Today, the White House and the Office of the U.S. Trade Representative (USTR) announced the results of the USTR’s statutory 4-year review of the tariff actions in the Section 301 investigation of China’s Acts, Policies, and Practices Related to Technology Transfer, Intellectual Property, and Innovation (the China tariffs imposed under former President Trump). As had been widely expected, the USTR does not propose to reduce or eliminate any of the Section 301 tariffs on Chinese-origin products currently in place; rather, the USTR is proposing Section 301 tariff increases across strategic sectors including medical products, steel and aluminum, semiconductors, electric vehicles, batteries, critical minerals, solar cells, and ship-to-shore cranes. Many of the sectors are targeted by China for dominance or are sectors where the U.S. has recently made significant investments. Some of the proposed increases will double the currently applicable Section 301 tariff rate or more; for example, tariffs on syringes and needles will rise from 0% to 50%, tariffs on certain respirators and face masks will increase from 0 – 7.5% to 25%, and tariffs on rubber medical and surgical gloves will rise from 7.5% to 25%.
PRODUCTS SUBJECT TO INCREASE TARIFFS
The USTR is proposing to add or increase Section 301 tariffs to these sectors:
Sector/Commodity | Increase Rate | Implementation Date |
Battery parts (non-lithium-ion batteries) | Increase rate to 25% | 2024 |
Electric vehicles | Increase rate to 100% | 2024 |
Facemasks | Increase rate to 25% | 2024 |
Lithium-ion electrical vehicle batteries | Increase rate to 25% | 2024 |
Lithium-ion non-electrical vehicle batteries | Increase rate to 25% | 2026 |
Medical gloves | Increase rate to 25% | 2026 |
Natural graphite | Increase rate to 25% | 2026 |
Other critical minerals | Increase rate to 25% | 2024 |
Permanent magnets | Increase rate to 25% | 2026 |
Semiconductors | Increase rate to 50% | 2025 |
Ship to shore cranes | Increase rate to 25% | 2024 |
Solar cells (whether or not assembled into modules) | Increase rate to 50% | 2024 |
Steel and aluminum products | Increase rate to 25% | 2024 |
Syringes and needles | Increase rate to 50% | 2024 |
The USTR will issue a Federal Register notice next week, seeking public comment on the proposed Section 301 tariff modifications and a limited renewed tariff exclusion process (discussed below).
A RENEWED EXCLUSION PROCESS – BUT ONLY FOR MACHINERY USED IN DOMESTIC MANUFACTURING
While importers had pushed for the USTR to restart the now-defunct process which allowed importers to apply for exclusions from any of the Section 301 tariffs, the USTR is proposing much more limited relief: as outlined more fully in the Report which accompanied today’s announcement, in addition to increasing Section 301 tariffs on specified products, the USTR will establish a new process under which importers may apply for exclusions from Section 301 tariffs on other products, i.e. on machinery used in domestic manufacturing. President Biden has directed it to prioritize exclusions for certain solar manufacturing equipment.
The proposed 19 temporary exclusions
USTR is proposing 19 temporary exclusions for certain solar manufacturing equipment. These exclusions will support investment in U.S. solar manufacturing. The following are the 19 proposed temporary exclusions. The products in these categories will be automatically excluded and separate from the comment exclusion request process. More clarity is expected to be provided by the USTR in next week’s Federal Notice:
1 | Silicon growth furnaces, including Czochralski crystal growth furnaces, designed for growing monocrystalline silicon ingots (boules) of a mass exceeding 700 kg, for use in solar wafer manufacturing (described in statistical reporting number 8486.10.0000). |
2 | Band saws designed for cutting or slicing cylindrical monocrystalline silicon ingots (boules) of a mass exceeding 700 kg into square or rectangular ingots (boules), for use in solar wafer manufacturing (described in statistical reporting number 8486.10.0000). |
3 | Machines designed to align and adhere monocrystalline silicon ingots (boules) of a mass exceeding 400 kg to plastic support boards on metal mounting plates to provide support during diamond wire sawing, for use in solar wafer manufacturing (described in statistical reporting number 8486.10.0000). |
4 | Diamond wire saws designed for cutting or slicing silicon ingots (boules) of a mass exceeding 400 kg into solar wafers of a thickness not exceeding 200 micrometers (described in statistical reporting number 8486.10.0000). |
5 | Wire guide roller machines, presented with diamond wire saws designed for slicing monocrystalline silicon ingots (boules) of a mass exceeding 400 kg into solar wafers of a thickness not exceeding 200 micrometers, all of the foregoing for use in solar wafer manufacturing (described in statistical reporting number 8486.10.0000). |
