to act as a carrier for the transportation of bonded merchandise unless and until the airline filing the bond is qualified as a carrier for such transportation, in accordance with section 112.12 of this chapter.

(b) Discontinuance of ordinary carrier's bond.-- When an airline has filed a bond on Customs Form 7605, and obtained Customs approval of the bond, it may obtain discontinuance of its bond on Customs Form 3587 by request to the district director at the port where the latter bond was approved.

113.62

General Term Bond for Entry of Merchandise.

(a) Application required.-- A principal desiring to execute the General Term Bond for Entry of Merchandise, Customs Form 7595, shall file with the district director an application for permission to file the bond.

(b) Form of the application.-- The application for the General Term Bond For Entry of Merchandise, Customs Form 7595, shall show:

(1) The general character of the merchandise to be entered; and

(2) The total amount of ordinary Customs duties (including any taxes required by law to be treated as duties) accruing on all merchandise imported by the principal during the calendar year preceding the date of the application, plus the estimated amount of any other tax or taxes on the merchandise collectible by the district director. Such total amount of duties and taxes shall be that which would have been required to be deposited had the merchandise been entered for consumption, even though some of or all the merchandise may have been entered under bond. If no imports were made during the calendar year prior to the application, a statement of the duties and taxes it is estimated will accrue on all importations during the current year shall be submitted.

Authority: The provisions of this Part 114 issued under R.S. 251, 77A Stat. 14, secs. 623, 624, 46 Stat. 759, as amended; 19 U.S.C. 66, 1202 (Gen. Hdnote. 11), 1623, 1624.

114.0 Scope.

This part is concerned with the use of international Customs documents known TD-70-134. as carnets. It also contains provisions concerning the approval of associations to issue carnets in the United States covering merchandise to be exported and to guarantee carnets issued abroad covering merchandise to be imported. The carnet serves simultaneously as a Customs entry document and as a Customs bond.

Subpart A--GENERAL PROVISIONS

114.1 Definitions.

The following are general definitions for the purpose of Part 114: (a) Commissioner. "Commissioner' means the

Customs.

Commissioner of

(b) Issuing association. "Issuing association" means an association approved by the Commissioner for the issue of carnets in the Customs territory of the United States under a Customs Convention to which the United States has acceded.

(c) Guaranteeing association. "Guaranteeing association" means an association approved by the Commissioner to guarantee the payment of obligations under carnets covering merchandise entering the Customs territory of the United States under a Customs Convention to which the United States has acceded.

(d) A.T.A. carnet. "A.T.A. carnet" (Admission Temporaire-- Temporary TD 71-70. Admission) m ns the document reproduced as the Annex to the Customs Convention on the A.T.A. Carnet for the Temporary Admission of Goods (TIAS 6631).

(e) E.C.S. carnet. "E.C.S. carnet" (Echantillons Commerciaux--Commercial Samples) means the document reproduced as the Annex to the Customs Convention on the E.C.S. Carnets for Commercial Samples (TIAS 6632).

TD 71-70.

(f) TIR carnet "TIR carnet" (Transport International Routier) means the TD 71-70. document reproduced as Annex 1 to the Customs Convention on the International Transport of Goods under Cover of TIR Carnets (TIAS 6633).

CR-114.1

TD 71-70.

TD 71-70.

TD 71-70.

114.2 Customs Conventions.

The regulations in this part relate to carnets provided for in the following customs Conventions:

(a) Customs Convention on the A.T.A. Carnet for the Temporary Admission of Goods (hereinafter referred to as A.T.A. Convention).

(b) Customs Convention on the E.C.S. Carnets for Commercial Samples (hereinafter referred to as E.C.S. Convention).

(c) Customs Convention on the International Transport of Goods under Cover of TIR Carnets (hereinafter referred to as TIR Convention).

114.3 Carnets.

(a) Use.--A carnet issued in conformity with the provisions of a Convention identified in section 114.2 and with the regulations in this part shall serve as an entry document within the scope contemplated by the applicable Convention and as a bond for the performance of acts in compliance with the provisions of such Convention and the Customs statutes and regulations which are involved. Such carnet shall:

(1) show the period for which it is valid,

(2) be fully completed in accordance with the provisions of the Convention which provides for its issuance, and

(3) include an English translation whenever the goods covered by a carnet are described in another language.

(b) Area of validity.--Carnets are valid in the customs territory of the United States which includes only the States, the District of Columbia, and Puerto Rico.

TD 71-70.

TD 71-70.

TD 71-70.

Subpart B-- ISSUING AND GUARANTEEING ASSOCIATIONS

114.11 Approval.

(a) Documents to be furnished. Before an association may be approved to serve as issuing association or guaranteeing association in the United States with respect to carnets authorized under a Customs Convention to which the United States has acceded, such association shall furnish the Commissioner a written undertaking, in a form satisfactory to the Commissioner, to perform the functions and fulfill the obligations specified in the Convention under which carnets are to be issued or guaranteed. "Evidence of affiliation with an appropriate" international organization shall also be required if affiliation with such an organization is required by the Convention under which carnets are to be issued or guaranteed. (b) Publication of notice of approval. Notice of the approval of an issuing association or a guaranteeing association with respect to a Customs Convention to which the United States has acceded will be published in the Federal Register by the Commissioner.

114.12 Termination of approval.

(a) For cause. The Commissioner may suspend or revoke the approval previously given to any issuing association or guaranteeing association for failure or refusal to comply with the duties, obligations, or requirements set forth in its written undertaking on which the approval was based; in the applicable Customs Convention; or in the customs regulations; or upon termination of the affiliation with an appropriate international organization required by section 114.11 (a). Before such suspension or revocation, the Commissioner shall give the association a reasonable opportunity to refute the alleged failure of compliance. (b) Withdrawal. To be relieved by future obligations, an approved guaranteeing association must notify the Commissioner, in writing, not less than 6 months in advance of a specified termination date that it will not guarantee the payment of obligations under carnets accepted by district directors of Customs after the specified date. The receipt of such notice by the Commissioner will in no way affect the responsibility of the guaranteeing association for payment of claims on carnets accepted by district directors before the designated termination date.

(c) Notice. Notice of the suspension or revocation of the approval of an issuing association or a guaranteeing association, or of the withdrawal of an approved guaranteeing association, with respect to a Customs Convention to which

CR-114.2