Actions regarding verification of claims under the USMCA

19 U.S.C. § 4533
in effect
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(a) Verification(1) Origin verification(A) In generalThe Secretary of the Treasury may, pursuant to article 5.9 of the USMCA, conduct a verification of whether a good is an originating good under section 4531 or 4532 of this title. (B) Additional requirementsIf the Secretary conducts a verification under subparagraph (A), the President may direct the Secretary—(i) during the verification process, to release the good only upon payment of duties or provision of security; and (ii) if the Secretary makes a negative determination under subsection (b), to take action under subsection (c). (2) Textile and apparel goods(A) In generalThe Secretary of the Treasury may, pursuant to article 6.6 of the USMCA, conduct a verification described in subparagraph (C) with respect to a textile or apparel good. (B) Additional requirementsIf the Secretary conducts a verification under subparagraph (A) with respect to a textile or apparel good, the President may direct the Secretary—(i) during the verification process, to take appropriate action described in subparagraph (D); and (ii) if the Secretary makes a negative determination described in subsection (b), to take action under subsection (c). (C) Verification describedA verification described in this subparagraph with respect to a textile or apparel good is—(i) a verification of whether the good qualifies for preferential tariff treatment under the USMCA; or (ii) a verification of whether customs offenses are occurring or have occurred with respect to the good. (D) Action during verificationAppropriate action described in this subparagraph may consist of—(i) release of the textile or apparel good that is the subject of a verification described in subparagraph (C) upon payment of duties or provision of security; (ii) suspension of preferential tariff treatment under the USMCA with respect to—(I) the textile or apparel good that is the subject of a verification described in subparagraph (C)(i), if the Secretary determines that there is insufficient information to support the claim for preferential tariff treatment; or (II) any textile or apparel good exported or produced by a person that is the subject of a verification described in subparagraph (C)(ii) if the Secretary of the Treasury determines that there is insufficient information to support the claim for preferential tariff treatment made with respect to that good; (iii) denial of preferential tariff treatment under the USMCA with respect to—(I) the textile or apparel good that is the subject of a verification described in subparagraph (C)(i) if the Secretary determines that incorrect information has been provided to support the claim for preferential tariff treatment; or (II) any textile or apparel good exported or produced by a person that is the subject of a verification described in subparagraph (C)(ii) if the Secretary determines that the person has provided incorrect information to support the claim for preferential tariff treatment that has been made with respect to that good; (iv) detention of any textile or apparel good exported or produced by a person that is the subject of a verification described in subparagraph (C) if the Secretary determines that there is insufficient information to determine the country of origin of that good; and (v) denial of entry into the United States of any textile or apparel good exported or produced by a person that is the subject of a verification described in subparagraph (C) if the Secretary determines that the person has provided incorrect information regarding the country of origin of that good. (b) Negative determination(1) In generalA negative determination described in this subsection with respect to a good imported, exported, or produced by an importer, exporter, or producer is a determination by the Secretary, based on a verification conducted under subsection (a), that—(A) a claim by the importer, exporter, or producer that the good qualifies as an originating good under section 4531 of this title is inaccurate; or (B) the good does not qualify for preferential tariff treatment under the USMCA because—(i) the importer, exporter, or producer failed to respond to a written request for information or failed to provide sufficient information to determine that the good qualifies as an originating good; (ii) after receipt of a written notification for a visit to conduct verification under subsection (a), the exporter or producer did not provide written consent for that visit; (iii) the importer, exporter, or producer does not maintain, or denies access to, records or documentation required under section 1508(l) of this title; (iv) in the case of verification conducted under subsection (a)(2)—(I) access or permission for a site visit is denied; (II) officials of the United States are prevented from completing a site visit on the proposed date and the exporter or producer does not provide an acceptable alternative date for the site visit; or (III) the exporter or producer does not provide access to relevant documents or facilities during a site visit; or (v) the importer, exporter, or producer—(I) otherwise fails to comply with the requirements of this section; or (II) based on the preponderance of the evidence, circumvents the requirements of this section. (2) Requests for informationThe Secretary shall not make a negative determination described in paragraph (1)(B) unless—(A) in a case in which the Secretary conducts a verification with respect to a good by written request or questionnaire submitted to the importer under article 5.9.1(a) of the USMCA and the claim for preferential tariff treatment under the USMCA is based on a certification of origin completed by the exporter or producer of the good, the Secretary requests information from the exporter or producer that completed the certification; or (B) in a case in which the Secretary conducts a verification with respect to a textile or apparel good by requesting a site visit under article 6.6.2 of the USMCA, the Secretary requests information from the importer and from any exporter or producer that provided information to the Secretary to support the claim for preferential tariff treatment. (c) Action based on determination(1) Denial of preferential tariff treatmentUpon making a negative determination described in subsection (b)(1) with respect to a good, the Secretary may deny preferential tariff treatment under the USMCA with respect to the good. (2) Withholding of preferential tariff treatment based on pattern of conductIf verifications of origin relating to identical goods indicate a pattern of conduct by an importer, exporter, or producer of false or unsupported representations relevant to a claim that a good imported into the United States qualifies for preferential tariff treatment under the USMCA, U.S. Customs and Border Protection, in accordance with regulations prescribed by the Secretary, may withhold preferential tariff treatment under the USMCA for entries of those goods imported, exported, or produced by that person until U.S. Customs and Border Protection determines that person has established compliance with requirements for claims for preferential tariff treatment under the USMCA. (d) Prevention of circumventionIn making a determination under this section, including whether to accept or reject a claim for preferential tariff treatment under the USMCA, the Secretary shall interpret the requirements of this section in a manner to avoid and prevent circumvention of those requirements.

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