On December 29, 2020, the Office of the United States Trade Representative (“USTR”) announced long-awaited extensions to a limited set of previously granted exclusions (for COVID-related products), that were set to expire on December 31, 2020. Meanwhile, importers across non-COVID industries are continuing to await guidance on their tariff exclusion extensions that are set to expire on December 31, 2020.
The USTR provided the following rationale for this limited extension:
In light of the rising spread and ongoing efforts to combat COVID–19, the U.S. Trade Representative has determined that maintaining or reimposing additional duties on certain products subject to the action no longer is appropriate and that the application of additional duties to these products could impact U.S. preparedness to address COVID–19. Pursuant to sections 301(b), 301(c), and 307(a) of the Trade Act of 1974, as amended, and in accordance with the advice of the interagency Section 301 Committee, the U.S. Trade Representative has determined to extend certain product exclusions on medical-care products and to remove the duties from additional medical-care products.
The items detailed in this notice have been granted extensions to their respective exclusions through March 31, 2021. Additionally, USTR has made further modifications to remove Section 301 duties from additional medical-care products to address COVID-19. USTR may consider further extensions and/or additional modifications as appropriate. U.S. Customs and Border Protection (“CBP”) issued guidance on the 301 exclusion extensions and modifications on December 30, 2020.
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Detailed Scope of Extension
Effective with respect to goods entered for consumption or withdrawn from warehouse for consumption, on or after 12:01 a.m. eastern daylight time on January 1, 2021, and before 11:59 pm on March 31, 2021, subchapter III of chapter 99 of the Harmonized Tariff Schedule of the United States (HTSUS) is modified:
ANNEXES A—D:
- by inserting the following new heading 88.62, 9903.88.63, 9903.88.64, or 9903.88.65, respectively, in numerical sequence, with the new material in the new heading inserted in the columns of the HTSUS labeled “Heading/Subheading”, “Article Description”, and “Rates of Duty 1-General”, respectively:
ANNEX
|
Heading/ Subheading: |
Description |
Rates of Duty |
|
1 | 2 | |||
General | Special | |||
A |
“9903.88.62
|
Effective with respect to entries on or after January 1, 2021, and through March 31, 2021, articles the product of China, as provided for in U.S. note 20(ooo) to this subchapter, each covered by an exclusion granted by the U.S. Trade Representative….. | The duty provided in the applicable subheading” | |
B |
“9903.88.63 | Effective with respect to entries on or after January 1, 2021, and through March 31, 2021, articles the product of China, as provided for in U.S. note 20(ppp) to this subchapter, each covered by an exclusion granted by the U.S. Trade Representative….. | The duty provided in the applicable subheading” | |
C |
“9903.88.64
|
Effective with respect to entries on or after January 1, 2021, and through March 31, 2021, articles the product of China, as provided for in U.S. note 20(qqq) to this subchapter, each covered by an exclusion granted by the U.S. Trade Representative….. | The duty provided in the applicable subheading” | |
D |
“9903.88.65
|
Effective with respect to entries on or after January 1, 2021, an through March 31, 2021, articles the product of China, as provided for in U.S. note 20(rrr) to this subchapter, each covered by an exclusion granted by the U.S. Trade Representative….. | The duty provided in the applicable subheading” |
ANNEX A – 9903.88.62: by inserting the following new U.S. note 20(ooo) to subchapter 99 in numerical sequence: “(ooo) The USTR determined to establish a process by which particular products classified in heading 9903.88.01 and provided for in U.S. notes 20(a) and 20(b) to this subchapter could be excluded from the additional duties imposed by heading 9903.88.01. See 83 FR 28710 (June 20, 2018) and 83 FR 32181 (July 11, 2018). Following its request for public comment in March, USTR determined that, as provided for in heading 9903.88.62, the additional duties provided for in heading 9903.88.01 shall not apply to the following particular products, which are provided for in the enumerated statistical reporting numbers:
