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Fossil Files for List 4A Tariff Exemption on Traditional Watch Imports From China

Fossil Group filed for an exemption to the 15 percent List 4A Section 301 tariffs it has paid since Sept. 1 on the traditional watches it imports from China under tariff subheading 9102.11.2520, said a Dec. 6 posting in the Office of the U.S. Trade Representative’s public docket. “Fossil continues to look for ways to diversify its sourcing for traditional watches,” the vendor said. It recently invested in a factory in India that has “capacity to address our product needs” for the local market, but can’t “address our product needs in the global markets,” it said. “Watch manufacturing is a highly specialized skill which cannot be readily duplicated.” Moving traditional watch manufacturing out of China “is not feasible at this time, especially in the very challenging market for traditional watches that Fossil has been experiencing over the last couple of years,” it said. The exemption request doesn’t list Fossil smartwatch imports, which also have List 4A exposure. Fossil also requested exemptions on four classifications of watch straps imported under subheadings 9102.11.10.30, 9102.11.25.30, 9102.11.30.30 and 9102.11.45.30, plus three on the watch cases it imports under subheadings 9102.11.10.20, 9102.11.30.20 and 9102.11.45.20.