On August 1, 2019, President Trump announced in a tweet that the United States will impose a duty of 10 percent on $300 billion of Chinese imports beginning on September 1, 2019.
As of the issuance of this alert, the Office of the United States Trade Representative (“USTR”) has not released the final list of imports that will be subject to the 10 percent tariffs, but the list is expected to include most of the remaining categories of imports from China that have not yet been subject to Section 301 tariffs.
In May, USTR issued a proposed list of items that could be subject to the additional tariffs. Subsequently, USTR solicited public comments on the proposed list, including whether certain products should be added or removed. A week-long public hearing was held from June 17 through June 25, 2019, and final comments were accepted through July 2, 2019.
On the sidelines of the G-20 Summit in Osaka, Japan at the end of June, President Trump announced that additional tariffs would not be implemented while negotiations continued. The latest tweet by the President changes that position.
As proposed by USTR in May 2019, the latest tariffs would effectively cover most of the remaining U.S. imports from China, including the following categories:
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Agricultural and food products, including meat, dairy, produce, and alcohol;
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Industrial chemicals, minerals, and other raw materials;
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Live animals including livestock, insects, and birds;
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Steel and aluminum products currently excluded from List 1 duties during the comment period but subject to additional duties under Section 232;
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Other base metals;
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Textiles and apparel, including footwear;
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Household goods;
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Jewelry, gemstones, and precious metals;
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Machinery, computers, televisions, and other electronics;
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Vehicles including motorcycles, watercraft, and aircraft;
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Numerous categories of scrap and waste materials;
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Firearms, ammunition, and other weapons;
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Recreational equipment;
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Personal hygiene and grooming items; and
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Books and artwork.
It remains to be seen whether the final list that is expected to be released shortly by USTR will include all of these products or whether certain products may be exempted. The latest tariffs will be in addition to any existing customs duties and antidumping and countervailing duties on any products on the final list.