83p CoNGRESS 1st Session CUSTOMS Juny No. 1046 ADMINISTRATION Whole 29, 1953.—Committed to the Committee of the d printe be to d of the Union and ordere | Mr. Reep Reporr HOUSE OF REPRESENTATIVES House on the State , of New York, from the Committee on Ways and Means submitted the following REPORT [To accompany H. R. 6584] ed the bill The Committee on Ways and Means, to whom was referr the deterto t respec 6584) to amend the Tariff Act of 1930 with (H. R. certain American mination of value, the conversion of currency, and report favorably metal products returned, having considered the same, bill do pass. thereon without amendment and recommend that the ev GENERAL H. R. 6584 amends STATEMENT certain administrative provisions of the Tari Section 1 of the bill relates to the determiAct of 1930, as amended. nation of value for duty purposes. C., 1946 The present section 402 of the Tariff Act of 1930.(U.S. the mine deter shail sers apprai edition, title 19, sec. 1402) tells how . duties ing assess of se purpo value of imported merchandise for the value” t “expor the or Briefly, it provides that the “foreion value” of these can shall be used, whichever is the higher, but that if neither that also is if and ’ value,” be ascertained, then the ‘‘United States In a tew special unascertainable, then the ‘‘cost of production.’”’ selling price.”’ rican ‘‘Ame cases, the rate of duty 1s to be based upon the ms Court. Custo the Decisions of the appraiser are reviewable in the market as value” The statute then goes on to define the ‘foreign s— State d value or price at the time of exportation to the Unite for sale for home consumpat which such or similar merchandise is freely offered ies and in the ordinary quantit ale wholes usual the in * * tion to all purchasers * course of trade * * *. Other costs, charges, and expenses incident to placing the merchandise The ‘export value’ is the ready for shipment are also to be added. d for sale to all puroffere price at which the merchandise 1s freely 26006 os CUSTOMS ADMINISTRATION CUSTOMS chasers in the usual wholesale quantities and in the ordimary course of trade for exportation to the United States, with the same charges The ‘United States value’ is the freely offered price in the added. United States which is available to all purchasers, for the usual wholesale quantities and in the ordinary course of trade, with allowance for duty and other expenses, a commission not exceeding 6 percent, if any has been paid, and allowance for profit not to exceed 8 percent. The ‘cost of production” is defined as the sum of four items: (1) Cost of materials and fabrication or manipulation; (2) the usual general expenses not less than 10 percent; (3) the cost of containers and coverings and other incidental costs and charges; and (4) an addition for profit not less than 8 percent. The ‘ American selling price’ of an article manufactured or produced 1 the United States is the price at which the article is freely offered for sale for domestic consumption to all purchasers. Section 1 effects the following changes in the law as above stated: (1) Eliminates the use of ‘foreign value” and makes the ‘“‘export value” the preferred method of valuation if it can be determined. (2) If neither ‘‘export value’’ nor “United States value’? can be determined, appraisement is to be made on “eomparative value”’ before resort is had to ‘cost of production,”’ which term is changed by this section to ‘constructed value,’’ a more descriptive term. (3) In determining ‘‘ United States value,”’ the actual commissions, profits, and other deductions are to be used, not arbitrarily limited amounts. (4) In determining “United States value” of articles for which there is no market price at the time of exportation, the earliest actual sales of the merchandise undergoing appraisement or similar merchandise may be considered if made before the expiration of 90 days after importation. (5) A definition of ‘comparative value’’ is furnished which states that it is to be the equivalent of ‘export value” determined from sales ‘or offers of other merchandise which is comparable in construction In the case and use with the merchandise undergoing appraisement. of “constructed value” the actual addition for general expenses, profit, and so forth, are to be used, not prescribed percentages which may exceed the actual figures. (6) The appraiser may use actual sales instead of offers in determining “export value,” “United States value,’ or ‘comparative value. ) (7) A definition of ‘freely sold or in the absence of sales offered for It will permit determination of sale’ is provided for the first time. or “comparative value”’ on value,” States ‘‘United an “export value,” ons the basis of sales or offers which are unrestricted except for restricti or price resale the limit which law, by required or imposed which are merthe of value the to respect territory, or which are trivial with It will also permit the use of sales to chandise to the purchaser. do exclusive agents and other restricted sales where such limitations ed to interpret been has statute present The price. the affect not value”’ make a ‘foreign value,” ‘export value,” or “United States ons of the unusable when the only offers made are subject to restricti Furthermore, under the present law the price, in order kinds stated. to qualify, must be available to all purchasers. ADMINISTRATION 3 (8) The bill also provides definitions for the terms “ordinary course of trade,” ‘purchasers at wholesale,” ‘‘such or similar merchandise,”’ and ‘usual wholesale quantities.” The term “usual wholesale quantities’”’ is defined in such a manner as to mean the quantities in which the greatest aggregate quantity of the merchandise is sold, whereas under the present law the usual wholesale quantity is the quan tity im which the