# | Article Description | Statistical Reporting Number |
(1) | Disposable plastic filters of a kind suitable for filtering and dehumidifying a patient’s breath in a medical device such as a gas analyzer | 8421.39.8090
|
(2) | S-band and X-band linear accelerators designed for use in radiation surgery or radiation therapy equipment | 9018.11.9000 |
(3) | Disposable electrocardiograph (ECG) electrodes | 8543.10.1000 |
(4) | Ultrasonic scanning apparatus, each having dimensions not exceeding 122 cm by 77 cm by 127 cm, whether or not presented with transducer | 9018.12.0000 |
(5) | Blood pressure monitors suitable for use by medical professionals | 9018.19.9530
|
(6) | Digital peak flow meters suitable for use by medical professionals | 9018.19.9550 |
(7) | Fingertip pulse oximeters suitable for use by medical professionals | 9018.19.9550 |
(8) | Bismuth germanate crystals with set dimensional and surface finish requirements and used as a detection element in Positron Emission Tomography (PET) detectors | 9018.19.9560 |
(9) | Magnetic resonance imaging (“MRI”) patient enclosure devices, each incorporating radio frequency and gradient coils | 9018.19.9560 |
(10) | Parts and accessories of capnography monitors | 9018.19.9560 |
(11) | Disposable surface electrodes for intra-operative neuromonitoring (“IONM”) systems, each composed of a surface electrode pad, an insulated wire, and a standard DIN 42802 connector | 9018.19.9560 |
(12) | Otoscopes | 9018.90.2000 |
(13) | Anesthesia masks | 9018.90.3000 |
(14) | Anesthetic instruments and appliances suitable for use in medical or surgical sciences, and parts of accessories of the foregoing | 9018.90.3000 |
(15) | Electrosurgical cautery pencils with electrical connectors | 9018.90.6000 |
(16) | Printed circuit board assemblies designed for use in displaying operational performance of medical infusion equipment | 9018.90.7580 |
(17) | Combined positron emission tomography/computed tomography (PET/CT) scanners which utilize multiple PET gantries (frames) on a common base | 9022.12.0000 |
(18) | X-ray tables | 9022.90.2500 |
(19) | X-ray tube housings and parts thereof | 9022.90.4000 |
(20) | Multi-leaf collimators of radiotherapy systems based on the use of X-ray | 9022.90.6000 |
(21) | Parts and accessories, of metal, for mobile X-ray apparatus | 9022.90.6000 |
(22) | Vertical stands specially designed to support, contain or adjust the movement of X-ray digital detectors, or the X-ray tube and collimator in complete X-ray diagnostic systems | 9022.90.6000 |
(23) | Thermoplastic masks of polycaprolactone for the use of immobilizing patients, during the use of alpha, beta or gamma radiations, for radiography or radiotherapy | 9022.90.9500 |
(24) | Inoculator sets of plastics each consisting of a plate with multiple wells, a display tray, and a lid; when assembled, the set measuring 105 mm or more but not exceeding 108 mm in width, 138 mm or more but not exceeding 140 mm in depth, and 6.5 mm or less in thickness | 9027.90.5650 |
The technical amendments to the exclusions to certain Notes to Subchapter III of Chapter 99 of the HTSUS can be found below:
Notes: | (Old) Modified by deleting… | (New) … and, in lieu thereof, inserting…
|
20(a)
|
“or (12)” | “(12)”; and by inserting “; or (13) heading 9903.88.62 and U.S. note 20(ooo) to subchapter III of chapter 99″ after the phrase “U.S. note 20( mmm) to subchapter III of chapter 99”
|
20(b) | “or (12)” | “(12)”; and by inserting “; or (13) heading 9903.88.62 and U.S. note 20(ooo) to subchapter III of chapter 99” after the phrase “U.S. note 20(mmm) to subchapter III of chapter 99”, where it appears at the end of the sentence. |
Article Description of heading: 9903.88.01 | “9903.88.58 or” | 9903.88.58; and by inserting “or 9903.88.62,” after “9903.88.60,” |
Effective with respect to goods entered for consumption, or withdrawn from warehouse for consumption, on or after 12:01 a.m. eastern daylight time on January 1, 2021, the exclusion for certain inoculator sets of plastics that is provided for in heading 9903.88.06 and U.S. note 20(i)(32) to subchapter III of chapter 99 of the HTSUS is deleted.
