SUBCHAPTER XXIII
PROVISIONS ESTABLISHED PURSUANT TO THE UNITED STATES-MEXICO-CANADA AGREEMENT
This subchapter contains modifications of the provisions of the tariff schedule established pursuant to the provisions of the United States-Mexico-Canada Agreement. Goods entered under this subchapter and described in the provisions of this subchapter for which a rate of duty followed by a symbol in parentheses is herein provided, are subject to duty at the rate provided in this subchapter in lieu of the rate therefore in chapters 1 through 97. Any use of the term "Year 1" shall mean the time period July 1, 2020 and December 31, 2020, inclusive, and the term "EIF" shall mean July 1, 2020.
U.S. Notes
  • 1. Fluid cream, sour cream, ice cream, and milk beverages.--This note and subheadings 9823.01.01 through 9823.01.07, inclusive, apply to originating goods of the USMCA countries eligible for special tariff treatment under the terms of general note 11 to the tariff schedule, and provided for in subheadings 0401.40.25, 0401.50.25, 0403.90.16, 2105.00.20, or 2202.99.28. From July 1, 2020, in 2021 and in successive years thereafter, the rate of duty provided for in subheadings 9823.01.01 through 9823.01.07 in the "Special" subcolumn of rates of duty column 1 followed by the symbol "(S+)" shall apply to originating goods of such countries in lieu of the duty rate set forth in the special column in the permanent subheadings enumerated above.
    • (a) Goods of Mexico that qualify to be marked as a good of Mexico pursuant to U.S. law, without regard to whether the good is marked, and goods of the United States shall be eligible for USMCA tariff treatment only under subheading 9823.01.01.
    • (b)
      Goods of Canada that qualify to be marked as a good of Canada pursuant to U.S. law, without regard to whether the good is marked, shall be entered under 9823.01.02 through 9823.01.07.
      • (1) The aggregate quantity of originating goods of Canada entered under subheading 9823.01.02 in any period or calendar year enumerated below shall not exceed the quantity specified below for that time period:
        YearQuantity
        (Liters)
        Year 1875,000Year 710,605,000Year 1311,257,421
        Year 2 3,500,000Year 810,711,050Year 1411,369,995
        Year 35,250,000Year 910,818,161Year 1511,483,695
        Year 47,000,000Year 1010,926,342Year 1611,598,532
        Year 58,750,000Year 1111,035,606Year 1711,714,518
        Year 610,500,000Year 1211,145,962Year 1811,831.663
        Beginning in year 19 and each year following, the quantitative limitations to originating goods of Canada set forth in this note shall be 11,949,979 liters.
      • (2) If the aggregate quantity of originating goods of Canada entered under subheading 9823.01.02 has exceeded the quantity specified in subdivision (b)(1) of this note for such year, originating goods of Canada shall be entered under subheadings 9823.01.03 through 9823.01.07.
  • 2. Skim milk powder.--This note and subheadings 9823.02.01 through 9823.02.04 are effective as to originating goods of the USMCA countries effective eligible for special tariff treatment under the terms of general note 11 to the tariff schedule classified in the permanent subheadings of 0402.10.50 or 0402.21.25. During the period July 1, 2020 through December 31, 2020, inclusive, in 2021 and in successive years thereafter, the rate of duty provided for in subheadings 9823.02.01 through 9823.02.04 in the "Special" subcolumn of rates of duty column 1 followed by the symbol "(S+)" shall apply to goods of such countries in lieu of the duty rate set forth in the special subcolumn in the permanent subheadings enumerated above.
    • (a) Goods of Mexico that qualify to be marked as a good of Mexico pursuant to U.S. law, without regard to whether the good is marked, and goods of the United States shall be eligible for USMCA tariff treatment only under subheading 9823.02.01.
    • (b) Goods of Canada that qualify to be marked as a good of Canada pursuant to U.S. law, without regard as to whether the good is marked shall be eligible for USMCA tariff treatment only under subheadings 9823.02.02 through 9823.02.04.
      • 1. The aggregate quantity of originating goods of Canada entered under subheading 9823.02.02 in any period or calendar year enumerated below shall not exceed the quantity specified below for that period:
      • YearQuantity
        (MT)
        Year 1625Year 77,575Year 13 8,041.015
        Year 22,500Year 8 7,650.75 Year 14 8,121.425
        Year 33,750Year 9 7,727.258 Year 15 8,202.64
        Year 45,000Year 10 7,804.53 Year 16 8,284.666
        Year 56,250Year 11 7,882.575 Year 17 8,367.513
        Year 67,500Year 12 7,961.401 Year 18 8,451.188
      Beginning in year 19 and each year following, the quantitative limitations to originating goods of Canada set forth in this note shall be 8,535.7 metric tons.
      • 2. If the aggregate quantity of originating goods of Canada entered under subheading 9823.02.02 has exceeded the quantity specified in subdivision (b)(1) of this note for such period or year, originating goods of Canada shall be entered under subheadings 9823.02.03 through 9823.02.04.
  • 3. Butter, cream and cream powder.--This note and subheadings 9823.03.01 through 9823.03.11 are effective as to originating goods of the USMCA countries eligible for special tariff treatment under the terms of general note 11 to the tariff schedule classified in the permanent subheadings of 0401.50.75, 0402.21.90, 0403.90.65, 0403.90.78, 0405.10.20, 0405.20.30, 0405.20.70, 0405.90.20, 2106.90.26 or 2106.90. 36. From July 1, 2020 through December 31, 2020, in 2021 and in successive years thereafter, the rate of duty provided for in subheadings 9823.03.01 through 9823.03.11 in the "Special" column of rates of duty column 1 followed by the symbol "(S+)" shall apply to goods of such countries in lieu of the duty rate set forth in the special subcolumn in the permanent subheadings enumerated above.
    • (a) Goods of Mexico that qualify to be marked as a good of Mexico pursuant to U.S. law, without regard to whether the good is marked, and goods of the United States shall be eligible for USMCA tariff treatment only under subheading 9823.03.01.
    • (b) Goods of Canada that qualify to be marked as a good of Canada pursuant to U.S. law, without regard as to whether the good is marked, shall be eligible for USMCA tariff treatment only under subheadings 9823.03.02 through 9823.03.11.
      • (1) The aggregate quantity of originating goods of Canada entered under subheading 9823.03.02 in any calendar year shall not exceed the quantity specified below for that time period:
      • YearQuantity
        (Metric Tons)
        Year 1750Year 74,545Year 134,824.609
        Year 21,500Year 84,590.45Year 144,872.855
        Year 32,250Year 94,636.355Year 154,921.584
        Year 43,000Year 104,682.718 Year 16 4,970.8
        Year 53,750Year 114,729.545Year 175,020.508
        Year 64,500Year 124,776.841Year 185,070.713
      Beginning in year 19 and each year following, the quantitative limitations to originating goods of Canada set forth in this note shall be 5,121.42 metric tons.
      • (2) If the aggregate quantity of originating goods of Canada entered under subheading 9823.03.02 has exceeded the quantity specified in subdivision (b)(1) of this note for such period or year, originating goods of Canada shall be entered under subheadings 9823.03.03 through 9823.03.11.
  • 4. Cheese.--This note and subheadings 9823.04.01 through 9823.04.54 are effective as to originating goods of the USMCA countries eligible for special tariff treatment under the terms of general note 11 to the tariff schedule provided for in permanent subheadings 0406.10.08, 0406.10.18, 0406.10.28, 0406.10.38, 0406.10.48, 0406.10.58, 0406.10.68, 0406.10.78, 0406.10.88, 0406.20.28, 0406.20.33, 0406.20.39, 0406.20.48, 0406.20.53, 0406.20.63, 0406.20.67, 0403.20.71, 0406.20.75, 0406.20.79, 0406.20.83, 0406.20.87, 0406.20.91, 0406.30.18, 0406.30.28, 0406.30.38, 0406.30.48, 0406.30.53, 0406.30.63, 0406.30.67, 0406.30.71, 0406.30.75, 0406.30.79, 0406.30.83, 0406.30.87, 0406.30.91, 0406.40.70, 0406.90.12, 0406.90.18, 0406.90.32, 0406.90.37, 0406.90.42, 0406.90.48, 0406.90.54, 0406.90.68, 0406.90.74, 0406.90.78, 0406.90.84, 0406.90.88, 0406.90.92, 0406.90.94, 0406.90.97 or 1901.90.36. From July 1, 2020 through December 31, 2020, in 2021 and in successive years thereafter, the rates of duty provided for in subheadings 9823.04.01 through 9823.04.55 in the "Special" subcolumn of rates of duty column 1 followed by the symbol "(S+)" shall apply to goods of such countries in lieu of the duty rates set forth in the special subcolumn in the permanent subheadings enumerated above.
    • (a) Goods of Mexico that qualify to be marked as a good of Mexico pursuant to U.S. law, without regard to whether the good is marked, and goods of the United States shall be eligible for USMCA tariff treatment only under subheading 9823.04.01.
    • (b) Goods of Canada that qualify to be marked as a good of Canada pursuant to U.S. law, without regard to whether the good is marked shall be eligible for USMCA tariff treatment only under subheadings 9823.04.02 through 9823.04.54.
      • 1. The aggregate quantity of originating goods of Canada entered under subheading 9823.04.02 in any calendar year shall not exceed the quantity specified below for that year:
    • YearQuantity
      (Metric Tons)
      Year 11,041.5Year 712,625Year 1313,401.69
      Year 24,176Year 812,751.25Year 1413,535.71
      Year 36,250Year 912,878.76Year 1513,671.07
      Year 48,333Year 10 13,007.55Year 1613,807.78
      Year 510,416Year 1113,137.63Year 1713,945.85
      Year 612,500Year 1213,269Year 1814,085.31
    Beginning in year 19 and each year following, the quantitative limitations to originating goods of Canada set forth in this note shall be 14,226.17 metric tons.
