The U.S. Trade Representative (USTR), approved their first list of Chinese origin products excluded from Section 301 duties for List 2, granting 292 separate exclusion requests.
Imported product must meet the requirements of one of the 69 specified product descriptions to be excluded from Section 301 duties, and apply to all importers, not just those who applied for the exclusion.
Effective August 23, 2018, Section 301 for List 2 products imposes a 25% additional duty. Approved exclusions are retroactive to the effective date, and extend for one year, until July 30, 2020.
A new HTS number of 9903.88.12 was created for this first tranche of excluded products.
Any further approved exclusions are to be announced by the USTR, periodically.
Section 301 was enacted due to China’s acts, policies, and practices related to technology transfer, intellectual property, and innovation. Please see Customs and Border Protection’s (CBP’s) Section 301 HTSUS Reference Guide for a list of affected tariffs.
Refunds for duties previously paid, which are now excluded, may be applied for using a Post Summary Correction (PSC) for unliquidated entries; or a Protest for entries liquidated within the past 180 days. Requests to extend liquidation may be submitted to CBP by filing a written request before the statutory period expires, showing good cause why the extension should be granted.
Importers should contact their Livingston Service representative to request any applicable PSCs, Protests, or liquidation extensions be filed.
If you have any questions regarding the status of the Section 301 exclusions, Livingston can help! Please contact either your Livingston account manager or our regulatory affairs group at usregaffairs@livingstonintl.com