19 Cfr 146.32

§ 146.26

19 CFR Ch. I (4–1–11 Edition)

unit), quantity on hand at the end of
the year, and cumulative positive and
negative adjustments (by unit) made
during the year.
(c) Certification. The operator shall
submit to the port director within 10
working days after the annual reconciliation report, a letter signed by
the operator certifying that the annual
reconciliation has been prepared, is
available for Customs review, and is accurate. The certification letter must
contain the name and street address of
the operator, where the required
records are available for Customs review; and the name, title, and telephone number of the person having
custody of the records. Reporting of
shortages and overages based on the
annual reconciliation will be made in
accordance with § 146.53. These reports
must accompany the certification letter.
§ 146.26

System review.

The operator shall perform an annual
internal review of the inventory control and recordkeeping system and
shall report to the port director any
deficiency discovered and corrective
action taken, to ensure that the system meets the requirements of this
part.

Subpart C—Admission of
Merchandise to a Zone

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§ 146.31 Admissibility of merchandise
into a zone.
Merchandise of every description
may be admitted into a zone unless
prohibited by law. A distinction is
made between prohibited and conditionally admissible merchandise.
(a) Prohibited merchandise. Port directors shall not admit prohibited merchandise. If there is a question as to
whether the merchandise may be prohibited, port directors may permit the
temporary deposit of the merchandise
in a zone pending a final determination
of its status. Any prohibited merchandise which is found within a zone will
be disposed of in the manner provided
for in the laws and regulations applicable to that merchandise.
(b) Conditionally admissible merchandise. The admission of this merchandise

into a zone is subject to the regulations of the Federal agency concerned.
§ 146.32 Application and permit for admission of merchandise.
(a)(1) Application on CBP Form 214 and
permit. Merchandise may be admitted
into a zone only upon application on a
uniquely and sequentially numbered
CBP Form 214 (‘‘Application for Foreign Trade Zone Admission and/or Status Designation’’) and the issuance of a
permit by the port director. Exceptions
to the CBP Form 214 requirement are
for merchandise temporarily deposited
(§ 146.33),
transiting
merchandise
(§ 146.34), or domestic merchandise admitted without permit (§ 146.43). The
applicant for admission shall present
the application to the port director and
shall include a statistical copy on CBP
Form 214–A for transmittal to the Bureau of Census, unless the applicant
has made arrangements for the direct
transmittal of statistical information
to that agency.
(2) CBP Form 214 and Importer Security
Filing submitted via a single electronic
transmission. If an Importer Security
Filing is filed pursuant to part 149 of
this chapter via the same electronic
transmission as CBP Form 214, the filer
is only required to provide the following fields once to be used for Importer Security Filing and CBP Form
214 purposes:
(i) Country of origin; and
(ii) Commodity HTSUS number if
this number is provided at the 10-digit
level.
(b) Supporting documents—(1) Commercial documentation. The applicant shall
submit with the application two copies
of an examination invoice meeting the
requirements of subpart F, part 141, of
this chapter, for any merchandise,
other than that excepted in paragraph
(a) of this section, to be admitted to a
zone. The notation of tariff classification and value required by § 141.90 of
this chapter need not be made, unless
the merchandise is to be admitted in
privileged status.
(2) Evidence of right to make entry. The
applicant for admission shall submit
with the application a document similar to that which would be required as
evidence of the right to make entry for

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U.S. Customs and Border Protection, DHS; Treasury
merchandise in Customs territory
under § 141.11 or § 141.12 of this chapter.
(3) Release order. Merchandise will not
be authorized for delivery by Customs
to a zone until a release order has been
executed by the carrier which brought
the merchandise to the port, unless the
merchandise is released back to that
same carrier for delivery to the zone
(see § 141.11 of this chapter). When a release order is required, it will be made
on any of the forms specified in § 141.111
of this chapter, or by the following
statement attached to CBP Form 214:

wwoods2 on DSK1DXX6B1PROD with CFR

Authority is hereby given to release the
merchandise described in this
application to llllllllllllllll
llllllllllllllllllllllll
Name of Carrier lllllllllllllll
llllllllllllllllllllllll
Signature and title of carrier
representative llllllllllllllll
llllllllllllllllllllllll
A blanket or qualified release order may be
authorized for the transfer of merchandise to
a zone as provided for in § 141.111 of this
chapter.

(4) Application to unlade. For merchandise unladen in the zone directly
from the importing carrier, the application on CBP Form 214 will be supported by an application to unlade on
Customs Form 3171.
(5) Other documentation. The port director may require additional information or documentation as needed to
conduct an examination of merchandise under Customs selective entry
processing criteria, or to determine
whether the merchandise is admissible
to the zone.
(c) Conditions for issuance of a permit.
The port director will issue a permit
for admission of merchandise to a zone
when:
(1) The application is properly executed and includes the zone status desired for the merchandise, as provided
in subpart D of this part;
(2) The operator’s approval appears
either on the application or in a separate specific or blanket approval;
(3) The merchandise is retained for
examination at the place of unlading,
the zone, or other location designated
by the port director, except for merchandise for direct delivery to a zone
under §§ 146.39 and 146.40. The merchandise may be examined as if it were to

§ 146.33

be entered for consumption or warehouse; and
(4) All requirements have been fulfilled.
(d) Blanket application for admission of
merchandise. Merchandise may be admitted to a zone under blanket application upon presentation of a CBP Form
214 covering more than one shipment of
merchandise. A blanket application for
admission is for:
(1) Shipments which arrive under one
transportation entry as described in
§ 141.55 of this chapter, or
(2) Shipments which are destined to
the same zone applicant on a single
business day, in which case the applicant shall:
(i) Present the examination invoices
required by paragraph (b) of this section to the port director before the
merchadise is admitted into the zone,
(ii) Have been approved for the direct
transmittal of statistical trade information to the Bureau of Census under
an agreement with that agency; and
(iii) Have examination invoices containing a unique identifier to trace the
shipment to the manifest of the carrier
that brought the merchandise to the
port having jurisdiction over the zone,
as well as to the inventory control and
recordkeeping system of the operator
as described in subpart B.
[T.D. 86–16, 51 FR 5049, Feb. 11, 1986, as
amended by CBP Dec. 08–46, 73 FR 71782, Nov.
25, 2008]

§ 146.33 Temporary deposit for manipulation.
Imported merchandise for which an
entry has been made and which has remained in continuous Customs custody
may be brought temporarily to a zone
for manipulation and return to Customs territory under Customs supervision, pursuant to section 562, Tariff
Act of 1930, as amended (19 U.S.C. 1562),
and § 19.11 of this chapter. That merchandise will not be considered within
the purview of the Act but will be
treated as though remaining in Customs territory. No zone form or procedure will be considered applicable, but
the merchandise will remain subject to
any requirements necessary for the enforcement of section 562 and other Customs laws while in the zone.

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