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.
The U.S. Trade Representative is proposing an additional 10 percent tariff on 6,031 8-digit tariff lines -- about $200 billion worth of imports. Those who wish to testify for or against the inclusion of an item on the list must file by July 27, and written comments are due by August 17. Hearings will be held August 20-23. Senior government officials said a decision on tariffs will be made sometime after August 30.
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.
CBP created Harmonized System Update (HSU) 1811 on July 3, containing 675 Automated Broker Interface records and 116 harmonized tariff records, it said in a CSMS message. The update includes changes related to the Section 301 tariffs on goods from China that take effect July 6, CBP said.
Correction: Section 301 duties on products from China that are set to begin July 6 will be eligible for drawback (see 1807030033), CBP said in a CSMS message.
CBP will begin to apply a 25 percent Section 301 duty on goods found on a list of 818 8-digit tariff subheadings with country of origin China that are entered on or after 12:01 a.m. Eastern time July 6, said Alex Amdur, CBP director-antidumping and countervailing duty policy and programs, on a call held July 5 to answer questions from the trade community. Based on country of origin, not country of export, the tariffs will be applied based on the date of entry, and goods with an entry date prior to July 6 will not be subject, including in cases in which the filers “elect” such an entry date.
Drawback will be available on entries subject to 25 percent Section 301 tariffs set to take effect July 6 on products from China, CBP said in updated guidance on the new tariffs. CBP also said that, when submitting an entry in which a heading or subheading in Chapter 98 is claimed on merchandise covered by the Section 301 tariffs, filers must first report subheading 9903.88.01 (the Chapter 99 subheading for the duties), followed by the applicable Chapter 98 subheading and the normal Chapter 1-97 classification. USTR released its final list of tariff subheadings covered by the tariffs on June 15 (see 1806150003).
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