CBP Says Section 301 Tariffs Don't Apply if Covered Component Classified Elsewhere as Part of a Set

The Section 301 tariffs on goods from China do not apply to covered imports that are part of a set if that set is classified under a subheading that is not included in the Section 301 list, CBP told the National Customs Brokers & Forwarders Association of America. "If the product that imparts the essential character to the set (i.e., the [Harmonized Tariff Schedule of the U.S.] under which the entire set is classified) is covered by the Section 301 remedy, then the entire set will be subject to the additional 25% duties," CBP told the NCBFAA. "If the HTSUS under which the entire set is classified is not covered by the Section 301 remedies, but the set contains a component that is classified in a subheading covered by the 301 list, the 301 duties will not be assessed on the individual component at this time."

The NCBFAA said in an email that the association is working with CBP to answer questions about the Section 301 tariffs. CBP didn't comment.