largest number of individual transactions occur. ‘ Certain references to the customs appraisers, and to appeals to reappraisement in the Customs Court, are eliminated for conciseness. No change in the functions of appraisers or court is effected, since these are provided for elsewhere in the tariff act and in the Judicial Code. The bill does not cohfer any unreviewable discretion on any officer of the Department. The superfluous word ‘‘costs” is eliminated from the phrase ‘‘costs, charges, and expenses,” which occurs repeatedly in, the existing section 402; here, too, no substantive change is effected. Section 2 of the bill pertaining to conversion of currency continues existing practices except that it substitutes a proclamation of the Secretary of ‘Treasury of par values maintained by foreign governments for the present obsolete proclamation of gold coin parities. Section 2 would make substantial changes in the procedure’ dealing with the conversion of foreign currencies for customs purposes but the result aimed at is the same as under present law. ae Since 1894, the Secretary of the Treasury has been required to proclaim quarterly ‘the values of the standard coins in circulation of the various nations of the world,’ based upon estimates of the Director of the Mint. These proclamations now serve little function. Customs duties are rarely based upon these values, because alterna- tive statutory provisions come into play. The proclaimed list has shrunk from year to year as foreign countries do not even reply to the Bureau of the Mint’s routine questionnaires on the legal metallic content of their coins. Section 2 repeals this archaic requirement. The statutory provision which, in fact, has governed currency conversions In recent years is section, 522 (c) of the Tariff Act of 1930 which provides, in substance, that the Federal Reserve Bank of N ew York shall make daily certifications of commercial rates of exchange based upon market rates in New York, and that currency conversions for customs purposes shall be made in accordance with these certifica- tions whenever the certified rates vary by 5 percent or more from the metallic rates proclaimed by the Secretary of the Treasury. Since in almost all cases the rates certified by the bank do vary by more than 5 percent (generally by very much more), the effective rates used ae been, for all practical purposes, the certified rates. ae baie (a) of ree: 522, as amended by the bill, requires the y 0 e lreasury to keep current a published list of par values which he finds are maintained by foreign countries for their respective currencies. ‘These par values would be used whenever for customs purposes it 1s necessary to convert into an amount in United States currency any amount expressed in foreign currency except when there are one or more rates of exchange which vary by more than 5 percent from the par value. In such a case the list would indicate the existence of such rates and the applicable rate would then be determined as provided in subsection (b) of section 522 of the tariff act. 4. CUSTOMS ADMINISTRATION CUSTOMS Subsection (b) of section 522 of the tariff act deals with situations in which no par value is maintained and it would continue the present system for currency conversion. Subsection (b) is very much the same as subsection (c) of existing law. The differences relate to as well as Sundays and holidays, and Reserve Bank of New York may at times find it necessary to calculate rates of exchange from transactions in foreign markets, such as Zurich, when there are no quotations for the day available for New York. Basically, this subsection maintains the present arrangements for currencies for which there is not an accepted par value. Subsection (c) of section 522 of the Tariff Act, as amended by the bill, makes explicit a practice which has been followed for several years, as a result of the decision of the Supreme Court in Barr v. It recognizes that certain foreign United States (1945) (324 U.S. 83). currencies are subject to multiple rates of exchange, and permits mul- tiple certification and the application of the rate among those certified which reflects the commercial value of the foreign currency as related Subsection (c) is applicable only to those to the import in question. currencies covered by subsection (b), i. e., those for which there is no accepted par value, and those covered by subsection (d). Subsection (d) of section 522 of the Tariff Act, as amended by the bill, deals with the case of multiple rates of exchange for currencies of countries which maintain a par value. In such cases, the subsection would require the Secretary of the Treasury, in publishing the list of par values pursuant to subsection (a), to identify the currencies in the list which also have one or more rates of exchange which vary by Under the subsection, more than 5 percent from the par value listed. the currencies for which there are multiple rates of exchange as well as an established par value as indicated by the list, would be handled in exactly the same way as multiple-rate currency under subsection (c). As an incidental change subsections (b) and to the elimination of proclaimed value, (c) of section 2 of the bill deletes the statutory requirement that invoices state the kind of currency, ‘whether gold, silver, or paper.”’ Section 3 of H. R. 6584 will permit manufacturers of any article of metal (except precious metal) processed in the United States to export such articles for further processing and at the time of reimportation to pay duty on the cost of the processing done in the foreign country. Your committee of H. R. 6584. unanimously urges the enactment CHANGES IN EXISTING (2) I> (A) any article of metal (except precious metal) manufactured in the United States or subjected to a process of manufacture in the United States 1s exported for further processing; and enclosed in black brackets, new matter is printed in italics, existing law in which no change is proposed is shown in roman): PAR. i ke VOLS: x * (g) (1) Any article exported from may be returned upon the payment Act *f oF is returned to the United States for further processing, then such article may be returned upon the payment of a duty upon the value of such processing outside the United States at the rate or rates which would apply to such article itself it it were not within the purview of this subparagraph (Qg). (3) This subparagraph (g) shall not apply to any article exported— (A) from bonded warehouse or from continuous customs custody than bonded warehouse with remission, abatement, or refund of duty; (B) with benefit of drawback through substitution or otherwise; or elsewhere (C) for the purpose of complying with any law of the United States or reguia- tion of any Federal agency requiring exportation. (4) For the purposes of this subparagraph (q), the value of repairs, alterations, or processing outside the United States shall be considered to be (A) the cost to the importer of such repairs, alterations, or processing; or (B) if no charge is made, the value of such repairs, alterations, or processing, as set out in the invoice and entry papers; except that, if the Secretary of the Treasury concludes that the amount so set out does not represent a reasonable cost or fair value, as the case may be, then the value of the repairs, alterations, or processing shall be determined in accordance with section 402 of this Act. No apprasisement of the imported article in its repaired, a'tered, or processed condition shail be required unless necessary to a determination of the rate or rates of duty applicable to such article. 2 2 2 x * * ok [LSEC. 402. VALUE. f(a) Basis.—For the purposes of this Act, the value of imported merchandise shall be [(1) The foreign value or the export value, whichever is higher; ( (2) If the appraiser determines that neither the foreign value nor the export value can be satisfactorily ascertained, then the United States value; (3) If the appraiser determines that neither the foreign value, the export value, nor the United States value can be satisfactorily ascertained, then the cost of production; f£ (4) In the case of an article with respect to which there is in effect under section 336 a rate of duty based upon the American selling price of a domestic article, then the American selling price of such article. (f(b) Revirw or AppraisER’s DxEcision.—A decision of the appraiser that foreign value, export value, or United States value cannot be satisfactorily ascertained shall be subject to review in reappraisement proceedings under section 501, but in any such proceeding, an affidavit executed outside of the United merchandise shall be tates shall not be admitted in evidence if executed by any person who fails to permit a Treasury attache to inspect his books, papers, records, accounts, documents, or correspondence, pertaining to the value or classification of such merchandise. [(c) Forrren the market value Vatur.—tThe foreign value or the price at the time of imported of exportation of such merchandise to * for home consumption to all purchasers in the principal markets of the country from which exported, in the usual wholesale quantities and in the ordinary course of trade, including the cost of all containers and coverings of whatever nature, and all other costs, charges, and expenses * the United States for repairs or alterations of a duty upon the value of the repairs or incident to placing the merchandise condition, packed ready for shipment to the United States. in [(d) Export Vatur.—The export value of imported merchandise shall be the market value or the price, at the time of exportation of such merchandise to the United States, at which such or similar merchandise is freely offered for sale to all purchasers in the principal markets 1930 * (B) the exported article. as processed outside the United States, or the article which results from the processing outside the United States, as the case may be, the United States, at which such or similar merchandise is freely offered for sale LAW In compliance with clause 3 of rule XIII of the Rules of the House of Representatives, changes in existing law made by the bill, as introduced, are shown as follows (existing law proposed to be omitted 1s Tarirr ) alterations at the rate or rates which would apply to the article itself in its repaired or altered condition if not within the purview of this subparagraph (g). such matters of detail as taking account of the fact that banks may close generally on Saturdays, recognizing that the Federal ADMINISTRATION of the country from which exported, in the usual wholesale quantities and in the ordinary course of trade, for exportation to the U nited States, plus, when not included in such price, the cost of all containers and coverings of whatever nature, and all other costs, charges, and expenses incident to placing the merchandise in condition, packed ready for shipment to the United States. ‘ 6 CUSTOMS R(e) chandise Unirep shall Stares ADMINISTRATION Vatue.—The be the price at which United such States CUSTOMS value of or similar imported imported mer- merchandise is freely offered for sale for domestic consumption, packed ready for delivery, in the principal market of the United States to all purchasers, at the time of exportation of the imported merchandise, in the usual wholesale quantities and in the ordinary course of trade, with allowance made for duty, cost of transportation and insurance, and other necessary expenses from the place of shipment to the place of delivery, a commission not exceeding 6 per centum, if any has been paid or contracted to. be paid on goods secured otherwise than by purchase, or profits not to exceed 8 per centum and a reasonable allowance for general expenses, not to exceed 8 per ‘centum on purchased goods. i(f) Cosr or Propuction.