Additional duty on products from China take effect May 10

May 9, 2019

The U.S. Trade Representative (USTR) has announced it will increase the duty on List 3 of China imports from 10 percent to 25 percent effective May 10. The increase includes items covered by the September 2018 action in the USTR’s ongoing Section 301 negotiations regarding China trade policies and practices.

“This move applies primarily to consumer items, like fish, leather goods and a variety of home products,” said Christine J. Sohar Henter, partner with NAFEM’s legal counsel, Barnes & Thornburg. “But NAFEM members need to be aware List 3 also includes items they may need to manufacture foodservice equipment and supplies, like electronic circuit boards, computer chips and chemicals.”

The USTR notice also includes two additional points to note:

(1) increased tariffs will be applied to goods entered for consumption (or withdrawn from warehouse for consumption) on or after 12:01 a.m. EDT on May 10, and exported from China on or after May 10, so goods that were on the water prior to May 10 will not be affected; and

(2) USTR indicates that it will promulgate a product exclusion process by the end of May.

Additional tariffs could be coming, which could mean that all products imported into the U.S. from China would be subject to Section 301 tariffs.

NAFEM will continue to monitor the situation and advocate for a solution to unfair trade practices that does not include tariffs that ultimately hurt American workers and consumers.

For questions on customs classification, exclusions or implementation of additional duties on products covered by this action, contact traderemedy@cbp.dhs.gov.

Categorized in: Advocacy News, Taxes, Tariffs & Trade