White House – September 17, 2018

Dear Valued Customer:

On Monday evening, Trump said in a statement that the U.S. will impose Section 301 duties on an additional $200 billion worth of Chinese goods at a rate of 10%.

Trump’s additional new tariffs of 10% goes into effect on Monday September 24 and will continue until the end of the year. On January 1, the tariffs will rise to 25%.

Trump went further to say that if China retaliates yet again, the U.S. will immediately pursue “phase three”, which is tariffs on approximately $267 billion of additional imports.

The USTR issued a final listing of products subject to the additional tariffs, which can be found here in the USTR press release at the bottom of the page.

Meanwhile, for any shipments arriving to the first U.S. port of unlading on or before September 23, we recommend that an Elected Entry Date be requested from Customs & Border Protection at the time of entry filing and that the entry should be prefiled if possible to avoid payment of the additional tariff.

For shipments arriving on or after September 24, the additional 10% duties will apply. For such shipments, we request that you kindly clarify your expectations prior to Customs clearance. Your options may be:

1. Clear Customs and pay additional duties. You will be responsible for reimbursing us according to established credit terms and conditions.
2. Clear Customs and pay additional duties by remitting a check to us payable directly to Customs & Border Protection for the total duties, taxes and fees due.
3. Pursue other alternatives such as:
   • Re-export under bond;
   • Enter under TIB if the products are being imported temporarily for processing prior to re-exportation;
   • Admit into a Foreign Trade Zone or into a Bonded Warehouse until further notice; etc.

Please notify the local branch of James J. Boyle & Co. with your written instructions.

Please understand that if your duty liabilities are very large for any given Customs entry, James J. Boyle & Co. at its discretion may require a check payable to U.S. Customs & Border Protection prior to the 10th working day from Customs clearance.

We also strongly recommend that you consider applying to U.S. Customs & Border Protection for an Automated Clearing House (ACH) account so that you can remit duties on a monthly basis to take advantage of additional float time. If you are interested, please contact your nearest James J. Boyle & Co. representative.

Thank you for your attention and cooperation. If you have any questions, please contact your nearest JJB representative.

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