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Used car importers warn of U.S. penalties from ‘illegal tariff’

Santo Domingo.- Several used auto importers associations on Friday accused the Customs Agency of violating the DR-CAFTA free trade agreement by refusing to apply the preferential tariffs and levying a 10% tax on used vehicles manufactured in the U.S.

In a press conference the representatives said Customs director Fernando Fernandez has applied an evaluation method different from the Values Agreement of the World Trade Organization (WTO).

They noted, moreover, that a Customs memo January 13, 2014. also violates the value rules stipulated in Executive Order 36-11 of January 20, 2011, which must be applied to imported goods, including vehicles.

The importers say the measure favors vehicles from Japan, China, Korea, Colombia, Brazil, Argentina, Thailand and others which don’t have a free trade agreement with the country, for which in their view Customs exerts functions which the Constitution bestows only on Congress.

Penalty

Luis Peña, of the Used Vehicles Importers Association (ASOCIVU), Aramis Mella, of the Cibao Dealers Association (ADECI) and Donald Sosa, among others, warned that the United States could slap trade sanctions on Dominican Republic, if Customs “illegal and arbitrary tariff of 10% isn’t revoked immediately.”

The importers also served notice to the Director of Customs, warning of the consequences of violations in the wake of the measure contained in the memo.

Source: DT

Category: DR News |

  1. Samson

    Do not understand the logic here. Why would US apply a tax?

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Last updated December 2, 2016 at 1:59 PM
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