On October 2, 2020, the Office of the United States Trade Representative (“USTR”) announced extensions for certain expiring exclusions from the China 301 List 1 (the $34 billion trade action) and List 2 tariffs (the $16 billion trade action).
To date, ten sets of exclusions have been issued in connection with List 1. The eighth set of exclusions issued in October 2019 (and additional exclusions issued in December 2019 and February 2020) is scheduled to expire on October 2, 2020. Three sets of exclusions have been issued in connection with List 2. The third set of exclusions issued in September 2019 (and additional exclusions issued in February and July 2020) is also scheduled to expire on October 2, 2020. The USTR has announced that the expiration dates of some such exclusions (see below) will be extended effective with respect to entries on or after October 2, 2020 and through December 31, 2020. The announced action is consistent with recent statements by the USTR to not grant exclusions / extensions beyond the end of this year.
Unless extended under the current action or prior actions, exclusions will expire on their previously scheduled expiration date. If you have any questions on the status of any particular China 301 exclusion(s), please contact our office.
Separately, a new challenge has been filed in the US Court of International Trade (CIT) contesting the assessment of China 301 duties on List 3 and List 4 items (more information at: https://www.gdlsk.com/new-legal-challenge-to-list-3-and-4-china-tariffs-immediate-action-required-to-preserve-rights-to-refunds/).
LIST 1 (TRANCHE 8+) EXCLUSIONS EXTENDED (9903.88.60/New U.S. Note 20(mmm)
(1) 9030.90.4600
(2) Chemically etched dies of steel, steel-rule cutting dies, movable magnetic dies, embossing folders and plastic embossing diffusers, of a kind used in manually powered roller machines for etching or stenciling a single sheet of cardstock, paper, leather, flexible magnet, plastics, metallic foil, vellum, felt or fabric, such sheets measuring not more than 50.8 cm in width or length (described in statistical reporting number 8420.99.9000)
(3) Operator riding self-propelled aerial work platforms of a kind described in statistical note 1 to chapter 84 effective July 1, 2019, to December 31, 2019, or in statistical note 2 to chapter 84 effective January 1, 2020, powered by an electric motor, with a load capacity not exceeding 1,400 kg (described in statistical reporting number 8427.10.8010 prior to July 1, 2019; described in statistical reporting number 8427.10.8020 effective July 1, 2019)
(4) Cement retainer assemblies with diameter of 4.5 cm or more but not exceeding 51 cm and length of 30.5 cm or more but not exceeding 72 cm, composed of cylindrical cast iron components, nitrile rubber seal and brass back-up rings, suitable for use solely or principally with the machinery of subheadings 8430.41 or 8430.49 (described in statistical reporting number 8431.43.8060)
(5) Extrusion machines for processing rubber, twin-screw type, designed to produce inner liners for tires (described in statistical reporting number 8477.20.0015)
(6) Safety valves, of brass or bronze, containing a fusible element to automatically close the valve at a set temperature, each valued not over $5 (described in statistical reporting number 8481.40.0000)
(7) DC electric motors, of an output of less than 18.65 W, other than brushless, measuring less than 38 mm in diameter (described in statistical reporting number 8501.10.4060)
(8) DC motors, electronically commutated, three-phase, eight-pole of a kind used in
HVAC systems, of an output of 750 W, valued not over $100 each (described in statistical reporting number 8501.31.6000)
(9) Combined positron emission tomography/computed tomography (PET/CT) scanners which utilize multiple PET gantries (frames) on a common base (described in statistical reporting number 9022.12.0000)
On a technical note, the USTR provided a table setting forth the original and extended U.S. Note and Chapter 99 subheading references for each of the extended items. The notice can be accessed at: Notice of Extensions for Exclusions Expiring October 2, 2020.
