Flexport‘s Tom Gould writes:
In an important announcement on May 14, 2024, the U.S. Trade Representative (USTR) published their four-year review in regards to the Section 301 tariffs on certain Chinese-origin products, signaling a major policy shift. President Biden’s administration has since declared modifications to the existing tariff regime, affecting $18 billion worth of imports from China. This development has far-reaching implications for various industries ranging from medical equipment to electric vehicles.
Unpacking the Changes
The revised tariffs on products from China will notably impact a diverse array of commodities. For instance, personal protective equipment (PPE), which previously faced a tariff range of 0% to 7.5%, will now be subjected to a steep 25% tariff, effective this year. Medical and surgical gloves will see their tariffs rise from 7.5% to 25%, although this change will take effect in 2026.
Industries reliant on steel and aluminum products, semiconductors, solar cells, and electric vehicles are particularly affected. The tariff on steel and aluminum will jump from 7.5% to 25%, while semiconductors and solar cells will see their tariffs doubled to 50%. The most dramatic change is reserved for electric vehicles, with tariffs soaring from 25% to 100%, set to commence later this year…
The full post can be found here.