On June 25, 2020, the Office of the US Trade Representative (USTR) published in the Federal Register two notices and requests for comments concerning the extension of particular exclusions granted under the Product Exclusion Notice from the $16 billion action against certain goods from China pursuant to Section 301. USTR initiated an exclusion process in September 2018 and granted multiple sets of exclusions. The first notice [Docket Number USTR-2020-0025] covers the second set of exclusions, which was granted in September 2019 and is scheduled to expire on September 20, and the second notice [Docket Number USTR-2020-0026] covers the third set of exclusions, which was granted in October 2019, and is due to expire on October 2, 2020. USTR has decided to consider a possible extension for up to 12 months of particular exclusions and invites public comment on whether to extend particular exclusions. To be assured of consideration, submit written comments on the public docket after July 1, 2020 at 12:01 am ET and before 11:59 pm on July 30, 2020. See FR notices for procedures and detailed information required. A detailed “Exclusion Extension Comment Form” is annexed to each notice.
USTR will evaluate the possible extension of each exclusion on a case-by-case basis. The focus of the evaluation will be whether, despite the first imposition of these additional duties in August 2018, the particular product remains available only from China. In addressing this factor, commenters should address specifically:
- Whether the particular product and/or a comparable product is available from sources in the United States and/or in third countries.
- Any changes in the global supply chain since August 2018 with respect to the particular product or any other relevant industry developments.
- The efforts, if any, the importers or U.S. purchasers have undertaken since August 2018 to source the product from the United States or third countries. In addition, USTR will continue to consider whether the imposition of additional duties on the products covered by the exclusion will result in severe economic harm to the commenter or other U.S. interests.