Happy Friday morning. About an hour ago we received word from the US Embassy in Beijing that the Chinese Government has extended the tariff exclusions for many US products, including hardwood lumber and logs, through September 16, 2021.

Below is the WeChat message from the Embassy in its entirety. Apparently US hardwood logs and lumber were the only agricultural products included in the extension. We are working with the embassy to clarify all HS codes involved but we believe it includes most, if not all species that were originally hit with tariffs. (see preliminary list of HS codes in the message).

We will, of course, keep you updated on any additional information as it becomes available but it looks like we finally have some good news!

Have a good weekend.

Mike

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Ministry of Finance just announced (around 7:30 pm) to extend the tariff exclusion for the seven listed wood products to September 16, 2021. The original exclusion will expire on February 27, 2021.

Here is the translation of the announcement:

Announcement of the State Council Customs Tariff Commission on the Third Extension of Tariffs Exclusion List on the United States Products

According to the “Announcement of the State Council Tariff Commission (SCTC) of on the First Exclusion List of the Second Batch of the US Products” (Tax Commission Announcement [2020] No. 3), the first tariff exclusion list of the second batch of the United States products expires on February 27, 2021. SCTC decided in accordance with procedures to extend the exclusion period for the above mentioned commodities. The relevant matters are hereby announces as follows:

For the 65 items listed in the annex, the exclusion period stipulated in the Tax Commission Announcement [2020] No. 3 will be extended. From February 28, 2021 to September 16, 2021, the listed products continue to be exempted from additional tariff levying measures against the U.S. 301 measures.

(end of translation)

Among the 65 items, there are seven wood products (HS code below), no other agriculture products.

44039100 Other oak logs

44039960 North American hardwood logs

44079100 Jointed-end, other oak lumber

44079100 Non jointed-end, other oak lumber

44079400 Cherry lumber, with thickness over 6mm

44079500 Ash lumber, with thickness over 6mm

44079930 Other North American hardwood lumber with thickness over 6mm

Regards,

Zhang Lei, Agricultural Specialist