LIST 2 (TRANCHE 3+) EXCLUSIONS EXTENDED (9903.88.61/New U.S. Note 20(nnn)
(1) Elastomeric petroleum resins (CAS No. 64742-16-1) (described in statistical reporting number 3911.10.0000)
(2) Machine tool stands having leveling, stabilizing, attachment or other special features (described in statistical reporting number 8466.30.8000)
(3) Electric motors, with an output of 18.65 W or more but not exceeding 37.5 W, with attached cables, designed for use in adjusting motor vehicle seats (described in statistical reporting number 8501.10.6080)
(4) DC electric motors, 12 V, with an output exceeding 74.6 W but not exceeding 735 W, with lead wires and electrical connector, measuring not over 75 mm outside diameter, with a housing not over 100 mm in length and a shaft not over 60 mm in length (described in statistical reporting number 8501.31.4000)
(5) DC electric motors, 12 V, with an output not exceeding 515 W, measuring not over 95 mm in outside diameter, not over 155 mm in length and with a shaft not over 30 mm in length (described in statistical reporting number 8501.31.4000)
(6) DC electric motors, 120 V, with an output not exceeding 90 W, measuring not over 90 mm long by 35 mm wide by 35 mm high (described in statistical reporting number 8501.31.4000)
(7) DC electric motors, 13.5 V, with an output not exceeding 110 W, measuring not over 75 mm outside diameter, housing not over 120 mm long, a shaft not over 55 mm long and with a mounting flange not over 150 mm (described in statistical reporting number 8501.31.4000)
(8) DC electric motors, 230 V, with an output not exceeding 140 W, measuring not more than 45 mm in diameter and not over 100 mm in length (described in statistical reporting number 8501.31.4000)
(9) DC electric motors, 230 V, with output not exceeding 85 W, measuring not more than 90 mm in length by 35 mm in width by 35 mm in height (described in statistical reporting number 8501.31.4000)
(10) DC electric motors, 24 V, with an output not exceeding 515 W, measuring not over 95 mm in outside diameter, not over 155 mm in length and with a shaft not over 30 mm in length (described in statistical reporting number 8501.31.4000)
(11) DC electric motors, with an output exceeding 74.6 W but not exceeding 735 W, containing lead wires and an electrical connector (described in statistical reporting number 8501.31.4000)
(12) DC motors with a power output exceeding 74.6 W but not exceeding 230 W, measuring less than 105 mm in diameter and 50 mm or more but not over 100 mm in length (described in statistical reporting number 8501.31.4000)
(13) DC motors, of an output exceeding 74.6 W but not exceeding 735 W, each valued not over $18 (described in statistical reporting number 8501.31.4000)
(14) Direct Current (DC) permanent magnet motors rated at 90 W or more but not over 110 W and 24 V with torque of 65 Newton meters (Nm) and 2,035 Nm, incorporating a wheel that can manually actuate a valve (described in statistical reporting number 8501.31.4000)
(15) Ground Fault Circuit Interrupters (GFCIs), Appliance Leakage Current Interrupters (ALCIs), Leakage Current Detection Interrupters (LCDIs), and Arc Fault Circuit Interrupters (AFCIs) (described in statistical reporting number 8536.30.8000)
(16) Electronic AC passive infrared (PIR) motion sensing switches (described in statistical reporting number 8536.50.7000)
(17) Bottom shelf coupler assemblies designed for use with coupling systems of vehicles of heading 8605 or 8606 (described in statistical reporting number 8607.30.1000)
(18) Buffering/cushioning front retainer plates, designed for use with buffering/cushioning systems of vehicles of heading 8605 or 8606 (described in statistical reporting number 8607.30.1000)
(19) Buffering/cushioning intermediate aligning and overtravel protection members, designed for use with buffering/cushioning systems of vehicles of heading 8605 or 8606 (described in statistical reporting number 8607.30.1000)
(20) Buffering/cushioning rear aligning and overtravel protection members designed for use with buffering/cushioning systems of vehicles of heading 8605 or 8606 (described in statistical reporting number 8607.30.1000)
(21) Buffering/cushioning rear structural units, designed for use with buffering/cushioning systems of vehicles of heading 8605 or 8606 (described in statistical reporting number 8607.30.1000)
(22) Buffering/cushioning retention and alignment shafts, designed for use with buffering/cushioning systems of vehicles of heading 8605 or 8606 (described in statistical reporting number 8607.30.1000)
(23) Buffering/cushioning retention caps, designed for use with buffering/cushioning systems of freight railcars of heading 8606 (described in statistical reporting number 8607.30.1000)
(24) Draft pack rear aligning and overtravel protection members, designed for use with hybrid railcar cushioning systems of freight railcars of heading 8606 (described in statistical reporting number 8607.30.1000)
(25) Follower block plates, designed for use with buffering/cushioning systems of freight railcars of heading 8606 (described in statistical reporting number 8607.30.1000)
(26) Type F knuckles, designed for use with coupling systems of vehicles of heading 8605 or 8606 (described in statistical reporting number 8607.30.1000)
(27) Digital clinical thermometers, valued not over $11 each (described in statistical reporting number 9025.19.8040 prior to July 1, 2020; described in statistical reporting number 9025.19.8010 or 9025.19.8020 effective July 1, 2020)
(28) Portable, wireless enabled, electrical gas monitors (described in statistical reporting number 9027.10.2000)
Here too, the USTR provided a table setting forth the original and extended U.S. Note and Chapter 99 subheading references for each of the extended items. The notice can be accessed at:
Notice of Extensions for Exclusions Expiring October 2, 2020.
Should you have any questions regarding the status of any China 301 exclusion or wish to discuss the potential opportunity to contest the assessment of China 301 duties, please do not hesitate to contact us.
