In Washington – ACMA Insider – May 30, 2024

Biden Administration Maintains China Tariffs, Announces Exclusion for Machinery

The Office of the U.S. Trade Representative announced that while the tariffs put in place during the Trump Administration have been effective, China has not eliminated many of its technology transfer related acts, policies, and practices.  The Biden Administration will increase tariffs on a number of products, while announcing a tariff exclusion process on certain equipment for manufacturers. 

Current tariffs on China will remain in place, with a number of products seeing tariffs increased. The tariff on electric vehicles will increase to 100 percent, while tariffs on solar cells, semiconductors, syringes and needles will increase to 50 percent.  The tariff on batteries and parts, face masks, medical gloves, graphite and other critical minerals, permanent magnets, ship-to-shore cranes, and steel and aluminum products will increase to 25 percent. 

At the same time, the Office of the U.S. Trade Representative has announced an exclusion process for subheadings under Chapters 84 and 85 that cover machinery used in domestic manufacturing. The Federal Register notice announcing the scope of the exclusion process can be found in Annex B here

The website for filing comments opened on May 29, 2024 and will close at 11:59pm EST on June 28, 2024.  Interested parties are asked to comment if any of the identified tariff lines should remain eligible for an exclusion, be removed from eligibility, or if any additional tariff lines should be included. Exclusions granted through this process will be effective through May 31, 2025.

Members that have particular tariff lines they would like included or removed from eligibility should contact ACMA’s Vice President for Government Relations, Daniel Neumann.