Dear Sir/Madam,
We need one Legal advisory on Impact of US Reciprocal Tariff for following transactions.
1) Indian Entity is sending Material to US for Job Work purpose, after completion of the process, Indian Entity will re-import the material. In this case US is charging Customs duty. Is there any way to get the duty exemption.
2) US entities sending the material to India for Job Work. After processing the job work service Indian entities will send back (Export) the parts to the USA. In this case what is the customs duty implication in the USA.
Request you to please check and confirm.
Clarifying Customs Duty Exemptions for Cross-Border Job Work Under Relevant Tariff Provisions An Indian company exporting materials to the US for job work and re-importing them faces US customs duties, raising questions about possible duty exemptions. Conversely, when US companies send materials to India for job work and Indian entities export the finished parts back to the US, the customs duty implications in the US are also uncertain. The inquiry seeks clarification on whether reciprocal tariff provisions or specific customs regulations allow for duty exemptions or reductions in these cross-border job work transactions. (AI Summary)