In a coordinated effort to reduce dependency on products coming from China, the United States has, in recent times, banned, restricted, and levied heavy tariffs on numerous imported products from the country, in an effort to boost its domestic manufacturing.
The Office of the United States Trade Representative (USTR) has now decided to further extend additional tariff duties on about half of the 429 products that came under such actions.
The USTR had earlier modified its actions in respect of the "Section 301" investigation into China's acts, policies, and practices related to technology transfer, intellectual property, and innovation, by excluding certain products from additional duties.
The 429 product-specific exclusions, comprising 352 reinstated exclusions and 77 COVID-related exclusions, are set to expire May 31, 2024.
In a new notification, the US trade authority has announced a 14-day transition period for all existing exclusions, extending their validity until June 14, 2024, and extending certain exclusions up to May 31, 2025.
"To facilitate a smooth transition, the US Trade Representative is extending all currently expiring exclusions through June 14, 2024," the authority said in a statement.
Products being given extended exclusions until May 2025 include the motors and medical equipment imported from China.
The USTR has determined that "extending these exclusions will facilitate endeavors to diversify sourcing away from China or grant additional time for cases where, despite efforts to procure products from alternative origins, availability outside of China remains constrained."
Last March, the USTR opted to reinstate specific previously granted and extended tariff exclusions under the "Section 301" for Chinese goods.
During his tenure, former President Donald Trump initiated a trade dispute with China, imposing additional tariffs on Chinese imports exceeding $300 billion, citing Section 301 of the Trade Act of 1974.
In an attempt to alleviate pressure on certain industries, Trump approved tariff exemptions for select products.
A week ago, President Joe Biden announced plans to increase fourfold tariffs on Chinese electric vehicles and to increase duties levied on solar cells, semiconductors, and other vital sectors.
Biden instructed his trade representative to escalate tariffs under Section 301 of the Trade Act of 1974 on imports worth $18 billion from China.
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