Chinese Trade Tariff Updates

Tariff List #4 - Inclusion of Musical Instruments

May 13, 2019: USTR has posted the draft Federal Register notice announcing the proposed HTS lines and the process for the proposed List 4 China 301 tariffs. The proposed 25% tariffs cover approximately $300 billion worth of imports from China. This includes just about everything that isn’t already subject to the additional 301 tariffs such as apparel, footwear, toys, consumer electronics and musical instruments. Note: the list includes everything in HTS category 9200 (musical instruments and related accessories) View the list.

USTR will hold a public hearing on June 17 on the proposed List 4 tariffs. All requests to testify must be submitted by June 10. Final comments must be submitted seven days after the final hearing date. Considering the List 3 tariffs ($200 billion) was six days long, this hearing process may go longer. President Trump plans to meet with President Xi during the G-20 Summit at the end of June. It is unlikely that a final decision on the List 4 tariffs will be made before that meeting.

Questions/Comments: For questions about this proposed action, to submit public comment, or to request to testify at the June 17 public hearing, contact USTR Assistant General Counsels Arthur Tsao or Megan Grimball, or Director of Industrial Goods Justin Hoffmann at USTR (202) 395–5725. For questions on customs classification, contact traderemedy@cbp.dhs.gov.

Notice of Modification of Section 301 Action

May 10, 2019

The United States Trade Representative's office has published an official notice implementing President Trump's announced plan to increase tariffs on some $200 billion worth of Chinese imports from 10% to 25%, effective at 12:01 a.m. on May 10. While musical instruments are not directly affected by this increase, the list of affected products includes musical instrument cases, certain stands used for guitars and other musical instruments and some circuit board components of electronic instruments. Note: Products which left China prior to May 10 must arrive into the United States no later than June 1 to avoid the 25% tariff.

Comments: For NAMM members wishing to express concern, please see the option to participate in the National Retail Federation’s “call to action” at the link here.