On August 6, 2020, the U.S. Trade Representative (USTR) announced the extension of two-hundred and sixty-six (266) China Section 301 List 3 product exclusions set to expire on August 7, 2020. The remaining seven-hundred and thirty-one (731) List 3 product exclusions will expire after tomorrow. The USTR action concerns all List 3 product exclusions that were approved during the April 2019 to March 2020 and April to May 2020 periods. These product exclusions were subject to different comment processes but were all scheduled to expire after tomorrow. The two-hundred and sixty-six (266) extended List 3 product exclusions cover a very wide range of products, such as certain seafood, chemicals, catalysts, disposable gloves, fabrics, glass, internal combustion engine parts, pumps, printed circuit board assemblies, ratchet straps, electric motors, converters, conductors, bicycles and bicycle parts, chairs, etc. These extended China Section 301 List 3 product exclusions will expire on December 31, 2020.
Additionally, the USTR also announced ten (10) new China Section 301 List 4A product exclusions. These product exclusions are outlined in one (1) ten-digit HTSUS classification covering thermal transfer printing units and nine (9) special product descriptions providing for certain doorway dust barrier kits and parts, locking zip tie fasteners, decorative glassware, digital optical scanners, slingshots, swing sets, and trap shooting launchers. These China Section 301 List 4A product exclusions are retroactive to September 1, 2019 and will expire on September 1, 2020.
The product exclusions from the China Section 301 duties are available for any importer for any product that falls within the special product descriptions and enumerated ten-digit HTSUS classifications. This is true regardless of whether the importer filed the initial product exclusion request. Clients may also benefit by filing Post-Summary Corrections (PSCs) or Protests for entries of goods covered by a product exclusion to secure refunds plus interest. Unless liquidation extensions are granted, Protests may be required for liquidated entries. It is important to identify affected entries and filing deadlines. The refund process is complicated and should be carefully considered.
Please contact Marshall Miller, Brian Murphy, Sean Murray, or Ryan Thornton with questions or for assistance.
Clients may contact Ryan Thornton to obtain an updated version of the comprehensive spreadsheet we have prepared of all product exclusions from China Section 301 duties to date, which includes expiration dates.