[Federal Register Volume 88, Number 174 (Monday, September 11, 2023)]
[Notices]
[Pages 62423-62424]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2023-19494]


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OFFICE OF THE UNITED STATES TRADE REPRESENTATIVE


Notice of Extension for Product 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.

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SUMMARY: In prior notices, the U.S. Trade Representative modified the 
actions in the section 301 investigation of China's acts, policies, and 
practices related to technology transfer, intellectual property, and 
innovation by excluding from additional duties certain products of 
China, including medical-care products needed to address COVID. In 
December 2022, the U.S. Trade Representative determined to extend 352 
previously reinstated exclusions through September 30, 2023 and in May 
2023 determined to extend 77 COVID-related exclusions through September 
30, 2023. This notice announces the U.S. Trade Representative's 
determination to further extend the 352 reinstated exclusions and 77 
COVID-related exclusions until December 31, 2023.

DATES: The extensions in this notice extend the 352 reinstated 
exclusions and 77 COVID-related exclusions through December 31, 2023. 
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 Edward Marcus at (202) 395-5725. For specific questions 
on customs classification or implementation of the product exclusions, 
contact [email protected].

SUPPLEMENTARY INFORMATION:

A. Background

    In the course of this investigation, the U.S. Trade Representative 
has 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).

Reinstated Exclusions

    For each tranche of additional duties, the U.S. Trade 
Representative established a process by which U.S. stakeholders could 
request the exclusion of particular products subject to the action. 
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 549 exclusions. With the exception 
of certain exclusions related to the U.S. response to COVID, all of 
these 549 exclusions expired.
    On October 8, 2021, the U.S. Trade Representative invited the 
public to submit comments on whether to reinstate certain exclusions 
previously granted and extended. 86 FR 56345 (October 8, 2021) (the 
October 8 notice). On March 28, 2022, the U.S. Trade Representative 
determined to further modify the action by reinstating 352 of the 549 
expired exclusions. The reinstated exclusions applied as of October 12, 
2021, and extended through December 31, 2022. See 87 FR 17380 (March 
28, 2022).
    In accordance with section 307(c)(3) of the Trade Act of 1974, on 
September 8, 2022, USTR announced that it would be conducting a review 
of the July 6, 2018 and August 23, 2018 actions, as modified. See 87 FR 
26797 (May 5, 2022); 87 FR 55073 (September 8, 2022).
    On December 21, 2022, based on continued consideration of the 
factors and criteria set forth in the October 8 notice, and in light of 
the ongoing statutory four-year review, the U.S. Trade Representative 
determined to extend the 352 reinstated exclusions through September 
30, 2023 to allow the U.S. Trade Representative to consider and align, 
as appropriate, the reinstated exclusions with the results of the 
statutory four-year review. See 87 FR 78187 (December 21, 2022) 
(December 21 notice).

COVID-Related Exclusions

    On March 25, 2020, USTR requested public comments on proposed 
modifications to exclude from additional duties certain medical-care 
products related to the U.S. response to COVID. 85 FR 16987 (March 25, 
2020).
    On December 29, 2020, USTR announced 99 product exclusions for 
medical-care products and products related to the U.S. COVID response. 
These 99 exclusions were later extended until September 30, 2021. See 
86 FR 13785. On August 27, 2021, USTR published a notice requesting 
public comments on whether any of these exclusions should be further 
extended for up to six months. See 86 FR 48280. On November 16, 2021, 
USTR announced the U.S. Trade Representative's determination to extend 
81 of these exclusions for an additional six months. See 86 FR 63438 
(November 16, 2021). These 81 exclusions were subsequently extended 
through February 28, 2023. See 87 FR 33871 (June 03, 2022); 87 FR 73383 
(November 29, 2022).
    On February 7, 2023, USTR published a notice requesting public 
comments on whether to further extend any of the COVID-related 
exclusions for up to six months. See 87 FR 8027 (February 7, 2023).
    On May 17, 2023, based on evaluation of the public comments, the 
factors set out in the February 7 notice, and to allow the U.S. Trade 
Representative to consider and align, as appropriate, the exclusions 
with the results of the statutory 4-year review, the U.S. Trade 
Representative determined to extend 77 of the COVID-related exclusions 
through September 30, 2023. See 88 FR 31580 (May 17, 2023).

B. Determination To Further Extend Reinstated and COVID-Related 
Exclusions

    To provide a transition period for the expiring exclusions and to 
allow for further consideration under the four-year review, 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 that it 
is appropriate to further extend the 352 reinstated exclusions and the 
77 COVID-related exclusions, as set out in the Annex A and Annex B to 
this notice, until December 31, 2023.
    The exclusion extensions are available for any product that meets 
the description in the product exclusion. Further, the scope of each 
exclusion and modification is governed by the scope of the ten-digit 
Harmonized Tariff Schedule of the United States (HTSUS)

[[Page 62424]]

subheadings and product descriptions in the Annexes A and B to this 
notice. U.S. Customs and Border Protection will issue instructions on 
entry guidance and implementation.

Annex for Reinstated Exclusions

Annex A
    The U.S. Trade Representative has determined to extend all 
exclusions previously extended under heading 9903.88.67 and U.S. notes 
20(ttt)(i), 20(ttt)(ii), 20(ttt)(iii), and 20(ttt)(iv) to subchapter 
III of chapter 99 of the Harmonized Tariff Schedule of the United 
States (HTSUS). See 87 FR 78187 (December 21, 2022). The extension is 
effective with respect to goods entered for consumption, or withdrawn 
from warehouse for consumption, on or after 12:01 a.m. eastern daylight 
time on October 1, 2023, and before 11:59 p.m. eastern standard time on 
December 31, 2023. Effective on October 1, 2023, the article 
description of heading 9903.88.67 of the HTSUS is modified by deleting 
``September 30, 2023,'' and by inserting ``December 31, 2023,'' in lieu 
thereof.

Annex for COVID-Related Exclusions

Annex B
    The U.S. Trade Representative has determined to extend all 
exclusions previously extended under heading 9903.88.68 and U.S. notes 
20(uuu)(i), 20(uuu)(ii), 20(uuu)(iii), and 20(uuu)(iv) to subchapter 
III of chapter 99 of the Harmonized Tariff Schedule of the United 
States (HTSUS). See 88 FR 31580 (May 17, 2023). The extension is 
effective with respect to goods entered for consumption, or withdrawn 
from warehouse for consumption, on or after 12:01 a.m. eastern daylight 
time on October 1, 2023, and before 11:59 p.m. eastern standard time on 
December 31, 2023. Effective on October 1, 2023, the article 
description of heading 9903.88.68 of the HTSUS is modified by deleting 
``October 1, 2023,'' and by inserting ``January 1, 2024,'' in lieu 
thereof.

Greta Peisch,
General Counsel, Office of the United States Trade Representative.
[FR Doc. 2023-19494 Filed 9-8-23; 8:45 am]
BILLING CODE 3390-F3-P