6 | Coolant fluid recycling machines, presented with diamond wire saws designed for slicing monocrystalline silicon ingots (boules) of a mass exceeding 400 kg into solar wafers of a thickness not exceeding 200 micrometers, all of the foregoing for use in solar wafer manufacturing (described in statistical reporting number 8486.10.0000). |
7 | Degumming machines designed to remove adhesives from solar wafers (described in statistical reporting number 8486.10.0000). |
8 | Texturing and cleaning machines designed to repair, clean, and texture the solar wafer substrate, whether or not containing automation equipment for transferring solar wafers from one process station to the next, for use in solar wafer manufacturing (described in statistical reporting number 8486.20.0000). |
9 | Thermal diffusion quartz-tube furnaces and boat loading machines, designed to diffuse dopant impurities into square or rectangular silicon wafers, for use in solar cell manufacturing (described in statistical reporting number 8486.20.0000). |
10 | Plasma enhanced chemical vapor deposition machines designed to deposit amorphous or nanocrystalline layers on one or both surfaces of a solar wafer, whether or not containing automation equipment for transferring solar wafers from one process station to the next, for use in solar cell manufacturing (described in statistical reporting number 8486.20.0000). |
11 | Physical vapor deposition (PVD) machines, designed to deposit a thin film of transparent conducting oxide on one or both surfaces of a solar wafer, whether or not containing automation equipment for transferring solar wafers from one process station to the next, for use in solar cell manufacturing (described in statistical reporting number 8486.20.0000). |
12 | Screen printing line machines, including sintering furnaces for printing conducting contacts on both surfaces of a solar wafer, whether or not containing automation equipment for transferring solar wafers from one process station to the next, and whether or not containing equipment for solar cell testing, for use in solar cell manufacturing (described in statistical reporting number 8486.20.0000). |
13 | Cell interconnection machines designed to electrically solder solar cells to each other to form a complete electrical circuit, for use in solar module manufacturing (described in statistical reporting number 8486.20.0000). |
14 | Module encapsulant preparation machines designed for encapsulant cutting and placement, butyl dispensing equipment, and equipment for the transport of encapsulant materials, all the foregoing for use in solar module manufacturing (described in statistical reporting number 8486.20.0000). |
15 | Machines designed to laminate an interconnected cell string and to attach junction boxes, all the foregoing for use in solar module manufacturing (described in statistical reporting number 8486.20.0000). |
16 | Frame attachment machines designed for attaching metal frames to the perimeter or rear surface of solar modules (described in statistical reporting number 8486.20.0000). |
17 | Machines designed for transporting polysilicon material to growth furnaces and machines designed for transporting monocrystalline ingots (boules) and wafers throughout the solar wafer manufacturing process, including machines for loading or unloading solar wafers during the diamond wire slicing process (described in statistical reporting number 8486.40.0030). |
18 | Machines designed for lifting, handling, loading, or unloading of solar wafers of a thickness not exceeding 200 micrometers, for use in solar wafer manufacturing (described in statistical reporting number 8486.40.0030). |
19 | Machines designed for lifting, handling, loading, or unloading in the assembly of solar modules (described in statistical reporting number 8486.40.0030). |
Products Likely Eligible for Exclusion Process
In addition to these 19 solar-related machines, the USTR has proposed the following list of 8-digit tariff lines covering machinery used in domestic manufacturing for inclusion in the new exclusion application process:
HTSUS Subheading | Product Description |
8417.10.00 | Furnaces and ovens for the roasting, melting or other heat treatment of ores, pyrites or of metals |
8417.80.00 | Industrial or laboratory furnaces and ovens nesoi (not elsewhere specified or included), including incinerators, nonelectric |
8418.69.00 | Refrigerating or freezing equipment nesoi |
8419.33.00 | Lyophilization apparatus; freeze drying units; spray dryers, for agricultural products |
8419.33.00 | Lyophilization apparatus; freeze drying units; spray dryers, other than for agricultural products, nesoi |
8419.34.00 | Other dryers for agricultural products (other than lyophilization apparatus; freeze drying units; spray dryers) |
8419.35.00 | Dryers for wood |
8419.35.00 | Dryers for paper pulp, paper or paperboard |
8419.39.00 | Other dryers other than of a kind used for domestic purposes, nesoi (other than lyophilization apparatus; freeze drying units; spray dryers) |
8419.40.00 | Distilling or rectifying plant, not used for domestic purposes |