ANNEX B – 9903.88.63: by inserting the following new U.S. note 20(ppp) to subchapter 99 in numerical sequence: “(ppp) The USTR determined to establish a process by which particular products classified in heading 9903.88.02 and provided for in U.S. notes 20(c) and 20(d) to this subchapter could be excluded from the additional duties imposed by heading 9903.88.02. See 83 FR 40823 (August 16, 2018) and 83 FR 47326 (September 18, 2018). Following its request for public comment in March, USTR determined that, as provided for in heading 9903.88.63, the additional duties provided for in heading 9903.88.02 shall not apply to the following particular products, which are provided for in the enumerated statistical reporting numbers:
# | Article Description | Statistical Reporting Number |
(1) | 9025.19.8010
|
|
(2) | 9025.19.8020 | |
(3) | 9025.19.8060 | |
(4) | 9025.19.8085 | |
(5) | Molded acrylonitrile-butadiene-styrene (ABS) tubes, of a kind used to effect the sterile transfer of fluid from a bag or vial to another container, each tube measuring 7.5 cm or more but not exceeding 23 cm in length, with an inner diameter of less than 0.65 cm and an outer diameter of less than 9 cm, one end having been angle-cut to form a spike, and having an integrated flange, less than 3 cm in diameter (splash guard) near the spike end removable polyethylene caps on each end, put up in sterile packing | 3917.29.0090
|
(6) | Polyethylene film, 20.32 to 198.12 cm in width, and 30.5 to 2000.5 m in length, coated on one side with solvent acrylic adhesive, clear or in transparent colors, whether or not oriented, in rolls | 3919.90.5060 |
(7) | Rectangular sheets of high-density sheets of high-density or low-density polyethylene, 111.75 cm to 215.9 cm in width, and 152.4 cm to 304.8 cm in length, with a sticker attached to mark the center of each sheet, of a kind used in hospital or surgery center operating rooms | 3920.10.0000 |
(8) | Sheets and strips consisting of both cross-lined polyethylene and ethylene vinyl acetate, of a width greater than 1 m but not greater than, 1.5 m, and a length greater than 1.75 m but not greater than 2.6 m | 3921.19.0000 |
(9) | Polyethylene sheet and film laminated with spunbond-spunbond-spunbond nonwoven polypropylene fabric, measuring 1.12 m or more but not over 1.52 m in width and 1.93 m or more but not over 2.29 m in length, and weighing 55 g/m^2 or more but not exceeding 88 g/m^2 | 3921.89.1500 |
(10) | Dispensers of hand-cleaning or hand-sanitizing solutions, whether employing a manual pump or a proximity-detecting battery-operated pump, each article weighing not more than 3 kg | 8424.89.9000 |
The technical amendments to the exclusions to certain Notes to Subchapter III of Chapter 99 of the HTSUS can be found below:
Notes: | (Old) Modified by deleting… | (New) … and, in lieu thereof, inserting…
|
20(c)
|
“or (6)” | “(6)”; and by inserting “; or (7) heading 9903.88.63 and U.S. note 20(ppp) to subchapter III of chapter 99″ after the phrase “U.S. note 20( nnn) to subchapter III of chapter 99” where it appears at the end of the sentence. |
20(d) | “or (6)” | “(6)”; and by inserting “; or (7) heading 9903.88.63 and U.S. note 20(ppp) to subchapter III of chapter 99” after the phrase “U.S. note 20(nnn) to subchapter III of chapter 99”, where it appears at the end of the sentence. |
Article Description of heading: 9903.88.02 | “9903.88.59 or” | 9903.88.59 and by inserting “or 9903.88.63,” after “9903.88.61,” |
