As you may already be aware, the Office of the U.S. Trade Representative (USTR) revealed that it is considering the possible reinstatement of previously extended Section 301 product exclusions.

Now, the USTR has announced that it is seeking comments from the trade community to help determine which of the 549 exclusions—which previously expired in late 2020 and/or early 2021—should be extended.

Exclusion reinstatements will be made on a case-by-case basis based on a variety of factors related to both product availability from countries other than China and external factors such as the impact on employment and critical supply chains in the United States.

The USTR Notice states that “Exclusions reinstated pursuant to this review would be retroactive with respect to merchandise entered, or withdrawn from warehouse, for consumption on or after the opening of the docket on October 12, 2021, for which the entries are not liquidated at the time the claim to apply the reinstated exclusion is made to U.S. Customs and Border Protection in accordance with their procedures.” In other words, a reinstated exclusion will only be accepted for unliquidated entries for cargo entered the US on or after October 12th.

Please refer to the schedule below for all consideration and comment deadlines:

  • October 12, 2021: Online portal will open for public submissions beginning at 12:01 AM EDT.
  • December 1, 2021: All written comments must be submitted by 11:59 PM EDT.

Comments submitted for review should address the following information:

  • Contact information, including the full legal name of the organization making the comment, and whether the commenter is a third party.
  • The previously extended exclusion you are commenting on.
  • Whether the product or products covered by the exclusion are subject to an antidumping or countervailing duty order issued by the U.S. Department of Commerce.
  • Whether you support or oppose reinstating the exclusion and an explanation of your rationale.
  • Whether the commenter meets the size standard for a small business, as established by the Small Business Administration.
  • The number of employees your business employs in the United States.
  • Whether the products covered by the exclusion or comparable products are available from sources in the U.S. or in third countries.
  • The efforts you have undertaken since September 2018 to source the product from the U.S. or third countries.
  • As a domestic producer, your capacity to produce the product in the United States, your production in the United States, your efforts to produce domestically, and any constraints.
  • The value and quantity of the Chinese-origin product covered by the specific exclusion request purchased over the last three years.
  • Whether Chinese suppliers have lowered their prices for products covered by the exclusion following the imposition of duties.
  • The value and quantity of the product covered by the exclusion purchased from domestic and third country sources over the last three years.
  • If applicable, the commenter’s gross revenues for the last three years.
  • Whether the Chinese-origin product of concern is sold as a final product or as an input.
  • Whether or not reinstating the exclusion will result in severe economic harm to the commenter or other U.S. interests.
  • Whether the additional tariffs had an impact on employment at your company.
  • Any additional information in support of or in opposition to reinstating the exclusion

All submission requests must be sent electronically via the USTR Comment Portal.

The official Federal Register Notice—which includes the full list of details requested by the USTR—can be accessed HERE.   

Click here to view more details and resources related to the Reinstatement of Certain Exclusions.

If you would like to receive additional information regarding the comment process, or if you would like assistance in commenting, please notify your Shapiro representative today.

Shapiro will continue to monitor and provide status updates on our Section 301 Tariff News page as they become available.