Faegre Drinker Biddle & Reath LLP, a Delaware limited liability partnership | This website contains attorney advertising.
April 03, 2020

Tariff Deferrals Set Aside for Now

Despite reports from earlier this week that President Trump would issue an executive order deferring Most-Favored Nation (MFN) tariffs on imports from certain countries for 90 days, this morning White House economic adviser Larry Kudlow stated the administration has changed course for now and decided against the tariff deferrals. Kudlow attributed the turnaround to the complexity of administering such a plan.

As background to this latest development, following strong expression for tariff relief from business groups and lawmakers, the administration considered deferrals for MFN tariffs, with certain exemptions — specifically, Chinese tariffs assessed under Section 301 and aluminum and steel covered by Section 232. In addition, retaliatory duties on imports from the European Union as a result of the Airbus dispute would remain in place.

Not surprising, the prospect of these deferrals taking effect sparked sharp criticism from domestic industry associations and unions, which most likely played a key role in derailing the tariff deferrals. In the meantime, stay tuned as the President commonly shifts position.

For further information, contact a member of the Customs and International Trade Team: Douglas J. Heffner, Nate B. Bolin, Kathleen M. Murphy, James Sawyer, Randy Rucker, Richard P. Ferrin, Nicolas Guzman, Mollie Sitkowski, Carolyn M. Bethea, Stephen Y. Chen, or Qiusi Y. Newcom.

The material contained in this communication is informational, general in nature and does not constitute legal advice. The material contained in this communication should not be relied upon or used without consulting a lawyer to consider your specific circumstances. This communication was published on the date specified and may not include any changes in the topics, laws, rules or regulations covered. Receipt of this communication does not establish an attorney-client relationship. In some jurisdictions, this communication may be considered attorney advertising.

The Faegre Drinker Biddle & Reath LLP website uses cookies to make your browsing experience as useful as possible. In order to have the full site experience, keep cookies enabled on your web browser. By browsing our site with cookies enabled, you are agreeing to their use. Review Faegre Drinker Biddle & Reath LLP's cookies information for more details.