Unless the supplies are entitled to duty-free treatment under a special category in the Harmonized Tariff Schedule of the United States (e.g., the Caribbean Basin Economic Recovery Act or a Free Trade Agreement), or unless the supplies already have entered into the customs territory of the United States and the contractor already has paid the duty, DoD will issue duty-free entry certificates for-
(1) Qualifying country supplies (end products and components);(2) Eligible products (end products but not components) under contracts covered by the World Trade Organization Government Procurement Agreement or a Free Trade Agreement; and(3) Other foreign supplies for which the contractor estimates that duty will exceed $300 per shipment into the customs territory of the United States. 68 FR 15626 , Mar. 31, 2003, as amended at 69 FR 1928 , Jan. 13, 2004; 70 FR 2363 , Jan. 13, 2005; 81 FR 28732 , May 10, 2016