CBP Modifies Withhold Release Order on Imports of Carpets and Hand-Knotted Wool Products from Nepal

U.S. Customs and Border Protection has modified a Withhold Release Order on imports of carpets and hand-knotted products from Nepal. Effective July 23, 2021, carpets and hand-knotted wool products produced by the Nepalese company Annapurna Carpet Industries Pvt. Ltd. (“Annapurna Carpet”) are admissible at all U.S. ports of entry.

“CBP’s thorough review of Annapurna Carpet’s business practices indicates that the company has remediated concerns about the use of forced labor in its production process and that its products may be imported into the United States,” said AnnMarie Highsmith, CBP Executive Assistant Commissioner for Trade. “CBP remains committed to eliminating forced labor from U.S. supply chains to protect vulnerable workers and ensure a level playing field for law-abiding businesses.”

CBP issued a Withhold Release Order in July 1998 to prevent the importation of carpets and hand-knotted wool products from seven Nepalese companies, including Annapurna Carpet. The Withhold Release Order was based on information reasonably indicating that those products were made with the use of forced labor.

CBP modified the Withhold Release Order after evaluating detailed information that Annapurna Carpet has addressed all eleven indicators of forced labor in the production of its carpets and hand-knotted wool products, which sufficiently shows that the company’s products are not made with the use of forced labor. These products may now be imported into the United States.

This is the second time CBP has modified the Withhold Release Order on carpets and hand-knotted wool products from Nepal. The agency first modified the Withhold Release Order in October 1998 to allow imports of carpets and hand-knotted wool products from three companies: Norsang Carpet Industries Pvt., Ltd., Everest Carpet, and K.K. Carpet Industries. The three entities fully addressed CBP’s concerns about the use of forced labor in their production processes.

The 1998 Withhold Release Order remains in effect for carpets and hand-knotted wool products made by Kumar Carpet Pvt., Singhe Carpet Pvt., and Valley Carpet.

Any person or organization that has reason to believe merchandise produced with the use of forced labor is being, or likely to be, imported into the United States can report detailed allegations by contacting CBP through the e-Allegations Online Trade Violations Reporting System or by calling 1-800-BE-ALERT. 

USITC Releases Report Concerning Whether Certain Textile and Apparel Articles from Nepal Are Import Sensitive

On October 24, 2016, the U.S. International Trade Commission Releases Report Concerning Whether Certain Textile and Apparel Articles from Nepal are Import Sensitive

As requested, the USITC provided advice on the likely impact on U.S. imports, competing U.S. industries, and U.S. consumers of providing duty free treatment for the following 66 HTS 8 digit subheadings from Nepal:

Certain luggage articles and attaché cases	4202.11.00, 4202.12.20, 4202.12.40, 4202.12.60, 4202.12.80
Certain handbags	4202.21.60, 4202.21.90, 4202.22.15, 4202.22.40, 4202.22.45, 4202.22.60, 4202.22.70, 4202.22.80, 4202.29.50, 4202.29.90
Certain pocket goods	4202.31.60, 4202.32.40, 4202.32.80, 4202.32.95
Certain travel, sports and similar bags, backpacks, and other containers	4202.91.00, 4202.92.08, 4202.92.15, 4202.92.20, 4202.92.30, 4202.92.45, 04202.92.60, 4202.92.90, 4202.99.90
Certain carpets and other textile floor coverings (rugs)	5701.10.90, 5702.31.20, 5702.49.20, 5702.50.40, 5702.50.59, 5702.91.30, 5702.91.40, 5702.92.90, 5702.99.15, 5703.10.20, 5703.10.80, 5703.90.00, 5705.00.20, and 6308.00.00
Certain shawls, scarves, headbands, and blankets	6117.10.60, 6214.10.10, 6214.10.20, 6214.20.00, 6214.40.00, 6214.90.00, and 6301.90.00, and 6117.80.85, 6217.10.85
Certain hats	6504.00.90, 6505.00.08, 6505.00.15, 6505.00.20, 6505.00.25, 6505.00.30, 6505.00.40, 6505.00.50, 6505.00.60, 6505.00.80, 6505.00.90, 6506.99.30, 6506.99.60
Certain gloves	4203.29.50, 6216.00.80

USITC Begins Investigation Concerning Whether Certain Textile and Apparel Articles from Nepal are Import Sensitive

The U.S. International Trade Commission ("USITC") is seeking input for a new investigation concerning whether certain textile and apparel articles from Nepal are import sensitive.

