Section 301 Tariffs Could Expire And USTR Reinstates Some Exclusions

Tariffs Could Expire If No USTR Action

According to the American Lighting Association (ALA), the first $34 billion of Section 301 tariffs on products coming from China have been in place for almost 4 years. Before their fourth year is up, they are required to undergo a Congressionally-mandated effectiveness review. The tariffs could expire if the review is not completed by September 4, 2022.

The review will be conducted by the Office of the U.S. Trade Representative (USTR) as set forth in the Trade Act of 1974. President Biden’s USTR has allowed the Trump-era tariffs to remain in place. The Chinese government has not lived up to its commitments in the Phase One trade deal.

Over the last four years, tariffs have cost America nearly $130 billion dollars. The subsequent Section 301 tariffs will also follow a similar path, as their four-year anniversaries approach, in the months ahead.

USTR Reinstates Some Exclusions

As the Section 301 tariffs have evolved, the U.S. Trade Representative (USTR) created and implemented a tariff exclusion process. To date, USTR has approved 549 requested exclusions, but all of those have since expired.

After six months of urging by industry, USTR has reinstated 352 of the original 549 exclusions. The reinstated exclusions are retroactive to Oct. 12, 2021, and will be in effect for the remainder of 2022. The full list of reinstated exclusions is here.

Identified exclusions impacting lighting:

8536.50.9065
Modular light switches, for a voltage not exceeding 1,000 V, presented in polyethylene terephthalate (PET) housings, designed for use with a backplate

8536.90.4000
Twist-on wire connectors, for a voltage not exceeding 1,000 V, each valued not over $0.03

8543.70.9960 prior to January 27, 2022, or 8543.70.9860 effective January 27, 2022
Apparatus using passive infrared detection sensors designed for turning lights on and off

9405.40.8440 prior to January 27, 2022, or 9405.42.8440 effective January 27, 2022
Flexible strips, each having embedded light-emitting diodes electrically connected to a molded electrical end connector, each strip wound onto a reel measuring not more than 25 cm in diameter and not more than 1.5 cm in width.

David Shiller

David Shiller is the Publisher of LightNOW, and President of Lighting Solution Development, a North American consulting firm providing business development services to advanced lighting manufacturers. The ALA awarded David the Pillar of the Industry Award. David has co-chaired ALA’s Engineering Committee since 2010. David established MaxLite’s OEM component sales into a multi-million dollar division. He invented GU24 lamps while leading ENERGY STAR lighting programs for the US EPA. David has been published in leading lighting publications, including LD+A, enLIGHTenment Magazine, LEDs Magazine, and more.

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