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25% Tariff Imposed on Chinese Goods

MSK Client Alert
June 15, 2018

The U.S. Trade Representative (USTR) today issued two lists of products on which the U.S. seeks to impose tariffs on goods made in China at a 25% rate. The lists together cover 1,102 tariff lines valued at approximately $50 billion. According to the USTR’s release, the list of products settled on was intended to focus on “products from industrial sectors that contribute to or benefit from the ‘Made in China 2025’ industrial policy,” and include aerospace, information and communications technology, robotics, industrial machinery, new materials and automobiles. Cellular telephones and televisions are not included.

List 1 can be found here and List 2 here. The 25% duty results from the recently completed 301 investigation and will be imposed on the products in List 1 starting on July 6, 2018. Those goods are said to be worth approximately $34 billion. The products on List 2, which are estimated to be worth $16 billion, will undergo further review, including public notice and comment, and a public hearing. USTR also stated a process will be published to allow companies to seek exclusions for particular products.

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