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USTR Agrees to Establish Exclusion Process from Latest Round of China Tariffs Pending Outcome of Talks

Thursday, January 24, 2019

(North American Meat Institute)

The Office of the U.S. Trade Representative (USTR) pledged it would initiate an exclusion process for the third round of tariffs on $200 billion worth of Chinese imports to the U.S., if an agreement between the U.S. and China is not reached by the March 1 deadline, after which the tariff rate will increase from 10 to 25 percent. Sens. Pat Toomey (R-PA), Tim Kaine (D-VA) and Doug Jones (D-AL) have pressed USTR to develop a process, similar to the ones implemented after the first two rounds of tariffs on Chinese goods, whereby some U.S. importers could apply for exclusions from the most recent tariff round. Decisions on exclusion requests for tariffs on Chinese imports are based on whether a product is available only from China, if duties would cause severe economic harm to the company or U.S. interests and whether the item is strategically important, according to USTR. USTR Robert Lighthizer is expected to meet with Chinese Vice Premier Liu He later this month in Washington, DC to continue negotiations aimed at resolving the two countries’ ongoing trade dispute.

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