ACC urges US to remove tariffs on chems, plastics that fight Covid

Al Greenwood

23-Sep-2020

HOUSTON (ICIS)–The American Chemistry Council (ACC) urged the US to provide some kind of relief from the tariffs the nation has imposed on chemicals and plastics that are used to fight the coronavirus, arguing that it would help ensure access to these critical materials.

The US imposed many of these tariffs during its trade war with China. Some products received additional tariffs of 25% while others received tariffs of 7.5%, the ACC said.

Other restrictions are the result of the US Most Favored Nations (MFN) programme, the ACC said.

“Minimising barriers to sourcing alternatives now and going forward is critical,” said Ed Brzytwa, director for international trade for the ACC. “Trade is essential to saving lives.”

Brzytwa made his comments before the US International Trade Commission (ITC), which is investigating weak links in the supply chains for materials and equipment used to fight the coronavirus. The ITC expects to provide a report of its findings to congressional committees by 15 December.

The pandemic illustrated the vulnerability of supply chains and the need for all manufacturers to have diverse sources of raw materials, Brzytwa said. Crises cause shocks to demand, to supplies or to both, and no one knows when the next one will strike.

“Diversification and alternatives will matter in keeping supply chains working,” he said.

Tariffs make supply chains less resilient and more vulnerable to disruptions, Brzytwa said. Removing them is one of the most straightforward ways to increase the stability of supply chains and provide US manufactures with access to raw materials needed to make products that limit the spread of the coronavirus.

The ACC said the following products should receive some kind of relief from tariffs. The tables show whether the trade barriers were the result of Most Favored Nation (MFN) provisions or the US/China trade war.

Cleaning, Disinfecting, Sanitising and Biocidal Products

HTS Code Product Tariff
22071060 Un-denatured ethyl alcohol US China List #3
22072000 denatured ethyl alcohol US China List #4A
29051200 IPA (2-propanol) US China List #3
2905170000 Dodecan-1-ol (Lauryl alcohol), hexadecan-1-ol (Cetyl alcohol) and octadecan-1-ol (Stearyl alcohol) MFN
2908991500 N-PHENYL-J-ACID US China List #3
291219.5000 Acyclic aldehydes without other oxygen function: Other US China List #3
2913005000 2-Formylbenzenesulfonic acid sodium salt US China List #3
2915901010 Lauric acid MFN
2916110000 Acrylic acid and its salts US China List #3
2921196190 Amine-function compounds – Other: – Other -Other US China List #3
29224949 Alanine US China List #3
2924191150 Amides, other US China List #3
2926905050 BUTYL CYANOACETATE US China List #3
3204162000 REACTIVE BLUE 21 US China List #3
3204208000 OB 351 US China List #3
3204208000 Optical brightener SWN US China List #3
3402115010 Salts of sulfated alcohols MFN
3402132010 Polyethers US China List #3/MFN
3402905050 Organic surface-active agents (other than soap); surface active preparations, washing preparations (including auxiliary washing preparations) and cleaning preparations, whether or not containing soap, other than those of heading 3401: – Other: -Other: -Other US China List #3
3823192000 Derived from coconut, palm-kernel or palm oil MFN
3823194000 Industrial monocarboxylic fatty acids; acid oils from refining: – Other – Other MFN
3824999297 Prepared binders for foundry molds or cores; chemical products and preparations of the chemical or allied industries (including those consisting of mixtures of natural products), not elsewhere specified or included: – Other: – Other – Other MFN

Personal Protective Equipment

HTS Code Product Tariff
2909602000 Alcohol peroxides, ether peroxides, ketone peroxides and their halogenated, sulfonated, nitrated or nitrosated derivatives: other US China List #3
2913005000 2-Formylbenzenesulfonic acid sodium salt US China List #3
2916142050 Unsaturated acyclic monocarboxylic acids, cyclic monocarboxylic acids, their anhydrides, halides, peroxides and peroxyacids; their halogenated, sulfonated, nitrated or nitrosated derivatives: Esters of methacrylic acid: Sorbic acid: Other MFN
3904695000 Polymers of vinyl chloride or of other halogenated olefins, in primary forms: other US China List #2
3920100000 Other plates, sheets, film, foil and strip, of plastics, noncellular and not reinforced, laminated, supported or similarly combined with other materials: Of polymers of ethylene MFN
3920610000 BPA based Polycarbonate sheet US China List #2

Medical Supplies, Equipment, and Devices

HTS Code Product Tariff
2907230000 Bisphenol A bis(Diphenyl Phosphate) (BDP) US China List #3
2909602000 Alcohol peroxides, ether peroxides, ketone peroxides and their halogenated, sulfonated, nitrated or nitrosated derivatives: other US China List #3
2915901050 COCOAMINE DISTILLED US China List #3
2917200000 CALCIUM HHPA US China List #3
2917200000 HIMIC ANHYDRIDE US China List #3
2917200000 HHPA US China List #3

Medical Ingredients

HTS Code Product Tariff
29094905 Guaifenesin US China List #3
29251100 Saccharin and its Salts US China List #3
2926905050 Other Non-aromatic Nitrile-function Compounds US China List #3

Packaging and Containers

HTS Code Product Tariff
2903290000 ALLYL CHLORIDE US China List #3
2917200000 HIMIC ANHYDRIDE US China List #3
2917200000 HHPA US China List #3
2917200000 CALCIUM HHPA US China List #3
2918297500 polymer antioxidant (phosphite ester) US China List #3
2920902000 polymer antioxidant (hindered phenol) US China List #3
2931909010 dimethylchloro silane US China List #3
2926905050 BUTYL CYANOACETATE US China List #3
3204115000 disperse red 60 US China List #3
3204192020 solvent red 179 US China List #3
3204192090 solvent blue 104 US China List #3
3204192520 solvent red 135 US China List #3
3204192540 solvent orange 60 US China List #3
3204192595 solvent red 24 US China List #3
3204192595 solvent yellow 114 US China List #3
3204192090 solvent red 195 US China List #3
3204192090 solvent violet 13 US China List #3
3204176085 pigment orange 64 US China List #3
3204192595 solvent green 3 US China List #3
3204170485 pigment yellow 110 US China List #3
3204192595 solvent red 52 US China List #3
3204170435 pigment red 177 US China List #3
3812396000 polymer antioxidant (2-component mix) US China List #3
8413.20.0000 Hand Pumps US China List #3
8424.20.1000 Simple piston pump sprays and powder bellows US China List #3

Click here to view the ICIS Coronavirus, oil price crash – impact on chemicals topic page.

Click here to view related stories and content on the ICIS US-China trade war topic page.

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