New China Tariff Exclusions Announced; Retroactive Refunds Available
© , Sandler, Travis & Rosenberg, P.A. Originally published in the [03/25/2020] issue of the Sandler, Travis & Rosenberg Trade Report. Reprinted by permission.
Foods, bags, clothing, auto parts, and more are among the latest exclusions from the Section 301 additional 25 percent tariff on List 3 goods from China announced by the Office of the U.S. Trade Representative. These exclusions (see attached for complete list) cover goods such as seafood, vegetable seeds, chemicals, rubber hoses and tires, backpacks, bags, tool pouches, gun cases, leather skirts and dresses, corrugated boxes, plates and bowls, yarn and fabrics, marble bathtubs and sinks, stone articles, articles of safety glass, steel and aluminum goods, automobile and engine parts, bandsaws, webbing straps, electric motors, printed circuit boards, vehicle wheels, bicycles, steel racks and shelving units, wood cabinets, laundry organizers, and lamps.
The exclusions are reflected in one 10-digit HTSUS subheading (7002.10.2000 – unworked glass in balls, rods, or tubes) and 176 specially prepared product descriptions covering 202 separate exclusion requests. However, USTR notes that the scope of each exclusion is governed by the product description in its notice and not the descriptions found in any particular request.
These exclusions, which must be claimed using new HTSUS subheading 9903.88.43, will be retroactive to Sept. 24, 2018, and remain in place until Aug. 7, 2020. Importers should review the newly excluded products and apply for refunds of any tariffs paid on such goods since Sept. 24, 2018. Importers may utilize these exclusions for any product that meets the descriptions in the USTR notice, even if they did not request it.
For more information on Section 301 tariffs, including exclusions and how to apply for duty refunds, please contact trade consultant Nicole Bivens Collinson at (202) 730-4956 or trade attorney Kristen Smith at (202) 730-4965.