Auto Care Association Calls on USTR to Adopt Product Exclusion Process for New China Tariffs

Auto Care Association Calls on USTR to Adopt Product Exclusion Process for New China Tariffs

Last week, the USTR finalized the third Section 301 list of $200 billion in Chinese imports that would be subject to additional tariffs of 10 percent, effective Sept. 24.

In a letter to the Office of the U.S. Trade Representative (USTR), the Auto Care Association urged the agency to adopt a process for association members and stakeholders to request products to be excluded from the latest round of Section 301 tariffs.

Last week, the USTR finalized the third Section 301 list of $200 billion in Chinese imports that would be subject to additional tariffs of 10 percent, effective Sept. 24. Starting Jan. 1, 2019, the tariff rate will increase to 25 percent. The Auto Care Association is concerned that the USTR’s notice did not mention a product exclusion process, as it did with the first two rounds.

According to the letter, “the administration’s exclusion process set up for products covered in the previous two Section 301 tariff lists provides an important opportunity for stakeholders to mitigate the negative impact these additional tariffs may have on the U.S. automotive industry and U.S. consumers.”

The letter went on to explain that our “supply chains are global and complex. It is not possible to easily or quickly modify supply chains without experiencing a ripple effect. In many cases, companies have no choice manufacturing in China as there are no alternative options due to capacity issues, quality control or customization.

“Additionally, imposing additional tariffs would increase the price substantially, delaying safety-critical repairs and making it difficult for U.S. consumers to afford cost-effective options when repairing their vehicles.

At the same time, we believe a trade war and tariffs will cause severe economic harm to U.S. interests and urge the administration to continue pursuing a bilateral, enforceable, rules-based trade agreement with China.”

For more information about the Auto Care Association’s trade initiatives, visit autocare.org/trade or contact Angela Chiang at [email protected].

You May Also Like

Schaeffler Recognized as a GM 2023 Top Global Supplier

This is the fourth time Schaeffler has been honored with this award.

Schaeffler announced it was recently recognized as a top global supplier of 2023 by General Motors during the automaker’s annual Supplier of the Year event in Miami, Florida. This is the fourth time Schaeffler has been honored with this award.

Emphasizing shared values between GM and global suppliers, the rigorous selection process distinguishes those who align closely with GM’s principles, Schaeffler said. These values, rooted in performance, innovation, cultural alignment, and commitment to GM’s ambitious goals, serve as the foundation of the selection criteria.

What’s Next For Aftermarket Distribution?

Despite ongoing consolidation, experts say there is still a viable future for independent distributors.

Schaeffler, ATSG Partner to Support Technical Education

Schaeffler will provide ATSG members with ongoing education and technical resources.

What the Future Holds for the Aftermarket at AAPEX 2024

Attending AAPEX provides automotive professionals with the latest insights and innovations from industry leaders.

Schaeffler Releases TorCon 6L80 Torque Converter

The LuK TorCon 6L80 is “the only all-new, never remanufactured torque converter available in the aftermarket,” Schaeffler said.

Other Posts

Advance Announces Merchandising Leadership Changes

Bruce Starnes, new executive vice president, chief merchant, takes over for the retiring Ken Bush.

LKQ Publishes Global Sustainability Report

LKQ’s reports efforts to drive sustainable success for customers, employees and local communities.

5 Minutes With: Matt Crumpton, NAPA

Crumpton is director of program development for Auto Care/AAA/Autotech at NAPA.

Keynote Speaker Announced for AAPEX 2024

Erin Andrews will present the Keynote Breakfast address at AAPEX 2024.