Section 301 Changes
Customs and Trade Updates
Thursday, August 30, 2019

Advisory on New
10% Chinese Import Tariffs

Wednesday, August 14, 2019

President Trump tweeted out a wide array of tariffs increases on Friday, August 23rd, 2019. The already implemented Section 301 lists 1, 2, and 3 will all be raised from 25% to 30% on a proposed October 1 implementation date. The fourth list that was split into two (4a and 4b) will now be going up from 10% to 15% with the same implementation dates of September 1 and December 15, respectively. There is still no official notice posted on the Federal Register, but the USTR did post a press release that it would be coming soon.

On August 13th, 2019, the United States Trade Representative (USTR) announced that the U.S. plans to impose a 10% tariff on Chinese-origin goods not previously impacted by the preceding lists. The newly impacted products are split into two groups (List A and List B), each with a different implementation date:

· List A can be found here and will go into effect on September 1st.
This list includes footwear, certain types of clothing, and linens.

· List B can be found here and will go into effect on December 15th.
This list includes foods, baby items, certain types of clothing, watches and certain types of electronics. 

The scope of the September 1st and December 15th effective dates will be clearly defined when the USTR officially announces the tariff in a Federal Register notice, expected in the next 48 hours.

As this tariff announcement is not yet official, at this point we are only alerting you of a potential impact. We will share updated information as soon as it becomes available.

Quarterly Update

Wednesday, August 6, 2019

In Q1 & Q2 of 2019, City Global offset 138.45 tons of CO2. The sum of the greenhouse gas emissions is of Carbon Dioxide Equivalent.

This is equivalent to:

 Greenhouse gas emissions from:

  • 338,509 miles driven by an average passenger vehicle

  • 29.4 passenger vehicles driven for one year

Screenshot 2019-08-15 10.18.56.png

CO2 emissions from:

  • 17,654,080 number of smartphones charged

  • 15,579 gallons of gasoline consumed

  • 151,357 pounds of coal burned

  • 5,660 propane cylinders used for home BBQs 

Greenhouse gas emissions avoided by:

  • 48.3 tons of waste recycled instead of landfilled

  • 6,041 trash bags of waste recycled instead of landfilled

  • 5,259 Incandescent lamps switched to LEDs

Carbon sequestered by:

  • 2,289 tree seedlings grown for 10 years

  • 163 acres of U.S. forests in one year

  • 1.1 acres of U.S. forests preserved from conversion to cropland in one year

    We like to use the EPA's Equivalencies Calculator to put offsets into perspective.
    Click here to access the tool.

Shipping Advisory on
25% Chinese Import Tariffs

Tuesday, May 7, 2019

On May 6th, 2019, United States Trade Representative (USTR) Lighthizer in discussion with the media stated that the U.S. plans to increase duty rates on imports subject to Tranche 3 of the China 301 Tariffs (also known as List 3) from 10% to 25%. The change is expected to impact shipments arriving into the U.S. on or after Friday, May 10th, 2019.

However, today we began to see U.S. Customs and Border Protection (CBP) accept entry summaries that were submitted with the 25% tariff on shipments arriving May 10, 2019, or later. This may be caused by CBP preemptively increasing the duty on items in Tranche 3.

To officially change the duty from 10% to 25% requires a notice be posted in the Federal Register. We understand from industry sources, not the official Federal Register publication, that the official announcement will occur tomorrow, May 8th, 2019.

Based on our internal analysis, one or more products that we’ve cleared in the last 12 months may be impacted. If we import these products on or after Friday, May 10th, 2019, they will most likely be subject to these tariff increases. If you are importing any new products from China, they may also be impacted.

At this moment, there has been no official publication from CBP or the USTR, but we expect an official announcement to occur at some point over the next few days.  We will share updated information as soon as it becomes available. If you have questions in the meantime, please reach out to your dedicated Account Manager.