    • 2. If the aggregate quantity of originating goods of Canada entered under subheading 9823.04.02 has exceeded the quantity specified in subdivision (b)(1) of this note for such year, originating goods of Canada shall be entered under subheadings 9823.04.03 through 9823.04.54.
  • 5. Whole milk powder.--This note and subheadings 9823.05.01 through 9823.05.04 are effective as to originating goods of the USMCA countries eligible for special tariff treatment under the terms of general note 11 to the tariff schedule classified in the permanent subheadings of 0402.21.50, 0402.29.50, 2309.90.28 or 2309.90.48. From July 1, 2020 through December 31, 2020, in 2021 and in successive years thereafter, the rates of duty provided for in subheadings 9823.05.01 through 9823.05.06 in the "Special" subcolumn of rates of duty column 1 followed by the symbol "(S+)" shall apply to goods of such countries in lieu of the duty rates set forth in the special subcolumn in the permanent subheadings enumerated above.
    • (a) Goods of Mexico that qualify to be marked as a good of Mexico pursuant to U.S. law, without regard to whether the good is marked, and goods of the United States shall be eligible for USMCA tariff treatment only under subheading 9823.05.01.
    • (b) Goods of Canada that qualify to be marked as a good of Canada pursuant to U.S. law, without regard to whether the good is marked shall be eligible for USMCA tariff treatment only under subheadings 9823.05.02 through 9823.05.06.
      • (1) The aggregate quantity of originating goods of Canada entered under subheading 9823.05.02 in any calendar year shall not exceed the quantity specified below for that time period:
      • YearQuantity
        (Metric Tons)
        Year 157.5Year 7 696.9Year 13739.7734
        Year 2230Year 8703.869Year 14747.1711
        Year 3345Year 9710.9077Year 15754.6428
        Year 4460Year 10718.0168Year 16762.1893
        Year 5575Year 11725.1969 Year 17 769.8112
        Year 6 690Year 12732.4489Year 18777.5093
      Beginning in year 19 and each year following, the quantitative limitations to originating goods of Canada set forth in this note shall be 785.2844 metric tons.
      • (2) If the aggregate quantity of originating goods of Canada entered under subheading 9823.05.02 has exceeded the quantity specified in subdivision 2(B)(1) for such year, originating goods of Canada shall be entered under subheadings 9823.05.03 through 9823.05.06.
  • 6. Dried yogurt, sour cream, whey and products of milk constituency.--This note and subheadings 9823.06.01 through 9823.06.09 are effective as to originating goods of the countries eligible for special tariff treatment under the terms of general note 11 to the tariff schedule classified in the permanent subheadings of 0403.10.50, 0403.90.45, 0403.90.55, 0403.90.95, 0404.10.15, 0404.10.90 or 0404.90.50. From July 1, 2020, in 2021 and in successive years thereafter, the rates of duty provided for in subheadings 9823.06.01 through 9823.06.09 in the "Special" subcolumn of rates of duty column 1 followed by the symbol "(S+)" shall apply to goods of such countries in lieu of the duty rates set forth in the special subcolumn in the permanent subheadings enumerated above.
    • (a) Goods of Mexico that qualify to be marked as a good of Mexico pursuant to U.S. law, without regard to whether the good is marked, and goods of the United States shall be eligible for USMCA tariff treatment only under subheading 9823.06.01.
    • (b) Goods of Canada that qualify to be marked as a good of Canada pursuant to U.S. law, without regard to whether the good is marked shall be eligible for USMCA tariff treatment only under subheadings 9823.06.02 through 9823.06.09.
      • (1) The aggregate quantity of originating goods of Canada entered under subheading 9823.06.02 in any period or calendar year shall not exceed the quantity specified below for that year:
      • YearQuantity
        (MT)
        Year 1919Year 711,140.3Year 1311,825.65
        Year 23,677Year 811,251.7Year 1411,943.91
        Year 3 5,515Year 911,364.22Year 1512,063.35
        Year 47,353Year 1011,477.86Year 1612,183.98
        Year 59,192Year 1111,592.64Year 1712,305.82
        Year 6 11,030Year 1211,708.57Year 1812,428.88
      Beginning in year 19 and each year following, the quantitative limitations to originating goods of Canada set forth in this note shall be 12,553.17 metric tons.
      • (2) If the aggregate quantity of originating goods of Canada entered under subheading 9823.06.02 has exceeded the quantity specified in subdivision (b)(1) for such year, originating goods of Canada shall be entered under subheadings 9823.06.03 through 9823.06.09.
    • 7. Concentrated Milk.--This note and subheadings 9823.07.01 through 9823.07.07 are effective as to originating goods of the USMCA countries eligible for special tariff treatment under the terms of general note 11 to the tariff schedule classified in the permanent subheadings of 0402.91.70, 0402.91.90, 0402.99.45, 0402.99.55, or 0402.99.90. From July 1, 2020, in 2021 and in successive years thereafter, the rates of duty provided for in subheadings 9823.07.01 through 9823.07.07 in the "Special" subcolumn of rates of duty column 1 followed by the symbol "(S+)" shall apply to goods of such countries in lieu of the duty rates set forth in the special subcolumn in the permanent subheadings enumerated above.
