The Office of the U.S. Trade Representative has determined that the Digital Services Tax that will be imposed by France is unreasonable or discriminatory and burdens or restricts U.S. commerce. As a result, the Section 301 committee will hold hearings to determine which products from France may be subject to additional duties of up to 100% of the dutiable value to compensate for this action by France.
We suggest importers submit comments
The USTR is seeking public comments and suggestions via the schedule posted below:
December 30, 2019:
Due date for request to appear at the public hearing and summary of testimony
January 6, 2020:
Due date for written comments
January 7, 2020:
Public hearings begin @ U.S. International Trade Commission
500 E Street SW, Washington DC 20436
@ 9:30 am
January 14, 2020:
Due date for post hearing rebuttal comments
You should submit written comments through the Federal eRulemaking Portal: http://www.regulations.gov. Follow the instructions for submissions in sections V and VI below. The docket number is USTR-2019-0009. For issues with on-line submissions, please contact the USTR Section 301 line at (202) 395-5725.
A list of 63 proposed products has been identified with an estimated import trade value of $2.4 billion in 2018. A final list will be drawn from these proposed products. Some of the products include:
- whey protein
- manicure and pedicure preparations
- make up
- household chinaware
- cast iron household items
[*side note: The USTR has been imposing additional tariffs of 25% on more than 150 goods imported from various European Union members, including France, since October 18, 2019.]
View the full USTR announcement to see the full list with HTS numbers.
On July 24, 2019, France signed into law a 3% Digital Services Tax (DST) on revenues that certain companies generate from providing certain digital services to, or aimed at, persons in France. As a result, USTR initiated an investigation of the French DST pursuant to section 302(b)(1)(A) of the Trade Act of 1974, as amended (the Trade Act), and evidence shows that the DST is unreasonable and discriminatory towards U.S. commerce. To read more details, please read the USTR announcement. Pursuant to sections 301(b) and (c), the U.S. Trade Representative proposes to determine that action is appropriate and that appropriate action would include the imposition of additional ad valorem duties of up to
100 percent on certain products of France.
Scarbrough is offering a FREE 30-minute consultation to any importer affected by the Section 301 Tariffs. Email firstname.lastname@example.org or fill out the form below.
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 read more about Section 301, visit USTR.gov