of this Act.
    (b) Retroactive Application.--
            (1) In general.--Notwithstanding section 514 of the Tariff 
        Act of 1930 (19 U.S.C. 1514) or any other provision of law, and 
        subject to paragraph (2), the entry of any good--
                    (A) that was liquidated or made on or after January 
                9, 2008, and before the 15th day after the date of the 
                enactment of this Act, and
                    (B) with respect to which there would have been no 
                duty if the amendment made by section 1(c)(1) applied 
                to such entry,
        shall be liquidated or reliquidated as if such amendment 
        applied to such entry.
            (2) Requests.--A liquidation or reliquidation may be made 
        under paragraph (1) with respect to an entry only if a request 
        therefor is filed with U.S. Customs and Border Protection 
        before the later of the 180th day after the date of the 
        enactment of this Act or the 180th day after the date of 
        liquidation of the entry, that contains sufficient information 
        to enable U.S. Customs and Border Protection--
                    (A) to locate the entry; or
                    (B) to reconstruct the entry if it cannot be 
                located.
            (3) Payment of amounts owed.--Any amount owed by the United 
        States pursuant to the liquidation or reliquidation of an entry 
        of an article under paragraph (1) shall be paid, without 
        interest, not later than 90 days after the date of the 
        liquidation or reliquidation (as the case may be).
            (4) Definition.--In this subsection, the term ``entry'' 
        includes a withdrawal from warehouse for consumption.
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