Billing Code 3390-F2
OFFICE OF THE UNITED STATES TRADE REPRESENTATIVE
Notice of Reinstatement of Certain Exclusions: China’s Acts, Policies, and Practices
Related to Technology Transfer, Intellectual Property, and Innovation
AGENCY: Office of the United States Trade Representative (USTR).
ACTION: Notice.
SUMMARY: In prior Federal Register notices, the U.S. Trade Representative modified the action in the Section 301 investigation of China’s acts, policies, and practices related to technology transfer, intellectual property, and innovation by excluding certain products from additional duties. The U.S. Trade Representative subsequently extended 549 of these exclusions.
Following public notice and comment, the U.S. Trade Representative has determined to reinstate certain previously extended exclusions through December 31, 2022, as specified in the Annex to this notice.
DATES: The reinstated product exclusions announced in this notice will apply as of October 12, 2021, and extend through December 31, 2022. U.S. Customs and Border Protection will issue instructions on entry guidance and implementation.
FOR FURTHER INFORMATION CONTACT: For general questions about this notice, contact Associate General Counsel Philip Butler or Assistant General Counsel Rachel Hasandras at (202) 395-5725. For specific questions on customs classification or implementation of the
product exclusion identified in the Annex to this notice, contact traderemedy@cbp.dhs.gov.

SUPPLEMENTARY INFORMATION:
A. Background
2 In the course of this investigation the U.S. Trade Representative imposed additional duties on products of China in four tranches. See 83 FR 28719 (June 20, 2018); 83 FR 40823 (August 16, 2018); 83 FR 47974 (September 21, 2018), as modified by 83 FR 49153 (September 28, 2018); and 84 FR 43304 (August 20, 2019), as modified by 84 FR 69447 (December 18, 2019) and 85 FR 3741 (January 22, 2020). Each tranche is commonly known as a ‘List’, e.g.,
List 1, List 2, etc. The fourth tranche is contained in Lists 4A and 4B. No tariffs on List 4B currently are in effect.
For each tranche, the U.S. Trade Representative established a process by which U.S. stakeholders could request the exclusion of particular products subject to the action. The first tranche of exclusions expired in December 2019 and the final tranche of exclusions expired in October 2020. Starting in November 2019, the U.S. Trade Representative established processes for submitting public comments on whether to extend particular exclusions. See, e.g., 85 FR 6687 (February 5, 2019) and 85 FR 38482 (June 26, 2020). Pursuant to these processes, the U.S. Trade Representative determined to extend 137 exclusions covered under List 1, 59 exclusions on List 2, 266 exclusions on List 3, and 87 exclusions on List 4. With the exception of exclusions related to the COVID-19 pandemic, all of these 549 exclusions have expired. In particular, the exclusions for most of these products expired by December 31, 2020, and the remaining exclusions expired in 2021. See 85 FR 15849 and 85 FR 20332. USTR has separately addressed the extension of COVID-19 exclusions. See 86 FR 48280 (August 27, 2021), 86 FR 54011 (September 29, 2021), and 86 FR 63438 (November 16 2021). On October 8, 2021, the U.S. Trade Representative invited the public to comment on whether to reinstate particular exclusions previously granted and extended under the four
3 tranches (the October 8 notice). The October 8 notice set out the following factors to be considered in decisions on possible reinstatement, and invited public comment:
• Whether the particular product and/or a comparable product is available from sources in the United States and/or in third countries.
• Any changes in the global supply chain since September 2018 with respect to the particular product or any other relevant industry developments.
• The efforts, if any, the importers or U.S. purchasers have undertaken since September 2018 to source the product from the United States or third countries.
• Domestic capacity for producing the product in the United States.
In addition, USTR considered whether or not reinstating the exclusion would impact or result in severe economic harm to the commenter or other U.S. interests, including the impact on small businesses, employment, manufacturing output, and critical supply chains in the United States, as well as the overall impact of the exclusions on the goal of obtaining the elimination of China’s acts, policies, and practices covered in the Section 301 investigation.
B. Determination To Reinstate Certain Exclusions
Based on evaluation of the factors set out in in the October 8 notice, and pursuant to sections 301(b), 301(c), and 307(a) of the Trade Act of 1974, as amended, the U.S. Trade Representative has determined to reinstate certain exclusions described in the October 8 notice through December 31, 2022, as set out in the Annex to this notice. The U.S. Trade Representative’s determination considers public comments submitted in response to the October 8 notice, and the advice of advisory committees, the interagency Section 301 Committee, and the White House COVID–19 Response Team

The reinstated exclusions are available for any product that meets the description in the product exclusion. In particular, the scope of each exclusion is governed by the scope of the tendigit Harmonized Tariff Schedule of the United States (HTSUS) subheadings and product descriptions in the Annex to this notice.
As stated in the October 8 notice, the reinstated exclusions are retroactive to October 12, 2021. In particular, the reinstated exclusions will apply to goods entered for consumption, or withdrawn from warehouse for consumption, on or after 12:01 a.m. eastern daylight time on October 12, 2021, that are not liquidated or to entries that are liquidated, but within the period for protest described in section 514 of the Tariff Act of 1930, as amended. The U.S. Trade
Representative has determined to extend the reinstated exclusions through December 31, 2022, and may consider further extensions as appropriate.
U.S. Customs and Border Protection will issue instructions on entry guidance and implementation

ANNEX for Reinstatement of Certain Exclusions Previously Extended
A. Effective with respect to good entered for consumption, or withdrawn from warehouse for consumption, on or after 12:01 a.m. eastern daylight time on October 12, 2021, and before 11:59 p.m. eastern daylight time on December 31, 2022, subchapter III of chapter 99 of the Harmonized Tariff Schedule of the United States (HTSUS) is modified:
1. by inserting the following new heading 9903.88.67 in numerical sequence, with the material in the new heading inserted in the columns of the HTSUS labeled
“Heading/Subheading”, “Article Description”, and “Rates of Duty 1-General”, respectively

Duty

2. by inserting the following new U.S. note 20(ttt) to subchapter III of chapter 99 in numerical sequence:
“(ttt)(i) The U.S. Trade Representative determined to establish a process by which particular products classified in heading 9903.88.01 and provided for in U.S. notes 20(a) and 20(b) to this subchapter could be excluded from the additional duties imposed by heading 9903.88.01.
See 83 Fed. Reg. 40823 (August 16, 2018) and 83 Fed. Reg. 47326 (September 18, 2018). Pursuant to the product exclusion process, the U.S. Trade Representative has determined that, as provided in heading 9903.88.67, the additional duties provided for in heading 9903.88.01 shall not apply to the following particular products, which are provided for in the enumerated statistical reporting numbers

1) 8412.21.0045
2) 8481.10.0090
3) 8483.50.9040
4) 8525.60.1010
5) 8607.21.1000
6) 9030.90.4600
7) Direct acting and spring return pneumatic actuators, each rated at a maximum pressure  of 10 bar and valued over $68 but not over $72 per unit (described in statistical reporting number 8412.39.0080)
8) Centrifugal pumps, submersible, other than for use with machines for making cellulosic pulp, paper or paperboard; the foregoing pumps rated not over 1.5 KW (described in statistical reporting number 8413.70.2004)
9) Breast pumps, whether or not with accessories or batteries (described in statistical reporting number 8413.81.0040)
10) Housings for water pumps of subheading 8413.30.90 (as described in subheading 8413.91.9010)
11) Pump casings and bodies (described in statistical reporting number 8413.91.9080 prior to January 1, 2019; described in statistical reporting number 8413.91.9095 effective January 1, 2019 through December 31, 2019; described in statistical reporting number 8413.91.9085 or 8413.91.9096 effective January 1, 2020)
12) Pump covers (described in statistical reporting number 8413.91.9080 prior to January 1, 2019; described in statistical reporting number 8413.91.9095 effective January 1, 2019 through December 31, 2019; described in statistical reporting number 8413.91.9085 or 8413.91.9096 effective January 1, 2020)
13) Pump parts, of plastics, each valued not over $3 (described in statistical reporting number 8413.91.9080 prior to January 1, 2019; described in statistical reporting number 8413.91.9095 effective January 1, 2019 through December 31, 2019; described in statistical reporting number 8413.91.9085 or 8413.91.9096 effective January 1, 2020)
14) Compressors, other than screw type, used in air conditioning equipment in motor vehicles, each valued over $88 but not over $92 per unit (described in statistical reporting number 8414.30.8030)
15) Rotary compressors, each exceeding 746 W but not exceeding 2,238 W, with a cooling capacity ranging from 2.3 kW to 5.5 kW (described in statistical reporting number 8414.30.8060)
16) Solar water heaters incorporating glass tube heat collectors and including glass tubes and stands with tanks (described in statistical reporting number 8419.19.0040 prior to January 27, 2022; described in statistical reporting number 8419.12.0000 effective January 27, 2022)
17) Heat exchanger plates, cores, finned tubes, cones, shells, bonnets, flanges and baffles (described in statistical reporting number 8419.90.3000)
18) Thermal roll laminators, each valued not over $450 (described in statistical reporting number 8420.10.9040)
19) Roller machines designed for cutting, etching or embossing paper, foil or fabric, manually powered (described in statistical reporting number 8420.10.9080)
20) Roller machines with dies for embossing paper, manually powered (described in statistical reporting number 8420.10.9080)
21) Chemically etched dies of steel, steel-rule cutting dies, movable magnetic dies, embossing folders and plastic embossing diffusers, of a kind used in manually-powered 7 roller machines for etching or stenciling a single sheet of cardstock, paper, leather, flexible magnet, plastics, metallic foil, vellum, felt or fabric, such sheets measuring not more than 50.8 cm in width or length (described in statistical reporting number 8420.99.9000)
22) Cutting pads, platforms, base plates, pads, shims, trays, which function as guides for hand-operated table-top calendering machines of a width not exceeding 51 cm (described in statistical reporting number 8420.99.9000)

23) Filtering or purifying machinery or apparatus of a kind used for waste water treatment (described in statistical reporting number 8421.21.0000)
24) Hand-held ultraviolet water purifiers, powered by batteries (described in statistical reporting number 8421.21.0000)
25) Machinery for filtering water, submersible, powered by batteries, manually operated, such machinery designed for use in pools, basins, aquariums, spas or similar contained bodies of water (described in statistical reporting number 8421.21.0000)
26) Filters designed to remove sulfites from wine (described in statistical reporting number 8421.22.0000)
27) Air purification equipment, electrically powered, weighing less than 36 kg (described in statistical reporting number 8421.39.8015 prior to January 27, 2022; described in statistical reporting number 8421.39.0115 effective January 27, 2022)
28) Filter housings, covers, or couplings, the foregoing of steel and comprising parts of machinery or apparatus for filtering liquids (described in statistical reporting number 8421.99.0040 prior to January 27, 2022; described in statistical reporting number 8421.99.0140 effective January 27, 2022)
29) Parts of swimming pool vacuum cleaners (described in statistical reporting number 8421.99.0040 prior to January 27, 2022; described in statistical reporting number 8421.99.0140 effective January 27, 2022)
30) Ratchet winches designed for use with textile fabric strapping (described in statistical reporting number 8425.39.0100)
31) Garage door opener/closers (described in statistical reporting number 8428.90.0290 prior to January 27, 2022; described in statistical reporting number 8428.90.0390 effective January 27, 2022)
32) Pile drivers, diesel powered (described in statistical reporting number 8430.10.0000)
33) Counterweight castings of iron or steel designed for use on fork lift and other works trucks (described in statistical reporting number 8431.20.0000)
34) Tines, carriages, and other goods handling apparatus and parts designed for use on fork lift and other works trucks (described in statistical reporting number 8431.20.0000)

35) Welded frames designed to support conveyor rollers (described in statistical reporting number 8431.39.0010)
36) Vulcanized rubber tracks, each incorporating cords and cleats of steel, designed for use on construction equipment (described in statistical reporting number 8431.49.9095)
37) Animal feeding machinery (described in statistical reporting number 8436.80.0090)
38) Parts of animal feeding machinery (described in statistical reporting number 8436.99.0090)