U.S. – China Trade Dispute Escalates, Additional 5% Increase Announced

U.S. – China Trade Dispute Escalates, Additional 5% Increase Announced

2019-08-26T14:18:35+00:00August 26th, 2019|Customs, Import, Industry Spotlight|

In response to China’s announcement last week to levy tariffs on $75 billion of U.S. imports, the Office of the United States Trade Representative (USTR) announced an additional retaliatory tariff increase of 5% to the $550 billion worth of Chinese imports already facing Section 301 action.

  • 25% increase to 30% effective October 1 on $250 billion worth of Chinese imports
  • 10% increase to 15%, effective September 1 on $300 billion worth of Chinese imports


On Friday, August 23rd the Ministry of Finance of the People’s Republic of China published a statement advising two rounds of tariff increases at 10% and 5% on September 1 and December 15, respectively, targeting 5,000 U.S. products that includes cars, agricultural products, crude oil, and aircraft.  U.S. automobiles, specifically, can expect an increase from 15% to 25% starting December 15, 2019.


Earlier in August, as any sight of a trade deal with China slipped away, the United States made the decision to proceed with implementing a fourth list of Section 301 tariffs to go into effect September 1, 2019.

And, after considering feedback and public comments, the USTR split the list, removing products based on health, safety, national security and delaying the tariff on specific goods until December 15, 2019.


$34 Billion Trade Action (List 1)

$16 Billion Trade Action (List 2)

$200 Billion Trade Action (List 3)

List 4A (Effective September 1, 2019)

List 4b (Effective December 15, 2019)

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