ANNEX C – 9903.88.64: by inserting the following new U.S. note 20(qqq) to subchapter 99 in numerical sequence: “(qqq) The USTR determined to establish a process by which particular products classified in heading 9903.88.03 and provided for in U.S. notes 20(e) and 20(f) to this subchapter could be excluded from the additional duties imposed by heading 9903.88.03, and by which particular products classified in heading 9903.88.04 and provided for in U.S. note 20(g) to this subchapter could be excluded from the additional duties imposed by heading 9903.88.04. See 83 FR 47974 (September 21, 2018) and 84 FR 29576 (June 24, 2019). Following its request for public comment in March, USTR determined that, as provided for in heading 9903.88.64, the additional duties provided for in heading 9903.88.03 or in heading 9903.88.04 shall not apply to the following particular products, which are provided for in the enumerated statistical reporting numbers:
# | Article Description | Statistical Reporting Number |
(1) | 3808.94.1000 | |
(2) | 3808.94.5010 | |
(3) | 3808.94.5090 | |
(4) | 3808.94.5090 | |
(5) | 3923.21.0095 | |
(6) | 3926.20.9050 | |
(7) | 4015.19.1010 | |
(8) | 4819.50.4060 | |
(9) | 5603.12.0090 | |
(10) | 5603.14.0090 | |
(11) | 5603.92.0090 | |
(12) | 5603.93.0090 | |
(13) | 6506.00.8015 | |
(14) | 8424.90.9080 | |
(15) | Sodium metal (CAS No. 7440-23-5), in bulk solid form | 2805.11.0000 |
(16) | Disposable cloths of nonwoven textile materials impregnated, coated or covered with organic surface-active preparations for washing the skin, put up for retail sale | 3401.30.5000 |
(17) | Hand soaps and hand sanitizers in the form of liquid or cream put up for retail sale, other than hand sanitizers of heading 3808 | 3401.30.5000 |
(18) | Organic surface-active liquid for washing the skin, not containing any aromatic or modified aromatic surface-active agent, put up for retail sale in a bottle of plastics with pump-action top, each bottle measuring not more than 17 cm in width, not more than 27 cm in height and not more than 6.5 cm in length and with a net weight of not more than 0.5 kg | 3401.30.5000 |
(19) | Mixtures containing 2- (dimethylamino) ethanol (CAS No. 108-01-0) | 3824.99.9297 |
(20) | Silicon monoxide (SiO) (CAS No. 10097-28-6) in powder form | 3824.99.9297 |
(21) | Flexible gas sampling tubes, pipes and hoses, of polyvinyl chloride, with lock connectors at each end | 3917.33.0000 |
(22) | Flexible oxygen tubes, pipes and hoses presented with integrated molded connectors, of polyvinyl chloride | 3917.33.0000 |
(23) | Container units of plastics, each comprising a tub and lid therefore, configured or fitted for the conveyance, packaging, or dispensing of wet wipes | 3923.10.9000 |
(24) | Sacks and bags of polymers of ethylene, reclosable, qualifying as Class 1 medical devices by the U.S. Food and Drug Administration (FDA) under product code NNI | 3923.21.0030 |
(25) | Injection molded polypropylene plastic caps or lids each weighing not over 24 grams designed for dispensing wet wipes | 3923.50.0000 |
(26) | Aprons, of plastics, of kind used as personal protection equipment | 3926.20.9010 |
(27) | Seamless disposable gloves of acrylonitrile butafiene rubber, other than for surgical or medical use | 4015.19.1010 |
(28) | Seamless disposable gloves of natural rubber latex, other than for surgical or medical use | 4015.19.1010 |
(29) | Nonwoven fabrics of man-made fibers, weighing no more than 25 g/m^2 but no more than 70 g/m^2, with a smooth or embossed texture (not impregnated, coated or covered with material other than or in addition to rubber, plastics, wood pulp or glass fibers), in rolls that are pre-slitted in lengths of not less than 15 cm to not more than 107 cm, for use in the manufacture of personal care wipes | 5603.12.0090 |
(30) | Hand pumps (other than for fuel or lubricants, not fitted or designed to be fitted with a metering device), each used to dispense a metered quantity of liquid soap or sanitizer | 8531.20.0000 |
