USCBC Comments on Possible Further Extension of Certain Exclusions

US-China Business Council Comments on Possible Further Extension of Certain Exclusions 

Docket ID: USTR-2024-0001

February 21, 2024

The US-China Business Council (USCBC) represents over 270 American companies engaged in business across industries and sectors in China, employing millions of Americans across the United States. We welcome the recent extension of 429 Section 301 tariff exclusions covering goods that are key to US consumers, healthcare, and our manufacturing base, and we appreciate the opportunity to submit comments supporting their continuation beyond May 31, 2024.  

As noted in previous submissions, ensuring market-based decisions on technology transfer and protecting intellectual property (IP) are priorities for USCBC and our members. While USTR’s Section 301 investigation identified important issues to be addressed, the tariffs implemented in response have, by and large, failed to address these issues. Instead, the tariffs have harmed American interests. American families and producers are paying more for everyday goods, American exporters are disadvantaged compared to their foreign competitors, and American companies are disincentivized from moving manufacturing to the United States. 

Exclusions provide US importers with a reprieve from the harmful effects of the tariffs, and these benefits can be passed along to US businesses and consumers. Given the harmful effects of the Section 301 tariffs and the reality that China remains the only viable source for many of the tariffed goods, USTR should approve all requests for extensions on any of the 429 tariff exclusions and reopen a comprehensive tariff exclusion process.

In this submission, USCBC will address the negative impacts of tariffs on US interests, limited availability of sourcing excluded goods outside of China, and supply chain diversification challenges.

 

See our full submission: