Section 301 Tariffs on China: What Changed in 2025
The USTR completed its four-year statutory review of Section 301 tariffs in mid-2024, resulting in sweeping rate increases that took effect in 2025. Here is what importers need to know about the new rates and which HTS codes are most affected.
The United States Trade Representative finalized its Section 301 tariff review in August 2024, maintaining or increasing tariffs on virtually all Chinese goods. The most significant changes took effect on January 1, 2025, with electric vehicles facing a 100% tariff rate, solar cells jumping from 25% to 50%, and lithium-ion batteries for EVs rising to 25%. These rates stack on top of the existing Most Favored Nation (MFN) base duty, meaning some products now face combined effective rates exceeding 120%.
For importers, the practical impact depends heavily on HTS classification. Products in Chapters 84 and 85 (machinery and electronics) saw the most widespread increases, with hundreds of 10-digit HTS codes receiving new or higher List 1-4 tariff rates. The USTR also added new List 4B exclusions for certain medical devices and components that were difficult to source outside China, providing temporary relief for affected importers through December 2025.
The review also introduced a new tariff action on ship-to-shore cranes (HTS 8426.19.00) and certain maritime equipment, reflecting the Biden administration's focus on strategic sectors. Importers should audit their China-origin supply chains against the updated List 1 through List 4B schedules and consider whether Section 321 de minimis or first sale valuation strategies can reduce their duty exposure.