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Tariff Increases Announced for Three Products from China
Source
American Shipper
Post Date
12/13/2024

The Office of the U.S. Trade Representative has announced Section 301 tariff increases for imports from China of certain tungsten products, solar wafers, and polysilicon. Effective with respect to products entered or withdrawn from warehouse for consumption on or after Jan. 1, 2025, the tariff rates for solar wafers and polysilicon will increase to 50 percent and the rates for certain tungsten products will increase to 25 percent.
According to USTR, the subject tungsten products (classified under HTSUS 8101.94.00, 8101.99.10, and 8101.99.80) are used in the aerospace, automotive, defense, medical, and oil and gas industries. Continued reliance on China for tungsten products leaves U.S. supply chains vulnerable and puts U.S. national security at risk, USTR states, and the agency believes that the tariff increases will make U.S. producers more competitive by stimulating greater domestic production, supporting current investments, and spurring additional investments in domestic capacity.
Similarly, USTR asserts that tariff increases on subject polysilicon (classified under HTSUS 2804.61.00) and solar wafers (classified under HTSUS 3818.00.00) are inted to allow U.S. producers to compete against China? ?assive excess capacity,?def recent domestic investments, encourage more domestic manufacturing, and encourage diversification away from Chinese sources.
USTR notes that it did receive comments opposing its these tariff increases. Some argued that they would increase production costs, exacerbate inflation, harm U.S. competitiveness, and decrease U.S. market share, while others said the existing tariffs have not been effective and have only negatively impacted the U.S. economy.


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