The below FAQ’s are USMCA Implementing Regulations regarding textile and apparel goods, automotive goods, and other USMCA provisions, allowing CBP to improve enforcement, provide greater clarity for compliance, and reduce uncertainty for importers.
The interim final rule (IFR) published in the Federal Register on January 17, 2025, provides additional implementing regulations for the Agreement Between the United States of America, the United Mexican States, and Canada (USMCA). These additional implementing regulations address automotive goods as well as the remaining drawback and duty-deferral programs regulations. This rule adds to the existing 19 CFR 182 USMCA implementing regulations and other 19 CFR CBP regulations addressing: (i) automotive goods, (ii) textile and apparel goods (iii) drawback and duty-deferral program requirements, (iv) recordkeeping and protest requirements, (v) amends regulations to implement the temporary admission of goods, (vi) clarify the fee provisions, and (vii) addresses other conforming amendments to fulfill the USMCA requirements.
This interim final rule is effective on March 18, 2025.
Comments regarding this interim final rule must be received by March 18, 2025.
The delayed compliance date to comply with the vehicle certification provisions is May 19, 2025. Compliance with the labor value content (LVC) certification, steel purchasing certification, and aluminum purchasing certification provisions in 19 CFR 182.95, 182.96, and 182.97 will only be required for those vehicle certifications submitted to CBP on/or after the aforementioned date.
Specifically, this IFR covers existing requirements and adds new regulations to implements the additional USMCA provisions including:
- USMCA Chapter 1 general definitions and country-specific definitions,
- USMCA Chapter 2 drawback and duty-deferral program provisions,
- USMCA Article 2.7 temporary admission of goods provisions,
- USMCA Appendix to Annex 4-B of Chapter 4 product-specific rules of origin for automotive goods,
- USMCA Article 5.8 recordkeeping requirements for importers, exporters, and producers,
- USMCA Chapter 5 general origin verification requirements and procedures,
- USMCA Article 5.10 determination of origin provisions,
- USMCA Article 5.14 advance rulings requirements,
- USMCA Article 5.15 review and appeal of determinations of origin and advance rulings provisions,
- USMCA Chapter 6 product-specific rules of origin for textiles and apparel goods,
- USMCA Chapter 7 provisions related to customs administration and trade facilitation,
- USMCA Article 7.5 advance rulings requirements, and
- USMCA Article 7.15 review and appeal of customs determinations.
No, this IFR does not amend 19 CFR part 177. No amendment is needed. CBP includes the cross-reference to 19 CFR part 177 in 19 CFR 182.0 (the scope section of the USMCA regulations) to clarify that part 177 applies to advance rulings related to USMCA transactions. CBP believes this clarification is needed since 19 CFR 177.0 specifically excludes advance rulings related to NAFTA transactions from the scope of part 177.
CBP wishes to further clarify that while producers are not explicitly granted the right to request a ruling pursuant to 19 CFR 177.1(c), CBP considers a Canadian or Mexican producer of a good imported into the United States under the USMCA, a Canadian or Mexican producer of a material that is used in the production of a good imported into the United States under the USMCA, and a Canadian or Mexican exporter of a material used in the production of a good under the USMCA to be persons with a direct and demonstrable interest who have the right to request a ruling pursuant to 19 CFR 177.1(c), in accordance with USMCA Article 7.5.2.
Yes, this IFR covers the requirements for USMCA automotives known as covered vehicles (passenger vehicles, light trucks, and heavy trucks). Covered vehicles imported into the United States are only eligible for USMCA preferential tariff treatment if the producer of the covered vehicle submits three properly filed vehicle certifications to CBP. These vehicle certifications are the LVC certification, steel purchasing certification, and aluminum purchasing certification.
To address the specific additional requirements and procedures applicable to claims for USMCA preferential tariff treatment for covered vehicles, CBP has included Subpart I, Automotive Goods, in part 182 of title 19 of the CFR.
Yes. CBP is assigning a unique identifier for each vehicle certification submission (the labor value content (LVC), steel purchasing, and aluminum purchasing certifications for covered vehicles (passenger, light trucks, or heavy trucks)).
When making a USMCA claim for preferential tariff treatment under 19 CFR 182.11(b) or when making a post-importation claim under 19 CFR 182.32, the importer of the covered vehicle must submit the unique identifier assigned by CBP on each of the labor value content (LVC), steel purchasing, and aluminum purchasing certifications that form the basis for the covered vehicle’s USMCA eligibility. These unique identifiers provide CBP with the ability to link the importation of the covered vehicle to the specific vehicle certifications that form the basis for the covered vehicle’s eligibility for USMCA preferential tariff treatment and to allow the importer to demonstrate compliance with the vehicle certification requirements.
Yes, the IFR covers instruments of international traffic. USMCA Article 2.7.11 specifically requires that each USMCA country must extend the timeframe for temporary admission of a shipping container or other substantial holder beyond the period initially fixed at the request of the person concerned. Accordingly, CBP is revising 19 CFR 10.41a(g)(1) to allow CBP to grant an extension and permit the IIT container to remain in international traffic beyond the 365-day time period, at the request of the person who filed the application for release under 19 CFR 10.41a(a)(1), when the container is designated as an instrument of international traffic and was admitted from Canada or Mexico.
Yes, the IFR covers USMCA recordkeeping requirements in 19 CFR part 163, to include USMCA recordkeeping requirements concerning records maintenance and examination applicable to U.S. importers, exporters, and producers under 19 CFR 182. These changes include:
- Section 163.1 - CBP amended 19 CFR 163.1(a)(2) to redesignate paragraph (xviii) as (xix) and add a new paragraph (xviii) to include USMCA records in the list of activities. Specifically, the new paragraph (xviii) will provide for the maintenance of any documentation in support of a claim for preferential tariff treatment under the USMCA pursuant to part 182, including the certification of origin.
- Section 163.7 - Section 163.7 describes the parties to whom CBP may issue a summons to appear and produce records or to give relevant testimony under oath or both, during an investigation, audit, or other inquiry. CBP is revising § 163.7(a)(2) to add any person who exported merchandise, or knowingly caused merchandise to be exported, to a USMCA country.
- Appendix to Part 163—Interim (a)(1)(A) list - CBP amended section IV of the appendix to 19 CFR 163 (the (a)(1)(A) list) to add the USMCA documents to the list of records or information required for the entry of merchandise. Accordingly, CBP is adding a reference to 19 CFR 182.13, which sets forth the USMCA importer’s obligations, to the (a)(1)(A) list to indicate that USMCA records that the importer may have in support of a USMCA claim for preferential tariff treatment, including the certification of origin, are required entry documents. Vehicle certifications are not included in the (a)(1)(A) list
Note: The USMCA recordkeeping requirements on foreign exporters and producers whose goods are imported into the United States under the USMCA are set forth in 19 CFR 182, not 19 CFR 163.
Yes, the IFR includes the remaining USMCA drawback claims and duty-deferral programs regulations in Subpart E of 19 CFR 182. Subpart E (19 CFR 182.41 – 182.55) sets forth the provisions regarding drawback claims and duty-deferral programs, as provided for under Article 2.5 of the USMCA, and applies to any good that is a “good subject to USMCA drawback” within the meaning of 19 U.S.C. 4534. The IFR covers additional drawback implementing regulations not already covered under 19 CFR 182, Subpart E. CBP also added other USMCA drawback and duty-deferral program cross-references to Title 19 of the CFR.
Yes, the IFR includes Subpart H of 19 CFR 182 (19 CFR 182.81 – 182.83), which contains the USMCA textile and apparel good provisions. These textile and apparel good provisions are provided for in USMCA Chapter 6, including the trade preference level provisions and the verification site visit provisions.
Yes, the IFR covers Subpart I of 19 CFR 182. Subpart I (19 CFR 182.91 – 182.107) contains the USMCA automotive good provisions, as provided for in USMCA Chapter 4 and the Uniform Regulations regarding Rules of Origin.
Section 19 CFR 182.92, Claim for preferential tariff treatment for covered vehicles, specifies additional requirements that a covered vehicle must meet to make a claim for USMCA preferential tariff treatment, including the LVC requirement in 19 CFR 182.93, the steel purchasing and aluminum purchasing requirements in 19 CFR 182.94, and certifications attesting that the vehicle producer has complied with the LVC, steel purchasing, and aluminum purchasing certification requirements under 19 CFR 182.95, 19 CFR 182.96, and 19 CFR 182.97.
Yes, CBP has added several data elements for each USMCA vehicle certification in 19 CFR 182.95(c), 19 CFR 182.96(c), and 19 CFR 182.97(c), in addition to the list of data elements contained in the U.S. Implementing Instructions issued on June 30, 2020 (and in the DOL regulations at 29 CFR part 810).
No, the terms of the alternative staging regime petition, as authorized by the Office of the U.S. Trade Representative (USTR) will not change as a result of the IFR.
However, pursuant to paragraph (c) of § 182.106, a producer of a covered vehicle is required to submit to CBP a separate vehicle certification that covers only those vehicles subject to the alternative staging regime under certain circumstances. If the terms of the alternative staging regime specifically exempt the producer from the LVC, steel purchasing, or aluminum purchasing requirement (including when the producer qualifies for NAFTA 403.6 treatment), then the producer must submit to CBP a vehicle certification for that LVC, steel purchasing, or aluminum purchasing requirement covering only those vehicles subject to the alternative staging regime.
Yes, the IFR affects other trade preference programs. The USMCA Implementation Act repealed the NAFTA Implementation Act and references to NAFTA became outdated. The implementing legislation for the African Growth and Opportunity Act (AGOA) and the Caribbean Basin Economic Recovery Act (CBERA), as amended by the United States-Caribbean Basin Trade Partnership Act (CBTPA), trade preference programs contained the NAFTA rules of origin. See 19 U.S.C. 3721 and 19 U.S.C. 2702. Accordingly, the implementing regulations for these programs in 19 CFR Part 10, which followed the statutory language, contain numerous references to NAFTA.