8419.50.00 | Brazed aluminum plate-fin heat exchangers |
8419.50.00 | Heat exchange units, nesoi |
8419.60.00 | Machinery for liquefying air or gas containing brazed aluminum plate-fin heat exchangers |
8419.60.00 | Machinery for liquefying air or gas, nesoi |
8419.89.00 | Machinery and equipment for the treatment of materials (by a process which changes temperatures), for making paper pulp, paper or paperboard |
8419.89.00 | Industrial machinery, plant or equip. for the treat. of mat., involving a change in temp., for molten-salt-cooled acrylic acid reactors |
8419.89.00 | Industrial machinery, plant or equipment for the treatment of materials, by process involving a change in temperature, nesoi |
8420.10.00 | Textile calendering or rolling machines |
8420.10.00 | Calendering or similar rolling machines for making paper pulp, paper or paperboard |
8420.10.00 | Calendering or other rolling machines, other than for metals or glass, nesoi |
8420.91.00 | Cylinders for textile calendering or rolling machines |
8420.91.00 | Cylinders for paper pulp, paper or paperboard calendering or rolling machines |
8420.91.00 | Cylinders for calendering and similar rolling machines, nesoi |
8422.19.00 | Dishwashing machines other than of the household type |
8422.20.00 | Machinery for cleaning or drying bottles or other containers |
8422.30.00 | Can-sealing machines |
8422.30.00 | Machinery for filling, closing, sealing, capsuling or labeling bottles, cans, boxes or other containers; machinery for aerating beverages; nesoi |
8422.40.00 | Machinery for packing or wrapping pipe tobacco, candy and cigarette packages; combination candy cutting and wrapping machines |
8422.40.00 | Packing or wrapping machinery, nesoi |
8429.11.00 | Self-propelled bulldozers and angledozers, for track laying |
8429.19.00 | Self-propelled bulldozers and angledozers other than track laying |
8429.20.00 | Self-propelled graders and levelers |
8429.30.00 | Self-propelled scrapers |
8429.40.00 | Self-propelled tamping machines and road rollers |
8429.51.00 | Self-propelled front-end shovel loaders, wheel-type |
8429.51.00 | Self-propelled front-end shovel loaders, other than wheel-type |
8429.52.00 | Self-propelled backhoes, shovels, clamshells and draglines with a 360 degree revolving superstructure |
8429.52.00 | Self-propelled machinery with a 360 degree revolving superstructure, other than backhoes, shovels, clamshells and draglines |
8429.59.00 | Self-propelled backhoes, shovels, clamshells and draglines not with a 360 degree revolving superstructure |
8429.59.00 | Self-propelled machinery not with a 360 degree revolving superstructure, other than backhoes, shovels, clamshells and draglines |
8430.10.00 | Pile-drivers and pile-extractors |
8430.31.00 | Self-propelled coal or rock cutters and tunneling machinery |
8430.39.00 | Coal or rock cutters and tunneling machinery, not self-propelled |
8430.41.00 | Self-propelled boring or sinking machinery |
8430.49.00 | Offshore oil and natural gas drilling and production platforms |
8430.49.00 | Boring or sinking machinery, not self-propelled, nesoi |
8430.50.00 | Self-propelled peat excavators |
8430.50.00 | Self-propelled machinery for working earth, minerals or ores, nesoi |
8430.61.00 | Tamping or compacting machinery, not self-propelled |
8430.69.00 | Machinery for working earth, minerals or ores, not self-propelled, nesoi |
8432.10.00 | Plows for soil preparation or cultivation |
8432.21.00 | Disc harrows for soil preparation or cultivation |
8432.29.00 | Harrows (other than disc), scarifiers, cultivators, weeders and hoes for soil preparation or cultivation |
8432.31.00 | No-till direct seeders, planters and transplanters |
8432.39.00 | Seeders, planters and transplanters, nesoi |
8432.41.00 | Manure spreaders |
8432.42.00 | Fertilizer distributors |
8432.80.00 | Agricultural, horticultural or forestry machinery for soil preparation or cultivation, nesoi; lawn or sports ground rollers |
8433.30.00 | Haymaking machinery other than mowers |
8433.40.00 | Straw or fodder balers, including pick-up balers |
8433.51.00 | Combine harvester-threshers |
8433.52.00 | Threshing machinery other than combine harvester-threshers |
8433.53.00 | Root or tuber harvesting machines |
8433.59.00 | Harvesting machinery or threshing machinery, nesoi |
8433.60.00 | Machines for cleaning, sorting or grading eggs, fruit or other agricultural produce |
8435.10.00 | Presses, crushers and similar machinery used in the manufacture of wine, cider, fruit juices or similar beverages |
8436.10.00 | Machinery for preparing animal feeds |
8436.21.00 | Poultry incubators and brooders |
8436.29.00 | Poultry-keeping machinery |
8436.80.00 | Agricultural, horticultural, forestry or bee-keeping machinery, nesoi |
8437.10.00 | Machines for cleaning, sorting or grading seed, grain or dried leguminous vegetables |
8437.80.00 | Machinery used in the milling industry or for the working of cereals or dried leguminous vegetables, other than farm type machinery |
