China 301 Tariffs to Continue     

WASHINGTON – The 25% tariff on most imports from China, including nearly all hard-surfaces, will continue.

The office of the U.S. Trade Representative (USTR) announced Sept. 2 that the tariffs, imposed in 2018, remain in place as part of a four-year review mandated by federal statute.

The list of goods under the ad valorem tariffs, instituted under the Trump administration, includes more than 6,000 import-product categories, including nearly all dimensional natural stone, quartz-surface slabs and some ceramic tiles.

The USTR received 356 requests by U.S.-based producers and 76 requests from U.S. trade associations to continue the tariffs. Section 301 tariffs automatically expire after four years unless U.S. producers object; under federal law, only one representative from a U.S. industry needs to file with the USTR for the tariff to continue.

The Trump administration set the Section 301 tariffs as part of its strategy to force a new and comprehensive trade agreement with China. The USTR action this month signals no change in that policy with the Biden administration.

A notice from the USTR, published in the Sept. 8 Federal Register, noted that there would be a continuation of the review process, including a process for submitting comments. However, the notice gave no specific dates for the next steps.

The Section 301 tariffs on Chinese goods, however, are being challenged in federal court. More than 3,600 lawsuits, including at least 30 from U.S. hard-surface importers, are being considered by the U.S. Court of International Appeals. The lawsuits claim that the expansion of Section 301 tariffs to such an encompassing list of goods is illegal, and the USTR didn’t follow established guidelines in setting the duties.

The Section 301 tariffs are in addition to unfair-trade tariffs on Chinese quartz surfaces and ceramic products by the U.S. International Trade Commission. Those tariffs are unaffected by any USTR action.