(31) | Hand pups for liquids (other than those of subheading 8413.11 or 8413.19) of acrylonitrile butadiene styrene (ABS) plastics | 8531.20.0000 |
(32) | Indicator panels incorporating LEDs, designed for use in medical infusion equipment | 8531.20.0040 |
(33) | Data input devices each with display capabilities of a kind used for magnetic resonance imaging (“MRI”) equipment, computed tomography (“CT”) equipment, intraoperative X-ray (“IXR”) equipment or patient monitors | 8537.10.9170 |
(34) | Compound binocular optical microscopes (other than stereoscopic microscopes and microscopes for photomicrography, cinemicrography or mictroprojection), each with magnification of 40X or more but not exceeding | 9011.80.0000 |
(35) | Compound optical microscopes (other than stereoscopic microscopes for photomicrography, cinemicrography or mictroprojection), each with magnification of 40X or more but not exceeding 40X, weighing not more than 15 kg | 9011.80.0000 |
The technical amendments to the exclusions to certain Notes to Subchapter III of Chapter 99 of the HTSUS can be found below:
Notes: | (Old) Modified by deleting… | (New) … and, in lieu thereof, inserting…
|
20(e)
|
“or (15)” | “(15)”; and by inserting “; or (16) heading 9903.88.64 and U.S. note 20(qqq) to subchapter III of chapter 99″ after the phrase “U.S. note 20( iii) to subchapter III of chapter 99”, where it appears at the end of the sentence |
20(f) | “or (15)” | “(15)”; and by inserting “; or (16) heading 9903.88.64 and U.S. note 20(qqq) to subchapter III of chapter 99” after the phrase “U.S. note 20(iii) to subchapter III of chapter 99”, where it appears at the end of the sentence. |
20(g) | “or (8)” | “(8)”; and by inserting “; or (9) heading 9903.88.64 and U.S. note 20(qqq) to subchapter III of chapter 99” after the phrase “U.S. note 20(aaa) to subchapter III of chapter 99”, where it appears at the end of the sentence. |
Article Description of heading: 9903.88.03 | “9903.88.48 or” | 9903.88.48; and by inserting “or 9903.88.64,” after “9903.88.56,” |
Article Description of heading: 9903.88.04 | “9903.88.48 or” | 9903.88.48; and by inserting “or 9903.88.64,” after “9903.88.56,” |
ANNEX D – 9903.88.65: by inserting the following new U.S. note 20(rrr) to subchapter 99 in numerical sequence: “(rrr) The USTR determined to establish a process by which particular products classified in heading 9903.88.15 and provided for in U.S. notes 20(r) and 20(s) to this subchapter could be excluded from the additional duties imposed by heading 9903.88.15. See 84 FR 43304 (August 20, 2019) and 84 FR 45821 (August 30, 2019); 84 FR 57144 (October 24, 2019) 85 FR 3741 (January 22, 2020). Following its request for public comment in March, USTR determined that, as provided for in heading 9903.88.65, the additional duties provided for in heading 9903.88.15 shall not apply to the following particular products, which are provided for in the enumerated statistical reporting numbers:
# | Article Description | Statistical Reporting Number |
(1) | 3401.19.0000 | |
(2) | 3926.90.9910 | |
(3) | 4015.19.0510 | |
(4) | 4015.19.0550 | |
(5) | 4818.90.0000 prior to July 1, 2020; 4818.90.0020 or 4818.90.0080 effective July 1, 2020 | |
(6) | 5210.11.4040 | |
(7) | 5210.11.6020 | |
(8) | 5504.10.0000 | |
(9) | 6210.10.5010 | |
(10) | 6210.10.5090 | |
(11) | 6307.90.6090 | |
(12) | 6307.90.6800 | |
(13) | 6307.90.7200 | |
(14) | Face shields of transparent plastics, whether or not assembled | 3926.90.9950 |
(15) | Bowls of molded plastics, with clips for retaining guide wires during surgical procedures | 3926.90.9990 prior to July 1, 2020; 3926.90.9985 effective July 1, 2020 |
(16) | Coverings, of plastics, designed to fit over wound sites or casts thereby forming a protective seal for keeping the covered area dry and debris free while showering or bathing | 3926.90.9990 prior to July 1, 2020; 3926.90.9985 effective July 1, 2020 |
