December 9, 2019

December 09, 2019

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USTR Announces Fourth List of Chinese Imports for Section 301 Tariffs

The Office of the United States Trade Representative (“USTR”) on May 13, 2019, released a list of $300 billion of Chinese imports that it is proposing to be subject to 25 percent duties. The announcement follows a May 5, 2019, statement by President Trump that all remaining imports from China not already covered by Section 301 would soon be subject to additional duties.

The additional products listed in the May 13 announcement effectively cover most of the remaining U.S. imports from China, including the following categories:

  • Agricultural and food products, including meat, dairy, produce, and alcohol;
  • Industrial chemicals, minerals, and other raw materials;
  • Live animals including livestock, insects, and birds;
  • Steel and aluminum products currently excluded from List 1 duties during the comment period but subject to additional duties under Section 232;
  • Other base metals;
  • Textiles and apparel, including footwear;
  • Household goods;
  • Jewelry, gemstones, and precious metals;
  • Machinery, computers, televisions, and other electronics;
  • Vehicles including motorcycles, watercraft, and aircraft;
  • Numerous categories of scrap and waste materials;
  • Firearms, ammunition, and other weapons;
  • Recreational equipment;
  • Personal hygiene and grooming items; and
  • Books and artwork.

Numerous HTS subheadings that were removed via the comment and hearing process from the $34 billion (“List 1”), $16 billion (“List 2”) and $200 billion (“List 3”) lists are included in the new $300 billion list (“List 4”). However, the notice states that products excluded via the formal exclusion process for Lists 1 and 2 will not be affected. Nevertheless, if your product was excluded from either List 1 or 2 (as opposed to being removed via the comment and hearing process), we recommend checking to see that the products were not inadvertently included on List 4.

The proposed tariffs will be in addition to any existing customs duties and antidumping and countervailing duties.

USTR will be holding a notice-and-comment period, with the following key dates:

  • June 10, 2019: Due date for filing requests to appear and a summary of expected testimony at the public hearing.
  • June 17, 2019: Due date for submission of written comments.
  • June 17, 2019: The Section 301 Committee will convene a public hearing in the main hearing room of the U.S. International Trade Commission, 500 E Street SW, Washington, DC that begins at 9:30 a.m.

The duration of the hearing has not yet been determined, and the hearing may last for more than one day. Post-hearing rebuttal comments are due seven days after the last day of the hearing, likely during the week of Monday, June 24, 2019.

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About this Author

Douglass Heffner, International trade lawyer, Drinker Biddle
Partner

Douglas J. Heffner litigates customs and international trade matters including antidumping duty, countervailing duty and safeguard cases. He represents foreign companies in Canada, Europe, Japan and Mexico, as well as domestic producers in industries that range from high-tech to heavy industry, to consumer and industrial goods. He also represents trade associations, government agencies and embassies in a broad range of matters.

202-230-5802
Nate Bolin, Drinker Biddle Law Firm, Washington DC, Litigation Law Attorney
Partner

Nate Bolin has significant experience advising clients in compliance, transactional, litigation, policy and regulatory matters involving U.S. export controls, U.S. International Traffic in Arms Regulations (ITAR), economic sanctions, and related areas of national security and international trade law.

In corporate transactions and mergers and acquisitions, Nate regularly advises buyers, sellers and investors on the impact of U.S. export controls, customs laws, trade remedy laws, existing bilateral and multilateral trade agreements, and ongoing negotiations of new trade agreements on potential, pending and completed deals. He also counsels clients on strategic use of these laws to grow their businesses and add value to their investments.

 

(202) 230-5888
James Sawyer, Drinker Biddle Law Firm, Chicago, Trade Law Attorney
Partner

James L. Sawyer counsels clients in all areas of U.S. import laws and regulations, including tariff classification, valuation, origin determination and marking, Free Trade Agreements, and duty preference programs. He chairs the firm’s Customs and International Trade Team and is the Regional Partner in Charge of the firm's Chicago office.

James represents clients in enforcement proceedings and investigations, Focused Assessment audits, and other verification proceedings conducted by U.S. Customs and Border Protection (CBP). He frequently assists clients craft...

312-569-1156
Kathleen Murphy, International trade Lawyer, Drinker Biddle
Partner

Kathleen M. Murphy counsels clients on maximizing trade benefits, making informed global procurement decisions and developing domestic and international trade compliance programs. She represents clients in duty-recovery initiatives and customs challenges concerning tariff classification, valuation, Free Trade Agreements and country of origin determinations, among other areas. She guides clients through compliance audits and validations, as well as penalty investigations conducted by U.S. or foreign customs authorities. She also represents clients in...

312-569-1155
William Rucker, Drinker Biddle Law Firm, International Trade and Customs Specialist
Partner

William R. “Randy” Rucker assists clients with all aspects of U.S. Customs law, including the classification and valuation of merchandise, country of origin and marking determinations, quantitative import restraints, duty-preference and savings programs, understanding and receiving the benefits of free trade agreements, compliance audits, enforcement actions and other trade-related matters.

In order to assist clients with their compliance efforts and satisfy "reasonable care" requirements, Randy frequently performs reviews of companies' internal...

312-569-1157