—For the purpose of this title the cost of production of imported merchandise shall be the sum of— (i) The cost of materials of, and of fabrication, manipulation, or other process employed in manufacturing or producing such or similar merchandise, at a time preceding the date of exportation of the particular merchandise under consideration which would ordinarily permit the manufacture or production of the particular merchandise under consideration in the usual course of business; f(2) The usual general expenses (not less than 10 per centum of such cost) in the case of such or similar merchandise; 7(3) The cost of all containers and coverings of whatever nature, and all other costs, charges, and expenses incident to placing the particular merchandise under consideration in condition, packed ready for shipment to the United States; and (4) An addition for profit (not less than 8 per centum of the sum of the amounts found under paragraphs (1) and (2) of this subdivision) equal to the profit which ordinarily is added, in the case of merchandise of the same general character as the particular merchandise under consideration, by manufacturers cr producers in the country of manufacture or production who are engaged in the production or manufacture of merchandise of the same class or kind. T(g) AMERICAN SELLING Price.—The American selling price of any article manufactured or produced in the United States shall be the price, including the cost of all containers and coverings of whatever nature and all other costs, charges, and expenses incident to placing the merchandise in condition packed ready for delivery, at which such article is freely offered for sale for domestic consumption to all purchasers in the principal market of the United States, in the ordinary course of trade and in the usual wholesale quantities in such market, or the price that the manufacturer, producer, or owner would have received or was willing to receive for such merchandise when soid for domestic consumption in the ordinary course of trade and in the usual wholesale quantities, at the time of exportation of the imported article.] SEC. 402. VALUE. (a) Basis.—EHxcept as otherwise specifically provided for, the value of imported merchandise for the purposes of this Act shall be— (1) the export value; (2) if the export value cannot be determined satisfactorily, then the United States value; (3) tf neither the export value nor the United States value can be determined satisfactorily, then the comparative value; or (4) af nether the export value, the United States value, nor the comparative value can be determined satisfactorily, then the constructed value; but (5) in the case of an article with respect to which there is in effect under section 336 a rate of duty based upon the American selling price of a domestic article, the value shall be the American selling price of such domestic article. (b) Exporr Vatur.—The export value of imporied merchandise shall be the market value or the price, at the time of exportation to the United States of the merchandise undergoing appraisement, at which such or sumilar merchandise is freely sold or, in the absence of sales, offered for sale in the principal markets of the country of exportation, in the usual wholesale quantities and in the ordinary course of trade, for exportation to the United States, plus, when not included in such price, the cost of all containers and coverings merchandise of whatever in condition, nature packed and all other expenses ready for shipment to the incidental United to placing States. the (c) Unrrepv Stares Vatuzt.—The United States value of imported merchandise shall be the price, at the time of exportation to the United States of the merchandise undergoing appraisement, at which such or similar imported merchandise is freely ADMINISTRATION 7 sold or, in the absence of sales, offered for sale in the principal market of the United States for domestic consumption, packed ready for delivery, in the usual wholesale quantities and in the ordinary course of trade, with allowances made for— ne! ) any commission usually paid or agreed to be paid on merchandis e secured otherwise than by purchase or agreement to purchase; or, on merchandis e secured by purchase or agreement to purchase, the addition for profit and general expenses usually made by sellers in such market on imported merchandise of the same class or kind as the merchandise undergoing appraisement; (2) the usyal costs of transportation. and insurance and other usual expenses from the place of shipment to the place of delivery, not including any expense provided for in subdivision (1); and (3) the ordinary customs duties and other Federal taxes currently payable on such or similar merchandise by reason of its emportation or Federal excise taxes on, or measured by the value of, such or similar merchandise, for which vendors at wholesale in the United States are ordinarily liable. : I f such or similar merchandise was not so sold or offered at the time of exportation of the merchandise undergoing appraisement, the United States value shall be determined, subject to the foregoing specifications of this subsection, from the price at which such or similar merchandise is so sold or offered at the earliest date after such tame of exportation but before the expiration of ninety days after the importation of the merchandise undergoing appraisement. (d) COMPARATIVE Vatun.