19 U.S.C. § 1309 — Supplies for certain vessels and aircraft

Page 74 TITLE 19—CUSTOMS DUTIES § 1309 prescribed articles for temporary free importation under bond for exportation, prior to repeal by Pub. L. 87–456, title III, § 301(a), title V, § 501(a), May 24, 1962, 76 Stat. 75, 78, effective with respect to articles entered, or withdrawn from warehouse, for consumption on or after Aug. 31, 1963. AMENDMENTS 2014—Subsec. (e). Pub. L. 113–188 struck out subsec. (e) which related to submissions of a plan for enforce- ment and annual reports on enforcement efforts. Statutory Notes and Related Subsidiaries EFFECTIVE DATE Pub. L. 106–476, title I, § 1443(c), Nov. 9, 2000, 114 Stat. 2167, provided that: ‘‘The amendments made by this section [enacting this section and amending section 69 of Title 15, Commerce and Trade] shall take effect on the date of the enactment of this Act [Nov. 9, 2000].’’ TRANSFER OF FUNCTIONS For transfer of functions, personnel, assets, and li- abilities of the United States Customs Service of the Department of the Treasury, including functions of the Secretary of the Treasury relating thereto, to the Sec- retary of Homeland Security, and for treatment of re- lated references, see sections 203(1), 551(d), 552(d), and 557 of Title 6, Domestic Security, and the Department of Homeland Security Reorganization Plan of Novem- ber 25, 2002, as modified, set out as a note under section 542 of Title 6. For establishment of U.S. Customs and Border Protection in the Department of Homeland Se- curity, treated as if included in Pub. L. 107–296 as of Nov. 25, 2002, see section 211 of Title 6, as amended gen- erally by Pub. L. 114–125, and section 802(b) of Pub. L. 114–125, set out as a note under section 211 of Title 6. FINDINGS AND PURPOSES Pub. L. 106–476, title I, § 1442, Nov. 9, 2000, 114 Stat. 2163, provided that: ‘‘(a) FINDINGS.—Congress makes the following find- ings: ‘‘(1) An estimated 2,000,000 dogs and cats are slaugh- tered and sold annually as part of the international fur trade. Internationally, dog and cat fur is used in a wide variety of products, including fur coats and jackets, fur trimmed garments, hats, gloves, decora- tive accessories, stuffed animals, and other toys. ‘‘(2) The United States represents one of the largest markets for the sale of fur and fur products in the world. Market demand for fur products in the United States has led to the introduction of dog and cat fur products into United States commerce, frequently based on deceptive or fraudulent labeling of the prod- ucts to disguise the true nature of the fur and mis- lead United States wholesalers, retailers, and con- sumers. ‘‘(3) Dog and cat fur, when dyed, is not easily distin- guishable to persons who are not experts from other furs such as fox, rabbit, coyote, wolf, and mink, and synthetic materials made to resemble real fur. Dog and cat fur is generally less expensive than other types of fur and may be used as a substitute for more expensive types of furs, which provides an incentive to engage in unfair or fraudulent trade practices in the importation, exportation, distribution, or sale of fur products, including deceptive labeling and other practices designed to disguise the true contents or or- igin of the product. ‘‘(4) Forensic texts have documented that dog and cat fur products are being imported into the United States subject to deceptive labels or other practices designed to conceal the use of dog or cat fur in the production of wearing apparel, toys, and other prod- ucts. ‘‘(5) Publicly available evidence reflects ongoing significant use of dogs and cats bred expressly for their fur by foreign fur producers for manufacture into wearing apparel, toys, and other products that have been introduced into United States commerce. The evidence indicates that foreign fur producers also rely on the use of stray dogs and cats and stolen pets for the manufacture of fur products destined for the world and United States markets. ‘‘(6) The methods of housing, transporting, and slaughtering dogs and cats for fur production are gen- erally unregulated and inhumane. ‘‘(7) The trade of dog and cat fur products is ethi- cally and aesthetically abhorrent to United States citizens. Consumers in the United States have a right to know if products offered for sale contain dog or cat fur and to ensure that they are not unwitting partici- pants in this gruesome trade. ‘‘(8) Persons who engage in the sale of dog or cat fur products, including the fraudulent trade practices identified above, gain an unfair competitive advan- tage over persons who engage in legitimate trade in apparel, toys, and other products, and derive an un- fair benefit from consumers who buy their products. ‘‘(9) The imposition of a ban on the sale, manufac- ture, offer for sale, transportation, and distribution of dog and cat fur products, regardless of their source, is consistent with the international obliga- tions of the United States because it applies equally to domestic and foreign producers and avoids any dis- crimination among foreign sources of competing products. Such a ban is also consistent with provi- sions of international agreements to which the United States is a party that expressly allow for measures designed to protect the health and welfare of animals and to enjoin the use of deceptive trade practices in international or domestic commerce. ‘‘(b) PURPOSES.