      • (a) Goods of Mexico that qualify to be marked as a good of Mexico pursuant to U.S. law, without regard to whether the good is marked, and goods of the United States shall be eligible for USMCA tariff treatment only under subheading 9823.07.01.
      • (b) Goods of Canada that qualify to be marked as a good of Canada pursuant to U.S. law, without regard to whether the good is marked shall be eligible for USMCA tariff treatment only under subheadings 9823.07.02 through 9823.07.07.
        • (1) The aggregate quantity of originating goods of Canada entered under subheading 9823.07.02 in any period or calendar year shall not exceed the quantity specified below for that year:
          YearQuantity
          (MT)
          Year 1115Year 71,393.8Year 131,479.547
          Year 2460Year 81,407.738Year 141,494.342
          Year 3690Year 91,421.815Year 151,509.286
          Year 4920Year 101,436.034Year 161,524.379
          Year 51,150Year 111,450.394Year 171,539.622
          Year 61,380Year 121,464.898Year 181,555.019
          Beginning in year 19 and each year following, the quantitative limitations to originating goods of Canada set forth in this note shall be 1,570.569 metric tons.
        • (2) If the aggregate quantity of originating goods of Canada entered under subheading 9823.07.02 has exceeded the quantity specified in note 7(b)(1) for such year, originating goods of Canada shall be entered under subheadings 9823.07.03 through 9823.07.07.
    • 8. Other dairy products.--This note and subheadings 9823.08.01 through 9823.08.38 are effective as to originating goods of the USMCA countries eligible for special tariff treatment under the terms of general note 11 to the tariff schedule classified in the permanent subheadings of 1517.90.60, 1704.90.58, 1806.20.26, 1806.20.28, 1806.20.36, 1806.20.38, 1806.20.82, 1806.20.83, 1806.20.87, 1806.20.89, 1806.32.06, 1806.32.08, 1806.32.16, 1806.32.18, 1806.32.70, 1806.32.80, 1806.90.08, 1806.90.10, 1806.90.18, 1806.90.20, 1806.90.28, 1806.90.30, 1901.10.16, 1901.10.26, 1901.10.36, 1901.10.44, 1901.10.56, 1901.10.66, 1901.20.15, 1901.20.50, 1901.90.62, 1901.90.65, 2105.00.40, 2106.90.09, 2106.90.66 or 2106.90.87. From July 1, 2020, in 2021 and in successive years thereafter, the rates of duty provided for in subheadings 9823.08.01 through 9823.08.38 in the "Special" subcolumn of rates of duty column 1 followed by the symbol "(S+)" shall apply to goods of such countries in lieu of the duty rates set forth in the special subcolumn in the permanent subheadings enumerated above.
      • (a) Goods of Mexico that qualify to be marked as a good of Mexico pursuant to U.S. law, without regard to whether the good is marked, and goods of the United States shall be eligible for USMCA tariff treatment only under subheading 9823.08.01.
      • (b) Goods of Canada that qualify to be marked as a good of Canada pursuant to U.S. law, without regard to whether the good is marked shall be eligible for USMCA tariff treatment only under subheadings 9823.08.02 through 9823.08.38.
        • (1) The aggregate of originating goods of Canada entered under subheading 9823.08.02 from July 1, 2020 through December 31, 2020, in 2021, and any period or calendar year shall not exceed the quantity specified below for that time period:
          YearQuantity
          (MT)
          Year 1 158.5Year 71,919Year 132,037.057
          Year 2633Year 81,938.19Year 142,057.428
          Year 3950Year 91,957.572Year 152,078.002
          Year 41,267Year 101,977.148Year 162,098.782
          Year 51,583Year 111,996.919Year 172119.77
          Year 61,900Year 122,016.888Year 182,140.968
          Beginning in year 19 and each year following, the quantitative limitations to originating goods of Canada set forth in this note shall be 2,162.377 metric tons.
        • (2) If the aggregate quantity of originating goods of Canada entered under subheading 9823.08.02 has exceeded the quantity specified in subdivision (b)(1) of this note for such year, originating goods of Canada shall be entered under subheadings 9823.08.03 through 9823.08.38.
    • 9. Sugar. --This note and subheadings 9823.09.01 through 9823.09.09 are effective as to originating goods of the USMCA countries eligible for special tariff treatment under the terms of general note 11, except as provided in subparagraph (b)(3) to the tariff schedule classified in the permanent subheadings of 1701.12.50, 1701.13.50, 1701.14.50, 1701.91.30, 1701.99.50 or 1702.90.20. From July 1, 2020 through December 31, 2020, in 2021 and in successive years thereafter, the rates of duty provided for in subheadings 9823.09.01 through 9823.09.09 in the "Special" subcolumn of rates of duty column 1 followed by the symbol "(S+)" shall apply to goods of such countries in lieu of the duty rates set forth in the special subcolumn in the permanent subheadings enumerated above.
