The Office of the U.S. Trade Representative (USTR) has issued a Federal Register notice excluding certain List/Tranche 4 products (imports from China with an annual trade value of $300 billion) from Section 301 tariffs of 10 percent. The exemptions cover two 10-digit Harmonized Tariff Schedule (HTS) subheadings and 32 specially-prepared product descriptions, which cover 55 separately submitted exclusion requests.
The excluded HTS subheadings are both within Chapter 52 (Cotton) of the HTS:
- 5210.11.4040 – Woven fabrics of cotton, containing less than 85 percent by weight of cotton, mixed mainly or solely with man-made fibers, weighing not more than 200 g/m²: Unbleached: Plain weave: Of number 42 or lower number: Sheeting.
- 5210.11.6020 – Woven fabrics of cotton, containing less than 85 percent by weight of cotton, mixed mainly or solely with man-made fibers, weighing not more than 200 g/m²: Unbleached: Plain weave: Of numbers 43 to 68: Poplin or broadcloth.
The exclusions with specially-prepared product descriptions include but are not limited to: certain down of ducks or geese; cyanuric chloride; kneeling pads of plastics; certain printed books in Chinese language; certain types of knitted or textile fiber gloves; certain shells for pillows and comforters; certain round wire of nonalloy steel; certain three-way hand-operated valve part of brass, suitable for use as an input part on irrigation-grade valves; certain lithium-ion batteries; optical channel splitters; certain television liquid crystal display (“LCD”) main board assemblies; certain spectacle frames of plastics; certain LCD modules, not capable of receiving or processing a broadcast television signal; certain stainless steel or titanium wristwatch cases; certain watch dials of brass or copper; parts of child safety seats; certain fish hooks; certain mop heads of polyester and rayon; certain tufts of swine hair for incorporation into brushes; and electrical spark lighters.
These exclusions will apply from September 1, 2019, through September 1, 2020. Each exclusion is governed by the scope of the HTS heading and the product description appearing in the annex of the exclusion notice; it is not governed by the product description in any particular exclusion request. U.S. Customs and Border Protection will soon issue instructions on entry guidance and implementation. The USTR will continue to issue determinations on pending requests on a periodic basis.
An exclusion can apply to any product that fits within a description provided in the annex of the Federal Register notice, regardless of which company submitted the original request. Please contact us to discuss whether we can assist in determining if your product might fit within one of these exclusions.