—The purposes of this chapter [chap- ter 3 (§§ 1441–1443) of subtitle B of title I of Pub. L. 106–476, see Short Title of 2000 Amendment note set out under section 1654 of this title] are to— ‘‘(1) prohibit imports, exports, sale, manufacture, offer for sale, transportation, and distribution in the United States of dog and cat fur products, in order to ensure that United States market demand does not provide an incentive to slaughter dogs or cats for their fur; ‘‘(2) require accurate labeling of fur species so that consumers in the United States can make informed choices and ensure that they are not unwitting con- tributors to this gruesome trade; and ‘‘(3) ensure that the customs laws of the United States are not undermined by illicit international traffic in dog and cat fur products.’’ § 1309. Supplies for certain vessels and aircraft (a) Exemption from customs duties and internal- revenue tax Articles of foreign or domestic origin may be withdrawn, under such regulations as the Sec- retary of the Treasury may prescribe, from any customs bonded warehouse, from continuous customs custody elsewhere than in a bonded warehouse, or from a foreign-trade zone free of duty and internal-revenue tax, or from any in- ternal-revenue bonded warehouse, from any brewery, or from any winery premises or bonded premises for the storage of wine, free of inter- nal-revenue tax— (1) for supplies (not including equipment) of (A) vessels or aircraft operated by the United States, (B) vessels of the United States em- ployed in the fisheries or in the whaling busi- ness, or actually engaged in foreign trade or trade between the Atlantic and Pacific ports of the United States or between the United States and any of its possessions, or between Hawaii and any other part of the United States, or between Alaska and any other part Page 75 TITLE 19—CUSTOMS DUTIES § 1309 of the United States, or (C) aircraft registered in the United States and actually engaged in foreign trade or trade between the United States and any of its possessions, or between Hawaii and any other part of the United States or between Alaska and any other part of the United States; or (2) for supplies (including equipment) or re- pair of (A) vessels of war of any foreign nation, or (B) foreign vessels employed in the fisheries or in the whaling business, or actually en- gaged in foreign trade or trade between the United States and any of its possessions, or be- tween Hawaii and any other part of the United States or between Alaska and any other part of the United States, where such trade by for- eign vessels is permitted; or (3) for supplies (including equipment), ground equipment, maintenance, or repair of aircraft registered in any foreign country and actually engaged in foreign trade or trade be- tween the United States and any of its posses- sions, or between Hawaii and any other part of the United States or between Alaska and any other part of the United States, where trade by foreign aircraft is permitted. With respect to articles for ground equipment, the exemp- tion hereunder shall apply only to duties and to taxes imposed upon or by reason of impor- tation. The provisions for free withdrawals made by this subsection shall not apply to petroleum products for vessels or aircraft in voyages or flights exclusively between Hawaii or Alaska and any airport or Pacific coast seaport of the United States. (b) Drawback Articles withdrawn from bonded warehouses, bonded manufacturing warehouses, continuous customs custody elsewhere than in a bonded warehouse, or from a foreign-trade zone, im- ported articles, and articles of domestic manu- facture or production, laden as supplies upon any such vessel or aircraft of the United States or laden as supplies (including equipment) upon, or used in the maintenance or repair of, any such foreign vessel or aircraft, shall be consid- ered to be exported within the meaning of the drawback provisions of this chapter. (c) Articles removed in, or returned to, the United States Any article exempted from duty or tax, or in respect of which drawback has been allowed, under this section or section 1317 of this title and thereafter removed in the United States from any vessel or aircraft, or otherwise re- turned to the United States, shall be treated as an importation from a foreign country. (d) Reciprocal privileges The privileges granted by this section and sec- tion 1317 of this title in respect of aircraft reg- istered in a foreign country shall be allowed only if the Secretary of the Treasury shall have been advised by the Secretary of Commerce that he has found that such foreign