Tariffs

Improper tariff classification is a top reason why shipments are delayed at the border and can be a red flag for CBP agents in identifying potential audit candidates.

Given all the recent back and forth tariff activity going on between the U.S. and China, it is worth noting that on Friday, July 6 the U.S. began imposing tariffs of 25% on around $34 billion worth of Chinese products, which USTR said were made in “response to unfair Chinese practices.” These tariffs, said USTR will eventually cover up to $50 billion in Chinese imports, with the products targeted by the tariffs comprised of those benefiting from China’s industrial policy and...

The Retail Industry Leaders Association (RILA), issued a warning last week that families and workers in the U.S. “will be most impacted” by the proposed tariffs targeting consumer products from China, and U.S. exports to the European Union, Canada, Mexico, and China.

As was the case in its previous edition, the Port Tracker report issued today by the National Retail Federation (NRF) and maritime consultancy Hackett Associates expects United States-bound retail container shipments to set a new record in July. Two of the drivers for the expected gains, according to the report, are increasing consumer demand and retail sales gains.

The Trump administration on Friday escalated a trade war between the world’s two largest economies, moving ahead with tariffs on $50 billion of Chinese goods and provoking an immediate tit-for-tat response from Beijing.

Any thoughts that a “trade war” between the United States and China was not a possibility were put to rest earlier today based on an announcement coming out of the White House. The White House said that under Section 301 of the Trade Act of 1974, “the United States will impose a 25% tariff on $50 billion of goods imported from China containing industrially significant technology, including those related to the ‘Made in China 2025’ program.”

Procurement professionals have been upping their game in recent years. Those skills are going to come in handy in the years to come.

March shipments, at 858,809, were down 0.2% annually, marking the first annual decline going back to February 2017’s 7.7% annual decline, with both of these months volumes impacted by the timing of the Asian Lunar New Year, with Panjiva noting that the resulting shortfall in products arriving on U.S. shores in the following weeks. For the first quarter of 2018, Panjiva data indicated that shipments were up 6.9% annually at 2,816,997.

A good news/bad news scenario for United States-bound retailer container shipments was laid out in the most recent edition of the Port Tracker report issued by the National Retail Federation (NRF) and maritime consultancy Hackett Associates. The good news part is the report’s projected gains in shipment levels in the coming months, and the bad news is the possibility of the ramifications of a trade war between the United States and China heating up and negatively impacting volumes...

“Tariff retaliation” by China may occur sooner than later say trade and supply chain experts.

Saying that President Trump’s announcement yesterday calling for 25% tariffs on steel imports and 10% on aluminum imports was surprising and that can probably be viewed as an understatement to be sure.

A mid-February 2017 report by Business Insider detailed the proposed border adjustment tax, currently under consideration in the U.S. Congress, which would impose a 20 percent tax on all goods entering the United States.

On October 28, 2016, the European Union has updated its EU Tariff, also known as the Combined Nomenclature.

Although payment of duties is an integral part of the import/export process, there is nothing to gain from paying more duties than necessary.

A new white paper from Purolator International, "The ABC’s of HST... Understanding the Harmonized System of Tariffs," offers a detailed look at what is one of the most complicated issues when dealing with cross border trade – proper tariff classification.