8438.10.00 | Bakery machinery and machinery for the manufacture of macaroni, spaghetti or similar products, nesoi |
8438.20.00 | Machinery for the manufacture of confectionery, cocoa or chocolate, nesoi |
8438.30.00 | Machinery for sugar manufacture, nesoi |
8438.40.00 | Brewery machinery, nesoi |
8438.50.00 | Machinery for the preparation of meat or poultry, nesoi |
8438.60.00 | Machinery for the preparation of fruits, nuts or vegetables, nesoi |
8438.80.00 | Machinery for the industrial preparation or manufacture of food or drink, nesoi |
8439.10.00 | Machinery for making pulp of fibrous cellulosic material |
8439.20.00 | Machinery for making paper or paperboard |
8439.30.00 | Machinery for finishing paper or paperboard |
8441.10.00 | Cutting machines of all kinds used for making up paper pulp, paper or paperboard |
8441.20.00 | Machines for making bags, sacks or envelopes of paper pulp, paper or paperboard |
8441.30.00 | Machines for making cartons, boxes, cases, tubes, drums or similar containers, other than by molding, of paper pulp, paper or paperboard |
8441.40.00 | Machines for molding articles in paper pulp, paper or paperboard |
8441.80.00 | Machinery for making up paper pulp, paper or paperboard, nesoi |
8442.30.00 | Machinery, apparatus and equipment of heading 8442 |
8442.50.00 | Printing plates |
8442.50.00 | Printing type, blocks, cylinders and other printing components; blocks, cylinders and lithographic stones, prepared for printing purposes |
8444.00.00 | Machines for extruding, drawing, texturing or cutting man-made textile materials |
8445.11.00 | Carding machines for preparing textile fibers |
8445.12.00 | Combing machines for preparing textile fibers |
8445.13.00 | Drawing or roving machines for preparing textile fibers |
8445.19.00 | Machines for preparing textile fibers, nesoi |
8445.20.00 | Textile spinning machines |
8445.30.00 | Textile doubling or twisting machines |
8445.40.00 | Textile winding (including weft-winding) or reeling machines |
8445.90.00 | Machinery for producing textile yarns nesoi; machines for preparing textile yarns for use on machines of heading 8446 or 8447 |
8446.10.00 | Weaving machines (looms) for weaving fabrics of a width not exceeding 30 cm |
8446.21.00 | Shuttle type power looms for weaving fabrics of a width exceeding 30 cm, but not exceeding 4.9 m |
8446.29.00 | Weaving machines for weaving fabrics of a width exceeding 30 cm, shuttle type, nesoi |
8446.30.00 | Shuttleless type power looms, for weaving fabrics of a width exceeding 4.9 m, nesoi |
8446.30.00 | Shuttleless type weaving machines (looms), for weaving fabrics of a width exceeding 30 cm, nesoi |
8447.11.00 | Circular knitting machines with cylinder diameter not exceeding 165 mm, for knitting hosiery |
8447.11.00 | Circular knitting machines with cylinder diameter not exceeding 165 mm, other than for knitting hosiery |
8447.12.00 | Circular knitting machines with cylinder diameter exceeding 165 mm, for knitting hosiery |
8447.12.00 | Circular knitting machines with cylinder diameter exceeding 165 mm, other than for knitting hosiery |
8447.20.00 | V-bed flat knitting machines, power driven, over 50.8 mm in width |
8447.20.00 | V-bed flat knitting machines, nesoi |
8447.20.00 | Warp knitting machines |
8447.20.00 | Flat knitting machines, other than V-bed or warp; stitch-bonding machines |
8447.90.00 | Braiding and lace-braiding machines |
8447.90.00 | Embroidery machines |
8447.90.00 | Knitting machines other than circular or flat knitting; machines for making gimped yarn, tulle, trimmings or net; machines for tufting |
8448.11.00 | Dobbies and Jacquards, card reducing, copying, punching or assembling machines for use with machines of heading 8444, 8445, 8446 or 8447 |
8448.19.00 | Auxiliary machinery for machines of heading 8444, 8445, 8446 or 8447, nesoi |
8448.31.00 | Card clothing as parts and accessories of machines of heading 8445 or of their auxiliary machinery |
8448.33.00 | Spindles, spindle flyers, spinning rings and ring travellers of machines of heading 8445 or of their auxiliary machines |
8448.42.00 | Reeds for looms, healds and heald-frames of weaving machines (looms) or their auxiliary machinery |
8448.51.00 | Latch needles for knitting machines |
8448.51.00 | Spring-beard needles for knitting machines |
8448.51.00 | Needles for knitting machines other than latch needles or spring-beard needles |
8448.51.00 | Sinkers, needles and other articles used to form stitches, nesoi, for machines of heading 8447 |
8449.00.00 | Finishing machinery for felt or nonwovens and parts thereof |
8449.00.00 | Machinery for making felt hats; blocks for making hats; parts thereof |
8451.29.00 | Drying machines for yarns, fabrics or made up textile articles, each of a dry linen capacity exceeding 10 kg |
8451.30.00 | Ironing machines and presses (including fusing presses) for textile fabrics or made up textile articles |
8451.40.00 | Washing, bleaching or dyeing machines for textile yarns, fabrics or made up textile articles |