      • (a) Goods of Mexico that qualify to be marked as a good of Mexico pursuant to U.S. law, without regard to whether the good is marked and goods of the United States shall be eligible for USMCA tariff treatment only under subheading 9823.09.01.
      • (b) Goods of Canada that qualify to be marked as a good of Canada pursuant to U.S. law, without regard to whether the good is marked shall be eligible for USMCA tariff treatment only under subheadings 9823.09.02 through 9823.09.09.
        • (1) The aggregate quantity of originating goods of Canada entered under subheading 9823.09.02 from July 1, 2020 through December 31, 2020 shall not exceed the quantity of 4,800 metric tons. Beginning in 2021 and each year following, the quantitative limitations to originating goods of Canada set forth in this note shall be 9,600 metric tons. Only originating goods of Canada that are wholly obtained from sugar beets produced in Canada may enter under subheading 9823.09.02.
        • (2) If the aggregate quantity of originating goods of Canada entered under subheading 9823.09.02 has exceeded the quantity specified in note 9(B)(1) for such year or if the originating good of Canada is not wholly obtained from sugar beets produced in Canada, such originating goods of Canada shall be entered under subheadings 9823.09.03 through 9823.09.08.
        • (3) An additional quantity of goods of Canada shall be allowed entry under subheading 9823.09.09 in any calendar year in which the United States Secretary of Agriculture makes a determination to permit importation into the United States at in-quota tariff rates of additional quantities of refined sugar, other than specialty sugar, above the quantities made available at those rates pursuant to its commitments under the WTO Agreement and other trade agreements. The Office of the United States Trade Representative shall publish in the Federal Register a determination of this additional quantity for that year. Goods may not be entered under subheading 9823.09.09 in any calendar year before the date indicated in such Federal Register Notice. Goods entered under subheading 9823.09.09 may be made from nonoriginating raw sugar but shall meet other applicable conditions for preferential tariff treatment under general note 11 to this tariff schedule.
    • 10. Sugar containing products.-- This note and subheadings 9823.10.01 through 9823.10.45 are effective as to originating goods of the USMCA countries eligible for special tariff treatment under the terms of general note 11 to the tariff schedule provided for in subheadings 1701.91.48, 1701.91.58, 1702.20.28, 1702.30.28, 1701.40.28, 1702.60.28, 1702.90.58, 1702.90.68, 1704.90.68, 1704.90.78, 1806.10.15, 1806.10.28, 1806.10.38, 1806.10.55, 1806.10.75, 1806.20.73, 1806.20.77, 1806.20.94, 1806.20.98, 1806.90.39, 1806.90.49, 1806.90.59, 1901.10.76, 1901.20.25, 1901.20.35, 1901.20.60, 1901.20.70, 1901.90.68, 1901.90.71, 2101.12.38, 2101.12.48, 2101.12.58, 2101.20.38, 2101.20.48, 2101.20.58, 2103.90.78, 2106.90.46, 2106.90.72, 2106.90.76, 2106.90.80, 2106.90.91, 2106.90.94 or 2106.90.97, except as provided in subparagraph (b)(3). From July 1, 2020, through December 31, 2020, in 2021 and in successive years thereafter, the rates of duty provided for in subheadings 9823.10.01 through 9823.10.45 in the "Special" subcolumn of rates of duty column 1 followed by the symbol "(S+)" shall apply to goods of such countries in lieu of the duty rates set forth in the special subcolumn in the permanent subheadings enumerated above.
      • (a) Goods of Mexico that qualify to be marked as a good of Mexico pursuant to U.S. law, without regard to whether the good is marked, and goods of the United States shall be eligible for USMCA tariff treatment only under subheading 9823.10.01.
      • (b) Goods of Canada that qualify to be marked as a good of Canada pursuant to U.S. law, without regard to whether the good is marked shall be eligible for USMCA tariff treatment only under subheadings 9823.10.02 through 9823.10.45.
        • (1) The aggregate quantity of originating goods of Canada entered under subheading 9823.10.02 from July 1, 2020 through December 31, 2020 shall not exceed the quantity of 4,800 metric tons. Beginning in 2021 and each year following, the quantitative limitations to originating goods of Canada set forth in this note shall be 9,600 metric tons. In any year for which the U.S. Trade Representative has published in the Federal Register a determination that export certificates shall be required, entry under subheading 9823.10.02 shall be eligible if the U.S. importer makes a declaration to U.S. Customs and Border Protection (Customs), in the form and manner determined by Customs, that a valid export certificate issued by the Government of Canada is in effect for such goods.
        • (2) If the aggregate quantity of originating goods of Canada entered under subheading 9823.10.02 has exceeded the quantity specified in note 10(B)(1) for such year or if other limitations set forth in note 10(B)(1) are not met, such originating goods of Canada shall be entered under subheadings 9823.10.03 through 9823.10.45.
        • (3) For purposes of entry under subheading 9823.10.02, subject to the quantitative limitations set forth in subparagraph (1), this paragraph, goods that are provided for in 1701.91.48, 1701.91.58, 1702.20.28, 1702.30.28, 1702.40.28, 1702.60.28, 1702.90.58, 1702.90.68, 1806.10.15, 1806.10.28, and 1806.10.38 may be made from sugar refined in Canada. For purposes of this subparagraph, sugar refined in Canada means a change to a good of subheading 1701.91 or 1701.99 from any other subheading.
