Trade law and supply chain news, insights, and commentary
Following the U.S. removal of Section 232 tariffs on steel and aluminum products from Canada and Mexico, both countries have officially lifted their retaliatory tariffs.
…
Per CBP, “Effective for goods entered for consumption, or withdrawn from warehouse for consumption, on or after 12:01 a.m. eastern daylight time on May 20, 2019, the Section 232 duty on imports of steel and aluminum articles with a country of origin of Canada or Mexico will no longer be in effect.”
The Cargo …
On March 25, 2019, the U.S. Court of International Trade (CIT) in American Institute for International Steel, Inc., Sim-Tex, LP and Kurt Orban Partners, LLC v. United States, held that Section 232 duties imposed on certain steel and aluminum imports by President Trump were constitutional. The three-judge panel denied the American Institute for International…
The 116th Congress begins on January 3, 2019. Based on projections from yesterday’s midterms, Democrats will control the House of Representatives by a narrow margin, while Republicans will expand their hold on the Senate. The changes to Congress are likely to shape trade policy through 2019, but much will depend on how House Democrats use…
Last update on 5/20/2019: Updated China retaliatory tariffs effective June 1; added Canada and Mexico are now exempt from Section 232 Steel and Aluminum tariffs as of 5/20/2019; added Canada and Mexico announcements ending Section 232 retaliatory tariffs as of 5/20/2019; and updated status of Section 232 Autos and Automotive parts investigation.
Unofficial spreadsheet with Section 301 List 4
Unofficial spreadsheet with Final 301 list, partial list, and HTS’ removed added.
U.S. Trade Actions
| Action | Covered Products | Rate Increase | Effective Date | |
| Section 232 | Steel and Aluminum | Steel – 25% Aluminum – 10% |
6/1/2018 | |
| Status: | Steel – all countries of origin except Canada (exempted), Mexico (exempted), South Korea, Brazil, and Argentina (agreed to quotas); and Australia (exempted).
Aluminum – all countries of origin except Canada (exempted), Mexico (exempted), Argentina (agreed to quota); and Australia (exempted). Beginning August 13, steel articles covered by Section 232 from Turkey are subject to an ad valorem duty rate of 50%. On October 24, South Africa was granted exemptions on 161 aluminum and 36 steel products by the Commerce Department. |
|||
| Section 232 | Autos and Automotive Parts | TBD | TBD | |
| Status: | For the latest status, please click here. | |||
| Section 301 | For the final list of products in List 1, please click here.
For the final list of products in List 2, please click here. For the final list of products in List 3, please click here. For an unofficial list of products in List 4, please click here. |
25% 25%
25% Up to 25% |
7/6/2018
8/23/2018
5/10/2019 TBD |
|
| Status: | List 1 totaling $34 billion worth of imports is composed of 818 tariff lines, and went into effect on 7/6/2018.
List 2 totaling $16 billion worth of imports was originally composed of 284 proposed tariff lines identified by the interagency Section 301 Committee. 279 of the 284 lines went into effect on 8/23/2018. For full details on List 2, please click here. List 3 totaling approximately $200 billion of imports was originally composed of 6,031 tariff lines. 5,745 full and partial lines went into effect on 9/24/2018. For full details on List 3, please click here. On June 1, 2019, List 3 tariffs will increase to 25 percent. Unofficial spreadsheet with Section 301 List 4 For full details on List 4 public comment and hearing dates and process, please click here. |
|||
Retaliatory Actions
| Canada | For covered products, please click here. | Table 1 – 25% Table 2 – 10% Table 3 – 10% |
(as of 5/20/2019) |
||
| Status: | The Canadian government received over 1,000 submissions of public feedback during public consultations on its original list.
