[Code of Federal Regulations]

[Title 19, Volume 1]

[Revised as of April 1, 2005]

From the U.S. Government Printing Office via GPO Access

[CITE: 19CFR19.18]



[Page 356]

 

                        TITLE 19--CUSTOMS DUTIES

 

   CHAPTER I--BUREAU OF CUSTOMS AND BORDER PROTECTION, DEPARTMENT OF 

              HOMELAND SECURITY; DEPARTMENT OF THE TREASURY

 

PART 19_CUSTOMS WAREHOUSES, CONTAINER STATIONS AND CONTROL OF MERCHANDISE THEREIN--Table of Contents

 

Sec.  19.18  Smelting and refining; allowance for wastage; withdrawal 

for consumption.



    (a) Except where absolute deductions have been allowed in the 

liquidation of the entry for losses on copper, lead, and zinc content of 

metal-bearing materials, pursuant to Chapter 26, Additional U.S. Note 1, 

Harmonized Tariff Schedule of the United States (see Sec.  151.55 of 

this chapter), the actual percentage of losses by weight shall be 

allowed if more than 90 percent by weight of:

    (1) The zinc content initially treated at any lead plant, (2) the 

copper content of the imported materials treated at any zinc plant, or 

(3) the copper, lead, or zinc content of the imported material initially 

treated at any plant other than a copper, lead, or zinc plant is lost in 

processing such materials. Such actual percentage of losses by weight of 

the metal content shall be that shown by the manufacturer's annual 

statement. Such losses shall be applied in the liquidation of the entry 

to materials entered for consumption or for warehouse, during a 12-month 

period beginning on the first day of the month nearest to 90 days after 

the close of the manufacturer's fiscal year immediately preceding such 

90-day period, provided the importer makes claim therefor in writing at 

the time the merchandise is entered. No further wastage shall be 

allowed. The full dutiable contents of such metal-bearing materials, as 

ascertained by commercial assay made by the Government chemists, less 

the wastage allowance (including dutiable metals entirely lost in 

smelting or refining, or both), shall constitute the quantity of 

dutiable metal which must be either exported, duty-paid, or transferred 

to another bonded warehouse in order to secure the cancellation of the 

charge made against the proprietor's bond as shown by the warehouse or 

rewarehouse entry account.

    (b) Upon the withdrawal for consumption of metal so smelted or 

refined, or both, duty shall be collected thereon without the allowance 

for wastage, except where the metal was transferred to a bonded Customs 

warehouse other than a smelting warehouse and withdrawn therefrom for 

consumption. However, duty-paid warehouse withdrawals for consumption 

may be filed with regard to metal which will be physically withdrawn in 

the form of smelted or refined products whether at the time of the 

filing of the withdrawal papers the dutiable metal covered by the bond 

charge being cancelled by the withdrawal is in the form of ores, 

concentrates, crude metals, or intermediate products. If the warehouse 

withdrawal for consumption covers a product which does not sustain the 

full wastage allowable (see Sec.  19.22) prior to being physically 

released from Customs custody, a proportionate part only of such wastage 

may be allowed. The warehouse withdrawal and delivery permit shall state 

the estimated amount of the dutiable metal contained in the products, 

and the warehouse withdrawal shall specify the applicable wastage. A 

quantity of dutiable metal equivalent to the smelted or refined products 

covered by each withdrawal for consumption must be actually on hand at 

the plant or plants covered by the bond at the time of filing the 

withdrawals; but neither the actual ability to withdraw smelted or 

refined products from the warehouse nor the actual physical condition 

described in the withdrawal will be required at the time of filing the 

withdrawal.



[28 FR 14763, Dec. 31, 1963, as amended by T.D. 73-175, 38 FR 17446, 

July 2, 1973; T.D. 82-90, 47 FR 20753, May 14, 1982; T.D. 89-1, 53 FR 

51254, Dec. 21, 1988]