Many of our clients produce molds as part of their manufacturing process.
Did you know? US Customs requires that importers not only pay duty on the physical product, but also pay duty on “assists” that aided in the production of that product.
According to US Customs, these listed assists should be reported as part of the import value of your products.
- Tools, dies, molds, and similar items used in producing the imported merchandise.
- Materials, components, parts, and similar items incorporated into the product.
- Merchandise consumed in producing the imported merchandise.
- Engineering, development, artwork, design work, plans and sketches that are undertaken outside the United States.
Remember: The lump sum value of any assist is considered part of the transaction value of the merchandise. First, the value of the assist is determined; then the value should be declared on the first shipment or alternatively prorated to the unit cost of the imported merchandise.
Stay compliant and avoid unnecessary fines!
Jim Trubits is Director of Business Development at Mohawk Global Logistics.