New Changes to Reciprocal Tariff Exemptions Take Effect Sept. 8
President Donald Trump issued an executive order Sept. 5 adding and removing goods from the “Annex II” list of goods exempt from reciprocal tariffs. The changes take effect at 12:01 a.m. ET Sept. 8.
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New exemptions from reciprocal tariffs will cover goods of Chapters 25, 26, 28, 29, 47, 71, 72. 75 and 85. That includes “bullion-related articles and certain critical minerals and pharmaceutical products subject to pending Section 232 investigations,” said a White House fact sheet.
Goods newly covered by reciprocal tariffs because they were removed from the Annex II list include aluminum hydroxide, resin, and silicone products, said the fact sheet. The removed subheadings are in Chapters 28, 38 and 39.
The annexes to the order also include a list of "Potential Tariff Adjustments for Aligned Partners," which is a list of "list of imports for which I may be willing to provide a zero percent reciprocal tariff rate" under various trade deals, including those with the U.S. the EU. That includes "products that cannot be grown, mined, or naturally produced in the United States or grown, mined, or naturally produced in sufficient quantities in the United States to satisfy domestic demand; certain agricultural products; aircraft and aircraft parts; and non-patented articles for use in pharmaceutical applications."
The executive order also says “it is necessary and appropriate to implement the tariff modifications” in the recent U.S.-EU deal, though the order only delegates those steps to the relevant agencies, rather than making the modifications itself.