—The comparative value of imported merchandise shall be the equivalent of the export value as nearly as such equivalent may be determinedby the appraiser on the basis of the export or United States value of other merchandise exported from the same country at the time the merchandise undergoing appraisement was exported which is comparable in constructio n and use with the merchandise undergoing appraisement, with appropriate adjustments for differences un size, material, construction, texture, or other differences. (e) Consrrucrep Vatur.—The constructed value of «imported merchandis e shall be the sum of— : (1) the cost of materials and of fabrication or other processing of any kind employed in producing such or similar merchandise, at a time preceding the date’ of exportation of the merchandise undergoing appraiseme nt which would ordinarily permit the production of that particular merchandis e in the ordinary course: of business; _ (2) an addition for general expenses and profit equal to that which producers in the country of production whose products are exported to the United States usually add in sales for exportation to the United States, in the usual wholesale quantities and wn the ordinary course of trade, of merchandise of the same general class or kind as the merchandise undergoing appraisement; and (3) the cost of all containers and coverings of whatever nature, and all other expenses incidental to placing the merchandise undergoing appraisement in Ga Meee a ready oF shipment to the United States. — AIMERICAN SELLING PRiczE.—The American sellin rice ‘tt manufactured or produced in the United States shall be the ph cal Uncliadine the one all containers and coverings of whatever nature and all other expenses incident to placing the merchandise in condition packed ready for delivery, at which such article as freely sold or, in the absence of sales, offered for sale for domestic consumption in the principal market of the United States, in the ordinary course of trade and in the usual wholesale quantities, or the price that the manufacturer, producer, or owner would have recewed or was welling to receive for such. merchandise when sold for domestic consumption im the ordinary course of trade and in the usual wholesale quantities, at the lame of exportation of the imported article. (g) Taxzus.—The value of imported merchandise determined in accordance with this section shall not include the amount of any internal tax, applicable within the country of origin or exportation, from which the merchandise undergoing appraiseTS oo ca all miei (1) rae eaeen rINITIONS dade on .—As used caanmren “Freely inin or will be relieved by means of refund. thi: this sold or, in the absence section, the following of sales, terms shall have the offered for sale’’—sold or, in the absence of sales, offered to all purchasers at wholesale, or to one or more selected purchasers at wholesale at a price not less than that all purchasers at wholesale, without restrictions as to at which tt would be sold to disposition or use of the a aarig ae by the purchaser, except restrictions as the to such disposition or use i wch (A) are emposed or erritory in which the required by law, or (B) limit the price at which or the merchandise may be resold, or (C) do not substantially affect the value of the merchandise to usual purchasers at wholesale. CUSTOMS (2) “Ordinary course CUSTOMS ADMINISTRATION of trade’’—the conditions and practices which, for a reasonable time prior to the exportation of the merchandise undergoing appraisement, have been normal in the trade under consideration with respect to merchandise of the same class or kind as the merchandise undergoing apprarsement. (3) ‘Purchasers at wholesale’’—purchasers who buy in the usual wholesale quantities for industrial use or for resale otherwise than at retail; or, vf there are no such purchasers, then all other purchasers for resale who buy in the usual wholesale quantities; or, if there are no purchasers in either of the foregoung categories, then all other purchasers. who buy in the usual wholesale quantities. (4) “Such or similar merchandise’’—the merchandise undergoing appratsement shall be considered ‘“‘such’’? merchandise; and other merchandise shall be considered ‘‘such’’ merchandise 1f— (A) it is identical in physical characteristics and was produced in the same country by the same person; or (B) when no value meeting the requirements of the definition of value under consideration can be determined under (A), the merchandise is identical in physical characteristics and was produced by another person in the same country. Merchandise shall be considered ‘‘similar’”’ to the merchandise undergoing appratsement if it is not within the foregoing definition of ‘‘such” merchandise but— (C) it was produced in the same country as the merchandise undergoing appraisement, by the same person, of like materials, is used for the same purpose, and is of approximately equal commercial value; or (D) when no value meeting the requirements of the definition of value under consideration can be determined under (C), the merchandise is correspondingly similar and was produced by another person in the same country. (5) “Usual wholesale quantities’’—the quantities usually sold in the class of transactions in which the greater aggregate quantity of the ‘“‘such or svmilar merchandise’’, in respect of which value is being determined, is sold in the market under consideration. x * * * * 4 SEC. 522. CONVERSION OF CURRENCY. [(2) VaLuE or ForrragN Coin PROCLAIMED BY SECRETARY OF TREASURY.— Section 25 of the Act of August 27, 1894, entitled ‘‘An Act to reduce taxation, to provide revenue for the Government, and for other purposes,”’ as amended, is reenacted without change as follows: ‘Suc. 25. That the value of foreign coin as expressed in the money of account of the United States shall be that of the pure metal of such coin of standard value; and the values of the standard coins in circulation of the various nations of the world shall be estimated quarterly by the Director of the Mint and be proclaimed by the Secretary of the Treasury quarterly on the Ist day of January, April, July, and October in each year.”’ —(b) ProcuaimEeD VaLuE Basis OF CoNVERSION.—For the purpcse of the United assessment and collection of duties upon merchandise imported into the to States on or after the date of enactment of this Act, wherever it is necessary convert foreign currency into currency of the United States, such conversion, by except as provided in subdivision (c), shall be made at the values proclaimed Act of the Secretary of the Treasury under the provisions of section 25 of such August 27, 1894, as amended, for the quarter in which the merchandise was exported. pro{(c) Market Rate WHEN No PROCLAMATION.—lIf no such value has been a value claimed, or if the value so proclaimed varies by 5 per centum or more from the day of measured by the buying rate in the New York market at noon on buying rate. exportation, conversion shall be made at a value measured by such buying rate at If the date of exportation falls upon a Sunday or holiday, then the For the purposes of this noon on the last preceding business day shall be used. payable subdivision such buying rate shall be the buying rate for cable transfers by the Federal in the foreign currency so to be converted; and shall be determined ot the Treasury, Reserve Bank of New York and certified daily to the Secretary necessary. who shall make it public at such times and to such extent as he deems in its discretion In ascertaining such buying rate such Federal Reserve bank may and quotations, (1) take into consideration the last ascertainable transactions (2) if there is no whether direct or through exchange of other currencies, and frem actual market buying rate for such cable transfers, calculate such rate exchange. J transactions and quotations in demand or time bills of list, expressed in (a) The Secretary of the Treasury shall keep current a published United States dollars, of the par values which he finds are maintained by foreign ADMINISTRATION countries for their respective currencies. For the purposes 9 of all provisions of the CUStOMS laws, whenever it ts necessary to convert into an amount expressed in currency of the United States any amount expressed in a foreign currency for which such a par pee ug eee IE the date as of which the value or cost requiring conversion ts pitt aa such o be determined, conversion, except pl a as specified fied 2in subsection ectvo? (d), shall be made (6) If no such par value was so maintained for such date, the conversion shall be made at the buying rate for the foreign currency in the New York market at noon on the date as of which the value or cost requiring conversion is to be determined. or “af banks are generally closed on such date in New York City, then the buying rate at noon on the last preceding business day. For the purposes of this subsection. such buying rate shall be'the buying rate for cable transfers payable in the foreign currency wn which the amount to be converted is expressed, and shall be determined by the Federal Reserve Bank of New York and certified to the Secretary of the Treasury who shall make tt public at such times and to such extent as he shall deem necessary. In ascertaining such buying rate, such Federal Reserve bank may in its discretion (1) take into consideration the last ascertainable transactions and quotations, whether direct or through exchange of other currencies, and (2) af there is no market buyin rate for such cable transfers, calculate such rate from actual transactions and ola. BANA nate os ee ue oh ate or from the last ascertainable transactions cireney tations Gl outside laathe Unite States wny or for for exchange x payable inmn United Uni States c) Lf, pursuant to subsection (b), the Federal Reserve Bank of N. 5 more than one rate of exchange for a particular foreign ee ae ee ce conversion for customs purposes of amounts expressed in that currency for that date shall be made by applying the applicable rate or rates so certified which reflect effectivel Sy ay foreign currency in commercial transactions. ‘ = yen there are one or more rates of exchange which vary by m centum from_the par value for any foreign es listed Deane (6 ee (a), the list shall so indicate. In that event such additional rates of exchange may be certified un the manner set forth in subsection (b) and the par value and an seriified rates snall be applied in the manner prescribed in subsection (e):; : SECTION 25 (Sec. 25. eerie oF THE Act or AUGUST 27, 1894, (31-ULS. C. see; 372) as AMENDED AND REENACTED That the value alu of foreign g coin as expressed ex in the money of ac oe a oe eet of the pure metal of such coin of standard ae ese ge of the standard coins in circulation of the various nations of the en go eee eer by the Director of the Mint and be as fie Gad e Secretary Ofc o e lreasury a c juarterly 4 on the he Ist day of January, ar April,1 nae 3 ‘ x . R. STRINGFELLOW DOUGLAS 0 se a ADMINISTRATIVE ASSISTANT KEITH H. JAQUES - ist District, UTAH HOUSE OFFICE BUILDING BANKING AND 1632 CURRENCY House af Val A. Browning, Arms Dear Mr. Browning: Ogden, Utah Company SHELDON OLDS D. €. April Browning FIELD REPRESENTATIVE Representatives Washington, Mr. sonia ro SECRETARIES: Congress of the United States cond ROOM CEDAR CITY, UTAH 27, 1954 President In answer to your recent letter concerning the Customs Simplification Act, I wish to inform you that this legislation was passed by the first session of the 83rd Congress and was signed into the law by President Eisenhower last year. I am enclosing a copy of this bill for your —— Douglas—R77 Member Enclosure information. e 6s Stringfellow of Sy oe ee Mnited tates Senate COMMITTEES: WASHINGTON, FINANCE BANKING AND CURRENCY we her 7 — be folk in Browning: ] has Senate Mavineg pa Finance “Comm of the committee to hold h this session, although as yet not been set. AS a member On of She i appreciate. hearings from you,. your views will be helpful to me oil]. Very WEB: lwj of that certainly give this problem my i ; -£ -Gannoc. tell at. this time what sue ete fork the bill will take when finally reported to the Senate for action. ment has o the i@} staff ca thi S-Daill, my 6D of to caleubating Sch: member of has 0Q date committee, eareful in letter which a specific before is the intention this bill: during vowed : VOur.