(17) | Disposable graduated medicine dispensing cups of plastics | 3926.90.9990 prior to July 1, 2020; 3926.90.9985 effective July 1, 2020 |
(18) | Single-use sterile drapes and covers of plastics, of a kind used to protect the sterile field in surgical operating rooms | 3926.90.9990 prior to July 1, 2020; 3926.90.9985 effective July 1, 2020 |
(19) | Sterile decanters of polystyrene plastics, each of a kind used to transfer aseptic fluids or medication to and from sterile bags, vials or glass containers | 3926.90.9990 prior to July 1, 2020; 3926.90.9985 effective July 1, 2020 |
(20) | Gloves, containing less than 50 percent by weight of textile fibers, coated with rubber or plastics designed for enhanced grip | 6116.10.6500 |
(21) | Cold packs consisting of a single0use, instant, endothermic chemical reaction cold pack combined with a textile exterior lining | 6307.90.9889 prior to July 1, 2020; 6307.90.9891 effective July 1, 2020 |
(22) | Disposable shoe and boot covers of man-made fiber fabrics | 6307.90.9889 prior to July 1, 2020; 6307.90.9891 effective July 1, 2020 |
(23) | Face masks and particulate facepiece respirators, of textile fabrics | 6307.90.9889 prior to July 1, 2020; 6307.90.9845; 6307.90.9850; 6307.90.9870; or 6307.90.9875 effective July 1, 2020 |
(24) | Hot packs of textile material, single-use (exothermic chemical reaction) | 6307.90.9889 prior to July 1, 2020; 6307.90.9891 effective July 1, 2020 |
(25) | Laparotomy sponges of cotton | 6307.90.9889 prior to July 1, 2020; 6307.90.9891 effective July 1, 2020 |
(26) | Single-use blood pressure cuff sleeves of textile materials | 6307.90.9889 prior to July 1, 2020; 6307.90.9891 effective July 1, 2020 |
(27) | Single-use medical masks of textile material | 6307.90.9889 prior to July 1, 2020; 6307.90.9845; 6307.90.9850; or 6307.90.9870 effective July 1, 2020 |
(28) | Single-use stethoscope covers | 6307.90.9889 prior to July 1, 2020; 6307.90.9891 effective July 1, 2020 |
(29) | Woven gauze sponges of cotton in square or rectangular sizes | 6307.90.9899 prior to July 1, 2020; 6307.90.9891 effective July 1, 2020 |
(30) | Protective Articles | 9004.90.0000 prior to January 1, 2021; 9004.90.0010 or 9004.90.0090 effective January 1, 2021 |
The technical amendments to the exclusions to certain Notes to Subchapter III of Chapter 99 of the HTSUS can be found below:
Notes: | (Old) Modified by deleting… | (New) … and, in lieu thereof, inserting…
|
20(r)
|
“or (9)” | “(9)”; and by inserting “; or (10) heading 9903.88.65 and U.S. note 20(rrr) to subchapter III of chapter 99″ after the phrase “U.S. note 20( jjj) to subchapter III of chapter 99”
|
Article Description of heading: 9903.88.15 | “9903.88.55 or” | 9903.88.55; and by inserting “or 9903.88.65,” after “9903.88.57,” |
Table A contains a list of the original exclusions and corresponding Chapter 99 Heading and Note 20 Subdivision for the first extension and the current extension. Additionally, the table indicates which Annex to this notice the extension appears:
Included below is Table B, which contains a list of new products excluded from Section 301 duties:
I have read the article thoroughly and I do feel like covid related products should get a tariff relief but however, the government has decided to take this step.
Although I don’t completely agree with the whole list I find some of the things in the list quite absurd like gloves and masks but anyway let’s hope for the best for our country to find against this evil monster called covid19 together. Thank you very much for covering this topic in your article as such articles are very rare to find.
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