On Friday, December 13, 2019, the United States Trade Representative (USTR) announced a Phase 1 Trade Agreement with China. This enforceable agreement requires structural reforms to China’s economic and trade regime in the areas of intellectual property, technology transfer, agriculture, financial services, and currency and foreign exchange.
As a result of the trade agreement and a commitment by China to make substantial additional purchases of U.S. goods and services in the coming years, the U.S. has agreed to suspend the Section 301 List 4B 15% tariffs scheduled to start on Sunday, December 15. The details are still not formalized, but the administration has tweeted that the U.S. will keep the 25% Tariffs on $250 billion Lists 1-3, but then decrease the List 4A tariffs to 7.5% on $120 billion.
China will also consider canceling retaliatory tariffs set for Sunday.
More information is expected regarding the changes in tariffs, and we will provide updates once available.
For more information, please contact your local Noatum Logistics USA (Formerly MIQ Logistics) representative.