-Le@bvEer. know, your 6584, QO) you } pending a to D As House, that tots ey CT iced H. ct Fy discuss ts ct Lon. I> ESL It on PRESS ae Mr. PAUL CRACROFT Or hi £954 C Dear Utah 88 15, “ rd Ogden, D. C. IS isos Sages 38 BpPlLI % - Mr. Val Browning AOMIMlSTRATIVE AESeTAN truly it is and the state= in my work SECRETARY WILLIAM 2p A. DAWSON DistrRiIcT, MEMBER: UTAH COMMITTEE ON INSULAR 1205 HOUSE OFFICE BUILDING IRRIGATION AND TERrAT ORES of Representatives House MINES 3D. Gashington, April Mr. Val A. President, Ogden, Dear Utah Mr. Browning Browning Arms Company your letter AND Thank you for about the MINING 1954 of April subject of 6th. your I am first sorry letter. for the ft have discussed this matter with Senator Wallace F. Bennett is a Member of the Committee before which the bill--H. R. 6584-- is pending. prospects. If He I can be tells me that of further he will service, keep you adn hesitate informed as to to write. its RECLAMATION 6 Browning: misunderstanding who 12, alae INDIAN AFFAIRS ' ¢. AND AFFAIRS yo Congress of the Gnited States : INTERIOR INSULAR April 6, 1954 The Honerable William A. Dawson, The House of Representatives Washington 25, D. C. Dear M, C. Sir: hanks for your kind response to my letter of March 24th in which letter I should have been more explicit since my interest is at present in the bill, H. R. 6584, which has been passed by the House of Representatives I understand, but is now pending before the This is what might be called the "value" Senate Finance Committee. (H. R. section which was left out of the old bill 5106) passed the Congress and signed by the President. I realize that it probably a Senate matter now but thought you might have some as to the probability of its becoming law. : VAB/ba/dh Yours very Val Browning A. President truly, by is idea April 6, 1954 Mr. L. Ralph Mecham, Research Assistant to Senator Bennett The United States Senate Washington 25, D,. C. Dear Sirs: - *¢ This is to thank you for your kind reply to my letter of March 24th. The bill in question, H. R. 6584, pertains to what might be called the "value" section which was omitted from bill, H. R. 5106, which was passed by the Congress and signed by the President. This "value" section is the one in which we as importers from Belgium have a particular interest since it would very greatly clarify the method of establishing the values upon which the tariff is based. I am very much in hopes that this bill, which I understand has been passed by the House of Representatives, can receive favorable action by the Senate this year. Sincerely, VAB/ba/dh Val A. Browning President April 7) > a te Wa ta & oe 5 a ~ Oe Ee z fe MQONnOLTAVLe = ne * URLtea ¥ : poe * a BS ia ce > - 3 by} ALLO . he ym 37s ¢* otates vena you V on ae ps \ for have of 1954 j your Tre Ne oor 6, your the kind reply to my letter of March 24, wee H, R, 6584, in which we as I am very pleased to have your assurserious and detailed study when it Senate for a vote, Sincerely VAB/ba/dh Val A. yours, Browning President WILLIAM 2D MEMBER: A. DAWSON DISTRICT, COMMITTEE UTAH 1205 ON INSULAR & HOUSE OFFICE —— Congress of the United States BUILDING IRRIGATION AND a House of Representatives (ashington, 32. ¢. 31, 1954 March MINES Mr. Browning: Thank you for your letter ask my the This opinion legislation approved Law by 243. Yourg’, truly Thigh, ff f it the f / f if fi. William 4 ld Uf / he f 4 , on of March Customs 24th AND in which you Simplification Act. passed Congress last year and was President August 8th. It is now Public AND RECLAMATION MINING INDIAN AFFAIRS Mr. Val A. Browning President Browning Arms Company Ogden, Utah Dear INTERIOR AFFAIRS EUGENE D. MILLIKIN, HUGH BUTLER, NEBR. EDWARD MARTIN, PA. JOHN J. WILLIAMS, DEL. RALPH E. FLANDERS, VT. GEORGE W. MALONE, NEV. FRANK CARLSON, KANS. WALLACE F. BENNETT, UTAH COLO., AN WALTER F2 RGE, GA. HARRY FLOOD BYRD, VA. EDWIN C. JOHNSON, COLO. CLYDE R. HOEY, N. C. ROBERT S. KERR, OKLA. J. ALLEN FREAR, JR., DEL, RUSSELL B. LONG, LA. IC rf > UY e ® { { 7 CS 55 COMMITTEE ON April 2,195 { Ca e FINANCE Mr. Val A..Browning, President Browning Arms Company Ogden, Utah Dear Mr. Browning: I have been pleased to inquire, in Senator Bennettts temporary absence, into the status of the Customs Simplification Act. The bill, H. R. 658, is now pend- ing before the Senate Finance Committee and no action is scheduled at present. However, Senator Bennett is on the Committee and [I know that he will welcome your views. I will hold the letter for his attention upon his return so that he may reply further. It seems rather certain that any action will be postponed until the tax revision bill is finished. Sincerely, Mecham, Research Assistant to Sen. Bennett WILLIAM LANGER, N. DAK., CHA ALEXANDER WILEY, WIS. WILLIAM E. JENNER, IND. ARTHUR V. WATKINS, UTAH ROBERT C. HENDRICKSON, N. J. EVERETT MCKINLEY DIRKSEN, ILL. HERMAN WELKER, IDAHO JOHN MARSHALL BUTLER, MD. PAT MC » NEV. HARLEY MY¥AILGORE, W. VA. JAMES O. EASTLAND, MISS. ESTES KEFAUVER, TENN. OLIN D. JOHNSTON, S.C. THOMAS C. HENNINGS, JR., MO. JOHN L. MCCLELLAN, ARK. Wrnited States Senate COMMITTEE ON THE JUDICIARY Browning ‘Ni g Gompa Ty Arms Utah oe LD ty wning = nowledage —_— eying ; ERO77, is EES j TOM / See a - ne $=, ry Wha 2 om - a fim Or Aw . AMET l bill > * is ps Se none ad ay ‘ ths ic over ical ano. whe ake gestae bud 1. Dh Oe @ i oF: Pry u bImMe , you Stbudy. ” § 49 t nas 8: — ee e 7 oi 70on whe Om otemers on ot top La ote 7 products EF CODY* writer "See GL ! 