Additional Tariff Rate from China to Increase from 10% to 25% on May 10, 2019
Additional tariff rates for Chinese origin products on List#3 are expected to increase from 10% to 25% according to the annoucement made by U.S. Trade Representative Robert Lightizer. A Federal Register Notice draft has already been released and will be published for an effective date of May 10, 2019.
According to the draft notice, USTR will soon publish a process by which companies may request that their products be excluded from List 3.
Goods entered for consumption, or withdrawn from warehouse for consumption, on or after 12:01AM Eastern Standard Time (9:01PM PDT) on Friday, May 10, 2019 will be subject to the additonal tariff rate of 25% in replacement of the additional 10% tariff.
According to the draft notice, It is unclear if products already en route from China ( exported on or before May 10) will be subjected to a higher duty rate.
We will continue to monitor and keep you all posted once the final Federal Register Notice has been published..
To read the draft Federal Register Notice:
https://federalregister.gov/d/2019-09681
We understand how these additional tariffs may significantly affect you and your cashflow, you might want to apply for ACH to Customs for payments of your duties in order to streamline your accounting process.
Some of the benefits include:
- Payment of duties and fees on a monthly basis (PMS);
- Ability to pay duties for goods that are released during a given month as late as the 15th working day of the following month, providing additional flexibility in the management of the working capital as well as potentially significant cash flow advantages;
- Ability to pay designated entry summaries for a given month on one statement;
- And more…
If you are interested, please send an e-mail to: info@flegenheimer.com
To learn more:
https://www.cbp.gov/document/guidance/periodic-monthly-statement
Flegenheimer Team