Overview
This section establishes that imported supplies purchased under government contracts are generally governed by standard U.S. Customs Regulations (19 CFR Chapter 1). It mandates that these shipments undergo typical entry, examination, and duty requirements unless specific exemptions are obtained.
Key Rules
- Primary Authority: Regulations governing importations and duties are found in the Customs Regulations issued by the U.S. Customs Service (19 CFR Chapter 1).
- Mandatory Procedures: All shipments under government contracts are subject to standard Customs entry and examination requirements, except as specifically provided in 19 CFR 10.100.
- Duty Liability: Imported supplies are subject to customs duties unless the contracting agency secures a specific exemption under the procedures outlined in FAR 25.903.
Practical Implications
- Contractors and logistics providers must factor in standard customs clearance timelines and costs, as government status does not automatically waive inspections or fees.
- Agencies must take affirmative action to obtain exemptions if they wish to avoid the budgetary impact of duties on imported contract deliverables.