Reciprocal Privileges Extended to Aircraft Registered in Abu Dhabi, Bahrain, Oman and Qatar

DEPARTMENT OF THE TREASURY

Customs Service

19 CFR Part 10

[T.D. 95-45]

Reciprocal Privileges Extended to Aircraft Registered in Abu

Dhabi, Bahrain, Oman and Qatar

AGENCY: U.S. Customs Service, Department of the Treasury.

ACTION: Final rule.

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SUMMARY: This document amends the Customs Regulations by adding Abu

Dhabi, Bahrain, Oman and Qatar to the list of countries whose

registered commercial aircraft are entitled to certain privileges that

exempt from Customs duties and internal revenue taxes their supplies

and equipment that are withdrawn from Customs or Internal Revenue

custody. Customs has been duly informed that the Governments of these

countries allow exemption privileges to U.S.-registered aircraft in

connection with international commercial operations that are

substantially reciprocal to the exemption privileges that may be

allowed under U.S. law to aircraft of foreign registry. Accordingly,

Customs is extending reciprocal privileges.

DATES: This amendment is effective May 30, 1995. These reciprocal

privileges were granted on June 1, 1994.

FOR FURTHER INFORMATION CONTACT: William G. Rosoff, Entry Rulings

Branch, (202) 482-7040.

SUPPLEMENTARY INFORMATION:

Background

Section 309 (a)(3) and (d) and 317, Tariff Act of 1930, as amended

(19 U.S.C. 1309 (a)(3) and (d) and 1317), provide that foreign-

registered aircraft engaged in foreign trade may withdraw from Customs

or Internal Revenue custody, free of customs duties and internal

revenue taxes imposed by reason of importation, articles of foreign or

domestic origin for supplies (including equipment), ground equipment,

maintenance, or repair of the aircraft. The privileges granted by these

sections are allowed only if the Secretary of Commerce finds and

advises the Secretary of the Treasury that the foreign country in

question affords substantially reciprocal privileges to U.S.-registered

aircraft. The regulations implementing these reciprocal duty-free

customs and internal revenue tax exemptions are found at Sec. 10.59(f),

Customs Regulations (19 CFR 10.59(f)), which enumerates

[[Page 28040]] those countries entitled to reciprocal privileges and

designates the extent of the exemptions allowed.

In accordance with 19 U.S.C. 1309(d), the Deputy Assistant

Secretary for Service Industries and Finance, International Trade

Administration, Department of Commerce, has advised the Customs Service

by letter dated April 17, 1995, that following an appropriate

investigation, it has been found that the Governments of Abu Dhabi,

Bahrain, Oman and Qatar allow or would allow to aircraft of United

States registry exemption privileges, in connection with international

commerce operations, substantially reciprocal to those exemption

privileges provided to aircraft of foreign registry by sections 309 and

317 of the Tariff Act of 1930, as amended. The effective date of this

finding is June 1, 1994.

This document amends the list in Sec. 10.59(f), Customs Regulations

(19 CFR 10.59(f)) by adding Abu Dhabi, Bahrain, Oman and Qatar to the

list of countries entitled to reciprocal privileges.

Authority to amend this section of the Customs Regulations has been

delegated to the Chief, Regulations Branch.

Inapplicability of Public Notice and Comment Requirements, Delayed

Effective Date Requirements, the Regulatory Flexibility Act, and

Executive Order 12866

Because the subject matter of this document does not constitute a

departure from established policy or procedures, but merely announces

the granting of an exemption for which there is a statutory basis, it

has been determined, pursuant to 5 U.S.C. 553(b)(B), that the notice

and public comment procedures thereon are unnecessary. Further, for the

same reasons and because Abu Dhabi, Bahrain, Oman and Qatar have been

found to be presently granting reciprocal exemption privileges to U.S.-

registered aircraft, it has been determined, pursuant to 5 U.S.C.

553(d)(1) and (3), that a delayed effective date is not required.

Because this document is not subject to the notice and public procedure

requirements of 5 U.S.C. 553, it is not subject to the provisions of

the Regulatory Flexibility Act (5 U.S.C. 601 et seq.). This document

does not meet the criteria for a ``significant regulatory action'' as

specified in E.O. 12866.

List of Subjects in 19 CFR Part 10

Aircraft, Customs duties and inspection, Exports, Imports,

Reporting and recordkeeping requirements.

Amendment to the Regulations

To reflect the reciprocal privileges granted to aircraft registered

in Abu Dhabi, Bahrain, Oman and Qatar, part 10, Customs Regulations (19

CFR part 10) is amended as set forth below:

PART 10--ARTICLES CONDITIONALLY FREE, SUBJECT TO A REDUCED RATE,

ETC.

1. The authority citation for part 10 continues to read, in part,

as follows:

Authority: 19 U.S.C. 66, 1202 (General Note 20, Harmonized

Tariff Schedule of the United States (HTSUS)), 1321, 1481, 1484,

1498, 1508, 1623, 1624;

* * * * *

Section 10.59 also issued under 19 U.S.C. 1309, 1317;

* * * * *

Sec. 10.59 [Amended]

2. Section 10.59(f) is amended in the table by adding to the column

headed ``Country'', in appropriate alphabetical order, ``Abu Dhabi'',

``Bahrain'', ``Oman'', and ``Qatar'' and by adding ``95-45'' adjacent

to the names of the above-listed countries in the column headed

``Treasury Decision(s)''.

Dated: May 23, 1995.

Harold M. Singer,

Chief, Regulations Branch.

[FR Doc. 95-13070 Filed 5-26-95; 8:45 am]

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