[Code of Federal Regulations]
[Title 31, Volume 2]
[Revised as of July 1, 2004]
From the U.S. Government Printing Office via GPO Access
[CITE: 31CFR592.301]

[Page 924-925]
 
                  TITLE 31--MONEY AND FINANCE: TREASURY
 
 CHAPTER V--OFFICE OF FOREIGN ASSETS CONTROL, DEPARTMENT OF THE TREASURY
 
PART 592_ROUGH DIAMONDS CONTROL REGULATIONS--Table of Contents
 
                      Subpart C_General Definitions
 
Sec. 592.301  Controlled through the Kimberley Process Certification 
Scheme.


    (a) Except as otherwise provided in paragraph (b) of this section, 
the term controlled through the Kimberley Process Certification Scheme 
refers to the following requirements that apply, as appropriate, to the 
importation into the United States from a Participant, or the 
exportation from the United States to a Participant, of any shipment 
including any rough diamond:
    (1) Kimberley Process Certificate. A shipment of rough diamonds 
imported into, or exported from, the United States must be accompanied 
by a Kimberley Process Certificate. The certificate must be presented in 
connection with an importation or exportation of rough diamonds if 
demanded by Customs officials.
    (2) Tamper-Resistant Container. A shipment of rough diamonds 
imported into, or exported, from the United States must be sealed in a 
tamper-resistant container;
    (3) Notification Requirements for Importations into the United 
States. The importer of record in the United States must confirm receipt 
of a shipment of rough diamonds to the relevant foreign exporting 
authority. The confirmation must refer to the relevant Kimberley Process 
Certificate by serial number, the number of parcels, the carat weight, 
and the details of the importer and exporter; and
    (4) Validation of Kimberley Process Certificate for Exportations 
from the United States. With respect to the exportation of rough 
diamonds from the United States and regardless of the destination, the 
Census Bureau requires the filing of export information through the 
Automated Export System. Submission of export information through the 
Automated Export System must be done in advance and must be confirmed by 
the return of an Internal Transaction Number. The return to the filer of 
the Internal Transaction Number shall constitute the validation of the 
Kimberley Process Certificate for an

[[Page 925]]

exportation of rough diamonds from the United States to a Participant. 
The exporter is required to report the Internal Transaction Number on 
the Kimberley Process Certificate accompanying any exportation from the 
United States. The Internal Transaction Number is a unique confirmation 
number generated by the Automated Export System to the filer who 
provides in a timely manner the complete commodity shipment data when 
such data have been accepted by the system.
    (b) The Secretary of State, consistent with section 3(2)(b) of the 
Clean Diamond Trade Act (Pub. L. 108-19), may modify the requirements 
set forth in paragraph (a) of this section upon making a determination 
that a Participant has established an alternative system of control for 
rough diamonds that meets substantially the standards, practices, and 
procedures of the Kimberley Process Certification Scheme.

    Note 1 to Sec. 592.301. The Secretary of State will periodically 
publish in the Federal Register an up-to-date listing of all 
Participants. Where appropriate, such listing also will describe any 
modification of the requirements set forth in paragraph (a) of this 
section.
    Note 2 to Sec. 592.301. The recordkeeping and reporting 
requirements imposed by Sec. 592.501 apply to all U.S. persons engaged 
in the importation into, or exportation from, the United States of any 
shipment of rough diamonds.