CHINA LIST # 3 – ENTRY DATE EXTENSION FOR 10% ADDITIONAL TARIFF

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U. S. Customs and Border Protection (CBP) implemented a duty increase from 10% to 25% for List #3 of the China Section 301 Tariffs under instructions from the United States Trade Representative (USTR) on May 9, 2019; however, under certain date qualifications the goods could still be entered under the lower duty rate for a while longer.  The CBP instructions read as follows:  “For subject goods entered for consumption, or withdrawn from warehouse for consumption, on or after 12:01 AM Eastern Standard Time on May 10, 2019, and exported to the United States on or after May 10, 2019”.   We posted this information on our website: https://www.taggart-intl.com/president-trump-threatens-to-increase-sanctions-on-chinese-products/ and https://www.taggart-intl.com/increased-duty-rate-for-chinese-goods-in-list-3-under-section-301-officially-in-effect-as-of-may-10-2019/

On May 10, 2019, Customs issued revised instructions to include a date range for goods to continue entering at the lower duty rate:  “For subject goods entered for consumption, or withdrawn from warehouse for consumption, on or after 12:01 AM Eastern Standard Time on May 10, 2019, and before June 1, 2019, and exported to the United States before May 10, 2019.

The USTR has announced his intent to publish a notice in the Federal Register allowing goods to continue paying the 10% additional tariff provided that they are entered into the U.S. before June 15, 2019. Therefore, importers will have the benefit of continuing to pay 10% on goods classified in List #3, as long as they are entered for consumption, or withdrawn from warehouse for consumption before June 15, 2019 and exported to the United States before May 10, 2019.  This will allow goods on the water to benefit from the lower duty rate due to the long transit time from China to the United States. At the time of publishing this article, we assume that the entry date extension will be formally put into effect, and we will not issue a follow up announcement unless it does not occur.  

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