The existence of which ONE of the following circumstances would preclude the use of transaction value as the basis for appraisement?
A) The U.S. buyer is a subsidiary of the foreign seller.
B) The foreign seller imposes a restriction on the U.S. buyer such that the U.S. buyer can only resell the merchandise within California.
C) The price to be paid for imported merchandise is dependent upon the U.S. buyer purchasing a specified quantity of other merchandise from the foreign seller.
D) The foreign seller would receive 5 percent of the U.S. buyer’s proceeds following resale of the merchandise.
E) The U.S. buyer provides a foreign seller machinery valued at $750,000 to be used exclusively in the production of merchandise to be sold to the U.S. buyer.
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The Answer is: C
Citation: 19 CFR 152.103(j)
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