The investigation, Nepal: Advice Concerning Whether Certain Textile and Apparel Articles Are Import Sensitive, was requested by the U.S. Trade Representative ("USTR") in a letter received on March 30, 2016.

As requested, the USITC, an independent, nonpartisan, factfinding federal agency, will provide advice on the likely impact on U.S. imports, competing U.S. industries, and U.S. consumers of providing duty-free treatment for the following 66 products, listed by Harmonized Tariff Schedule (HTS) subheading, from Nepal:

• Luggage and attaché cases (5 subheadings): 4202.11.00, 4202.12.20, 4202.12.40, 4202.12.60, 4202.12.80;
• Handbags (10 subheadings): 4202.21.60, 4202.21.90, 4202.22.15, 4202.22.40, 4202.22.45, 4202.22.60, 4202.22.70, 4202.22.80, 4202.29.50, 4202.29.90;
• Pocket Goods (4 subheadings): 4202.31.60, 4202.32.40, 4202.32.80, 4202.32.95;
• Travel Bags (9 subheadings): 4202.91.00, 4202.92.08, 4202.92.15, 4202.92.20, 4202.92.30, 4202.92.45, 4202.92.60, 4202.92.90, 4202.99.90;
• Carpets (13 subheadings): 5701.10.90, 5702.31.20, 5702.49.20, 5702.50.40, 5702.50.59, 5702.91.30, 5702.91.40, 5702.92.90, 5702.99.15, 5703.10.20, 5703.10.80, 5703.90.00, 5705.00.20
• Shawls, Scarves, and Travel Blankets (7 subheadings): 6117.10.60, 6214.10.10, 6214.10.20, 6214.20.00, 6214.40.00, 6214.90.00, 6301.90.00
• Hats (13 subheadings): 6504.00.90, 6505.00.08, 6505.00.15, 6505.00.20, 6505.00.25, 6505.00.30, 6505.00.40, 6505.00.50, 6505.00.60, 6505.00.80, 6505.00.90, 6506.99.30, 6506.99.60
• Gloves (2 subheadings): 4203.29.50, 6216.00.80
• Miscellaneous Articles (Headbands and Needlecraft Kits) (3 subheadings): 6117.80.85, 6217.10.85, 6308.00.00

The USITC will submit its confidential report to USTR by September 29, 2016. As soon as possible thereafter, the USITC will, as requested by USTR, issue a public version of the report containing only the unclassified sections, with any business confidential information and classified information deleted.

The USITC is seeking input for its new investigation from all interested parties and requests that the information focus on the articles for which the USITC is requested to provide information and advice. The USITC will hold a public hearing in connection with the investigation at 9:30 a.m. on June 9, 2016. Requests to appear at the public hearing should be filed no later than 5:15 p.m. on May 23, 2016, with the Secretary, U.S. International Trade Commission, 500 E Street SW, Washington, DC 20436.

The USITC also welcomes written submissions for the record. Written submissions should be addressed to the Secretary to the Commission at the above address and should be submitted at the earliest practical date but no later than 5:15 p.m. on June 24, 2016. All written submissions, except for confidential business information, will be available for public inspection.

Further information on the scope of this investigation and appropriate submissions appears in the USITC’s notice of investigation, dated April 15, 2016. The notice can be obtained from the USITC Internet site (www.usitc.gov) or by contacting the Office of the Secretary at the above address or at 202-205-2000.

USITC general factfinding investigations, such as this one, cover matters related to tariffs or trade and are generally conducted at the request of the U.S. Trade Representative, the House Committee on Ways and Means, or the Senate Committee on Finance. The resulting reports convey the Commission's objective findings and independent analyses on the subjects investigated. The Commission makes no recommendations on policy or other matters in its general factfinding reports. Upon completion of each investigation, the USITC submits its findings and analyses to the requester. General factfinding investigation reports are subsequently released to the public, unless they are classified by the requester for national security reasons.

Bill Filed for Duty-Free Imports of Textiles and Apparel from Nepal

On January 7, 2015, Senator Dianne Feinstein (Dem., Calif.) introduced S.81, the Nepal Trade Preferences Act, to authorize preferential treatment for certain imports from Nepal, and for other purposes. The bill would provide for duty-free entry of textiles and apparel wholly assembled in Nepal, without regard to the country of origin of the yarn or fabric used to make the articles, for a period of ten years, subject to the cap as to the total quantity entering duty free under this program. The cap begins at an amount equal to 1.5 percent of all U.S. textile and apparel imports and grows to 3.5%.