Further to its Section 301 investigation into Chinese trade practices, the U.S. Trade Representative (USTR) office has announced a third list (List 3) of Chinese products that may be subject to an additional 10% tariff (duty). This list of products is available here and covers over 6,000 additional HTS codes representing $200 billion of imported goods. Items on this new list include electronics, textiles, beauty products, metal products and automotive parts.
Products on this list may be subject to additional duties only after a further comment period and review by the USTR over the next two months. Public hearings will be held August 20-23, 2018.
The USTR has also provided information for parties that wish to seek exemptions from this trade action. The process for obtaining a Section 301 exemption and related information is available here. If a product is exempted from Section 301 duties, the initial exemption period will be 12 months and covers all importers of the product. Exemptions may also be applied retroactively for claim and recovery purposes.
U.S. importers and exporters should note that additional duties assessed under this Section 301 action will also be eligible for U.S. drawback claims subject to all current requirements and conditions. Additional information on Section 301 drawback eligibility is available here.
Further information concerning this U.S. Section 301 trade action will be provided as it becomes available.
U.S. importers are encouraged to review their import transactions to determine the impact and scale of this action on their trade programs. Specifically, applicable products from China and/or any assigned Harmonized Tariff System (HS) codes within the scope of this action should be reviewed carefully prior to any effective dates under this action.
Please contact your local Delmar International representative or our North American Customs Advisory Services Group for additional information and assistance.