On October 9, 2019, the Office of the United States Trade Representative (USTR) published a Federal Register notice informing that additional duties on products from certain member States of the EU will take effect starting at 12:01 a.m. on October 18, 2019. This action comes after the USTR determined that the EU and certain member states failed to implement World Trade Organization (WTO) Dispute Settlement Body recommendations to curb subsidy programs for the EU’s large civil aircraft industry. The United States received permission from the WTO to levy tariffs on $7.5 billion worth of European products following a decision from a case involving subsidies to European aircraft manufacturer Airbus that dates back to 2005.

The Federal Register notice outlines the changes to the Harmonized Tariff Schedule (HTS) of the United States to account for the additional tariffs. To accomplish this, Subchapter III of chapter 99 of the HTS will be modified by inserting new codes that group together products from certain countries. For example, subheading 9903.89.49 groups product codes for single-malt Irish Whisky and sweaters from the United Kingdom and applies a 25% duty. In total there are 15 groupings, all with their own list of affected countries and all but one containing a 25% duty rate. The Crowell & Moring team has prepared a simplified table below with several of the prominent products for each subheading, but for the full list of countries and HTS codes please see the link to the unofficial excel version or the link to the official notice.

 

Subheading

Types of Products

Rates of Duty

9903.89.05

New airplanes and other new aircraft

10%

9903.89.10

Dairy products including cheese

25%

9903.89.13

Olive Oil

25%

9903.89.16

Cherries, peaches, juice

25%

9903.89.19

Pork

25%

9903.89.22

Cheddar, Parmesan, Provolone Cheese

25%

9903.89.25

Swiss cheese

25%

9903.89.28

Pecorino cheese

25%

9903.89.31

Cheeses & substitutes from cow’s milk

25%

9903.89.34

Olives

25%

9903.89.37

Knives and Screwdrivers (Germany only)

25%

9903.89.40

Pork other than ham

25%

9903.89.43

Lithographs

25%

9903.89.46

Liqueurs and cordials

25%

9903.89.49

Articles of clothing (UK only)

25%

 

Print:
Email this postTweet this postLike this postShare this post on LinkedIn
Photo of Frances P. Hadfield Frances P. Hadfield

Frances P. Hadfield is a counsel in Crowell & Moring’s International Trade Group in the firm’s New York office. Her practice focuses on forced labor and withhold release orders (WRO), import regulatory compliance, and customs litigation. She regularly advises corporations on matters involving…

Frances P. Hadfield is a counsel in Crowell & Moring’s International Trade Group in the firm’s New York office. Her practice focuses on forced labor and withhold release orders (WRO), import regulatory compliance, and customs litigation. She regularly advises corporations on matters involving customs compliance, audits, customs enforcement, as well as import penalties.

Frances represents clients before the U.S. Court of International Trade and the U.S. Court of Appeals for the Federal Circuit, as well as in proceedings at the administrative level. She advises corporations on both substantive federal and state regulatory issues that involve U.S. Customs and Border Protection, the Federal Trade Commission, Food and Drug Administration, and U.S. Fish & Wildlife in matters pertaining to product admissibility, audits, classification, import restrictions, investigations, marking, licenses, origin, penalties, and tariff preference programs.

Photo of Edward Goetz Edward Goetz

Edward Goetz is the Director for International Trade Services in Crowell & Moring’s Washington, D.C. office. Edward leads the firm’s international trade analysts providing practice support to the International Trade Group in the areas of customs regulations, trade remedies, trade policy, export control…

Edward Goetz is the Director for International Trade Services in Crowell & Moring’s Washington, D.C. office. Edward leads the firm’s international trade analysts providing practice support to the International Trade Group in the areas of customs regulations, trade remedies, trade policy, export control, economic sanctions, anti-money laundering (AML), anti-corruption/anti-bribery, and antiboycott. He has extensive government experience providing information and interpretive guidance on the International Traffic in Arms Regulations (ITAR) concerning the export of defense articles, defense services, and related technical data. He also assists attorneys with matters involving the Export Administration Regulations (EAR), economic sanctions, AML, anti-corruption/anti-bribery, and trade remedies.