A hearing on proposed Section 232 tariffs on automobiles, including cars, SUVs, vans and light trucks, and automotive parts, will only take place on July 19, with a subsequent day of hearings unnecessary due to a lack of requests to testify, the Commerce Department said. Commerce had originally scheduled the hearings for July 19 and 20 (see 1805290056), but only 45 requests to appear at the hearing were received. “Because these requests can all be accommodated on a single day, the second day of the hearing originally scheduled for July 20 is cancelled,” Commerce said. “The hearing will be held on July 19 only. The hearing will begin at 8:30 am and will end at 5:30 pm.” The hearing will still be held at Commerce Department headquarters in Washington.
A bipartisan bill that would require congressional approval before tariffs are imposed on national security grounds was introduced in the House of Representatives July 11. Like the so-far-unsuccessful efforts of Sen. Bob Corker, R-Tenn., the bill would be retroactive. The Section 232 tariffs and quotas on aluminum and steel would be rolled back after passage, and approval of those actions would be needed before they could resume.
It's only a "baby step" toward sparing Canada, Mexico and the European Union from steel and aluminum tariffs, as Sen. Bob Corker, R-Tenn., said, but 88 senators issued a rebuke of how the president has justified steel and aluminum tariffs under the guise of national security. Eleven senators -- all Republicans -- voted no, including both senators from Idaho, Wyoming and South Carolina. The last state could be badly damaged if President Donald Trump levies tariffs on imported auto parts under the same national security justification. Corker's home state of Tennessee also would be vulnerable if an auto parts tariff is implemented.
The Office of the U.S. Trade Representative’s list of proposed tariff subheadings set for an additional 10 percent tariff on $200 billion in imports from China covers wide swaths of the tariff schedule that initially avoided Section 301 tariffs imposed July 6. While the 25 percent tariff already in place affects only goods of Chapters 84, 85, 86, 87, 88, 89 and 90 (with a few exceptions), USTR’s proposed list of additional subheadings includes products from nearly all sectors of the tariff schedule, with the notable exceptions of footwear and apparel and pharmaceuticals.
The Consumer Technology Association, the National Retail Federation and the Semiconductor Industry Association are among groups and companies requesting to appear at a July 24 Office of the U.S. Trade Representative hearing about the Section 301 tariffs on a second list of 284 lines of Chinese-sourced products proposed for the higher duties (see 1806210029). The Retail Industry Leaders Association and the National Association of Foreign-Trade Zones are also among the commenters in docket USTR-2018-0018. Written comments are due July 23, and post-hearing rebuttal comments, July 31.
Nearly two weeks after the last batch of Section 232 tariff exclusion determinations were posted, the Bureau of Industry and Security posted eight more denials, all for Borusan Mannesmann Pipe in Texas, a Turkish-owned oil country tubular goods production facility.
CBP on July 6 published additional guidance on the application of Section 232 tariffs to steel and aluminum products. A CSMS message issued by the agency includes an overview of requirements for foreign-trade zone admissions for products covered by the tariffs, as well as information on the application of Chapter 98 provisions, temporary importations under bond, and NAFTA originating goods and duty deferral restrictions.
The Office of the U.S. Trade Representative on July 6 announced procedures for requesting product exclusions from Section 301 tariffs on products from China, on the same day that the 25 percent tariffs took effect (see 1807060012). Exclusion requests will be due by Oct. 9, and if granted will apply retroactively starting from July 6. Exclusions will be made on a “product basis,” so “a particular exclusion will apply to all imports of the product, regardless of whether the importer filed a request,” USTR said.
At 12:01 a.m. July 6, the additional 25 percent tariffs against Chinese imports across 818 8-digit tariff lines went into effect. Within a minute, China hit back, imposing a 25 percent tariff on 545 tariff lines. The Chinese government said the U.S. has started "the largest trade war in economic history." China said "the duties are typical bullying behavior, which will have a serious impact on the global industrial and value chain and will hinder the pace of global economic recovery, [and] trigger global market turmoil," according to an unofficial translation.
The following lawsuits were filed at the Court of International Trade during the week of June 25 - July 1: