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Messieurs and Mesdames the Chiefs of Mission and has
the honor to reiterate the policies and procedures governing the
qualification for duty-free status of: shipments of articles
intended for exhibition by a foreign mission or international
organization. This Note supercedes the guidance in State’s
Diplomatic Note 87-328, dated June 3, 1987.
For the purposes of this diplomatic Note only, an
“exhibition” is defined as the public display by a foreign mission
or international organization of an assemblage of artifacts,
items, or materials for the purpose of acquainting residents of
the United States with the history, art, culture, or products of a
particular country, or with some aspect of the work, goals or
achievements of an international organization. An exhibition can
have no commercial purpose and none of the articles imported
can be offered for sale or later sold while in the United States.
DIPLOMATIC NOTE
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For the purposes of this Note only, the term “international
organization” is defined as any association of nations of which
the United States Government is a member or which has otherwise
been granted privileges and immunities under the International
Organization Immunities Act, 22 USC 2:88 et seq.
Articles imported for exhibitions will usually be granted
Customs duty-free entry as a matter of international courtesy.
It is preferable that exhibitions be held on the premises of the
foreign mission or international organization. However, if an
exhibition is to be held in a commercial establishment such as a
department store, hotel, art gallery, or bank, any articles
imported for the exhibition may still qualify for duty-free entry
if the mission or international organization certifies the
following in its application:
1. That neither the commercial establishment on whose premises
the event will be taking place, nor the sponsoring foreign
mission or organization will charge admission beyond a
nominal fee to cover overhead costs; and
2. That neither the sponsoring foreign mission or organization,
nor any private commercial entity participating in it, will
offer anything for sale at the event.
Any imported articles that are intended for subsequent sale,
or for other commercial use such as display at another trade fair
or exhibit in the United States, will be subject to the applicable
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Customs duty, even if such articles are the property of a foreign
government.
Private, non-profit institutions such as cultural
associations or museums that bring articles into the United States
under the sponsorship of a foreign mission or international
organization, for display for fund-raising purposes, can submit,
through their sponsor, an application for duty-free entry of the
exhibition items. However, a final determination regarding duty-
free qualification can only be made ails the time of application and
will depend in large measure upon the nature of the exhibition.
Among other things, the sponsoring foreign mission or
international organization would be required to provide the two
certifications enumerated above.
When submitting a duty-free entry request, all applicants
must use the form DS-1504, “Request for Customs Clearance of
Merchandise.” The form must be typewritten or produced using an
electronic format. If necessary, additional copies of form 1504
may be used as continuation sheets.
Missions and organizations should carefully note that some of
the information required on an application for duty-free entry of
exhibition materials is different from that required for other
types of diplomatic shipments. The guidance in the following
numbered paragraphs clarifies the information required on an
application for the entry of exhibition materials.
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General instructions for completing form 1504 are provided in
State’s Diplomatic Note 02-281, dated January 1, 2003 and also
appear in the “Foreign Diplomatic and Career Consular Personnel in
the United States: Guidance for Administrative Officers”,
(Department of State, 1998) section 5, pages 5-8 – 5-9. The
following information must be provided on form 1504:
1. A full description of the items in the shipment.
2. A statement as to whether or not any printed matter, either
imported or produced locally, will be distributed to
attendees. If printed matter will be distributed, then the
application must include an explanation of what that printed
matter will be. If any flyers, handouts, or programs have
been printed in advance specifically for the exhibition, a
sample of each should be attached to the application form.
3. A brief statement regarding the ownership of the materials
being imported.
4. A statement of the purpose of the exhibition.
5. The name of the sponsor of the exhibition. If additional
parties are co-sponsors their names, either personal or
corporate, and addresses must also be listed.
6. The planned date(s) and location of the exhibition. If the
exhibition will not be held on the premises of the foreign
mission or international organization, then the application
package should include a copy of the contract, lease
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agreement or other arrangement for use of the outside,
private property.
7. A statement regarding the intended patronage. If the
exhibition will not be open to the general public, then the
limitations on attendees must be explained.
8. If there is to be an admission fee, then the amount to be
charged and the reason for it must be stated.
9. A statement of the planned disposition of the duty-free
exhibit items after the exhibit’s conclusion. If the items
are to be re-exported, the anticipated date of departure
must be stated.
10. The mission or organization must provide written
certification that no duty-free exhibition items will be
sold or given away, and that no sales orders will be taken.
Note: items imported duty-free for an exhibition may not
afterwards be donated to any person or organization in the
United States, including charities, unless the applicable
Customs duty is paid.
11. A copy of the Airway Bill (if the shipment arrives by air)
or the Bill of Lading (if the shipment arrives by sea) must
be attached to the DS-1504 application.
If the duty-free entry of exhibition materials is denied, it
is suggested that the importing mission or organization promptly
pay the appropriate duties in order to avoid, insofar as possible,
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the accumulation of storage fees. Normally, the Bureau of Customs
and Border Protection office that is closest to the location of
the shipment will be the office controlling the shipment’s entry.
The Office of Foreign Missions has noted that the most
frequent reason for rejection of applications for duty-free entry
of exhibition materials is incomplete information on the
application form. Therefore, it is strongly suggested that
foreign missions or international organizations planning to import
articles for an exhibition discuss those plans, in advance, with
the Customs Liaison unit in the Office of Foreign Missions by
calling 202 895-3500.
Review:
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