The Office of the U.S. Trade Representative (“USTR”) announced on August 13, 2019 that several goods included on the upcoming tranche 4 of Section 301 tariffs, including laptops, computer monitors, cell phones, video game consoles, certain toys and certain items of footwear and clothing, will not face additional 10 percent tariffs until December 15, 2019. The agency also said there will be some products excluded entirely from the new set of tariffs for health, safety, national security or “other factors.”
USTR released the tariff lines that will not face additional tariffs until December 15, 2019 and the list is far broader than originally anticipated. The list of products includes electronics, clothes and toys, chemicals, food, camping gear, blankets, baby items, sports equipment, watches, clocks, small appliances, wooden hangers and fireworks, along with a wide variety of clothes and electronics. The list of products on which tranche 4 tariffs are delayed potentially includes more than 650 individual tariff lines.
The list of goods that will be subject to the additional 10% duties starting September 1, 2019 was also released, and covers food, beverages, chemicals, glasses and tableware, blinds, clothing in chapters 6101 through 6117; clothing in chapters 6201 through 6217, blankets, bed linens, tablecloths, footwear in chapters 6401 through 6406, and several more items.
This latest tranche of tariffs effectively covers almost all exports from China. While talks are still pending for Fall 2019, the trade war with China continues to escalate.
Husch Blackwell’s International Trade and Supply Chain team will continue to monitor this situation. For more information on the Section 301 tariffs on China, please contact Jeffrey Neeley, Nithya Nagarajan, Cortney Morgan, Robert Stang, or Beau Jackson.