On August 16, 2018, the Office of the U.S. Trade Representative (USTR) removed exemptions on U.S. goods returned after alteration, repair, assembly, or processing and will become subject to the Section 301 tariffs on China.
An additional duty rate of 25% will apply to subheadings 9802.00.40, 9802.00.50, and 9802.00.60 and “…will apply to the value of the repairs, alterations, or processing performed abroad, as described in the applicable subheading.” The additional 25% tariff will also apply to subheading 9802.00.80 on the “…value of the article less the cost or value of such products of the United States, as described in heading 9802.00.80.”
The changes will apply to products entered for consumption or withdrawn from warehouse for consumption on or after August 23, 2018.
The Federal Register Notice (FRN) may be found here:
