AMZ123 has learned that on September 9, Eastern Time, U.S. Trade Representative Greer stated in a Financial Times podcast that under the China-U.S. “Trade Committee” mechanism, the two sides are screening a batch of non-sensitive import and export goods suitable for bilateral trade, with results expected to be announced around September 24. The core measure is reciprocal tariff reduction or tariff facilitation for goods worth about $30 billion on each side (about RMB 200 billion based on Chinese calculations).

The U.S. side is mainly adjusting the additional Section 301 tariffs imposed by the Trump administration in 2018, with rates ranging from 7.5% to 25%. Apparel, footwear, household goods, toys, holiday decorations, luggage, some textiles, non-critical industrial components, non-sensitive medical consumables, and energy products are expected to be reduced to most-favored-nation tariff rates or even lower. The U.S. public comment period has now ended, and the list is being verified and confirmed with China.

The White House is sending a policy signal ahead of the November midterm elections, largely because inflation, oil prices, consumer goods, and housing costs continue to climb, putting significant pressure on voter sentiment. For cross-border sellers, if tariff reductions on apparel, toys, and household goods are ultimately implemented, gross margin structures and inventory models for the U.S. marketplace will need to be recalculated. It is worth noting that September 24 is not the automatic effective date for tariff cuts; the final list, effective date, and exemption scope remain subject to the official announcement by the Office of the United States Trade Representative (USTR).

Source: AMZ123
Original link: https://www.amz123.com/kx/x8TAl1Zr