U.S./China Tariff Update, Pt. 2

Dear NHLA Members and Industry Friends: 

 

As an update to our breaking news alert earlier today, attached is the English translation of the wood products targeted in the next two rounds of tariffs as well as the previous tariff level for each product.

 

All tariff levels in the document are subject to change without prior notice and there is a possibility more products could be announced. The AHEC team in Hong Kong is working with the US Embassy in Beijing to clarify the situation and provide updates as developments are made. We will pass along these updates as soon as we receive them.

 

 

Upon review, many of the HS codes refer to products (including tropical timbers) that were not previously included in the tariffs. However, some US hardwood products already at 5%, 20%, or 25% tariff will receive an additional 10% or 5% tariff. Some of the main products are:

 

    • 44079980 – “Other Temperate Non-Coniferous Lumber” – 10% on Sept 1st (was at 20%)
    • 44012200 – “Hardwood Chips or Pellets” – 10% on Dec 15th (was at 25%)
    • 44039300, 44039400 – “Beech Logs” – 10% on Dec 15th (not previously included)
    • 44039600 – “Birch Logs <15cm diameter” – 10% on Dec 15th (not prev. included)
    • 44039950 – “Ash Logs” – 10% on Dec 15th (not prev. included)
    • 44079930 – “North American Hardwood Lumber” inc., Maple, Black Walnut, Western Red Alder, Yellow Poplar – 5% on Dec 15th (was at 5%)
    • 44089011 – “Other non-coniferous, non-tropical veneer” – 5% on Dec 15th (was at 20%)<

 

One important note: in many databases the 44079930 HS code lists Cherry lumber as an example. However, in previous rounds of Chinese tariffs, Cherry lumber was listed specifically at 20% with HS code 44079400. As of today, the interpretation is that an additional 5% will not be applied to Cherry, even though it is an example in many HS code databases. For the purpose of previous tariffs, this “North American Hardwood Lumber” category included walnut, maple, yellow poplar, western red alder, and “other temperate species” besides oak, ash, and cherry.