Commerce Lists EU Tariff Exemptions Starting Sept. 1, Says Auto Tariff Deal Starts Aug. 1
Tariff cuts for automobiles and auto parts will take effect Aug. 1, said the Commerce Department in a notice implementing that and other parts of the recent U.S.-EU trade deal.
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According to the notice, passenger vehicles and light trucks with an most-favored nation duty rate of over 15% should be filed under new subheading 9903.94.50, with no reciprocal tariff applicable. Passenger vehicles and light trucks with an MFN rate rate under 15% will pay a flat 15% tariff that includes both the MFN and the reciprocal rate under new subheading 9903.94.51.
The same tariff treatment is provided to auto parts, under new subheadings 9903.94.52 and 9903.94.53.
Effective Sept. 1, the notice adds exemptions under new subheading 9903.02.74 from reciprocal tariffs on the EU for over 200 subheadings covering unavailable natural resources of Chapters 7, 8, 9, 25, 26, 28, 31, 32, 36, 38, 45, 50, 71, 72, 79, 80, and 81.
New subheading 9903.02.75 provides for reciprocal-tariff free treatment to the EU for “Essential oils other than those of citrus fruit, other, nesoi, for religious purposes only (classifiable in subheading 3301.29.51).”
Also effective Sept. 1, EU civil aircraft and civil aircraft parts imported under over 550 subheadings of Chapters 39, 40, 48, 68, 70, 73, 74, 76, 81, 83, 84, 85, 88, 90, 91, 94, 96, 98 are duty free under new subheading 9903.02.76.
Likewise, starting Sept. 1, new subheading 9903.02.77 exempts EU pharmaceutical products under 779 subheadings in the tariff schedule.