U.S. Extends Certain Tariff Exclusions Through 2020
In a notice published today in the Federal Register, the U.S. Trade Representative has announced that a fifth group of exclusions on products covered under Chinese import tariffs would be extended through the end of 2020. The move comes after the USTR sought public comment on the exclusions, which had been set to expire in June.
In seeking public comment, the USTR asked whether the particular product or a comparable product is available from sources in the U.S. or other countries, if there had been any changes in the global supply chain in respect to the product or any other relevant industry developments; and if any importers or U.S. purchasers have tried to source the product from the U.S. or other countries. Any product covered under the exclusions is eligible, regardless of whether the importer filed an exclusion request.
To date, the USTR has granted more than 6,200 exclusion requests, has extended some of those exclusions and may consider further extensions of exclusions. Furthermore, more than 8,600 requests are pending on the products covered by the tariffs imposed on Chinese imports.
Click here to read the USTR's federal register notice.
The U.S.-China Phase One Economic and Trade Agreement, seen as a first step to bringing an end to the trade war between the two countries, may be in jeopardy, however. In response to proposed U.S. sanctions on China due to its crack-down on Hong Kong’s sovereignty, Bloomberg reports that the Chinese government has put a hold on purchases of certain U.S. agricultural products, such as soybeans, corn and cotton, as it weighs its options.