In the face of massive uncertainty on the status of the US/China trade negotiations, importers should be aware that the duty rate for List 3 products is planned to increase from 10% to 25%, as early as 12:01 AM Friday (May 10th, 2019). This is noted in the Federal Register (Click here to view).
The options available to minimize the List 3 impact would be:
- Goods must be exported before Friday in order to avoid the additional duties.
- Goods in bonded warehouses which are withdrawn for consumption prior to the effective time would enter under the 10% rate.
- Enter upcoming shipments into an FTZ or bonded warehouse, or divert shipments to other countries until the US/China trade relationship stabilizes.
It is important that shippers work closely with their service providers to determine accurate filing on all products moving in and out of the U.S. If you would like to learn more about Averitt's International Solutions, our team is always available to help. Visit the Averitt International Website for more information or contact our team at firstname.lastname@example.org.