HS 811300 Unwrought

HS code 811300 covers 'Waste and scrap of ferro-alloys; waste and scrap of metal or metal carbides, cermets, other than those of heading 8101 to 8112'. The Most Favored Nation (MFN) duty rate can vary significantly by country. For instance, the USITC Harmonized Tariff Schedule may list a rate of 3.7% for certain origins, while other countries might have different rates, such as 4.00% or 5.00%. Preferential duty rates are often available under Free Trade Agreements (FTAs) or other trade preference programs. For example, under certain agreements, goods classified under 811300 might receive a 'Free' duty rate from specific partner countries (e.g., AU, CL, KR, SG). Importers and brokers must consult the specific tariff schedule of the importing country and verify eligibility for preferential treatment, often requiring a Certificate of Origin.

To be classified under HS code 811300, the goods must meet specific criteria related to their composition and condition. Primarily, they must be 'waste and scrap' of ferro-alloys or metal or metal carbides, or cermets. This means the material should be in a form that is not refined or primary, typically characterized by its fragmented, irregular shape, and intended for remelting or reprocessing. It's crucial to distinguish these from finished or semi-finished metal products. Documentation such as supplier declarations or laboratory analysis may be required to substantiate the 'waste and scrap' nature of the goods.

For customs clearance of goods classified under HS code 811300, standard import documentation is generally required. This includes a commercial invoice, packing list, and bill of lading or air waybill. Crucially, to claim preferential duty rates, a valid Certificate of Origin is often mandatory, specifying the exporting country and confirming compliance with the rules of origin under the relevant trade agreement. Depending on the importing country's regulations and the specific nature of the waste or scrap, additional documentation may include an import license, environmental permits, or a declaration from the exporter confirming the material's composition and status as waste or scrap. Importers should consult the customs authority of the destination country for precise requirements.

The calculation of import duty depends on the specific duty rate applied and the customs value of the imported goods. Duties can be ad valorem (a percentage of the value) or specific (a fixed amount per unit of quantity), or a combination. For HS code 811300, if an ad valorem rate of 3.7% is applied and the customs value of a shipment of ferro-alloy scrap is $10,000, the duty would be calculated as: Duty = Customs Value × Duty Rate. In this example: Duty = $10,000 × 3.7% = $10,000 × 0.037 = $370. If a specific duty rate were applicable, for instance, $5 per kilogram, and the shipment weighed 2,000 kg, the duty would be: Duty = Weight × Specific Duty Rate = 2,000 kg × $5/kg = $10,000. Importers and brokers must verify the applicable duty basis (ad valorem, specific, or compound) in the importing country's tariff schedule.

Several trade agreements can significantly impact duty rates for HS code 811300. For example, agreements like the United States-Mexico-Canada Agreement (USMCA), Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), or various bilateral FTAs between countries can provide for reduced or eliminated duties on goods originating from partner countries. The EU's Generalized Scheme of Preferences (GSP) or Economic Partnership Agreements (EPAs) with developing countries may also offer preferential access. Importers should specifically check for agreements between the exporting and importing countries that might list HS code 811300 for preferential treatment, often indicated by a 'Free' or reduced duty rate for specific country codes (e.g., 'Free (A,AU,BH,CL,CO,D,E,IL,JO,KR,MA,OM,P,PA,PE,S,SG)' as seen in some tariff schedules). Verification of origin is paramount for claiming these benefits.