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ITC Issues Revisions 2 and 3 to Tariff Schedule, Changes to Sections 301, 232 and 201 Duties

The International Trade Commission recently issued two new revisions to the 2019 Harmonized Tariff Schedule. Changes include new and amended exclusions from Section 301 tariffs from China, as well as a decrease in tariffs for goods on list 4A. The ITC also implemented new Section 232 tariffs on some finished goods of steel and aluminum that took effect Feb. 8, as well as a shift to a quarterly tariff-rate quota for imports of large residential washers subject to Section 201 safeguard duties.

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Revision 3 Amends Section 301 Exclusions, Sets Rate Reduction

New Revision 3 to the 2019 HTS implements the decrease in Section 301 tariffs on List 4A goods from 15% to 7.5%, per a recent deal between the U.S. and China to cool trade tensions between the countries (see 2001160019). It also adds recently issued exclusions from Section 301 tariffs, and amends some existing ones, per two recent notices from the Office of the U.S. Trade Representative.

New U.S. Note 20(qq) is added to subchapter III of chapter 99 to list goods newly excluded from the third list of Section 301 tariffs on goods from China (see 2002040040). Entries covered by the exclusions are to be filed under new HTS subheading 9903.88.38. Conforming changes are made to other provisions of subchapter III on Section 301 tariffs.

New paragraphs 94-97 are added to U.S. Note 20(x) for goods newly excluded from the first list of Section 301 tariffs, as announced in a USTR notice published Feb. 11 (see 2002100014). Technical changes are also made to existing exclusions at U.S. notes 20(i)(6–7), 20(m)(16–18), 20(m)(27), 20(n)(13–27), 20(n)(30), 20(q)(19–21), and 20(x)(20).

Revision 2 Adds New 232 ‘Derivatives Tariffs,’ Moves to Quarterly Washer TRQ

Revision 2 to the 2019 HTS implemented new Section 232 tariffs on certain finished products of iron and steel products and aluminum (see 2001280066), as well as the switch of Section 201 safeguards on large residential washers from an annual to a quarterly tariff-rate quota (see 2001270042).

Steel and aluminum “derivatives.” New subheadings 9903.80.03 and 9903.85.03 are added for goods subject to the new section 232 tariffs on iron and steel “derivatives” that took effect Feb. 8. As with Section 232 tariffs on aluminum and iron and steel in primary forms, the new tariffs on “derivatives” -- which include iron and steel nails and tacks, aluminum wire and cable, and bumper and tractor body stampings of both aluminum and iron and steel — do not apply to “products of Australia, of Argentina, of Brazil, of Canada, of Mexico, of South Korea.”

Note U.S. Notes 16(a)(ii) and 19(a)(iii) are added to subchapter III of chapter 99 for the new tariffs on iron and steel products and aluminum products, respectively. Conforming changes are made for several existing paragraphs on U.S. Notes 16 and 19.

Subheading 8708.10.3010 for automotive bumper stampings is broken out into new subheadings 8708.10.3020 for steel bumper stampings, 8708.10.3030 for aluminum bumper stampings, and 8708.10.3040 for “other” bumper stampings. Likewise, subheading 8708.29.21 for “body stampings for tractors suitable for agricultural use” is subdivided into new subheadings 8708.29.2120 for steel body stampings, 8708.29.2130 for aluminum body stampings, and 8708.29.2140 for “other” body stampings.

Large residential washers. U.S. Note 17(i) is added to Subchapter III of Chapter 99 to set the new quarterly washer quota. Subheading 9903.45.01 for in-quota large residential washers is modified to reflect the quarterly TRQ, as is U.S. Note 17(d) on tariff rates applicable to in-quota large residential washers. Provisions for quotas on parts of large residential washers are unchanged.

Technical corrections. Finally, technical corrections were made to subheadings 8413.91.9065 for parts of pump sucker rods, 8503.00.9046 for parts for AC generators, and 8503.00.9070 for parts of wind-powered generating sets.