8451.50.00 | Machines for reeling, unreeling, folding, cutting or pinking textile fabrics |
8451.80.00 | Machinery for the handling of textile yarns, fabrics or made up textile articles, nesoi |
8452.21.00 | Sewing machines specially designed to join footwear soles to uppers, automatic |
8452.21.00 | Sewing machines, automatic, nesoi |
8452.29.00 | Sewing machines, other than automatic, specially designed to join footwear soles to uppers |
8452.29.00 | Sewing machines, other than automatic, nesoi |
8453.10.00 | Machinery for preparing, tanning or working hides, skins or leather |
8453.20.00 | Machinery for making or repairing footwear |
8453.80.00 | Machinery, nesoi, for making or repairing articles of hides, skins or leather |
8454.10.00 | Converters of a kind used in metallurgy or in metal foundries |
8454.20.00 | Ingot molds and ladles, of a kind used in metallurgy or in metal foundries |
8454.30.00 | Casting machines, of a kind used in metallurgy or in metal foundries |
8455.10.00 | Metal-rolling tube mills |
8455.21.00 | Metal-rolling mills, other than tube mills, hot or combination hot and cold |
8455.22.00 | Metal-rolling mills, other than tube mills, cold |
8455.30.00 | Rolls for metal-rolling mills |
8456.11.00 | Machine tools operated by laser, for working metal |
8456.11.00 | Machine tools operated by laser, of a kind used solely or principally for manufacture of printed circuits |
8456.11.00 | Machine tools operated by laser, nesoi |
8456.12.00 | Machine tools operated by light or photon beam processes, for working metal |
8456.12.00 | Machine tools operated by light or photon beam processes, of a kind used solely or principally for the manufacture of printed circuits |
8456.12.00 | Machine tools operated by light or photon beam processes, nesoi |
8456.20.00 | Machine tools operated by ultrasonic processes, for working metal |
8456.20.00 | Machine tools operated by ultrasonic processes, other than for working metal |
8456.30.00 | Machine tools operated by electro-discharge processes, for working metal |
8456.30.00 | Machine tools operated by electro-discharge processes, other than for working metal |
8456.40.00 | Machine tools operated by plasma arc process, for working metal |
8456.40.00 | Machine tools operated by plasma arc process, other than for working metal |
8456.50.00 | Water-jet cutting machines |
8456.90.00 | Machine tools operated by electro-chemical or ionic-beam processes, for working metal |
8456.90.00 | Machine tools operated by electro-chemical or ionic-beam processes, other than for working metal |
8457.10.00 | Machining centers for working metal |
8457.20.00 | Unit construction machines (single station), for working metal |
8457.30.00 | Multistation transfer machines for working metal |
8458.11.00 | Horizontal lathes (including turning centers) for removing metal, numerically controlled |
8458.19.00 | Horizontal lathes (including turning centers) for removing metal, other than numerically controlled |
8458.91.00 | Vertical turret lathes (including turning centers) for removing metal, numerically controlled |
8458.91.00 | Lathes (including turning centers), other than horizontal or vertical turret lathes, for removing metal, numerically controlled |
8458.99.00 | Vertical turret lathes (including turning centers) for removing metal, other than numerically controlled |
8458.99.00 | Lathes (including turning centers), other than horizontal or vertical turret lathes, for removing metal, other than numerically controlled |
8459.10.00 | Way-type unit head machines for drilling, boring, milling, threading or tapping by removing metal, other than lathes of heading 8458 |
8459.21.00 | Drilling machines, numerically controlled, nesoi |
8459.29.00 | Drilling machines, other than numerically controlled, nesoi |
8459.31.00 | Boring-milling machines, numerically controlled, nesoi |
8459.39.00 | Boring-milling machines, other than numerically controlled, nesoi |
8459.41.00 | Boring machines, numerically controlled, nesoi |
8459.49.00 | Boring machines, not numerically controlled, nesoi |
8459.51.00 | Milling machines, knee type, numerically controlled, nesoi |
8459.59.00 | Milling machines, knee type, other than numerically controlled, nesoi |
8459.61.00 | Milling machines, other than knee type, numerically controlled, nesoi |
8459.69.00 | Milling machines, other than knee type, other than numerically controlled, nesoi |
8459.70.00 | Other threading or tapping machines, numerically controlled |
8459.70.00 | Other threading or tapping machines nesoi |
8460.12.00 | Flat-surface grinding machines, numerically controlled |
8460.19.00 | Flat-surface grinding machines, not numerically controlled |
8460.22.00 | Centerless grinding machines, numerically controlled |
8460.23.00 | Other cylindrical grinding machines, numerically controlled |
8460.24.00 | Other grinding machines, numerically controlled |
8460.29.00 | Other grinding machines, other than numerically controlled |
