U.S. Trade Representative Announces New Section 301 Tariff Action on Chinese Semiconductors

1) U.S. Trade Representative Announces New Section 301 Tariff Action on Chinese Semiconductors

The United States Trade Representative (USTR) has determined that China’s acts, policies, and practices are actionable under Section 301 of the Trade Act of 1974, and has announced new tariff measures on Chinese semiconductors, effective immediately.

Under the new action, semiconductors from China will be subject to an initial tariff rate of 0 percent, with an increase scheduled for June 23, 2027. The final tariff rate will be announced at least 30 days before it takes effect. This action is in addition to the existing 50 percent Section 301 tariff previously imposed on Chinese semiconductors due to forced technology transfer concerns.

The USTR will continue monitoring the effectiveness of this measure and will consider further actions as necessary. In line with this determination, modifications have been made to the Harmonized Tariff Schedule of the United States (HTSUS), detailed in the Annex accompanying the notice. Chinese products listed under HTSUS heading 9903.91.05 remain subject to existing antidumping, countervailing, and other applicable duties and fees.

The HTS affected by this action are below:

• 28046100 Silicon containing by weight not less than 99.99 percent of silicon
• 38180000 Chemical elements doped for use in electronics, in the form of discs, wafers etc., chemical compounds doped for electronic use
• 85411000 Diodes, other than photosensitive or light-emitting diodes
• 85412100 Transistors, other than photosensitive transistors, with a dissipation rating of less than 1 W
• 85412900 Transistors, other than photosensitive transistors, with a dissipation rating of 1 W or more
• 85413000 Thyristors, diacs and triacs, other than photosensitive devices
• 85414910 Other photosensitive semiconductor diodes, other than light-emitting
• 85414970 Photosensitive transistors
• 85414980 Photosensitive semiconductor devices nesoi, optical coupled isolators
• 85414995 Other photosensitive semiconductor devices, other than diodes or transistors, nesoi
• 85415100 Other semiconductor-based transducers, other than photosensitive transducers
• 85415900 Other semiconductor devices, other than semiconductor-based transducers, other than photosensitive devices, nesoi
• 85419000 Parts of diodes, transistors, similar semiconductor devices, photosensitive semiconductor devices, LED's and mounted piezoelectric crystals
• 85423100 Electronic integrated circuits: processors and controllers
• 85423200 Electronic integrated circuits: memories
• 85423300 Electronic integrated circuits: amplifiers
• 85423900 Electronic integrated circuits: other
• 85429000 Parts of electronic integrated circuits and microassemblies

Chinese products listed under HTSUS heading 9903.91.05 and described in subdivision (f)(ii) of note 31 to subchapter III, chapter 99 of the HTSUS, as set forth in the Annex, will remain subject to all applicable antidumping, countervailing, and other duties, fees, and charges. Any product covered by this Annex, except those eligible for admission under ‘domestic status’ per 19 CFR 146.43, and admitted into a U.S. foreign trade zone on or after the effective date of the new duties, may only be admitted as ‘privileged foreign status’ under 19 CFR 146.41. Upon entry for consumption, these products will be subject to any applicable ad valorem duty rates or quantitative restrictions according to their HTSUS classification.

Importers and stakeholders are advised to review the updated HTSUS provisions and prepare for the phased implementation of these new Section 301 tariffs.

Reference:

2025-23912.pdf