The Office of the U.S. Trade Representative (“USTR”) has issued two notices requesting comments on whether certain soon to expire China 301 tariff exclusions should be extended. The exclusions at issue are described below:
- China 301 List 1 – The sixth set of exclusions which were issued in July 2019 and are scheduled to expire on July 9, 2020. A description of the 110 exclusions at issue can be accessed at: https://ustr.gov/sites/default/files/enforcement/301Investigations/Notice_of_Product_Exclusions.pdf.
- China 301 List 2 – The first set of exclusions which were issued in July 2019 and are scheduled to expire on July 31, 2020. A description of the 69 exclusions at issue can be accessed at: https://ustr.gov/sites/default/files/enforcement/301Investigations/16_Billion_Exclusions_Granted.pdf.
The USTR will evaluate the potential extensions on a case-by-case basis. The focus will be on whether the particular product remains available only from China. Factors to be considered include:
- Whether the particular product and/or a comparable product is available from sources in the United States and/or in third countries.
- Any changes in the global supply chain with respect to the particular product or any other relevant industry developments.
- The efforts, if any, the importers or U.S. purchasers have undertaken to source the product from the United States or third countries.
- Whether the imposition of additional duties on the products covered by the exclusion will result in severe economic harm to the commenter or other U.S. interests.
Any comments must be submitted in a specified format on the UTRS’s 301 web portal and address particular data points solicited by the portal. A separate comment must be submitted for each exclusion. The dockets for each of the above two actions will remain open from May 1, 2020, to June 1, 2020.
Should you have any questions or would like assistance in preparing comments in support of extensions for the above China 301 exclusions, please do not hesitate to contact our office.