        • (4) Originating goods that last underwent production in Canada shall be eligible for entry under subheading 9823.10.02 regardless of whether they qualify to be marked as a good of Canada pursuant to U.S. law.
    • 11. This note and subheadings 9823.52.01 through 9823.53.06, inclusive, apply to certain textile and apparel goods of Mexico and Canada that are not originating goods under the terms of general note 11 to the tariff schedule, however, that are eligible for special tariff treatment as provided for herein. From July1, 2020 through December 31, 2020, in 2021 and in successive years thereafter, the rate of duty provided for in subheadings 9823.52.01 through 9823.53.06 in the "Special" subcolumn of rates of duty 1 followed by the symbol "(S+)" shall apply to certain textile and apparel goods of Mexico and Canada as defined by this note in lieu of the duty rate set forth in the general subcolumn in the permanent subheadings enumerated below. The merchandise processing fee shall not apply to goods properly entered under this note and subheadings.
      For purposes of this note, the term "SME" means square meter equivalent as determined in accordance with the conversion factors set out in Annex 6-B of Chapter 6 of the USMCA.
      For purposes of this note, the term "average yarn number" as applied to woven fabric of cotton or manmade fibers shall have the meaning provided in Annex 6-A of Chapter 6 of the USMCA.
      For purposes of this note, wool apparel shall have the meaning provided in Annex 6-A of Chapter 6 of the USMCA.
      • (a) The rate of duty in the rates of duty 1-special subcolumn of column 1 followed by the symbol "S+" in parentheses in subheadings 9823.52.01 through 9823.52.08 shall apply to specified goods imported from Canada as described in a provision of this subdivision and this subchapter and that qualify to be marked as a good of Canada pursuant to U.S. law, without regard to whether the good is marked.
        • (i) Subheading 9823.52.01 through 9823.52.03 shall apply to apparel goods provided for in chapters 61 and 62 and textile or apparel goods, other than of wadding, of heading 96.19 that are both cut (or knit to shape) and sewn or otherwise assembled in Canada from fabric or yarn produced or obtained outside the territory of any one of the USMCA countries, when such apparel goods meet other applicable conditions for preferential tariff treatment under general note 11 to the tariff schedule.
          • (A) Subheading 9823.52.01 and the rate of duty in the rates of duty 1-special subcolumn of column 1 followed by the symbol "S+" in parentheses shall apply to apparel of cotton or man-made fiber when entered in an aggregate quantity not to exceed 40,000,000 SME during the period from July 1, 2020 through December 31, 2020, inclusive, and in each calendar year thereafter.
          • (B) Subheading 9823.52.02 and the rate of duty in the rates of duty 1-special subcolumn of column 1 followed by the symbol "S+" shall apply to apparel of wool when entered in an aggregate quantity not to exceed 4,000,000 SME during the period from July 1, 2020 through December 31, 2020, inclusive, and in each calendar year thereafter.
            • (l) Subheading 9823.52.03 and the rate of duty in the "special" subcolumn of column 1 followed by the symbol "S+" in parentheses shall apply to men's or boys' wool suits of U.S. category 443 in an aggregate quantity not to exceed 3,800,000 SME during the period from July 1, 2020 through December 31, 2020, inclusive, and in each calendar year thereafter.
        • (ii) Subheadings 9823.52.04 and the rate of duty in the rates of duty 1-special subcolumn of column 1 followed by the symbol "S+" in parentheses shall apply to fabrics of cotton or of man-made fibers and to made-up textile goods of cotton or of man-made fibers, the foregoing of chapters 52 through 55 (excluding goods containing 36% or more by weight of wool or fine animal hair), 58, 60 and 63 of the tariff schedule and provided for in subparagraph (A) to this subsection, when entered under such subheading in an aggregate quantity up to 71,765,252 SME for the period from July 1, 2020 through December 31, 2020, inclusive, and in each calendar year thereafter.
          • (A) 9823.52.05 and the rate of duty in the rates of duty 1-special subcolumn of column 1 followed by the symbol "S+" shall apply to goods of chapters 52 through 55 (excluding goods containing 36% or more by weight of wool or fine animal hair), 58, or 63 (other than subheading 6302.10, 6302.40, 6303.12, 6303.19, 6304.11 or 6304.91) of the tariff schedule entered either in an aggregate quantity not to exceed 38,642,828 SME during the period from July 1, 2020 through December 31, 2020, inclusive, and in each calendar year thereafter.
          • (B) 9823.52.06 and the rate of duty in the rates of duty 1-special subcolumn of column 1 followed by the symbol "S+" shall apply to goods of chapter 60 or of subheadings 6302.10, 6302.40, 6303.12, 6303.19, 6304.11 or 6304.91 of the tariff schedule entered in an aggregate quantity not to exceed 38,642,828 SME during the period from July 1, 2020 through December 31, 2020, inclusive, and in each calendar year thereafter.
