Section 301 Tariff Increases on Select Imports from China
Trade Update • Dec 16, 2024
The Office of the United States Trade Representative (USTR) has announced tariff increases under Section 301, targeting specific imports from China. These changes include increased tariff rates on certain tungsten products, solar wafers, and polysilicon, effective January 1, 2025. This update aims to address ongoing trade concerns while supporting domestic industries.
Key Details
Affected Products and Tariffs (HTSUS Codes)
- Tungsten Products
- Unwrought Tungsten (including sintered bars/rods): 8101.94.00 (increase to 25%)
- Bars, Rods, Plates, Sheets, Profiles: 8101.99.10 (increase to 25%)
- Other Articles: 8101.99.80 (increase to 25%)
- Polysilicon and Solar Wafers
- High-Purity Silicon (≥99.99%): 2804.61.00 (increase to 50%)
- Doped Electronics Materials (e.g., Wafers, Discs): 3818.00.00 (increase to 50%)
Stakeholder Feedback
Supportive Comments
- Many stakeholders emphasized the necessity of these tariffs to encourage domestic production and secure alternative supply chains.
- Higher tariffs on tungsten and polysilicon were noted as critical for bolstering investments in U.S. manufacturing.
Opposing Comments
- Some expressed concerns about increased production costs and potential inflationary effects.
- Limited alternative suppliers outside China raised apprehensions about market disruptions.
Implementation Guidelines and U.S. Commitments
Products imported from China under the affected HTSUS codes will face additional duties upon entry into the U.S., unless eligible for “domestic status” in Foreign Trade Zones as defined under 19 CFR 146.43.
The Section 301 tariff modifications reflect the U.S. government’s commitment to addressing trade imbalances and fostering domestic resilience. Importers should review their supply chains and HTSUS classifications to ensure compliance and plan for potential cost adjustments starting January 2025.
“The tariff increases announced today will further blunt the harmful policies and practices by the People’s Republic of China. These actions will complement the domestic investments made under the Biden-Harris Administration to promote a clean energy economy, while increasing the resilience of critical supply chains,” said Ambassador Katherine Tai.
Questions or concerns about if your products are affected? Contact us today! gts@ghy.com, or call +1 (800) 667-0771.
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