BACKGROUND
On June 2, 2020, the U.S. Trade Representative (USTR) published Federal Register (FR) Notice 85 FR 33775 to extend through December 31, 2020 certain product exclusions previously covered by the June 4, 2019 notice (see 84 FR 25895) for Section 301 duties on China ($34B Action - Tranche 1).
These product exclusions relate to the imposed additional duties on Chinese goods with an annual trade value of approximately $34 billion and will apply as of June 4, 2020, and extend through December 31, 2020.
The scope of each exclusion is governed by the scope of the HTSUS 10-digit classification and product descriptions in the Annex per FR notice 85 FR 33775; not by the product descriptions set out in any particular request for exclusion. A link to the Federal Register Notice is embedded in this message.
The functionality for the acceptance of the extended product exclusions will be available in the Automated Commercial Environment (ACE) as of 7 am eastern standard time, June 11, 2020.
GUIDANCE
Instructions for importers, brokers, and filers on submitting entries to CBP containing products granted exclusions by the USTR from the Section 301 measures as set out in 85 FR 33775 are set out below:
- In addition to reporting the regular Chapter 84, 85 and 90 classifications of the HTSUS for the imported merchandise, as of June 4, 2020, importers shall report the HTSUS classification 9903.88.50 (Articles, the product of China, as provided for in U.S. note 20(ccc) to this subchapter, each covered by an exclusion granted by the USTR for imported merchandise subject to the exclusion).
- Importers shall not submit the corresponding Chapter 99 HTS number for the Section 301 duties when HTS 9903.88.50 is submitted.
ADDITIONAL INFORMATION
Imports which have been granted a product exclusion from the Section 301 measures, and which are not subject to the Section 301 duties, are not covered by the Foreign Trade Zone (FTZ) provisions of the Section 301 Federal Register notices, but instead are subject to the FTZ provisions in 19 CFR part 146.
Duty exclusions granted by USTR for the extension are effective with respect to entries on or after June 4, 2020 and through December 31, 2020. To request a refund of Section 301 duties paid on previous imports of products granted duty exclusions by the USTR, importers may file a Post Summary Correction (PSC) if within the PSC filing timeframe. If the entry is beyond the PSC filing timeframe, importers may protest the liquidation if within the protest filing timeframe. The latest guidance on the process for submitting retroactive claims for product exclusions to CBP is found in CSMS 42566154.
Reminder: importers, brokers, and/or filers should refer to CSMS 39587858 (Entry Summary Order of Reporting for Multiple HTS when 98 or 99 HTS are required) for guidance when filing an entry summary in which a heading or subheading in Chapter 99 is claimed on imported merchandise.
For ease of reference, a summary of Section 301 duties and product exclusion notifications is attached.
Questions from the importing community concerning ACE entry rejections involving product exclusions should be referred to their CBP Client Representative. Questions related to Section 301 entry-filing requirements, please refer to CSMS message #42203908 (Information on Trade Remedy Questions and Resources) https://content.govdelivery.com/accounts/USDHSCBP/bulletins/283fb04
Related Messages: 42839255, 42837261, 42693720, 42566220, 42355914, 42203908, 42219187, 42181055, 42180527, 42048963, 41955151, 42049352, 48134749, 40003027, 40002982, 40001360, 19-000052, 41702837, 41179115, 41052773, 41538917, 40984510, 40901928, 49710742, 40330403, 40208881, 40969690, 40564257, 39587690, 39587858, 39473933, 39268267, 93169565, 38840764, 19-000332, 19-000260, 19-000244, 19-000238, 19-000236, 19-000212
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