[Code of Federal Regulations]
[Title 19, Volume 2]
[Revised as of April 1, 2002]
From the U.S. Government Printing Office via GPO Access
[CITE: 19CFR159.36]

[Page 231-232]
 
                        TITLE 19--CUSTOMS DUTIES
 
  CHAPTER I--UNITED STATES CUSTOMS SERVICE, DEPARTMENT OF THE TREASURY
 
PART 159--LIQUIDATION OF DUTIES--Table of Contents
 
                Subpart C--Conversion of Foreign Currency
 
Sec. 159.36  Multiple certified rates.

    The following procedures shall apply when the Federal Reserve Bank 
of New York certifies two or more rates of exchange (e.g., official and 
free) for a foreign currency:
    (a) Rates to be published. When the Federal Reserve Bank of New York 
certifies two or more rates of exchange for the currency of any country, 
those rates will be published in the Customs Bulletin.
    (b) Laws of country of exportation followed. When multiple rates 
have been certified for a foreign currency, the rate to be used for 
Customs purposes shall be the type of certified rate which the port 
director is satisfied, from information in his own files, information 
obtained and presented to him by the importer, or information obtained 
from other sources, is uniformly applicable under the laws and 
regulations of the country of exportation to the particular class of 
merchandise on the date of exportation. In cases where two or more types 
of certified rates are uniformly applicable on a percentage bases, each 
type of certified rate shall be used for the percentage of value to 
which it is applicable. The percentages used shall be those which 
reflect realistically the percentage for which each type of rate is 
uniformly applicable under the laws and regulations of the country of 
exportation on the date of exportation.
    (c) Procedure when multiple certified rates not uniformly 
applicable. If the port director has credible information that a type of 
rate or combination of types of rates which would otherwise be 
applicable under paragraph (b) of this section were not required or 
permitted, as the case may be, under the laws and regulations of the 
country of exportation to be used uniformly during any period in 
connection with the payment for all merchandise of the class involved, 
he shall immediately submit a detailed report to the Commissioner of 
Customs, and shall suspend appraisement and liquidation as to all 
merchandise of the class involved exported to the United States during 
the period involved, until instructions are received from the 
Commissioner of Customs.
    (d) Rate for merchandise different from rate for costs. If the port 
director has credible information that a type of rate or combination of 
types of rates not applicable to payment for the merchandise was 
required or permitted in payment of costs, charges, or expenses, the 
currency conversions for the exchange covering payment for the 
merchandise and for the exchange covering such costs, charges, or 
expenses shall be calculated separately. In deducting nondutiable costs, 
charges, or expenses, the foreign exchange shall be at the rate or rates 
actually used in payment of such costs, charges, or expenses, whether or 
not certified in accordance with Sec. 159.34 or Sec. 159.35. If the 
costs, charges or expenses are dutiable, they shall be calculated 
according to the rules set forth in this subpart. In

[[Page 232]]

the event that any type of rate uniformly applicable to payment of such 
dutiable costs, charges, or expenses for merchandise of the class 
involved was a type of rate not certified in accordance with Sec. 159.34 
or Sec. 159.35, the port director shall immediately submit a detailed 
report to the Commissioner of Customs, and shall suspend appraisement 
and liquidation as to all merchandise of the class involved exported to 
the United States during the period involved, until instructions are 
received from the Commissioner.