Analysis
HTS 9101.99.40 covers with movement valued not over $15 each under heading 9101 (wrist watches, pocket watches and other watches, including stop watches, with case of…).
The general rate is 98¢ each + 3% on the case, a specific or compound duty rather than a simple percentage, so the effective burden depends on the unit value of the goods: cheap goods pay proportionally more than expensive ones. Importers usually convert it to an ad valorem equivalent to compare it with other lines.
Goods that qualify under GSP, the Australia FTA, the Bahrain FTA, the Chile FTA, the Colombia TPA, and 13 others can enter duty-free instead of paying 98¢ each + 3% on the case. 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 other lines in the same group are 9101.99.20 (having no jewels or not over 7 jewels in the movement, duty-free), 9101.99.60 (with movement valued over $15 each, duty-free) and 9101.99.80 (having over 17 jewels in the movement, duty-free).
Neighbouring lines
| Line | Description | General rate |
|---|---|---|
| 9101.99.20 | Having no jewels or not over 7 jewels in the movement | Free |
| 9101.99.60 | With movement valued over $15 each | Free |
| 9101.99.80 | Having over 17 jewels in the movement | Free |