Analysis
HTS 8207.50.80 covers not suitable for cutting metal, and parts thereof: other under heading 8207 (interchangeable tools for handtools, whether or not power operated, or for machine-tools…).
Neighbouring lines carry rates from 5% to 8.4%, so the exact line matters. The widest gap is with 8207.50.40 (suitable for cutting metal, and parts thereof), at 8.4%: a product that belongs there but is entered here, or the reverse, changes the duty by 5.5 percentage points.
The column 2 rate, for countries without normal trade relations, is 35%, 12.1 times the general rate.
Goods that qualify under GSP, the Australia FTA, the Bahrain FTA, the Chile FTA, the Colombia TPA, and 12 others can enter duty-free instead of paying 2.9%. 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 2.9% of the customs value, which is in the middle of the rates in chapter 82 (46th percentile of 95 lines with an ad valorem rate). On a shipment valued at $10,000 that is $290 in duty before any Chapter 99 additions or preference claims.
Neighbouring lines
| Line | Description | General rate |
|---|---|---|
| 8207.50.20 | With cutting part containing by weight over 0.2 percent of chromium, molybdenum, or tungsten or over 0.1 percent of vanadium | 5% |
| 8207.50.40 | Suitable for cutting metal, and parts thereof | 8.4% |
| 8207.50.60 | For handtools, and parts thereof | 5.2% |