The HS Code 99045245 refers to processed cotton fibers that are not spun, and are classified under the subheading 5203.00.30. This article aims to provide an extensive understanding of this HS code, including its product description, tariff rates, quantity unit, and special tariff preference programs.
Cotton fibers play a crucial role in the textile industry, serving as a primary raw material for the production of various textile products. HS Code 99045245 specifically refers to processed cotton fibers that have undergone certain manufacturing processes but have not been spun into yarn or thread.
These processed cotton fibers are typically used in applications such as non-woven fabrics, filling materials, and other textile-related products. By categorizing these fibers under a specific HS code, customs authorities can easily identify and classify them during international trade transactions.
It is important to note that HS Code 99045245 is applicable when importing or exporting processed cotton fibers that fall within the value safeguard period, with a price range of $0.10 to $0.199 per kilogram (KG).
The bound or Most Favored Nation (MFN) duty rate for HS Code 99045245 is set at 15.9 cents per kilogram (KG). The bound duty rate represents the maximum tariff rate that a country can impose on a specific product, as agreed upon under international trade agreements.
It is worth mentioning that whenever a country lowers a trade barrier or opens up a market, it must do so for the same goods or services from all its trading partners. This principle, known as the MFN principle, ensures non-discriminatory treatment among trading nations.
The quantity unit for HS Code 99045245 is kilograms (KG). This unit of measurement is commonly used in international trade to quantify the weight or quantity of goods being imported or exported.
By specifying the quantity unit as kilograms, it becomes easier for customs authorities and traders to accurately calculate the total weight and value of processed cotton fibers being traded.
HS Code 99045245 is eligible for a special tariff preference program called "Free (IL)". This program provides duty-free treatment for imports and exports of processed cotton fibers between the relevant trading partners.
In the case of HS Code 99045245, the "Free (IL)" program specifically refers to the duty-free treatment provided to imports and exports of processed cotton fibers between the United States and Israel. This special rate aims to promote bilateral trade and strengthen economic ties between the two countries.
Importing US states and exporting US states can both benefit from the special tariff preference program, enjoying the exemption from customs duties when trading processed cotton fibers under HS Code 99045245.
HS Code 99045245 plays a vital role in facilitating international trade of processed cotton fibers. By precisely classifying these fibers, customs authorities can effectively regulate and monitor their import and export transactions. Understanding the product description, tariff rates, quantity unit, and special tariff preference programs associated with HS Code 99045245 is crucial for businesses and traders engaged in the textile industry.