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MIC urges industry to combat tax increase on powersports products

The MIC Government Relations Office recently called on all MIC members who import batteries from China to send staff a list of harmonized tax schedule codes for these powersports products. Those who took action will help the GRO defend against greatly increased tariffs as it responds to the United States Trade Representative.

“Only last week, the USTR released a long-delayed, four-year review of China Section 301 tariffs and now there’s a proposal to skyrocket electric vehicle taxes up to 100 percent, semiconductors to 50 percent, and lithium batteries up to 25 percent,” said Scott Schloegel, acting president and CEO of the MIC. “The cost of these tariffs would be borne almost entirely by U.S. businesses, powersports companies and dealerships, and by consumers.”

A MIC press release shared that he USTR issued a Federal Register Notice on its proposed modifications to the China tariffs. The notice sets up a 30-day period for stakeholders to provide comments on the proposed modifications to certain sectors and HTS lines. The comment period opened today and will close on June 28, and there will be no public hearing. The USTR is listing the various HTS lines, the proposed tariff increases, and the proposed dates, all set to take effect over the next three years. The USTR is proposing that increases for this year be effective on August 1, and that increases for 2025 and 2026 take effect on the first day of each of those years.

The USTR stated earlier that “To encourage further elimination of the (People’s Republic of China’s) technology transfer-related acts, policies, and practices, Ambassador (Katherine) Tai has recommended that products from the PRC currently subject to Section 301 tariffs should remain. Additionally, in light of the increased burden on U.S. commerce, President Biden is directing Ambassador Tai to take action to add or increase tariffs for certain products. As the Report details, Ambassador Tai will propose the following modifications in strategic sectors:”

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One Comment

  1. Sorry MIC, this is one of those times where our industrial base and national security is much more important than profits and prices. I say this as a member of the industry and a military vet. We need to stop sending money to China. Period.

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