[Federal Register Volume 86, Number 218 (Tuesday, November 16, 2021)]
[Notices]
[Pages 63438-63447]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2021-24918]


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OFFICE OF THE UNITED STATES TRADE REPRESENTATIVE


Notice of Product Exclusion Extensions: 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 
action 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 medical-care 
products needed to address the COVID-19 pandemic. The 99 exclusions for 
medical care products to address COVID-19 were published on December 
29, 2020, and are scheduled to expire on November 14, 2021. On August 
27, 2021, USTR requested comments on whether to extend the COVID 
exclusions. This notice announces the U.S. Trade Representative's 
determination to provide a 16-day transition period for all COVID 
exclusions (through November 30, 2021), and to extend 81 of the COVID 
exclusions for an additional 6 months.

DATES: To provide a transition period, this notice extends the 99 
exclusions scheduled to expire on November 14, 2021, through November 
30, 2021. Those exclusions receiving further extensions will expire six 
months after November 30, 20201, on May 31, 2022. U.S. Customs and 
Border Protection will issue instructions on entry guidance and 
implementation.

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FOR FURTHER INFORMATION CONTACT: For general questions about this 
notice, contact Associate General Counsel Philip Butler or Assistant 
General Counsel Rachel Komito 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 
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).
    For each tranche, the U.S. Trade Representative established a 
process by which U.S. stakeholders could request the exclusion of 
particular products subject to the action. The U.S. Trade 
Representative later established a process by which U.S. stakeholders 
could request the extension of particular exclusions. Additionally, on 
March 25, 2020, the U.S. Trade Representative requested public comments 
on possible further modifications to remove Section 301 duties from 
medical-care products to address the COVID-19 pandemic. 85 FR 16987.
    On December 29, 2020, USTR announced the extension of 80 product 
exclusions on medical-care and/or COVID response products; further 
modifications in the form of 19 product exclusions to remove Section 
301 duties from additional medical-care and/or COVID response products; 
and that USTR might consider further extensions and/or modifications as 
appropriate. See 85 FR 85831 (the December 29 notice). On March 10, 
2021, USTR announced the extension of these 99 exclusions until 
September 30, 2021, and that USTR might consider further extensions 
and/or modifications as appropriate. 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. 86 FR 
48280 (the August 27 notice). The August 27 notice stated that USTR 
would evaluate each exclusion on a case-by-case basis and the 
evaluation would examine whether the exclusion remains appropriate in 
light of recent developments including the spread of the Delta variant 
in the United States and increased domestic production of certain 
products, and taking account of the overall impact of these exclusions 
on the goal of obtaining the elimination of China's acts, policies, and 
practices covered in this Section 301 investigation.
    On September 29, 2021, USTR announced the interim extension of 
these 99 exclusions through November 14, 2021, in order to provide time 
to review public comments submitted in response to the August 27 
notice. 86 FR 54011.

B. Determination To Extend Certain Exclusions

    Based on evaluation of the factors set out in in the August 27 
notice, 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 to extend certain product exclusions described in the 
December 29 notice for six months past the expiry of the remaining 
exclusions (until May 31, 2022), as set out in the annexes to this 
notice. The U.S. Trade Representative's determination considers public 
comments submitted in response to the August 27 notice, and the advice 
of advisory committees, the interagency Section 301 Committee, and the 
White House COVID-19 Response Team.
    To provide a transition period for the expiring exclusions, the 
U.S. Trade Representative has determined to extend all 99 product 
exclusions described in the December 29 notice through November 30, 
2021.
    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) subheadings and 
product descriptions in the annexes to this notice. U.S. Customs and 
Border Protection will issue instructions on entry guidance and 
implementation.
    The U.S. Trade Representative may continue to consider further 
extensions and/or additional modifications as appropriate.

Greta Peisch,
General Counsel, Office of the United States Trade Representative.
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[FR Doc. 2021-24918 Filed 11-15-21; 8:45 am]
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