[Code of Federal Regulations]
[Title 15, Volume 2]
[Revised as of January 1, 2004]
From the U.S. Government Printing Office via GPO Access
[CITE: 15CFR303.15]

[Page 30-31]
 
                  TITLE 15--COMMERCE AND FOREIGN TRADE
 
 CHAPTER III--INTERNATIONAL TRADE ADMINISTRATION, DEPARTMENT OF COMMERCE
 
PART 303_WATCHES, WATCH MOVEMENTS AND JEWELRY PROGRAM--Table of Contents
 
                            Subpart B_Jewelry
 
Sec.  303.15  Purpose.

    Source: 64 FR 67150, Dec. 1, 1999, unless otherwise noted.

[[Page 31]]


    (a) This subpart implements the responsibilities of the Secretaries 
of Commerce and the Interior (``the Secretaries'') under Pub. L. 106-36, 
enacted 25 June 1999 which substantially amended Pub. L. 97-446, enacted 
12 January 1983, amended by Pub. L. 89-805, enacted 10 November 1966, 
amended by Pub. L. 94-88, enacted 8 August 1975, amended by Pub. L. 94-
241, enacted 24 March 1976, and amended by Pub. L. 103-465, enacted 8 
December 1994.
    (b) The amended law provides for the issuance of certificates to 
insular jewelry producers who have met the requirements of the laws and 
regulations, entitling the holder (or any transferee) to obtain refunds 
of duties on watches and watch movements and parts (except discrete 
watch cases) imported into the customs territory of the United States. 
The amounts of these certificates may not exceed specified percentages 
of the producers' verified creditable wages in the insular possessions 
(90% of wages paid for the production of the first 300,000 duty-free 
units and declining percentages, established by the Secretaries, of 
wages paid for incremental production up to 750,000 units by each 
producer) nor an aggregate annual amount for all certificates exceeding 
$5,000,000 adjusted for growth by the ratio of the previous year's gross 
national product to the gross national product in 1982. However, the law 
specifies that watch producer benefits are not to be diminished as a 
consequence of extending the duty refund to jewelry manufacturers. In 
the event that the amount of the calculated duty refunds for watches and 
jewelry exceeds the total aggregate annual amount that is available, the 
watch producers shall receive their calculated amounts and the jewelry 
producers would receive amounts proportionately reduced from the 
remainder. Refund requests are governed by regulations issued by the 
Department of Homeland Security (see 19 CFR 7.4).
    (c) Section 2401(a) of Pub. L. 106-36 and additional U.S. note 5 to 
chapter 91 of the HTSUS authorize the Secretaries to issue regulations 
necessary to carry out their duties. The Secretaries may cancel or 
restrict the certificate of any insular manufacturer found violating the 
regulations.