The United States Trade Representative (USTR) office released four new lists of product exclusions to the Section 301 List 1-3 products currently subject to a 25% tariff.
News / Supply Chain Alerts
CN mainlines are being physically blocked by groups who are opposed to the completion of a natural gas pipeline in Northern British Columbia. The blockades have caused shutdowns at Tyendinaga, ON, since February 6; New Hazelton, BC, since February 8; and Headingly, MB, since February 12. Read the full CN press release. For additional background information, please refer to the BBC article here: https://www.bbc.com/news/world-us-canada-51452217.
Factories in China have begun to reopen but, because regional travel restrictions are still in place, some employees will not be able to return to work immediately. This is especially true for migrant workers from Hubei where most of the coronavirus (n-CoV) infections have been reported.
As the coronavirus outbreak persists, our thoughts are with our customers, colleagues and their families across the world. On February 4, 2020, the WHO (World Health Organization) officials advised that the coronavirus outbreak is not a pandemic and added that they are hopeful the transmission of the virus can be contained. Additional regions have extended the Chinese New Year holiday through February 9.
On Wednesday, February 5, 2020, the United States Trade Representative (USTR) office released a new list of product exclusions to the Section 301 List 3 products currently subject to a 25% tariff in the Federal Register Notice 85 FR 6674.
On February 4, 2020, United States Customs and Border Protection (CBP) issued a bulletin providing guidance related to the United States Trade Representative (USTR) Federal Register Notice 85 FR 3741 issued on January 20, 2020, which decreased the China List 4A tariff to 7.5% from 15%.
As of Thursday, January 30, 2020, several additional steps have been taken in an effort to contain the coronavirus. As previously mentioned, the China Government announced this week that Chinese New Year public holidays will be extended through February 2, 2020, with Shanghai, Ningbo, Hangzhou and Suzhou extended through February 9. As of this morning, the following cities and/or provinces will also remain closed through February 9: Chongqing, Jiangsu Province, Guangdong Province, Fujian Province.
On Friday, January 24, 2020, a presidential proclamation on derivative steel and aluminum was issued which extends the additional 25% tariff on steel and the additional 10% tariff on aluminum products to include derivative products that have seen a surge in imports.
On Monday, January 27, 2020, the China Government announced that the Chinese New Year (CNY) public holiday will be extended through February 2, 2020, (Shanghai, Ningbo, Hangzhou and Suzhou through February 9) as part of their efforts to contain the coronavirus outbreak. Ocean carriers have advised that the ports are operational, but to expect delays and changes to schedules. The following updates were received from ocean carriers on January 28.
On January 22, 2020, the United States Trade Representative (USTR) office announced in Federal Register Notice 85 FR 3741 that the China List 4A tariff will be reduced to 7.5% from 15% effective February 14, 2020.