Analysis
HTS 6401.99.10 covers other: covering the knee under heading 6401 (waterproof footwear with outer soles and uppers of rubber or plastics, the uppers of…).
Within this group the rate runs from duty-free to 37.5%. Compared with 6401.99.80 (having uppers of which over 90 percent of the external surface area…), which pays duty-free, a misclassification either way moves the duty by 37.5 percentage points.
Goods that qualify under the Australia FTA, the Bahrain FTA, the Chile FTA, the Colombia TPA, AGOA, and 11 others can enter duty-free instead of paying 37.5%. 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 general duty rate is 37.5% of the customs value, which is among the highest the rates in chapter 64 (91st percentile of 131 lines with an ad valorem rate). On a shipment valued at $10,000 that is $3,750 in duty before any Chapter 99 additions or preference claims.
The column 2 rate, for countries without normal trade relations, is 75%, 2.0 times the general rate.
Neighbouring lines
| Line | Description | General rate |
|---|---|---|
| 6401.99.30 | Designed for use without closures | 25% |
| 6401.99.60 | Designed to be worn over, or in lieu of, other footwear as a protection against water, oil, grease or chemicals or cold or inclement weather: other | 37.5% |
| 6401.99.80 | Having uppers of which over 90 percent of the external surface area (including any accessories or reinforcements such as those mentioned in note 4(a) to this chapter) is rubber or plastics (except footwear having foxing or a foxing-like band applied or molded at the sole and overlapping the upper) | Free |
| 6401.99.90 | Other: other | 37.5% |