Mar 09

Section 301 List 4 Product Exclusions

On March 10, 2020, the United States Trade Representative granted the first list of product exclusions for Section 301 List 4 products. The exclusions cover 8 10-digit HTS subheadings that reflect 59 exclusion requests. The exclusions are available for any product that meets the description in the Annex, regardless of whether the importer filed an exclusion request. Further, the scope of each exclusion is governed by the scope of the 10-digit HTSUS subheading as described in the Annex, and not by the product descriptions set out in any particular request for exclusion. Customs entries will use the subheading 9903.88.39.

Exclusions will be retroactive to September 1, 2019 and will remain into effect until September 1, 2020. The exclusions comprise of different medical supplies, and were most likely pushed due to the coronavirus outbreak.

The exclusions include the following HTS Numbers:

3401.19.0000
Soap; organic surface-active products and preparations for use as soap, in the form of bars, cakes, molded pieces or shapes, whether or not containing soap; organic surface-active products and preparations for washing the skin, in the form of liquid or cream and put up for retail sale, whether or not containing soap; paper, wadding, felt and nonwovens, impregnated, coated or covered with soap or detergent: Other
3926.90.9910
Other articles of plastics and articles of other materials of headings 3901 to 3914: (con…) Laboratory ware.
4015.19.0510
Articles of apparel and clothing accessories (including gloves, mittens and mitts), for all purposes, of vulcanized rubber other than hard rubber: Gloves, mittens and mitts: Medical: Of natural rubber
4015.19.0550
Articles of apparel and clothing accessories (including gloves, mittens and mitts), for all purposes, of vulcanized rubber other than hard rubber: Gloves, mittens and mitts: Medical: Of other
4818.90.0000
Toilet paper and similar paper, cellulose wadding or webs of cellulose fibers, of a kind used for household or sanitary purposes, in rolls of a width not exceeding 36 cm, or cut to size or shape; handkerchiefs, cleansing tissues, towels, tablecloths, table napkins, bed sheets and similar household, sanitary or hospital articles, articles of apparel and clothing accessories, of paper pulp, paper, cellulose wadding or webs of cellulose fibers: Other
6210.10.5000
Garments, made up of fabrics of heading 5602, 5603, 5903, 5906 or 5907: Other: Nonwoven disposable apparel designed for use in hospitals, clinics, laboratories or contaminated areas
6307.90.6090
Other made up articles, including dress patterns: Surgical drapes: Of fabric formed on a base of paper or covered or lined with paper: Other
6307.90.6800
Other made up articles, including dress patterns: Surgical drapes: Spunlaced or bonded fiber fabric disposable surgical drapes of man-made fibers

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.

Consulting

Scarbrough is offering a FREE 30-minute consultation to any importer affected by the Section 301 Tariffs. Email consulting@scarbrough-intl.com or fill out the form below.

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.