Wondering if your Exclusion Request has been granted or denied? Find out here!

Since the inception of the Trade War with China, the Office of the United States’ Trade Representative (USTR) has provided citizens, primarily those in industries directly affected by the imposition of ad valorem duties (tariffs), the opportunity to request that certain products be granted exclusions. Each list of tariffs has its own specific process to ensure that concerned citizens may voice their opinions as to why given products should not be subjected to additional duties upon importation, as prescribed in the Section 301 investigation.

Section 301- List 4 Tariffs in Effect Starting September 1

President Donald Trump, left, poses for a photo with Chinese President Xi Jinping during a meeting on the sidelines of the G-20 summit in Osaka, Japan, Saturday, June 29, 2019. (AP Photo/Susan Walsh) Despite the reignition of tensions in May, hopes of reconciliation began to grow in the preeminence of the G-20 international economic forum, held in June. While substantial progress was not made, President Trump and potential dictator for life Xi Jinping appeared to slow the escalation, coming to a bilateral good-faith agreement. Supposedly, the two nations agreed that the United States would soften the sanctions imposed on Chinese tech giant, Huawei, contingent that China begins to repurchase American agricultural products, as well as halt their exportation of Fentanyl. The tentative “cease-fire” also intended to delay the United States’ imposition of the threatened list 4, which would levy a 25% ad valorem on roughly $300 Billion worth of Chinese goods. The new round of tariffs looms over China, considering that 2019 proved to be their worst fiscal year in recent memory. In fact, this is the most sluggish Chinese economy in nearly three decades, which many directly attribute to President Trump’s vigilant economic policies. However, approximately a month since the United States graciously showed the illicit regime restraint, China refuses to uphold their end of the bargain. Chinese imports of American agriculture has failed to accelerate, and similarly, their exportation of Fentanyl remains a major health threat to the United States. “China agreed to...buy agricultural product from the U.S. in large quantities, but did not do so,” President Trump said. “Additionally, my friend President Xi said that he would stop the sale of Fentanyl to the United States—this never happened, and many Americans continue to die.”

...buy agricultural product from the U.S. in large quantities, but did not do so. Additionally, my friend President Xi said that he would stop the sale of Fentanyl to the United States – this never happened, and many Americans continue to die! Trade talks are continuing, and...

— Donald J. Trump (@realDonaldTrump) August 1, 2019

China’s most recent defiance led President Trump to announce that the US will proceed to implement a 4^th list of tariffs. Despite the fact that the originally proposed list would levy 25% ad valorem, the new list, which is set to go into effect on September 1, will start at a 10% ad valorem tariff (and can be increased to a 25% tariff at a later date). The list still targets $300 Billion worth of goods and is set to affect almost all items not included in List’s 1, 2, and 3. Whereas list’s 1 and 2 affected steel, aluminum, and other metals, list 3 began to cast a wider net. List 4 however, includes a variety of goods ranging from clothing to basic electronics.

TOP 5 Strategies to Mitigate the Impact of Tariffs

Many importers, exporters, and international businesses alike may be unaware that avenues exist to ensure that their products remain unabated by protectionist trade policies (think China tariffs).

This blog provides an easy reference overview of five (5) proven and legitimate options for duty-saving opportunities.

We recommend U.S. importers, exporters, and manufacturers to consider these five (5) options as they apply to all products from virtually any country subjected to a tariff, including Section 201 tariffs for solar systems, Section 232 tariffs for aluminum and steel, and the infamous Section 301 Tariffs in place for Chinese originating goods and violations of trade agreements, as well as acts, policies or practices that are unjustifiable,  unreasonable, or discriminatory and that burden or restrict U.S. commerce.

Deadline Approaching - A Snapshot of Section 301 Duties & Your Options!

The trade war has kept members in the trade industry on their toes – here is a recap.

Effective Dates: 

For importers being hit by additional duties it is crucial to know when the additional duties are effective and must be paid. USTR has now issued three lists under 301 Section Trade Remedies. We urge importers to clearly understand which list their products are subject to and develop a business plan on how to prepare for additional import costs.