US restores tariff exemptions for 352 items imported from China

The exemption policy for goods imported from China expires at the end of 2020, but in October 2021, the administration of incumbent President Joe Biden began to solicit public comment on whether to restore the exemption. minus for 549 items or not.

In a statement, the Office of the United States Trade Representative (USTR) said the government has decided to reinstate duty exemptions for 352 products imported from China after careful consideration of public comments and consultations. consultation with the authorities. This Decision takes effect from October 12, 2021 to the end of December 31, 2022.

According to USTR, among the 352 items that have been restored to tax exemptions, there are a variety of manufacturing components and consumables, from TV screen components to backpacks, bicycles, pillows…

In the context that the world’s leading economy is facing a wave of record-high inflation, businesses as well as congressmen of both Democratic and Republican parties are putting pressure on the President’s administration. President Joe Biden aims to ease the burden of tariffs, which are believed to aggravate supply problems and drive up prices. In February, US lawmakers argued that the scope of tariff exemptions for goods imported from China was too narrow.

Trade tensions between the United States and China flared up when the Trump administration imposed punitive taxes on goods imported from China totaling $370 billion, citing “unfair” trade practices related to human rights. intellectual property and forcing American companies to transfer technology. However, more than 2,200 items have been exempted, of which 549 items have been renewed, and the majority of these items expire at the end of 2020.

In January 2020, Washington and Beijing signed a Phase 1 trade agreement. Accordingly, Beijing pledged to increase imports of US agricultural and manufactured goods, energy and services by at least 200 billion USD compared to 2017 level within 2 years.

This agreement helps to defuse a nearly 18-month trade war between the two countries with retaliatory tariffs, affecting bilateral goods exchanges worth hundreds of billions of dollars.