          • (C) For subheadings 9823.52.04, 9823.52.05 and 9823.52.06 such cotton or man-made fiber fabrics and cotton or man-made fiber made-up textile goods must be woven or knitted or crocheted in the territory of Canada from yarns produced or obtained outside the territory of any of the USMCA countries, or yarns produced in the territory of one of the USMCA countries from fibers produced or obtained outside the territory of one of the USMCA countries, or knitted or crocheted in the territory of Canada from yarns spun in the territory of one of the USMCA countries from fibers produced or obtained outside the territory of one of the USMCA countries, and to goods of subheading 9404.90 that are finished and are cut and sewn or otherwise assembled from fabrics of subheadings 5208.11 through 5208.29, 5209.11 through 5209.29, 5210.11 through 5210.29, 5211.11 through 5211.20, 5212.11, 5212.12, 5212.21, 5212.22, 5407.41, 5407.51, 5407.71, 5407.81, 5407.91, 5408.21, 5408.31, 5512.11, 5512.21, 5512.91, 5513.11 through 5513.19, 5514.11 through 5514.19, 5516.11, 5516.21, 5516.31, 5516.41 or 5516.91 produced or obtained outside the territory of one of the USMCA countries and that meet other applicable conditions for preferential tariff treatment under general note 11 to this tariff schedule.
          • (D) For the calculation of the SME aggregate quantity limitation applicable to subheading 9823.52.04, 9823.52.05 and 9823.52.06, the following additional provisions apply:
            • (l) for textile goods that are not originating because certain nonoriginating textile materials do not undergo the applicable change in tariff classification set out in general note 11 for that good, but where such nonoriginating materials are 50 percent or less by weight of the materials of that good, only 50 percent of the SME shall apply for that good and
            • (ll) for textiles that are not originating because certain nonoriginating textile materials do not undergo the applicable change in tariff classification set out in general note 11 for that good, but where such materials are more than 50 percent by weight of materials of that good, 100 percent of the SME shall apply for that good.
        • (iii) Subheadings 9823.52.07 and 9823.52.08 and the rates of duty in the rates of duty 1-special subcolumn of column 1 followed by the symbol "S+" shall apply to cotton or man-made fiber yarns of headings 5205 through 5207 or 5509 through 5511 that are spun in territory of Canada from fiber of heading 5201 through 5203 or 5501 through 5507 produced or obtained outside the territory of one of the USMCA countries or to goods of heading 5605 that are formed in Canada from fibers obtained outside the territories of one of the USMCA countries entered in an aggregate quantity not to exceed 6,000,000 kg during the period from July 1, 2020 through December 31, 2020, inclusive, and in each calendar year thereafter, when such goods meet other applicable conditions for preferential tariff treatment under this Agreement.
          • (A) Subheading 9823.52.07 and the rate of duty in the rates of duty1-special subcolumn of column 1 followed by the symbol "S+" shall apply to yarns classified in heading 5509 or 5511 predominantly of acrylic by weight when entered in an aggregate annual quantity of 3,000,000 kg of the overall quantity of 6,000,000 kg during the period from July 1, 2020 through December 31, 2020, inclusive, and in each calendar year thereafter.
          • (B) Subheading 9823.52.08 and the rate of duty in the rates of duty1-special subcolumn of column 1 followed by the symbol "S+" shall apply to yarns of 5205 through 5207, 5509 through 5511 or 5605 of the tariff schedule, other than yarns classified in headings 5509 or 5511 predominantly of acrylic by weight when entered in an aggregate annual quantity of 3,000,000 kg of the overall quantity of 6,000,000 kg during the period from July 1, 2020 through December 31, 2020, inclusive, and in each calendar year thereafter.
      • (b) The rate of duty in the "special" subcolumn of column 1 followed by the symbol "S+" in parentheses in subheadings 9823.53.01 through 9823.53.06 shall apply to goods of Mexico described in a provision of this subdivision and this subchapter and that qualify to be marked as a good of Mexico pursuant to U.S. law, without regard to whether the good is marked.
        • (i) Subheadings 9823.53.01 through 9823.53.02 shall apply to apparel goods provided for in chapters 61 and 62 and textile or apparel goods, other than of wadding, of heading 96.19 that are both cut (or knit to shape) and sewn or otherwise assembled in Mexico from fabric or yarn produced or obtained outside the territory of one of the USMCA countries and that meet other applicable conditions for preferential tariff treatment under general note 11 to this tariff schedule except as provided for in subparagraph (A).