country allows, or will allow, substantially reciprocal privileges in respect of aircraft registered in the United States. If the Secretary of Commerce shall ad- vise the Secretary of the Treasury that he has found that a foreign country has discontinued, or will discontinue, the allowance of such privi- leges, the privileges granted by this section and such section 1317 shall not apply thereafter in respect of aircraft registered in that foreign country. (June 17, 1930, ch. 497, title III, § 309, 46 Stat. 690; June 25, 1938, ch. 679, § 5(a), 52 Stat. 1080; July 22, 1941, ch. 314, § 3, 55 Stat. 602; Aug. 8, 1953, ch. 397, § 11(a), 67 Stat. 514; Pub. L. 86–606, § 5(a), July 7, 1960, 74 Stat. 361; Pub. L. 101–382, title III, § 484A(b), Aug. 20, 1990, 104 Stat. 708.) Editorial Notes PRIOR PROVISIONS Provisions similar to those in this section were con- tained in act Oct. 3, 1913, ch. 16, § IV, K, 38 Stat. 197, which superseded a like provision made by an amend- ment of R.S. § 2982, by the Payne-Aldrich Tariff Act of Aug. 5, 1909, ch. 6, § 21, 36 Stat. 88. Section IV, K, of the act of 1913, and R.S. § 2982 were superseded by act Sept. 21, 1922, ch. 356, title III, § 309, 42 Stat. 938, and respec- tively repealed by sections 321 and 642 thereof. Section 309 of the act of 1922 was superseded by section 309 of act June 17, 1930, comprising this section, and repealed by section 651(a)(1) of the 1930 act. AMENDMENTS 1990—Subsec. (b). Pub. L. 101–382 inserted ‘‘imported articles,’’ after ‘‘foreign-trade zone,’’. 1960—Subsec. (a). Pub. L. 86–606 inserted ‘‘, or be- tween Hawaii and any other part of the United States or between Alaska and any other part of the United States’’ after ‘‘possessions’’ wherever appearing, and made the provisions for free withdrawals inapplicable to petroleum products for vessels or aircraft in voyages or flights between Hawaii or Alaska and any airport or Pacific coast seaport of the United States. 1953—Subsec. (a). Act Aug. 8, 1953, extended the ex- emption from payment of duty and internal revenue tax theretofore available to supplies for certain vessels and aircraft withdrawn from bonded warehouses, bond- ed manufacturing warehouses, or continuous customs custody elsewhere to supplies withdrawn from foreign trade zones; accorded free entry for equipment with- drawn for foreign vessels; and enlarged the classes of vessels and aircraft theretofore covered to include all vessels and aircraft operated by the United States. Subsec. (b). Act Aug. 8, 1953, made technical changes to conform with the changes made by such act in sub- sec. (a), including insertion of ‘‘or from a foreign-trade zone,’’. 1941—Subsec. (a). Act July 22, 1941, inserted ‘‘or from any internal-revenue bonded warehouse, from any brewery, or from any winery premises or bonded prem- ises for the storage of wine, free of internal-revenue tax’’ after ‘‘internal-revenue tax’’. 1938—Act June 25, 1938, amended section generally, adding subsecs. (c) and (d). Statutory Notes and Related Subsidiaries EFFECTIVE DATE OF 1990 AMENDMENT Pub. L. 101–382, title III, § 484A(c), Aug. 20, 1990, 104 Stat. 708, provided that: ‘‘Notwithstanding section 514 of the Tariff Act of 1930 (19 U.S.C. 1514) or any other provision of law, the amendments made by this section [amending this section and section 1313 of this title] shall apply to— ‘‘(1) claims filed or liquidated on or after January 1, 1988, and ‘‘(2) claims that are unliquidated, under protest, or in litigation on the date of enactment of this Act [Aug. 20, 1990].’’ EFFECTIVE DATE OF 1960 AMENDMENT Pub. L. 86–606, § 5(b), July 7, 1960, 74 Stat. 361, provided that: ‘‘The amendment made by this section [amending Page 76 TITLE 19—CUSTOMS DUTIES § 1310 this section] shall apply only with respect to articles withdrawn as provided in section 309(a) of the Tariff Act of 1930, as amended [subsec. (a) of this section], on or after the date of the enactment of this Act [July 7, 1960].’’ EFFECTIVE DATE OF 1953 AMENDMENT; SAVINGS PROVISION Amendment by act Aug. 8, 1953, effective on and after thirtieth day following Aug. 8, 1953, and savings provi- sion, see notes set out under section 1304 of this title. EFFECTIVE DATE OF 1938 AMENDMENT Amendment by act June 25, 1938, effective on thir- tieth day following June 25, 1938, except as otherwise specifically provided, see section 37 of act June 25, 1938, set out as a note under section 1401 of this title. § 1310. Free importation of merchandise recov- ered from sunken and abandoned vessels Whenever any vessel laden with merchandise, in whole or in part subject to duty, has been sunk in any river, harbor, bay, or waters subject to the jurisdiction of the United States, and within its limits, for the period of two years and is abandoned by the owner thereof, any person who may raise such vessel shall be permitted to bring any merchandise recovered therefrom into the port nearest to the place where such vessel was so raised free from the payment of any duty thereupon, but under such regulations as the Secretary of the Treasury may prescribe. (June 17, 1930, ch. 497, title III, § 310, 46 Stat. 691.) Editorial Notes PRIOR PROVISIONS Provisions similar to those in this section were con- tained in act Oct. 3, 1913, ch. 16, § IV, L, 38 Stat. 197, su- perseding similar provisions of previous tariff acts. That section was superseded by act Sept. 21, 1922, ch. 356, title III, § 310, 42 Stat. 938, and repealed by section 321 of that act. Section 310 of act Sept. 21, 1922, was su- perseded by section 310 of act June 17, 1930, and re- pealed by section 651(a)(1) of the 1930 act. § 1311. Bonded manufacturing warehouses All articles manufactured in whole or in part of imported materials, or of materials subject to internal-revenue tax, and intended for expor- tation without being charged with duty, and without having an internal-revenue stamp af- fixed thereto, shall, under such regulations as the Secretary of the Treasury may prescribe, in order to be so manufactured and exported, be made and manufactured in bonded warehouses similar to those known and designated in Treas- ury Regulations as bonded warehouses, class six: Provided, That the manufacturer of such articles shall first give satisfactory bonds for the faith- ful observance of all the provisions of law and of such regulations as shall be prescribed by the Secretary of the Treasury: Provided further, That the manufacture of distilled spirits from grain, starch, molasses, or sugar, including all dilu- tions or mixtures of them or either of them, shall not be permitted in such manufacturing warehouses. Whenever goods manufactured in any bonded warehouse established under the provisions of the preceding paragraph shall be exported di- rectly therefrom or shall be duly laden for transportation and immediate exportation under the supervision of the proper officer who shall be duly designated for that purpose, such goods shall be exempt from duty and from the requirements relating to revenue stamps. No flour, manufactured in a bonded manufac- turing warehouse from wheat imported after ninety days after June 17, 1930, shall be with- drawn from such warehouse for exportation without payment of a duty on such imported wheat equal to any reduction in duty which by treaty will apply in respect of such flour in the country to which it is to be exported. Any materials used in the manufacture of such goods, and any packages, coverings, vessels, brands, and labels used in putting up the same may, under the regulations of the Secretary of the Treasury, be conveyed without the payment of revenue tax or duty into any bonded manufac- turing warehouse, and imported goods may, under the aforesaid regulations, be transferred without the exaction of duty from any bonded warehouse into any bonded manufacturing ware- house; but this privilege shall not be held to apply to implements, machinery, or apparatus to be used in the construction or repair of any bonded manufacturing warehouse or for the prosecution of the business carried on therein. Articles or materials received into such bond- ed manufacturing warehouse or articles manu- factured therefrom may be withdrawn or re- moved therefrom for direct shipment and expor- tation or for transportation and immediate ex- portation in bond to foreign countries or to the Philippine Islands under the supervision of the officer duly designated therefor by the appro- priate customs officer of the port, who shall cer- tify to such shipment and exportation, or lad- ening for transportation, as the case may be, de- scribing the articles by their mark or otherwise, the quantity, the date of exportation, and the name of the vessel: Provided, That the by-prod- ucts incident to the processes of manufacture, including waste derived from cleaning rice in bonded warehouses under the Act of March 24, 1874, ch. 65, 18 Stat. 24, in said bonded ware- houses may be withdrawn for domestic con- sumption on the payment of duty equal to the duty which would be assessed and collected by law if such waste or by-products were imported from a foreign country: Provided, That all waste material may be destroyed under Government supervision. All labor performed and services rendered under these provisions shall be under the supervision of a duly designated officer of the customs and at the expense of the manufac- turer. A careful account shall be kept by the appro- priate customs officer of all merchandise deliv- ered by him to any bonded manufacturing ware- house, and a sworn monthly return, verified by the customs officers in charge, shall be made by the manufacturer containing a detailed state- ment of all imported merchandise used by him in the manufacture of exported articles. Before commencing business the proprietor of any manufacturing warehouse shall file with the Secretary of the Treasury a list of all the arti- cles intended to be manufactured in such ware- house, and state the formula of manufacture and the names and quantities of the ingredients to be used therein.