Proactive Steps to Guide You Through the Trade Wars

The Trade Wars have been on everyone’s mind ever since President Trump said that a 10% tariff on $300 billion worth of goods would go into effect on Sept 1. The constant discussion of tariffs, changing trade policy and an overall environment of uncertainty are leading many companies to take a “wait and see” approach to investment and expansion. Uncertainty over tariff amounts, origin, timing and related retaliation persists. As a result, many companies are hesitant to commit to large investments or expansion plans unless they can be certain they’ll see a long-term payoff. Whether these companies need to change their supply chain strategy, find alternative sourcing or re-source materials, they don’t feel confident implementing these initiatives without more evidence of stability in trade policy.

Chinese Tariff Update

With the U.S. China Trade War escalating, increased tariffs on imports and exports are affecting much more than just petroleum and steel. After determining that China was not fulfilling their end of the initial Section 301 agreement and using unfair trade practices, President Trump has increased tariffs for List III Chinese products from 10% to 25%, according to the Federal Register Notice (FRN) published May 9, 2019.

To Claim Or Not To Claim: Which Imported Items Are Eligible for Duty Drawback under TFTEA (HR 644)?

As the U.S. implements the Section 301 duties on enumerated tariff numbers imported from China, many importers are currently assessing the impact of these duties on their operations. Importers should assess the capacity to utilize duty drawback to mitigate the impact of these tariffs. With the current fluctuation and updates to tariff laws, it is important to be aware of the latest 301 tariff lists in order to maximize your refund.

The Petroleum Industry’s Sticky Situation: Section 232 Steel and Aluminum tariffs, Section 301 Trump tariffs, and the US China Trade War

A U.S. – China trade war was sparked on March 23, 2018, when President Trump imposed worldwide tariffs on steel and aluminum imports in the interest of “safeguarding national security” and protecting U.S. steel jobs. The Section 232 steel and aluminum tariff increased to 25% for steel and 10% for aluminum. Though the goal is to put American jobs first, the new tariffs may have mixed results for U.S. petroleum and other industries.