After the Trump Administration officially revoked India’s participation in the Generalized System of Preference (GSP) on June 5, 2019, India announced that it intends to implement tariffs on roughly 30 HTS-listed items. The items-which include many agricultural goods, such as almonds and apples- would be subjected to 70% duties upon entry.
Many importers, exporters, and international businesses alike may be unaware that avenues exist to ensure that their products remain unabated by protectionist trade policies (think China tariffs).
This blog provides an easy reference overview of five (5) proven and legitimate options for duty-saving opportunities.
We recommend U.S. importers, exporters, and manufacturers to consider these five (5) options as they apply to all products from virtually any country subjected to a tariff, including Section 201 tariffs for solar systems, Section 232 tariffs for aluminum and steel, and the infamous Section 301 Tariffs in place for Chinese originating goods and violations of trade agreements, as well as acts, policies or practices that are unjustifiable, unreasonable, or discriminatory and that burden or restrict U.S. commerce.
Since the inception of the Trade War with China, the Office of the United States’ Trade Representative (USTR) has provided citizens, primarily those in industries directly affected by the imposition of ad valorem duties (tariffs), the opportunity to request that certain products be granted exclusions. Each list of tariffs has its own, specific process to ensure that concerned citizens may voice their opinions as to why given products do not deserve to be subjected to additional duties upon importation, as prescribed in the Section 301 investigation.
As published by the USTR TODAY: USTR Announces Next Steps on Proposed 10 Percent Tariff on Imports from China
The United States Trade Representative (USTR) today announced the next steps in the process of imposing an additional tariff of 10 percent on approximately $300 billion of Chinese imports.
On May 17, 2019, USTR published a list of products imported from China that would be potentially subject to an additional 10 percent tariff. This new tariff will go into effect on September 1 as announced by President Trump on August 1.
Certain products are being removed from the tariff list based on health, safety, national security and other factors and will not face additional tariffs of 10 percent.
Despite the reignition of tensions in May, hopes of reconciliation began to grow in the preeminence of the G-20 international economic forum, held in June. While substantial progress was not made, President Trump and potential dictator for life Xi Jinping appeared to slow the escalation, coming to a bilateral good-faith agreement. Supposedly, the two nations agreed that the United States would soften the sanctions imposed on Chinese tech giant, Huawei, contingent that China begins to repurchase American agricultural products, as well as halt their exportation of Fentanyl.
The tentative “cease-fire” also intended to delay the United States’ imposition of the threatened list 4, which would levy a 25% ad valorem on roughly $300 Billion worth of Chinese goods. The new round of tariffs looms over China, considering that 2019 proved to be their worst fiscal year in recent memory. In fact, this is the most sluggish Chinese economy in nearly three decades, which many directly attribute to President Trump’s vigilant economic policies.
However, approximately a month since the United States graciously showed the illicit regime restraint, China refuses to uphold their end of the bargain. Chinese imports of American agriculture has failed to accelerate, and similarly, their exportation of Fentanyl remains a major health threat to the United States.
“China agreed to…buy agricultural product from the U.S. in large quantities, but did not do so,” President Trump said. “Additionally, my friend President Xi said that he would stop the sale of Fentanyl to the United States—this never […]