On December 26, 2023, the United States Trade Representative (“USTR”) announced that it will further extend 352 reinstated exclusions and 77 COVID-related exclusions to duties imposed on goods from China pursuant to Section 301 of the Trade Act of 1974 until May 31, 2024. USTR imposed Section 301 duties in four tranches or “lists,” and it established a process by which importers could request exclusions for particular products on each list. Both the reinstated exclusions and the COVID-related exclusions were previously extended but were set to expire on December 31, 2023.
The 352 reinstated exclusions, listed in an annex to a previous notice, cover products from all four lists. The 77 COVID-related exclusions, listed in an annex to another previous notice, cover medical-care products needed to address COVID.
USTR’s announcement states that the goal of this most recent extension is to “enable the orderly review of the exclusions consistent with statutory factors and objectives to identify in which cases additional time would enable shifts in sourcing to the United States or third countries.” USTR also stated that the extensions will “facilitate the alignment of further decisions on these exclusions with the ongoing four-year review” of the Section 301 measures. USTR provided no further details regarding the status of the four-year review or when any announcements regarding the review would be expected.
Finally, USTR announced that it is opening a docket for public comments on existing exclusions on January 22, 2024. The docket will be available on USTR’s website.
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