          • (A)
            • (I) blue denim provided for in subheading 5209.42 or 5211.42, U.S. statistical reporting number 5212.24.6020, 5514.30.3210 or 5514.30.3910;
            • (II) fabric woven as plain weave where two or more warp ends are woven as one (oxford cloth) of average yarn number less than 135 metric number provided for in subheading 5208.19, 5208.29, 5208.39, 5208.49, 5208.59, 5210.19, 5210.29, 5210.39, 5210.49, 5210.59, 5512.11, 5512.19, 5513.13, 5513.23, 5513.39 or 5513.49;
            • (III) apparel goods provided for in subheading 6107.11.00, 6107.12.00, 6109.10.00 or 6109.90.10, if composed chiefly of circular knit fabric having yarn number equal to or less than 100 metric number;
            • (IV) apparel goods provided for in subheading 6108.21 or 6108.22 if composed chiefly of circular knit fabric having yarn number equal to or less than 100 metric number; or
            • (IV) apparel goods provided for in subheading 6108.21 or 6108.22 if composed chiefly of circular knit fabric having yarn number equal to or less than 100 metric number; or
            • (V) apparel goods described in statistical reporting numbers 6110.30.1010, 6110.30.1020, 6110.30.1510, 6110.30.1520, 6110.30.2010, 6110.30.2020, 6110.30.3010, 6110.30.3015, 6110.30.2020 or 6110.30.3025 or apparel goods of those provisions reported as parts of ensembles under statistical reporting numbers 6103.23.0030, 6103.23.0070, 6104.23.0022 or 6104.23.0040.
          • (B) Subheading 9823.53.01 and the rate of duty in the "special" subcolumn of column 1 followed by the symbol "S+" shall apply to apparel of cotton or man-made fiber up to the aggregate quantity of 45,000,000 SME for the period from July 1, 2020 through December 31, 2020 and in each calendar year thereafter.
          • (C) Subheading 9823.53.02 and the rate of duty in the "special" subcolumn of column 1 followed by the symbol "S+" shall apply to wool apparel up to he aggregate annual quantity of 1,500,000 SME for the period from July 1, 2020 through December 31, 2020 and in each calendar year thereafter.
        • (ii) Subheading 9823.53.03 and the rate of duty in the "special" subcolumn of column 1 followed by the symbol "S+" shall apply to cotton or man-made fiber fabric and cotton or man-made fiber made-up textile goods of chapters 52 through 55 (excluding goods containing 36% or more by weight of wool or fine animal hair), 58, 60 and 63 of the tariff schedule up to 22,800,000 SME for the period from July 1, 2020 through December 31, 2020 and in each calendar year thereafter.
          • (A) Subheading 9823.53.04 and the rate of duty in the "special" subcolumn of column 1 followed by the symbol "S+" shall apply to goods of chapters 52 through 55 (excluding goods containing 36% or more by weight of wool or fine animal hair) 58 or 63 (other than subheading 6302.10, 6302.40, 6303.12, 6303.19, 6304.11 or 6304.91) of the tariff schedule in the annual aggregate quantity not to exceed 4,800,000 SME for the period from July 1, 2020 through December 31, 2020, inclusive, and in each calendar year thereafter.
          • (B) 9823.53.05 and the rates of duty in the "special" subcolumn of column 1 followed by the symbol "S+" shall apply to goods of chapter 60 or of subheadings 6302.10, 6302.40, 8303.12, 6303.19, 6304.11 or 6304.91 of the tariff schedule entered in an aggregate quantity not to exceed 18,000,000 SME for the period from July 1, 2020 through December 31, 2020, inclusive, and in each calendar year thereafter.
          • (C) Subheadings 9823.53.03 through 9823.53.05 shall apply to such cotton or man-made fiber fabric and cotton or man-made fiber made-up textile goods provided for in chapters 52 through 55 (excluding goods containing 36% or more by weight of wool or fine animal hair), 58, 60 and 63 are woven or knit in Mexico from yarn produced or obtained outside the territory of one of the USMCA countries or yarn produced in the territory of one of the USMCA countries from fiber produced or obtained outside the territory of one of the USMCA countries, or knit in the territory of Mexico from yarn spun in the territory of one of the USMCA countries from fiber produced or obtained outside the territory of one of the USMCA countries, and to goods of subheading 9404.90 that are finished and cut and sewn or otherwise assembled from fabrics of subheadings 5208.11 through 5208.29, 5209.11 through 5209.29, 5211.11 through 5211.20, 5212.11, 5212.12, 5212.21, 5212.22, 5407.41, 5407.51, 5407.71, 5407.81, 5407.91, 5408.21, 5408.31, 5512.11, 5512.21, 5512.91, 5513.11 through 5513.19, 5514.11 through 5514.19, 5516.11, 5516.21, 5516.31, 5516.41 or 5516.91 produced or obtained outside the territory of one of the USMCA countries and that meet the other applicable conditions for preferential tariff treatment under general note 11 to the tariff schedule.
        • (iii) Subheadings 9823.53.06 and the rate of duty in the "special" column of column 1 followed by the symbol "S+" shall apply to cotton or man-made fiber yarns of heading 52.05 through 52.07 or 55.09 through 55.11 that are spun in territory of Mexico from fiber of heading 5201 through 5203 or 5501 through 5507 produced or obtained outside the territory of one of the USMCA countries up to 700,000 kg for the period from July 1, 2020 through December 31, 2020 and in each calendar year thereafter and that meet other applicable conditions for preferential tariff treatment under this Agreement.

Back