Section 301 List 1 Batch 3 Extension

section 301 list 1 exclusion extension

The United States Trade Representative has granted an extension on some products from the Section 301 List 1 Batch 3 list set to expire on April 18, 2020. The extension is issued for one year expiring on April 18, 2021 and is retroactive to July 6, 2018. The exclusions covered in this extension include eight products.

Product Exclusions Extended until April 18, 2021

• roller machines designed for cutting, etching, or embossing paper, foil, or fabric (HTSUS 8420.10.9080)
• ratchet winches designed for use with textile fabric strapping (HTSUS 8425.39.0100)
• counterweight castings of iron or steel designed for use on fork lift and other works trucks (HTSUS 8431.20.0000)
• tines, carriages, and other goods handling apparatus and parts designed for use on fork lift and other works trucks (HTSUS 8431.20.0000)
• certain parts of metal shredders (HTSUS 8479.90.9496)
• steering wheels designed for watercraft (HTSUS 8479.90.9496)
• pipe brackets of aluminum designed for installation into air brake control valves (HTSUS 8481.90.9040)
• instruments for measuring or checking voltage or electrical connections (HTSUS 9030.33.3800)

Product Exclusions set to Expire on April 18, 2020

The remaining products listed in Section 301 List 1 Batch 3 will expire on April 18, 2020. This means that the items will incur a 25% ad valorem duty if imported from China. The remaining items include:

• pumps for countertop appliances for serving beer (HTSUS 8413.19.0000)
• water oxidizers and chlorinators (HTSUS 8421.21.0000)
• continuous action elevators and conveyors designed to convey mineral materials (HTSUS 8428.33.0000)
• parts of drill sharpening machines (HTSUS 8466.93.9885)
• outer shells of hydraulic accumulators (HTSUS 8479.90.9496)
• parts of mechanical awnings and shades (HTSUS 8479.90.9496)
• pressure regulators of brass or bronze (HTSUS 8481.10.0090)
• push pins and C-poles of steel designed for use in variable force solenoid valves (HTSUS 8481.90.9040)
• ball bearings of a width not exceeding 30 mm (HTSUS 8482.10.5032)
• inductor baseplates of aluminum (HTSUS 8504.90.9690)
• parts of soldering irons and soldering machines (HTSUS 8515.90.4000)
• motor vehicle gear shift switch assemblies (HTSUS 8536.50.9065)
• pressure switches designed for use in heat pumps and air-conditioning condensers (HTSUS 8536.50.9065)

Background

On August 18, 2017, USTR initiated an investigation into certain acts, policies and practices of the Government of China related to technology transfer, intellectual property and innovation (82 FR 40213). During the investigation, the Trade Representative determined that the acts, policies and practices of China under investigation are unreasonable or discriminatory and burden or restrict U.S. commerce, and are thus actionable under Section 301(b) of the Trade Act of 1974, as amended (Trade Act).

In response, President Trump initiated a number of actions which imposed ad valorem tariffs on certain imports originating in China.  Four separate lists have been announced.  To view the most up to date information, check out our debriefing on Section 301 Imports from China.  This post indicates effective dates, duty rates, and more.

What to do

Scarbrough Consulting, Inc. is offering a free 30-minute consultation to any company that may be affected by the Section 301 announcements.  Please send an email to consulting@scarbrough-intl.com or fill out the form below.  Our Global Trade Experts and Licensed Customs brokers are here to help.

Other ways to Learn More about Duty Savings

If the Section 301 tariffs are affecting your company, watch this webinar recording to learn more.  Scarbrough’s President and COO, Adam Hill, along with Patrick Caulfield, an attorney at GDLSK, an international trade and customs law firm, talk about legal opportunities to recover or avoid paying duty to CBP.  This is an interactive webinar set up as a question/answer forum.

Resources

To read more about Section 301, visit USTR.gov
USTR Search Tool, click here.