All Section 301 tariffs on Chinese imports now in effect

As part of the U.S. response to China’s unfair trade practices, all three proposed lists of items subject to tariffs on Chinese imports have been finalized and are now in place. Experts estimate that approximately half of all goods imported from China to the U.S. are now subject to tariffs. This includes:

  • $34 billion in 25 percent tariffs on items on List 1 that went into effect July 6.
  • $16 billion in 25 percent tariffs on items on List 2 that went into effect Aug. 23.
  • $200 billion in 10 percent tariffs on items on List 3 that went into effect Sept. 24. The tariffs on these items will increase to 25 percent Jan. 1, 2019.

In response to List 3’s $200 billion in tariffs being enacted, the Chinese Ministry of Commerce levied retaliatory tariffs of 5 to 10 percent on $60 billion worth of U.S. goods sent to China. According to the Chinese Ministry, these products account for as much as 95 percent of all U.S. exports to China. These tariffs also took effect September 24.

President Trump has said that he is prepared to place tariffs on an additional $267 billion worth of imports “if China takes retaliatory action against our farmers or other industries.”

Throughout this process, NAFEM has successfully advocated for the removal of items impacting members’ businesses from the list by submitting written comments and testifying on Capitol Hill before the Section 301 Committee of the U.S. Trade Representative (USTR).

When asked about the impact of expanded tariffs on the industry, NAFEM President Joe Carlson, CFSP, said, “The millions of meals enjoyed away from home every day – at restaurants, schools, military bases, hospitals and elsewhere – are prepared and served on products manufactured by NAFEM members. Unfortunately, tariffs on Chinese imports, combined with tariffs on imported steel and aluminum, are making it more expensive to produce the equipment and supplies that feed our troops, create family memories, nourish school children and nurture the sick. The tariffs are negatively impacting good-paying U.S. manufacturing jobs, and also are beginning to impact consumers, neither of which bodes well for a strong U.S. economy.

“Trade wars have no winners,” added Joe. “Now is the time for talks, not just tariffs. We urge the administration to quickly work toward a solution to China’s unfair trade practices that does not include tariffs that ultimately hurt American workers and consumers.”

U.S. Customers and Border Protection has issued instructions for importing items on Lists 1, 2 and 3 from China. Members are advised to work with their customs brokers to best understand these processes.

NAFEM continues to closely monitor this issue, including any new announcements from the administration or the Chinese Foreign Minister.

It also is important that elected officials hear from NAFEM members impacted by these tariffs. To help members easily share this information, NAFEM regularly updates its Advocacy Toolkit of talking points and email messages for members to use in their outreach efforts.