Update: Effective today, CBP began collecting 25% in additional duties on imported commodities covered by the tariff items on list 2 as described below.

On August 7, 2018 The United States Trade Representative (USTR) released the final list of products on List 2 that would be subject to a 25% additional tariff for goods imported from China. The original list contained 284 tariff items, and the final list contains 279. The five tariff items numbers that were eliminated are: 3913.10.00, 8465.96.00, 8609.00.00, 8905.90.10, and 9027.90.20.

The full final list (List 2) can be found here:

List 2

After the implementation of List 2, this still leaves List 3 not yet implemented. There is no set start date for List 3 as it is currently subject to hearings. The proposed tariff items on List 3 can be found here, starting on page 11.

List 3

Important Note: Because of the increased duties for these products from China, importers should review their Customs bond amounts to ensure they will be sufficient going forward.

Customs determines bond amounts to be 10% of the duties collected in a year, subject to a minimum bond amount of $50,000.00. Customs has been very active in enforcing bond amounts, and receiving a Customs notice of an insufficient bond at the time of importation can create delays and additional costs. In light of the additional Chinese duties, importers would be prudent to conduct a bond sufficiency review.

For questions, please contact your V. Alexander account team.