On Sunday, President Trump tweeted that he is considering raising tariffs on the third tranche of $200 billion worth of Chinese products from the current 10 percent to 25 percent.
President Trump tweeted that he would take this action, which could come as soon as Friday, because talks with China are moving too slowly. The third tranche of 301 tariffs was schedule to go to 25 percent at the end of last year, however, this increase was delayed allowing more time for negotiations.
This new action would directly impact motor vehicle parts makers. Tranche 3 includes dozens of parts with the 8708 HTS code (auto parts) and hundreds of other parts, materials and feedstocks that motor vehicle parts suppliers often import.
As of now, there is still no exclusion process for the third tranche of tariffs under Section 301. If one implemented, MEMA will updated members. MEMA will continue to monitor the situation and has supported legislation that that would require an exclusion process be implemented.