Facing substantial duties importing after Inward processing
We receive a Nomination to import Product (release for free circulation), as the Product does not attract import duties, and then transfer Product to another tank resulting in a blend of two T2 Products.
By mistake the order of events is executed wrongly, whereby the Product to be moved is not declared for free circulation, but transferred as Bonded (T1) and blended with Product in the receiving tank (T2). As a result, the Product is declared for Inward Processing by the automated processes. The blended Product is registered as the new Product and subsequently declared for the release for free circulation. The system now shows the impact in terms of import duties, including anti-dumping duties, asking the User to confirm that he wants to proceed knowing the impact. Here the panic kicks in.
Product specifics of the Blended product:
- Commodity code: 2710 1942 29
- Origin: US
What ways are to be considered to mitigate the risk / avoid the issue?
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