March 25, 2020

Dear Members and Friends –

We hope that you are all staying safe and healthy during these difficult times.    While COVID-19 has caused chaos in the world of logistics, there are several other things going on that may affect your shipments.

On March 20, 2020, the U.S. Trade Representative published a list of almost 200 additional exclusions from the China 301 Tranche 3 actions.   As you may recall, Tranche 3 is subject to an additional 25 percent duty, unless the products have previously been excluded.  The full list is scheduled to be published tomorrow, but the unpublished list is attached here and here.

Some of the items on this list that may be of significance to our members include the following:

44) Backpacks and duffel bags with an outer surface of a blend of hemp and organic cotton, each measuring not less than 38 cm by 30 cm by 15 cm and not more than 36 cm by 72 cm by 34 cm (described in statistical reporting number 4202.92.2000)

45) Backpacks with outer surface of textile materials of man-made fibers, each measuring at least 35 cm but not more than 75 cm in height, at least 19 cm but not more than 34 cm in width, and at least 5cm but not more than 26 cm in depth (described in statistical reporting number 4202.92.3120)

46) Fishing tackle bags of man-made fibers, each measuring at least 5 cm but not more than 17 cm in width, at least 23 cm but not more than 27 cm in height and at least 37 cm but not more than 43 cm in depth, with a shoulder strap and carrying handles (described in statistical reporting number 4202.92.3131)

48) Tote bags with outer surface of man-made fibers, with handles, with printing on front and back, each bag measuring more than 20 cm but not more than 36 cm in width and more than 22 cm but not more than 39 cm in height, with a gusset measuring not more than 16 cm (described in statistical reporting number 4202.92.3131)

49) Bags with outer surface of textile materials of man-made fibers, each with a base of plastics and a coil zipper, weighing 0.22 kg or more but not over 4.6 kg, shaped to fit power sports vehicles (including but not limited to off-road vehicles, all-terrain vehicles, snowmobiles and motorcycles) (described in statistical reporting number 4202.92.9100)

50) Pouches and tool holsters of woven man-made fibers, each measuring at least 13 cm but not more than 19 cm in height, at least 4 cm but not more than 11 cm in width and at least 3 cm but not more than 5 cm in depth, valued not over $16 each, designed to fit over the wearer’s belt or attach to belt loops to provide hands-free carrying of mobile phones, tools, flashlights and articles of similar size (described in statistical reporting number 4202.92.9100)

52) Women’s, girls’, and infants’ pants, skirts and dresses, of polyurethane-coated leather of swine or of polyurethane-coated composition leather of swine (described in statistical reporting number 4203.10.4095)

54) Notebooks of paper or paperboard, each incorporating a plastic toy building block on the cover, measuring at least 13 cm but not more than 16 cm on the short side, at least 15 cm but not more than 22 cm on the long side and at least 1 cm but not more than 3 cm in thickness, with at least 192 but no more than 352 ruled or blank pages (described in statistical reporting number 4820.10.2060)

73) Windshields of laminated safety glass, of a size and shape for vehicles, each weighing at least 10.9 kg but not over 15.4 kg (described in statistical reporting number 7007.21.1010)

74) Rear-view mirrors for vehicles, composed of stainless steel, aluminum, glass filled nylon, polyethylene, and acrylonitrile-butadiene-styrene, each weighing at least 500 g but not more than 1 kg, with mirrors measuring at least 180 mm but not more than 400 mm in length (described in statistical reporting number 7009.10.0000)

75) Rear-view mirrors for vehicles, each consisting of a multi-curvature convex glass mirror, a steel case and a heating element (described in statistical reporting number 7009.10.0000)

76) Replacement kits for rear-view mirrors for vehicles, each consisting of a multi-curvature convex mirror, a gasket and a heating element (described in statistical reporting number 7009.10.0000)

168) Cabinets of wood with glass fronts, each measuring at least 208 cm but not more than 234 cm in height, at least 86 cm but no more than 128 cm in width and at least 40 cm but not more than 49 cm in depth (described in statistical reporting number 9403.60.8081)

169) Cabinets of wood with glass fronts, each measuring at least 91 cm but not more than 117 cm in height, at least 165 cm but no more than 216 cm in width and at least 38 cm but not more than 59 cm in depth (described in statistical reporting number 9403.60.8081)

For the full list, please see the preliminary notice from the office of the USTR.   If there are questions about customs classifications, contact traderemedy@cbp.dhs.gov.

These exclusions are retroactive to September 24, 2018 and are in effect through August 7, 2020.   To seek refunds of duties paid, speak to your customs broker or a customs attorney.

CBP has published a notice about requesting extensions of exclusions.  That notice is attached here.

There were also several notices of about 200 medical items that have been granted exclusions.  See the following link.

For U.S. importers, Customs is reviewing requests for a 7 day delay in payments of customs duties.   A notice should appear in the Federal Register shortly.   If anyone is interested, reach out to Director Randy Mitchell at randy.mitchell@cbp.dhs.gov and include the name of the importer and the IOR number in the request.

In other news, India’s Prime Minister, Narendra Modi, yesterday ordered the country on lockdown for 21 days.   Production and shipments from India will obviously be significantly delayed.  Although ports and carriers are still operational, truckers and factories are closed.   Bangladesh has just announced that all public transport (except for emergency medical transport) is shut down from March 26 to April 4.

Stay safe, stay indoors, stay healthy.

Sara Mayes,
President