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US Importer Sues USTR For Section 301 List 3 Tariffs

Deadline to participate in complaint is Sept. 21, 2020.

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Last week, HMTX Industries and two subsidiaries filed a complaint (20-00177) at the U.S. Court of International Trade (CIT) challenging the U.S. Trade Representative’s (USTR) decision to impose Section 301 tariffs on List 3 imports from China.

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The complaint argues that the Trade Act of 1974 did not give authority to USTR to escalate an ongoing trade war with China. Additionally, any action USTR takes must be within 12 months after initiation of the Section 301 investigation. List 3 (and subsequently List 4) tariffs were issued in an untimely manner outside the 12-month window and therefore without statutory authorization.

The complaint asks the CIT to declare List 3 duties unlawful and to refund any duties HMTX paid under List 3. A fact sheet on the complaint can be viewed here and an article on the complaint can be found here.

To participate in the current complaint, companies must act by next Monday, Sept. 21. Companies can either file their own complaints or seek to intervene in the current complaint. Companies affected by the List 3 tariffs should consult with their trade counsels.

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