Background

The Biden administration announced this week plans to maintain all existing Section 301 tariffs on imports from China, to expand those tariffs to additional products, and to significantly increase tariff rates on others. Importers of affected goods should therefore consider taking action to preserve their right to potential refunds of some Section 301 tariffs if a related court case is ultimately successful.

A case first filed in 2020 and since joined by thousands of importers argues that the Section 301 tariffs on List 3 and List 4A goods from China were wrongly imposed. In March 2023 the Court of International Trade ruled in favor of the federal government, but the case has since been appealed to the Court of Appeals for the Federal Circuit. Oral arguments before the CAFC are expected in the first half of this year.

If this case is ultimately successful, refunds of all Section 301 tariffs paid on List 3 and List 4A goods will potentially become available. Importers can still preserve their rights to possible refunds of these tariffs by joining the litigation. For more information on whether this strategy makes sense for your company, or for assistance filing your claim, please contact ST&R at 301Litigation@strtrade.com.

In the meantime, efforts to ameliorate the impact of the tariffs are continuing. For example, there are a number of proven and legitimate ways to effectively avoid the tariffs or limit their impact. In addition, ST&R is advocating for the renewal of all previously approved exclusions and the creation of a process allowing for new exclusion requests (for more information, please contact strdc@strtrade.com).

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