HS Code:
This category pertains to specific products of China as outlined in U.S. note 20(aaa) to the Harmonized Tariff Schedule of the United States (HTSUS), which are covered by exclusions granted by the U.S. Trade Representative (USTR). These exclusions typically apply to goods that were previously subject to additional tariffs under Section 301 of the Trade Act of 1974 due to unfair trade practices by China. The exclusions are often granted based on factors such as the unavailability of the product outside China, economic harm to U.S. interests, or other strategic considerations. This category may include a wide range of products across various industries, including electronics, machinery, medical supplies, and consumer goods, depending on the specific exclusion lists published by the USTR.
Total Trade Volume
Approximately $550 billion USD (for all Section 301 affected goods, with exclusions covering a significant portion)
Data from 2022
Source
U.S. Customs and Border Protection (CBP) and U.S. International Trade Commission (USITC)
$500 billion USD
90% of total trade in this category of total trade
Stable with fluctuations due to tariff exclusions and geopolitical tensions
$20 billion USD
3.6% of total trade in this category of total trade
Increasing as companies shift supply chains
$15 billion USD
2.7% of total trade in this category of total trade
Increasing due to diversification efforts
$10 billion USD
1.8% of total trade in this category of total trade
Stable
$5 billion USD
0.9% of total trade in this category of total trade
Increasing due to nearshoring trends
Average Rate
7.5% to 25% (for non-excluded goods under Section 301)
Highest Rate
25% on certain high-value goods like electronics and machinery
Lowest Rate
0% for goods covered by USTR exclusions
Supply Chain Diversification
U.S. importers are increasingly sourcing from alternative countries like Vietnam and Mexico to avoid tariffs, reducing dependency on Chinese goods even for excluded categories.
2021-2023
Rising Production Costs in China
Increased labor and production costs in China are pushing some manufacturers to relocate to Southeast Asia, impacting long-term trade volumes even for excluded products.
2020-2022
Technology Sector Focus
Exclusions often prioritize technology and medical products, reflecting U.S. strategic interests in maintaining supply chains for critical goods during global disruptions.
2020-2023
The USTR announced extensions for specific exclusions on Chinese goods, including medical supplies and certain electronics, to mitigate economic harm to U.S. businesses amidst ongoing supply chain challenges.
September 2023
Temporary relief for U.S. importers, stabilizing prices for critical goods while maintaining pressure on China for trade negotiations.
The USTR opened a public comment period to review the effectiveness of Section 301 tariffs and exclusions, seeking input on whether to reinstate or expand exclusions for certain Chinese products.
November 2022
Potential for broader exclusions or modifications to tariff policies, influencing trade patterns in 2024.
Escalating U.S.-China tensions over technology exports and intellectual property rights have led to uncertainty regarding the future of exclusions and tariff policies.
Throughout 2023
Increased volatility in trade volumes and accelerated supply chain shifts to other regions.