4 Lurvcner tae za ican t rs) PASO known as 4.the Customs housesof Cong ress aurineg copy of ot O f-* now me KEES. “ aGuiton. 7 peen B f * Comnitte nno1t:: Jt bd ; $ GO 3 Martr ohne y r = de he ave& & T= i ae ” , a)13, Act of the convers: a" SAcaAt hor UO} io: Wei cid $ your letter a Bey S rt ie: in Bile VUStOMS “; ~4 “ < tne Ue LD & easbas shisha 7 of interest y your edhe receipt your ana Qt 52 G1 @: ret Ho TTS uUrne Use ese De a Sf reso Oc currer couy of 10h6 a a POc chTA i as ee: ke ed , “~~, 4 Pormen 4 ey ~> rs Pee ere we 3 oeCY = , 7 4, ob. ah, ~ eh Ma, bet Set ohn se * a Stre Ne jeRe ‘ . . Fate Ww We te te wick ato Yr Fand Ve Ve ALAA s ee wy an ob cay ~ : ; ‘ x ee & ft i~ 4 ww f* v ee ew Nr Mew 2D SP AHS ae ont ter at Ne — ;: A = yA ie? whe ce e | ' yw 34 fy 4 ever TO2OR8 ee wider oe é Se? 2 ‘ >/ fo, OM _—s j a. VV Ake ron I atcha tanh me ne & é Bfleny en Miglh A % Ci A ns, 4 “ bie eT L9S4 ss § i~ t 4} Compan Wi itate ti 1 hee i aiiG 4 aS Ms a+ SA yuarters o ~~ i] A Oo rms V é stren + fe , ~ Gviielh ws, + * Oo its ay 7 5 ate nk oi tne chan } Ce 3 % '’ VUSTONFj+ TY co \ ¥ Wallace lA 5S. Q bw) snnett ce e f 4’ ss) ¢ ae yea EXC e oti re YY > tana WVEAt sn 2 rs d jou rn i nt ? & pr wae)si Ti ented =a I 0 a & Cé rag ton oe | ts to our s 3% at YY £.. % March Honorable Arthur 24, 1954 V. Watkins snate Will you kindly give me your opinion as to whether you think the Customs Simplification Act will be acted upon by the Congress before adjournment of the present session and also your opinion as to its chances of passing. The Browning Arms Company with headquarters in Utah has imported sporting firearms from Belgium for many years excepting when prevented by war. The Customs Simplification Act in its present form would not mean any noticeable difference from the standpoint of dollars and cents to our importations ut would greatly facilitate and strengthen our relations with our Belgian y Sm Aki payne manufacturers. VAB/ba/dh : Very truly Val A. yours, Browning President Public Law 243 - 83d Congress Chapter 397 - lst Session Hy nh. DTT; AN To amend certain administrative related ACT provisions laws, and for other of the Tariff purposes. Act All 67 Stat, 507. of 1930 and Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, Customs Simplification 19536 SHORT TITLE AND EFFECTIVE DATE Act Section 1. This Act may be cited as the “Customs Simplification Act of 1953” and shall be effective, except as otherwise specially provided for, on and after the thirtieth day following the date of its enactment. Sec. See. Sec. see. Sec. Sec. sec. See. 1. Short See. title and effective date. 2. Repeal of obsolete accounting provisions. 3. Effective dates of rates of duty. . Marking. 5. Transportation of lead-bearing and zinc-bearing 6. Repeal of certain obsolete reciprocal provisions. . American goods return. 8. Free sec. Sec. Sec. TABLE OF CONTENTS entry provision . Free entry 10. Temporary 12. for travelers. for noncommercial exhibitions. free entry for samples and other See. 17. Verification Sec. Sec. Sec, See. under bond. Drawback. 18. Administrative exemptions. 14. International traffic and rescue work. 15. Signing and delivery of manifests. See. See. articles 1 . Supplies and equipment for vessels and aircraft. Sec. Sec. Sec. see. ores. . Certified invoices . Amendment 19. Commingled 20. 21. 2. 23. and entry of documents. of merchandise. of entries. merchandise. Correction of errors and mistakes. Transfers of goods in bonded warehouse. Customs supervision. Saving clause. REPEAL OF OBSOLETE ACCOUNTING PROVISIONS Src. 2. (a) The following sections of the Revised Statutes (relating to obsolete functions of customs officers and functions of such officers now provided for by other laws) are hereby repealed: Revised Statutes 2621, as amended (U.S. C., 1946 edition, title 19, sec. 33). Revised Statutes 2622, as amended (U.S. C., 1946 edition, title 19, Revised Statutes 2623, as amended (U.S. C., 1946 edition, title 19, Revised Statutes 2626, as amended (U. S. C., 1946 edition, title 19, sec. 34). sec. 35). sec. 39). Revised Statutes 2639, as amended sec. 42). Revised Statutes 2640, as amended sec. 43). 5: Revised Statutes 2641, as amended sec. 44). (U.S. C., 1946 edition, title 19, (U. S. C., 1946 edition, title 19, Ss : (U.S. C., 1946 edition, title 19, i Revised Statutes 26438, as amended (U.S. C., 1946 edition, title 19, sec. 45). | = (b) Section 439 of the Tariff Act of 1980 (U.S. C., 1946 edition, title 19, sec. 1439) is amended by deleting “the comptroller of customs 46 Stat. 712, for the district in which the port of entry is located” and substituting of 8383p CONGRESS ist Session SENATE IN THE UNITED OF THE STATES JuLy 31 (legislative day, JuLty 27), 1953 Read twice and referred to the AN Committee ACT on Finance | To amend the Tariff Act of 1930 with respect to the determmation of value, the conversion of currency, and certain Ameri- can metal products returned. Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, VALUE SECTION 1. (a) Section 402 of the Tariff Act of 1930, as amended (U. 8. C., 1946 edition, title 19, sec. 1402), is further amended to read as follows: “SEC. 402. VALUE. “(a) Basis.—Except as otherwise specifically provided for, the value of imported merchandise for the purposes of this Act shall be— I “rsa =I. R, 6584 AN ACT To amend the Tariff Act of 1930 with respect to the determination of value, the conversion of currency, and certain American metal products returned. JULY 31 Read twice and (legislative day, referred Jury 27), 1953 to the Committee on Finance