8460.31.00 | Sharpening (tool or cutter grinding) machines for working metal or cermets, numerically controlled |
8460.39.00 | Sharpening (tool or cutter grinding) machines for working metal or cermets, other than numerically controlled |
8460.40.00 | Honing or lapping machines for working metal or cermets, numerically controlled |
8460.40.00 | Honing or lapping machines for working metal or cermets, other than numerically controlled |
8460.90.00 | Other machine tools for deburring, polishing or otherwise finishing metal or cermets, nesoi, numerically controlled |
8460.90.00 | Other machine tools for deburring, polishing or otherwise finishing metal or cermets, nesoi, other than numerically controlled |
8461.20.00 | Shaping or slotting machines for working by removing metal or cermets, numerically controlled |
8461.20.00 | Shaping or slotting machines for working by removing metal or cermets, other than numerically controlled |
8461.30.00 | Broaching machines for working by removing metal or cermets, numerically controlled |
8461.30.00 | Broaching machines for working by removing metal or cermets, other than numerically controlled |
8461.40.00 | Gear cutting machines for working by removing metal or cermets |
8461.40.00 | Gear grinding or finishing machines for working by removing metal or cermets |
8461.50.00 | Sawing or cutting-off machines for working by removing metal or cermets, numerically controlled |
8461.50.00 | Sawing or cutting-off machines for working by removing metal or cermets, other than numerically controlled |
8461.90.00 | Machine-tools for working by removing metal or cermets, nesoi, numerically controlled |
8461.90.00 | Machine-tools for working by removing metal or cermets, nesoi, other than numerically controlled |
8462.11.00 | Hot forming machines for forging, die forging (including presses) and hot hammers, closed die forging machines |
8462.19.00 | Other hot forming machines for forging, die forging (including presses) and hot hammers (other than closed die forging machines), nesoi |
8462.22.00 | Profile forming machines |
8462.23.00 | Numerically controlled press brakes |
8462.24.00 | Numerically controlled panel benders |
8462.25.00 | Numerically controlled roll forming machines |
8462.26.00 | Other numerically controlled bending, folding, straightening or flattening machines (o/t press brakes, panel benders, roll forming machines) |
8462.29.00 | Other bending folding straightening or flattening machines (other than numerically controlled or profile forming machines), nesoi |
8462.32.00 | Numerically controlled sitting lines and cut-to-length lines |
8462.32.00 | Sitting lines and cut-to-length lines (other than numerically controlled), nesoi |
8462.33.00 | Numerically controlled shearing machines |
8462.39.00 | Shearing machines (other than numerically controlled), nesoi |
8462.42.00 | Numerically controlled punching, notching or nibbling machines (excluding presses) for flat products |
8462.49.00 | Other punching, notching or nibbling machines (excluding presses) for flat products, other than numerically controlled |
8462.51.00 | Numerically controlled machines for working tube, pipe, hollow section and bar (excluding presses) |
8462.59.00 | Other machines for working tube, pipe, hollow section and bar (excluding presses), other than numerically controlled |
8462.61.00 | Hydraulic presses, numerically controlled |
8462.61.00 | Hydraulic presses, not numerically controlled |
8462.62.00 | Numerically controlled mechanical cold metal working presses |
8462.62.00 | Other mechanical cold metal working presses, other than numerically controlled |
8462.63.00 | Numerically controlled cold metal working servo-presses |
8462.63.00 | Other cold metal working servo-presses, other than numerically controlled |
8462.69.00 | Numerically controlled other cold metal working presses, nesoi |
8462.69.00 | Other cold metal working presses, other than numerically controlled, nesoi |
8462.90.00 | Other numerically controlled machines tools for working metal, nesoi |
8462.90.00 | Other machines tools for working metal, other than numerically controlled, nesoi |
8463.10.00 | Draw-benches for bars, tubes, profiles, wire or the like, for working metal or cermets, without removing material |
8463.20.00 | Thread rolling machines for working metal or cermets, without removing material |
8463.30.00 | Machines for working wire of metal or cermets, without removing material |
8463.90.00 | Machine tools for working metal or cermets, without removing material, nesoi |
8464.10.00 | Sawing machines for working stone, ceramics, concrete, asbestos-cement or like mineral materials or for cold working glass |
8464.20.00 | Grinding or polishing machines for working stone, ceramics, concrete, asbestos-cement or like mineral materials, or glass, nesoi |
8464.90.00 | Machine tools for working stone, ceramics, concrete, asbestos-cement or like mineral materials or for cold working glass, nesoi |
8465.10.00 | Machines for working certain hard materials which can carry out different types of machining operations w/o tool change between operations |
