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📦 Effective with respect to entries on or after January 1, 2024, and before June 1, 2025, articles the product of China, as provided in U.S. note 20(www) to this subchapter, each covered by an exclusion granted by the U.S. Trade Representative

Effective with respect to entries on or after January 1, 2024, and before June 1, 2025, articles the product of China, as provided in U.S. note 20(www) to this subchapter, each covered by an exclusion granted by the U.S. Trade Representative

HS Code:

📦

Overview

This category pertains to articles the product of China, as provided in U.S. note 20(www) to this subchapter, covered by an exclusion granted by the U.S. Trade Representative. These exclusions apply to specific Harmonized System (HS) codes for entries made on or after January 1, 2024, and before June 1, 2025. The exclusions are part of a broader policy under Section 301 of the Trade Act of 1974, aimed at addressing unfair trade practices by China. Products under this exclusion are temporarily relieved from additional tariffs imposed on Chinese goods, impacting various industries and product categories.

Total Trade Volume

Estimated $18 billion USD

Data from 2023 (projected for 2024-2025)

Source

U.S. Trade Representative (USTR) Reports, U.S. Customs and Border Protection Data

Tariff Analysis

Average Rate

0% (under exclusion; otherwise 7.5% to 25% under Section 301 tariffs)

Highest Rate

25% (applicable without exclusion for certain HS codes)

Lowest Rate

0% (during exclusion period)

Common Restrictions

  • Temporary exclusion validity (January 1, 2024, to May 31, 2025)
  • Specific HS code eligibility requirements
  • Potential reinstatement of tariffs post-exclusion period
  • Compliance with USTR documentation and reporting

Market Trends

Increased import demand due to tariff exclusions

Encourages U.S. importers to source from China during the exclusion window, potentially boosting trade volume temporarily.

2024

Shift in supply chain strategies

U.S. businesses may delay diversification of supply chains due to temporary relief, but long-term uncertainty remains.

2024-2025

Recent Developments

Extension of Section 301 Tariff Exclusions

The U.S. Trade Representative announced the extension of certain exclusions on Chinese goods under Section 301, covering specific HS codes, effective from January 1, 2024, to May 31, 2025, to mitigate economic impact on U.S. businesses.

Late 2023 (Announcement)

Provides temporary relief for U.S. importers, reducing costs and maintaining supply chain stability for affected products.

Public Comment Period on Exclusions

USTR opened a public comment period in 2023 to evaluate the effectiveness of exclusions and consider further extensions or modifications for specific HS codes.

Mid-2023

Potential for additional products to be included or excluded based on stakeholder feedback, influencing future trade patterns.