On June 8, 2020, the US Trade Representative (USTR) posted an advance copy of a notice to be published in the Federal Register that announces the USTR’s determination to grant certain exclusion requests for Tranche 4. As set out in the Annex, the exclusions are reflected in two ten-digit HTSUS subheadings and 32 specially prepared product descriptions, which together respond to 55 separate exclusion requests. In accordance with the October 24, 2019, notice (See 84 FR 57144), the exclusions are available for any product that meets the description in the Annex, regardless of whether the importer filed an exclusion request. Further, the scope of each exclusion is governed by the scope of the ten-digit HTSUS subheading as described in the Annex, and not by the product descriptions set out in any particular request for exclusion.
In March 2020, USTR granted an initial set of exclusion requests. See 85 FR 13970. The USTR granted additional exclusions in March and May 2020. See 85 FR 15244, 85 FR 17936, 85 FR 28693, as modified by 85 FR 32098. The product exclusions announced in this notice apply as of September 1, 2019, the effective date of List 1 of the $300 billion action, and extend to September 1, 2020. The USTR will continue to issue decisions on pending requests on a periodic basis.
The Annex modifies subchapter III of chapter 99 of the Harmonized Tariff Schedule of the United States (HTSUS) as follows:
- Paragraph A subparagraph (1) inserts the new subheading 9903.88.49
- Paragraph A subparagraph (2) adds a new U.S. note 20(bbb) with 34 subparagraphs
- Paragraph A, subparagraphs (3)-(4) of the Annex contain conforming amendments to the HTSUS
