Analysis
HTS 5702.50.40 covers of wool or fine animal hair: other (465) under heading 5702 (carpets and other textile floor coverings, woven, not tufted or flocked, whether or not…).
Within this group the rate runs from 2.7% to 6.8%. Compared with 5702.50.59 (of other textile materials: other), which pays 2.7%, a misclassification either way moves the duty by 3.6 percentage points.
The general duty rate is 6.3% of the customs value, which is above most the rates in chapter 57 (83rd percentile of 50 lines with an ad valorem rate). On a shipment valued at $10,000 that is $630 in duty before any Chapter 99 additions or preference claims.
Goods that qualify under the Australia FTA, the Bahrain FTA, the Chile FTA, the Colombia TPA, the Israel FTA, and 10 others can enter duty-free instead of paying 6.3%. It is also eligible under GSP, the developing-country programme, which Congress has to renew; check whether GSP is in force on the entry date.
The column 2 rate, for countries without normal trade relations, is 60%, 9.5 times the general rate.
Neighbouring lines
| Line | Description | General rate |
|---|---|---|
| 5702.50.20 | Woven, but not made on a power-driven loom (465) | 4.3% |
| 5702.50.52 | Of man-made textile materials (665) | 4.7% |
| 5702.50.56 | Of other textile materials: of cotton (369) | 6.8% |
| 5702.50.59 | Of other textile materials: other | 2.7% |