8465.20.00 | Machine centers for sawing, planing, milling, molding, grinding, sanding, polishing, drilling or mortising |
8465.20.00 | Machine centers for bending or assembling |
8465.20.00 | Machine centers, nesoi |
8465.91.00 | Sawing machines for working wood, cork, bone, hard rubber, hard plastics or similar hard materials |
8465.92.00 | Planing, milling or molding (by cutting) machines for working wood, cork, bone, hard rubber, hard plastics or similar hard materials |
8465.93.00 | Grinding, sanding or polishing machines for working wood, cork, bone, hard rubber, hard plastics or similar hard materials |
8465.94.00 | Bending or assembling machines for working wood, cork, bone hard rubber, hard plastics or similar hard materials |
8465.95.00 | Drilling or mortising machines for working wood, cork, bone, hard rubber, hard plastics or similar hard materials |
8465.96.00 | Splitting, slicing or paring machines for working wood, cork, bone, hard rubber, hard plastics or similar hard materials |
8465.99.00 | Machine tools for working wood, cork, bone, hard rubber, hard plastics and similar hard materials, nesoi |
8468.20.00 | Gas-operated machinery, apparatus and appliances, hand-directed or -controlled, used for soldering, brazing, welding or tempering, nesoi |
8468.20.00 | Gas-operated machinery, apparatus and appliances, not hand-directed or -controlled, used for soldering, brazing, welding or tempering, nesoi |
8468.80.00 | Machinery and apparatus, hand-directed or -controlled, used for soldering, brazing or welding, not gas-operated |
8468.80.00 | Machinery and apparatus other than hand-directed or -controlled, used for soldering, brazing or welding, not gas-operated |
8474.10.00 | Sorting, screening, separating or washing machines for earth, stones, ores or other mineral substances in solid form |
8474.20.00 | Crushing or grinding machines for earth, stones, ores or other mineral substances |
8474.31.00 | Concrete or mortar mixers |
8474.32.00 | Machines for mixing mineral substances with bitumen |
8474.39.00 | Mixing or kneading machines for earth, stones, ores or other mineral substances, nesoi |
8474.80.00 | Machinery for agglomerating, shaping or molding solid mineral fuels, or other mineral products; machines for forming sand foundry molds |
8475.10.00 | Machines for assembling electric or electronic lamps, tubes or flashbulbs, in glass envelopes |
8475.21.00 | Machines for making glass optical fibers and preforms thereof |
8475.29.00 | Machines for manufacturing or hot working glass or glassware, nesoi |
8477.10.00 | Injection-molding machines for manufacturing shoes of rubber or plastics |
8477.10.00 | Injection-molding machines for use in the manufacture of video laser discs |
8477.10.00 | Injection-molding machines of a type used for working or manufacturing products from rubber or plastics, nesoi |
8477.20.00 | Extruders for working rubber or plastics or for the manufacture of products from these materials, nesoi |
8477.30.00 | Blow-molding machines for working rubber or plastics or for the manufacture of products from these materials |
8477.40.00 | Vacuum-molding and other thermoforming machines for working rubber or plastics or for manufacture of products from these materials, nesoi |
8477.51.00 | Machinery for molding or retreading pneumatic tires or for molding or otherwise forming inner tubes |
8477.59.00 | Machinery for molding or otherwise forming rubber or plastics other than for molding or retreading pneumatic tires, nesoi |
8477.80.00 | Machinery for working rubber or plastics or for the manufacture of products from these materials, nesoi |
8478.10.00 | Machinery for preparing or making up tobacco, nesoi |
8479.10.00 | Machinery for public works, building or the like, nesoi |
8479.20.00 | Machinery for the extraction or preparation of animal or fixed vegetable fats or oils, nesoi |
8479.30.00 | Presses for making particle board or fiber building board of wood or other ligneous materials, and mach. for treat. wood or cork, nesoi |
8479.40.00 | Rope- or cable-making machines nesoi |
8479.50.00 | Industrial robots, nesoi |
8479.81.00 | Machines and mechanical appliances for treating metal, including electric wire coil-winders, nesoi |
8479.82.00 | Machines for mixing, kneading, crushing, grinding, screening, sifting, homogenizing, emulsifying or stirring, nesoi |
8479.83.00 | Cold isostatic presses, nesoi |
8479.89.00 | Machines for the manufacture of optical media |
8479.89.00 | Automated electronic component placement machines for making printed circuit assemblies |
8479.89.00 | Other machines and mechanical appliances having individual functions, not specified or included elsewhere in chapter 84, nesoi |
8486.10.00 | Machines and apparatus for the manufacture of boules or wafers |
8486.20.00 | Machines and apparatus for the manufacture of semiconductor devices or electronic integrated circuits |
8486.30.00 | Machines and apparatus for the manufacture of flat panel displays |
