FDA’s Proposed New National Drug Code – What You Need to Know

The Food and Drug Administration (FDA) is proposing to amend their regulations governing the format of the National Drug Code (NDC). The NDC is a standard for uniquely identifying drug products marketed in the United States. The current standard has several acceptable formats. If the proposal is finalized, it will standardize the format of all NDCs.

What is the NDC?

The National Drug Code is a unique, three-segment identifier that the FDA assigns to each drug on the U.S. market. It’s a universal product identifier that appears on all prescription and over-the-counter medication packages and inserts.

Current formats:

10-digit identifier

The FDA’s standard NDC is a 10-digit numerical identifier that includes a labeler code, product code, and package code.

There are 3 FDA-assigned formats for the standard NDC:

  • 4-4-2
  • 5-3-2
  • 5-4-1

HIPAA Format

The Health Insurance Portability and Accountability Act (HIPAA) adopted a uniform 11-digit NDC format that must be used when a HIPAA-covered transaction includes an NDC. This 11-digit format is standardized into a 5-4-2 format and created by adding a leading zero to either the labeler, product, or package code.

Upcoming 6-Digit Format

The FDA will run out of 5-digit labeler codes in 10-15 years. Per FDA regulations (21 CFR 207.33), once FDA runs out of 5-digit labeler codes, it will start assigning 6-digit labeler codes. Without this proposed change, there would be five NDC formats, 3 in 10- digits and 2 in 11-digits. There may be confusion […]

By |2024-09-20T10:04:53-04:00September 20, 2024|U.S. Food and Drug Administration (FDA)|0 Comments

USTR Finalizes Action on 301 Tariffs

The United States Trade Representative (USTR) announced final tariff modifications following their statutory review of the Section 301 investigation of the People’s Republic of China’s (PRC) Acts, Policies, and Practices Related to Technology Transfer, Intellectual Property, and Innovation. The final modifications include tariff increases on several products including critical minerals, batteries, and semiconductors.

301 Investigation Background

In August 2017, USTR initiated an investigation into China’s acts, policies, and practices related to technology transfer, intellectual property, and innovation. The agency released a report of its findings in March 2018 and in June 2018 began imposing additional duties on products of China in four tranches. 

Under the Trade Act of 1974, the USTR is required to conduct a four-year review if they receive an appropriate request to continue an action taken under Section 301. The agency is required to review:

  • (A) the effectiveness in achieving the objectives of section 301 of (i) such action, and (ii) other actions that could be taken (including actions against other products or services), and
  • (B) the effects of such actions on the United States economy, including consumers.

In accordance with this requirement, USTR announced in May 2022 that it was commencing this review and opened a docket for interested persons to submit comments. 

The agency […]

Customs and Trade News Weekly Snapshot

Here is a recap of the latest customs and international trade news:      

Customs and Border Protection (CBP) 

  • CBP announced that it is participating in a new program to enable airlines to recycle single-use aluminum, paper, and plastic products used during international flights arriving in the United States, aligning with CBP’s Green Trade Strategy. 
  • CBP deployed a new drawback claim substitution indicator for retail sales. The new claim enables drawback filers to indicate whether a retail sales claim is a substitution claim or direct identification claim. 
  • CBP’s Cargo and Conveyance Security (CCS) Directorate has issued additional guidance to the trade and cargo logistics industry regarding the reporting of Facilities Information and Resources Management System (FIRMS) codes when submitting the in-bond “arrival” notification in ACE. 
  • CBP instates Miguel A. Garza as Area Port Director for Charlotte. 

Office of Foreign Asset Control (OFAC) 

  • OFAC issued an update to the March 2019 OFAC Advisory to the Maritime Petroleum Shipping Community to highlight risks associated with shipments to Syria. 
  • OFAC put on public inspection an interim final rule to […]
By |2024-09-13T12:28:30-04:00September 13, 2024|news, Snapshot|0 Comments

BIS Issues New Guidelines for Preparing Export License Applications Involving Foreign Persons (Deemed Exports/Reexports) 

The Bureau of Industry and Security (BIS) issued new guidelines to assist deemed export applicants in obtaining licenses. The guidelines primarily apply to employment situations; however, they also address other situations such as the release of controlled technology to foreign students participating in research. 

The guidelines cover basic requirements for applying and renewal and include an application checklist. 

Background on Licenses for Deemed Exports/Reexports 

The obligation to obtain an export license from BIS before releasing controlled technology to a foreign person is informally referred to as a “deemed” export. The release is considered an export to the person’s country or countries of nationality.   

The Export Administration Regulations (EAR), Section 734.13, defines a deemed export as releasing or otherwise transferring “technology” or “source code” to a foreign person in the United States.  

Typical organizations using deemed export licenses include universities, research institutions, bio-chemical firms, medical organizations, and computer companies.    

New Guidance 

 The basic guidance for filling out license applications is set forth in Supplement 1 to part 748 of the EAR. The new guidelines supplement the basic guidance and are intended to assist licensing officers in reviewing license applications more efficiently. 

Basic Requirements 

The guidelines reiterate that applicants must include all the necessary information and documentation required when submitting a license application. BIS will return applications with insufficient information.  

Basic documentation required: 

Bloomberg Law: CBP Recordkeeping Requirements – Retention, the (a)(1)(A) List, and More

Diaz Trade Law is enthusiastic to announce Bloomberg Law published another one of our articles, “CBP Recordkeeping Requirements – Retention, the (a)(1)(A) List, and More”

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Recordkeeping requirements have been part of Customs regulations since the beginning of the Federal government. Over time, Congress and Customs and Border Protection (CBP) have modernized the requirements to meet the needs of the community and utilize modern technology. All importers should have a recordkeeping program to ensure every shipment meets the requirements. Failure to produce records to CBP can result in significant penalties.

Regulatory History

Recordkeeping requirements date back to the 1700s. Back in 1789 importers were required to provide Customs with two copies of their manifests, original bills of lading, and even swear an oath as to the accuracy of their records. Failure to produce records or take the oath would result in a fine of five hundred dollars. Even the people working on the ship, if they were unloading it illegally, would face forfeiture of the goods, a $400 fine, and their names would be published in the local State gazette.

Later, Congress put in place more stringent measures to ensure compliance. In 1863, the “Act to prevent and punish Frauds upon the Revenue, to provide for the certain and speedy Collection of Claims in Favor of the United States, and for other Purposes” began requiring three copies of invoices and penalties jumped to a maximum $5,000 for making fraudulent records or concealing/destroying them along with up to two years in prison.

Today, […]

By |2024-11-06T09:55:55-05:00September 12, 2024|Bloomberg, Bloomberg Import|0 Comments
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