Canada is imposing countermeasures against C$16.6 billion in imports of steel, aluminum, and other products from the U.S., representing the value of 2017 Canadian exports affected by the U.S. tariffs. |
||||
| EU | For covered products, please click here. | Annex I – 10% or 25% Annex II – 10% – 50% |
Annex I – 6/22/2018 Annex II – 3/23/2021 or 5th day after WTO Dispute Settlement Body rules against the U.S. action, whichever is first. |
||
| Status: | For the latest status, please click here. | ||||
| Mexico | For the translated list of covered products, please click here. | 7% – 25% (pages 1-4)
10% – 15% (page 5) |
(as of 5/20/2019) |
||
| Status: | Most retaliatory measures effective as of 6/5/2018. An “exception” list is effective on 7/5/2018. | ||||
| China (Response to Section 232 Tariffs) | For covered products, please click here. | Annex I – 15% – 25% | 4/3/2018 | ||
| Status: | See above. | ||||
| China (Response to Section 301 Tariffs) | For covered products in List 1, please click here.
(Unofficial Version) |
25% (No Change on June 1st – 28 lines of auto and auto part products on this list will be excluded) | 7/6/2018 | ||
| For covered products in List 2, please click here.(Unofficial Version) | 25% (No Change on June 1st – 116 lines of auto and auto part products on this list will be excluded) | 8/23/2018 | |||
| For covered products in List 3 (announced August 3), please click here.(Unofficial Version) |
Annex 1 – now 10% (Increases to 25% on June 1st) Annex 2 – now 10% (Increases to 20% on June 1st) Annex 3 – now 5% (Increases to 10% on June 1st) Annex 4 – remains 5% (No Change on June 1st – 67 lines of auto and auto part products on this list will be excluded) |
9/24/2018 |
|||
| Status: | List 1 is composed of 545 tariff lines, and goes into effect on 7/6/2018.
List 2 contains 333 tariff lines on U.S. goods worth $16 billion. Start date is 8/23/2018. List 3 contains 5,207 tariff lines on U.S. worth $60 billion. Start date is 9/24/2018. |
||||
| India | For covered products, please click here. | Up to $10.6 billion; Annex I – 5% – 100% |
1/31/2019 | ||
| Status: | The U.S. declined India’s request for WTO consultations. | ||||
| Japan | For covered products, please click here. | Up to $1.91 billion | TBD – no earlier than March 23, 2021, or the 5th day following the date of a decision from the WTO DSB, whichever comes first. | ||
| Status: | No update since May 18, 2018. Ambassador Lighthizer is holding trade talks with Economy Minister Motegi in July. Under Secretary McKinney is also leading a trade mission to Japan to discuss a possible bilateral trade deal. | ||||
| Russia | For covered products, please click here. | Additional Tariffs of 25, 30, 35, or 40% | 8/6/2018 | ||
| Status: | On August 6, 2018, Russia began imposing additional tariffs on selected U.S. products. | ||||
| Turkey | For covered products, please click here. | Up to $1.78 billion; Annex I – 5% – 40%Increased certain duties by 4 to 140% |
6/21/2018 8/15/2018 |
||
| Status: | |||||
On August 10, 2018, President Trump issued a new Proclamation Adjusting Imports of Steel into the United States from Turkey. Steel articles covered by Section 232 from Turkey are now subject to an ad valorem duty rate of 50%.
On August 12, 2018, U.S. Customs and Border Patrol (CBP) issued Cargo Systems Messaging Service (CSMS) …
The USTR announced on August 3rd that it will review Turkey’s eligibility for the Generalized System of Preferences (GSP) program that grants duty-free access to the U.S. market. GSP is a U.S. trade program designed to promote economic growth in the developing world by providing preferential duty-free entry for up to 4,800 products from…
On July 5, 2018, U.S. Customs and Border Protection (CBP) hosted a teleconference to review Section 301 filings requirements, allow members of the trade community to seek clarifications and raise questions, and outline resources CBP has in place.
The first set of Section 301 tariff increases is effective on July 6, 2018.
This is…
This week will see the implementation of previously announced tariff increases from the U.S., China, and Mexico.
Thursday, July 5 – Section 232 (Mexico)
Mexico will implement the second round of its retaliation for the U.S.’ increased tariffs on imports of certain steel and aluminum products with additional tariffs of 10-15% on pork and cheese…
On June 29, 2018, Canada released its retaliatory tariff list in response to the U.S. Section 232 tariffs on imports of certain steel and aluminum products from Canada at the rates of 25% and 10%, respectively.
The list is broken out into three tables. Items in Table 1 will be subject to a 25 per…