8486.40.00 | Machines and apparatus for the manufacture of masks and reticles and for the assembly of electronic integrated circuits |
8514.11.00 | Hot isostatic presses |
8514.19.00 | Other resistance heated industrial or laboratory furnaces and ovens, other than hot isostatic presses |
8514.20.00 | Industrial or laboratory microwave ovens for making hot drinks or for cooking or heating food |
8514.20.00 | Industrial or laboratory microwave ovens, nesoi |
8514.20.00 | Industrial or laboratory furnaces and ovens (other than microwave) functioning by induction or dielectric loss |
8514.31.00 | Electron beam furnaces for making printed circuits or printed circuit assemblies |
8514.31.00 | Electron beam furnaces, other than for making printed circuits or printed circuit assemblies |
8514.32.00 | Plasma and vacuum arc furnaces for making printed circuits or printed circuit assemblies |
8514.32.00 | Plasma and vacuum arc furnaces, other than for making printed circuits or printed circuit assemblies |
8514.39.00 | Other industrial furnaces and ovens for making printed circuits or printed circuit assemblies |
8514.39.00 | Other industrial or laboratory electric industrial or laboratory furnaces and ovens nesoi |
8514.40.00 | Industrial or laboratory induction or dielectric heating equipment nesoi |
8515.11.00 | Electric soldering irons and guns |
8515.19.00 | Electric brazing or soldering machines and apparatus, other than soldering irons and guns |
8515.21.00 | Electric machines and apparatus for resistance welding of metal, fully or partly automatic |
8515.29.00 | Electric machines and apparatus for resistance welding of metal, other than fully or partly automatic |
8515.31.00 | Electric machines and apparatus for arc (including plasma arc) welding of metals, fully or partly automatic |
8515.39.00 | Electric machines and apparatus for arc (including plasma arc) welding of metals, other than fully or partly automatic |
8515.80.00 | Electric welding apparatus nesoi,and electric machines and apparatus for hot spraying metals or sintered metal carbides |
8543.30.00 | Electrical machines and apparatus for electroplating, electrolysis, or electrophoresis for making printed circuits |
8543.30.00 | Other electrical machines and apparatus for electroplating, electrolysis, or electrophoresis |
8543.70.00 | Physical vapor deposition apparatus, nesoi |
8543.70.00 | Electrical machines and apparatus nesoi, designed for connection to telegraphic or telephonic apparatus, instruments or networks |
8543.70.00 | Electric luminescent lamps |
8543.70.00 | Plasma cleaner machines that remove organic contaminants from electron microscopy specimens and holders |
8543.70.00 | Other electrical machines and apparatus, having individual functions, nesoi |
CBP’S INCREASED ENFORCEMENT
Finally, in addition to the proposed increases in Section 301 tariffs and renewed tariff exclusion process outlined above, the USTR’s Report also recommends allocating additional funds to CBP for even greater Section 301 enforcement than the heightened scrutiny that CBP is already giving this area. USTR stressed that there is evidence of companies intentionally evading such duties, and the Government has been actively pursuing such evasion; for example, at the end of 2023, the DOJ announced settlements in three cases that alleged evasion of Section 301 duties. See King Kong Tolls Settles Claims of Customs Fraud for $1.9 Million, DOJ, Nov. 29, 2023; Dallas Importer and Two Chinese Companies to Pay $2.5 Million to Resolve Allegation of Underpaying Customs Duties, DOJ, Dec. 5, 2023; Importer Agrees to Pay $798,334 to Resolve Allegations of Underpayment of Customs Duties, DOJ, Dec. 13, 2023.
Given the likely increase in enforcement actions in this area, we recommend that importers perform due diligence reviews for products that could be of Chinese origin but claimed to be manufactured in third countries. This will be especially critical where the supply chain for a product was formerly based in China, but where the manufacturer has now ostensibly moved some or all production to third countries to avoid 301 duties. Due diligence involves verifying the existence of the third-country factory, verifying that machinery for the production of the goods is actually in place, raw material purchases are sufficient to support the production of the goods, the existence of skilled employees, etc. Our customs and trade team regularly assists importers navigate Section 301 tariffs and submit exclusion requests to the USTR. If you would like further information or assistance in filing comments in connection with next week’s Federal Register notice regarding the proposed Section 301 increases and renewed exclusion process, assistance in performing Section 301 due diligence reviews, requesting refunds for past entries or any other Section 301 tariff-related matter, please contact Jessica Rifkin (jrifkin@ofwlaw.com), Tom O’Donnell (todonnell@ofwlaw.com), or Denise Calle (dcalle@ofwlaw.com).