Backpacks imported from China that faced a 10% tariff, then a 15% tariff, then a 7.5% tariff -- in addition to the standard 17.6% tariff -- can now be excluded from the additional tariff, as long as they are a certain size. Luggage stores that fretted over tariffs that first went up in October 2018 (see 1905090012) say the break won't make a difference now.
The United States notified the World Trade Organization that it has fully complied with the WTO's findings in the Boeing subsidies dispute, the Office of the U.S. Trade Representative said May 6. The European Union and U.S. have been battling for 15 years over whose subsidies to their aircraft manufacturers distort trade. The WTO has said that both sides were in the wrong, and the U.S. currently has Section 301 tariffs on about $7.5 billion worth of European aircraft, food, apparel, linens, tools, wine and spirits in a WTO-sanctioned retaliation for past Airbus subsidies.
International Trade Today is providing readers with some of the top stories for April 27 - May 1 in case they were missed.
The Office of the U.S Trade Representative issued some new product exclusions from Section 301 tariffs on the third list of products from China, according to a pre-publication copy of a notice posted to the agency’s website May 4 (see 2005050002). The product exclusions apply retroactively to Sept. 24, 2018, the date the tariffs on the third list took effect, and will remain in effect until Aug. 7, 2020. New subheading 9903.88.46 will be used for these products.
The Office of the U.S. Trade Representative issued another group of product exclusions from the third group of Section 301 tariffs on goods from China. The new exclusions from the tariffs include "two 10-digit HTSUS subheadings, which cover 15 separate exclusion requests, and 144 specially prepared product descriptions, which cover 170 separate exclusion requests," according to the notice. The product exclusions apply retroactively to Sept. 24, 2018, the date the third set of tariffs took effect. The exclusions will remain in effect until Aug. 7, 2020.
During a Fox News town hall held at the Lincoln Memorial May 3, President Donald Trump was asked if he would hike tariffs on Chinese goods as a punishment for its role in the coronavirus COVID-19 outbreak. “Well, it's the ultimate punishment, I will tell you that,” Trump said. He said he didn't want to say “because, you know, we're all playing a very complicated game of chess or poker. Name whatever you want to name, but it's not checkers -- that, I can tell you. We have a very complicated game going.”
CBP issued the following releases on commercial trade and related matters:
CBP added on April 30 the ability in ACE for importers to file entries with recently excluded goods in the third tranche of Section 301 tariffs, it said in a CSMS message. The official Office of the U.S. Trade Representative notice for the exclusions was published on April 24 (see 2004230010). The exclusions are in subheading 9903.88.45. The exclusions are available for any product that meets the description in the Annex to USTR’s notice, regardless of whether the importer filed an exclusion request. The product exclusions apply retroactively to Sept. 24, 2018, and will expire after Aug. 7, 2020. The CSMS message also includes a summary of Section 301 duties that shows information on each tranche of tariffs and granted product exclusions.
CBP reminded importers that they may request extensions of liquidation to preserve their right to refunds of sections 232 and 301 tariffs when liquidation is approaching but their requests for tariff exclusions are still pending, in a CSMS message sent May 1. “Given the potential retroactive application of Section 232 and Section 301 product exclusions, in situations where the importer has requested a product exclusion and the request is pending with the [Commerce Department] or [the Office of the U.S. Trade Representative], the importer or their licensed representative may submit a request to extend the liquidation of impacted unliquidated entry summaries to CBP,” CBP said.
The International Trade Commission identified 112 tariff lines in a report on goods needed to fight COVID-19, and House Ways and Means Committee Chairman Richard Neal, D-Mass., is asking that all duties be suspended for 90 days on those goods. The majority of the 112 tariff lines are covered neither by Section 301 nor by Most Favored Nation duties, so are currently duty free.