SECTION 301 CHINA TARIFF EXEMPTIONS

Section 301 of the Trade Act of 1974 authorizes the U.S. Trade Representative to impose tariffs in response to unfair trade practices. Since 2018, four tranches of tariffs — Lists 1 through 4 — have applied additional duties ranging from 7.5% to 25% on hundreds of billions of dollars in Chinese imports. For supply chain executives, the difference between paying full duty and claiming an exclusion can be tens or hundreds of thousands of dollars per year.

This guide walks through how to determine whether your imports are covered by one of the 178 active product-specific exclusions extended through November 9, 2026, and how to operationalize claims with U.S. Customs and Border Protection (CBP).

What the 178 exclusions cover

The active exclusions originated from two reinstatement processes: 164 product exclusions reinstated in 2024 and 14 solar-manufacturing equipment exclusions. Together they cover specific 8-digit HTS subheadings in categories such as:

• Machinery and mechanical appliances (e.g., pumps, valves, motors)
• Electrical machinery and equipment (e.g., connectors, switches, semiconductors)
• Chemical products and pharmaceutical intermediates
• Medical and surgical instruments and supplies
• Solar cells, modules, and related manufacturing equipment
• Certain automotive parts and components

Each exclusion is tied to a precise HTS subheading and product description. Two importers with the same 8-digit HTS code may have different eligibility depending on the specific product description in the exclusion notice.

Step-by-step: check your HTS code

1. Extract your HTS code. Locate the 8- or 10-digit HTS subheading on your CBP Form 7501 (Entry Summary), commercial invoice, or customs broker documentation.
2. Download the exclusion annex. The USTR publishes the active exclusion list as an annex to each Federal Register notice. The most recent extension notice (November 2025) contains the full list of 178 exclusions with HTS codes and product descriptions.
3. Match subheading and description. Search the annex for your 8-digit HTS subheading. Read the product description carefully — eligibility depends on matching both the code and the description.
4. Verify the exclusion is active. Confirm the exclusion has not expired. The current batch is valid through November 9, 2026. USTR announces extensions in Federal Register notices; check the USTR website or subscribe to trade-alert services for updates.
5. Document your claim. Maintain records showing the product matches the exclusion description, including technical specifications, product literature, and supplier certifications.

How to claim an exclusion on your CBP entry

When filing your entry summary (CBP Form 7501), importers must use the proper special program indicator and HTS code to claim an exclusion:

• HTS reporting. Report the product under the applicable 8-digit HTS subheading in Chapter 99 (9903.88.69 for List 3/4A exclusions), or the specific subheading designated in the exclusion notice.
• Entry type. Exclusions can be claimed on consumption entries (type 01), warehouse entries (type 21/22), and FTZ admissions. Inform your customs broker that the shipment is covered by a USTR exclusion.
• Liquidation. If duties were already paid on an excluded product, you may file a protest (CBP Form 19) or a post-summary correction (PSC) to request a refund. The standard protest window is 180 days from liquidation.

Key deadlines and extensions

The current 178 exclusions are extended through November 9, 2026. USTR typically reviews extensions 60–90 days before expiration. The agency evaluates:

• Whether the product remains available only from China or has shifted to alternative suppliers
• Economic harm to U.S. interests if the exclusion lapses
• Strategic importance of the product to U.S. supply chains
• Input from public comments submitted during the review period

Supply chain teams should calendar Q3 2026 to monitor USTR announcements for the next extension decision. If exclusions are not renewed, duty rates revert to the full applicable Section 301 rate (typically 25% for Lists 1–3, 7.5% for List 4A).

Common mistakes to avoid

• Assuming the 6-digit HTS is enough. Exclusions are defined at the 8-digit level. A product in the same 6-digit heading but a different 8-digit subheading may not qualify.
• Ignoring product descriptions. Two products sharing the same 8-digit HTS may have different eligibility. The exclusion notice description controls, not just the code.
• Missing the protest deadline. If you discover an exclusion after paying duties, file a protest within 180 days of liquidation. After that window closes, refunds are generally unavailable.
• Failing to update HTS classifications. CBP periodically reclassifies products. A product that previously fell under an excluded HTS may move to a non-excluded subheading after a classification ruling.

Tools and resources

• USTR Section 301 Tariff Actions and Exclusion Process — official exclusion notices, Federal Register links, and comment portals
• CBP Entry Summary Guidance — how to file entries, protests, and post-summary corrections
• USITC HTS Search — official Harmonized Tariff Schedule lookup tool
• TariffGuard — Desert Oasis Digital's real-time tariff exposure platform monitors HTS classifications against active exclusions, Section 232, FEOC rules, and rate changes. Learn more

What happens after November 2026

If USTR does not extend the 178 exclusions beyond November 9, 2026, importers will pay the full Section 301 duty rate on all previously excluded products. Supply chain executives should prepare contingency plans now:

• Model the financial impact of 25% (or 7.5%) duty restoration on your BOM and landed cost
• Evaluate alternative suppliers in non-China countries, including tariff-shift impact under Section 232 or reciprocal tariffs
• Assess whether product redesign or reclassification into a different HTS could reduce exposure
• Consider submitting a public comment to USTR during the extension review period if your product has no viable non-China source

Related topics

• Section 232 tariffs — steel and aluminum duties that often stack with Section 301 on metal-containing goods
• FEOC compliance — Foreign Entity of Concern rules under the Inflation Reduction Act affecting battery and critical mineral supply chains
• HTS classification reviews — periodic CBP rulings that can shift a product into or out of an excluded subheading
• Duty drawback — potential refunds on imported materials later exported in finished goods