Dear Valued Customer,
The United States and China have signed an historic and enforceable agreement on a Phase One trade deal that requires structural reforms and other changes to China’s economic and trade regime in the areas of intellectual property, technology transfer, agriculture, financial services, and currency and foreign exchange. The Phase One agreement also includes a commitment by China that it will make substantial additional purchases of U.S. goods and services in the coming years. Importantly, the agreement establishes a strong dispute resolution system that ensures prompt and effective implementation and enforcement. The United States has agreed to modify its Section 301 tariff actions in a significant way.
The United States first imposed tariffs on imports from China based on the findings of the Section 301 investigation on China’s acts, policies, and practices related to technology transfer, intellectual property, and innovation. The United States will be maintaining 25 percent tariffs on approximately $250 billion of Chinese imports, along with 7.5 percent tariffs on approximately $120 billion of Chinese imports.
Today, during a White House Briefing conference call, the USTR stated that the effective date of the reduction in tariff from 15% to 7.5% will take place in 30 days, or around mid-February (around Valentine’s Day). This will be announced to the public soon in a USTR notice. We will monitor and report as soon as it is announced.
Thank you for your attention and cooperation. If you have any questions, please contact your nearest JJB representative.
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