CARM: What all importers need to know about CARM

Universal Logistics - Take The Right Route Logo with 70 Years Badge

U.S. To Increase Tariffs on China Imports

On May 14, 2024, President Biden directed his Trade Representative to increase tariffs under Section 301 of the Trade Act of 1974 on $18 billion worth of imports from China. This action is intended to safeguard American workers and businesses from unfair trade practices by China.

The White House issued the following statement on May 14th:

“After thorough review of the statutory report on Section 301 tariffs, and having considered my advice, President Biden is directing me to take further action to encourage the elimination of the People’s Republic of China’s unfair technology transfer-related policies and practices that continue to burden U.S. commerce and harm American workers and businesses…In light of President Biden’s direction, I will be proposing modifications to the China tariffs under Section 301 to confront the PRC’s unfair policies and practices.”

U.S. Trade Representative Katherine Tai

Proposed Tariff Increases

The proposed tariff increases are substantial and targeted at key sectors:

  1. Steel and Aluminum Products: Tariffs will increase from 0–7.5% to 25% this year.
  2. Battery Parts: Tariffs will rise from 7.5% to 25% this year.
  3. Lithium-Ion EV Batteries: Tariffs will increase from 7.5% to 25% this year.
  4. Lithium-Ion Non-EV Batteries: Tariffs will increase from 7.5% to 25% in 2026.
  5. Critical Minerals: Tariffs will increase from zero to 25% this year.
  6. Solar Cells: Tariffs will increase from 25% to 50% this year.
  7. Syringes and Needles: Tariffs will go from zero to 50% this year.
  8. Personal Protective Equipment: Certain respirators and masks will see tariffs increase from 0–7.5% to 25% this year.
  9. Semiconductors: Tariffs will increase from 25% to 50% by 2025.
  10. Natural Graphite and Permanent Magnets: Tariffs will increase from zero to 25% in 2026.
  11. Rubber Medical and Surgical Gloves: Tariffs will increase from 7.5% to 25% in 2026.

Next Steps and Public Involvement

The United States Trade Representative (USTR) has announced that a Federal Register notice will be issued next week. This notice will outline the procedures for interested persons to comment on the proposed modifications and provide information concerning an exclusion process for machinery used in domestic manufacturing.

These tariff adjustments are part of a broader strategy to address China’s trade practices and to support the resilience and competitiveness of American industries.

For further information, please contact Brian Rowe, Director of Customs Compliance and Regulatory Affairs.

Related:

June 2024

June 5, 2024
Overview In today’s constantly evolving global business environment, it is essential for companies to build a robust supply chain capable of enduring disruptions and uncertainties.…

Quick Tip #27
Show compliance with wood packaging regulations

Making your compliance with wood packaging regulations highly visible on all documentation reduces your chances of being inspected, especially now that enforcement is becoming increasingly stringent.

Switch to a Logistics
Partner Who Cares

Click the button below to find out why we’ve been Canada’s most trusted freight forwarder and customs broker for over 75 years.

Professional business people team meeting and working in corporate office concept

Register now to learn more about our

101 Logistics Quick Tips

Available exclusively from Universal Logistics