For all those impacted by Chinese imports subject to section 301 tariffs, you have until October 9, 2018 to apply for a product exclusion. If you apply for an exclusion, the public will have 14 days to file responses to the request for product exclusion. After the close of the 14 day response period, interested persons will have an additional 7 days to reply to any responses received in support of or opposition to the request.
Approved exclusions will be effective for one year upon the publication of the exclusion determination in the Federal Register, and will apply retroactively to July 6, 2018.
View approved product exclusion lists here.
- Directions to apply: https://www.regulations.gov/document?D=USTR-2018-0025-0001
- USTR press release: https://ustr.gov/about-us/policy-offices/press-office/press-releases/2018/july/ustr-releases-product-exclusion
- A Federal Register notice outlining the criteria and process for a product exclusion request: https://ustr.gov/sites/default/files/enforcement/301Investigations/FRN%20exclusion%20process.pdf
On August 18, 2017, USTR initiated an investigation into certain acts, policies and practices of the Government of China related to technology transfer, intellectual property and innovation (82 FR 40213). During the investigation, the Trade Representative determined that the acts, policies and practices of China under investigation are unreasonable or discriminatory and burden or restrict U.S. commerce, and are thus actionable under Section 301(b) of the Trade Act of 1974, as amended (Trade Act).
In response, President Trump initiated a number of actions which imposed ad valorem tariffs on certain imports originating in China. List 1, effective July 6, 2018 places an additional duty rate of 25% on $34 billion worth of goods from China. List 2, effective August 23, 2018 places an additional duty rate of 25% on $16 billion worth of goods from China. List 3, effective September 24, 2018 places an additional 10% on $200 billion worth of goods from China, and an increase up to 25% of these goods was imposed on June 15, 2019. List 1, 2, and 3 tariffs currently at 25% will jump to 30% on October 15, 2019. There are some exceptions to these tariffs through a product exclusion process. List 4a is scheduled for September 1, 2019 and List 4b is scheduled for December 15, 2019.
What to do
Scarbrough Consulting, Inc. is offering a free 30-minute consultation to any company that may be affected by the Section 301 announcements. Please send an email to firstname.lastname@example.org or fill out the form below. Our Global Trade Experts and Licensed Customs brokers are here to help.
Other ways to Learn More about Duty Savings
If the Section 301 tariffs are affecting your company, watch this webinar recording to learn more. Scarbrough’s President and COO, Adam Hill, along with Patrick Caulfield, an attorney at GDLSK, an international trade and customs law firm, talk about legal opportunities to recover or avoid paying duty to CBP. This is an interactive webinar set up as a question/answer forum.
To review Section 301, visit this helpful Resource Page
To read more about Section 301, visit USTR.gov
Download each Section 301 List below:
Scarbrough is offering a FREE 20-minute consultation to any importer affected by the Section 301 Tariffs. Email email@example.com or fill out the form below.