Policies & Issues

Tariffs Suspended for 90 Days on Some Imports

Policies & IssuesApr 21, 2020

Tariffs Suspended for 90 Days on Some Imports

Meant to help businesses impacted by coronavirus, the 90-day delay will not extend to Chinese goods or steel and aluminum imports.

20200421_Tariffs.jpg
The United States is suspending tariffs on select goods for 90 days as businesses struggle amid the COVID-19 pandemic.

Washington—In light of the financial hardship caused by the COVID-19 pandemic, the United States is suspending tariff payments on certain imported goods, but the measure fell short of what some were expecting.

The payment delay does not extend to tariffs on goods from China or steel and aluminum imports.

Diamonds, pearls, precious stones, synthetic precious stones and silver jewelry were on the list of products imported from China that are subject to tariffs as of August 2019.

RELATED CONTENT: How Tariffs Will Impact The Jewelry Industry
In a joint statement Saturday, the U.S. Treasury Department and Customs and Border Protection announced that some companies will be allowed to delay tariff payments for 90 days on certain goods imported in March and April.

To qualify for the delay, U.S. importers will need to “demonstrate a significant financial hardship” and have fully or partially suspended operations in March or April as a result of “orders from a competent governmental authority limiting commerce, travel, or group meetings.”

The importer needs to show that gross receipts are less than 60 percent what they were in the same period of 2019.

“By postponing the deadline to deposit certain duties, taxes, and fees for 90 days, we are providing much-needed relief to affected businesses,” Treasury Secretary Steven Mnuchin said in a press release announcing the delay.

Matthew Shay, CEO of the National Retail Federation, said in a press release the deferral was “welcome news” to retailers during a difficult time, providing some with additional liquidity and better cash flow.

Shay added the administration should “broaden these deferrals for additional relief,” describing the challenges faced by the retail industry as “severely acute, at best.”

Some have called for a suspension of tariffs on Chinese imports, stating it could be a way to not only ease the burden on businesses, but also to combat the coronavirus by easing the medical equipment shortage.

In a press release April 9, Tariffs Hurt the Heartland, a nationwide campaign against tariffs, said the deferral of tariff duties would be “one of the most efficient actions” the Trump administration could take to help businesses survive.

The release highlighted sentiments from Mary Lovely, a professor of economics at Syracuse University and a non-resident senior fellow at the Peterson Institute for International Economics, who outlined why suspending the remaining tariffs on Chinese imports could help to combat the virus.

In an opinion piece for CNN, Lovely notes that although President Trump signed
a “phase one” agreement with China, there are still high tariffs on $350 billion in U.S. imports, which began taking a toll on American manufacturers and farmers months before the country was dealing with the coronavirus outbreak.

She cited a paper from the National Bureau of Economic Research that showed affected manufacturers paid estimated tariffs of about $1,600 per worker per year, funds she said could instead be directed to worker assistance and health and hygiene needs.

She said tariff rollbacks would also ease U.S.-China trade tensions and suggested that suspending tariffs may lead China to remove its retaliatory tariffs on agricultural exports.

“With Americans facing the unprecedented challenges of COVID-19 containment, and the deep recession that is expected to follow, it is time for President Trump to end a harmful policy that has outlived any usefulness,” Lovely wrote.

Some officials expressed concern about easing the current trade policies at a time when many businesses can’t afford to vie for business with international competitors.

In a tweet, Michael Wessel, a commissioner on the United States-China Economic and Security Review Commission, said: “A lot of import-sensitive domestic industries—glassware, textiles & apparel, light trucks—will face new pressures from foreign competitors, just as they are seeking to try and stay alive. Is forgiveness next?”

White House economic adviser Larry Kudlow told Bloomberg that the measure was “a way of helping out certain industries,” but was not indicative of a change to the president’s trade policies.

For more information about the tariff delay and other measures, visit the Treasury Department’s website.
Lenore Fedowis the associate editor, news at National Jeweler, covering the retail beat and the business side of jewelry.

The Latest

Future Fortune sapphire ring
TechnologyMar 28, 2024
Pinterest’s 2024 Wedding Report Is Out

The report shows that couples are searching for vintage and antique rings, gold jewelry, pearls, and colorful pieces.

David Ettinger
IndependentsMar 28, 2024
David Ettinger of Bechdel Jewelers Dies at 69

He’s remembered as a “font of passion,” leaving behind a legacy of dedication to his craft and community.

Jewelers of America logo
IndependentsMar 28, 2024
JA to Host Series of Learning Workshops

The first one will take place next month during the Jewelers of Louisiana’s and Mississippi Jewelers Association’s conventions.

Jewelers of America Fly In Washington, D.C.
Brought to you by
How Jewelers of America Represents Your Business

For over 30 years, JA has advocated for the industry, fought against harmful legislation and backed measures that help jewelry businesses.

Jaeger-LeCoultre Madison Avenue NYC store
WatchesMar 28, 2024
Peek Inside Jaeger-LeCoultre’s Revamped NYC Flagship

The redesigned boutique features interactive displays and a workshop space for hands-on learning about watchmaking.

Weekly QuizMar 28, 2024
This Week’s Quiz
Test your jewelry news knowledge with this short test.
Take the Quiz
Asian Star’s diamond manufacturing facility in India
SourcingMar 27, 2024
Compliance, Caution, and Concern: The Current Outlook of Indian Diamantaires

There is a willingness to comply with new government-mandated regulations, with an insistence that they should be practical and realistic.

Kira Diam solar plant
Lab-GrownMar 27, 2024
Indian Lab-Grown Diamond Manufacturers Keep Growing

A combination of factors is driving growth in the industry despite the precipitous drop in prices across the board.

BTYB-HoBrothers-updated.png
Brought to you by
The Scalable, Professional, and Effortless Solution for High-Demand Custom Jewelry Retailers

Ho Brothers offers scalable solutions for the future of custom jewelry.

Bharat Ratnam, a Mega Common Facilitation Centre (CFC)
SourcingMar 27, 2024
Reinvigorating SEEPZ, the Epicenter of India’s Studded Jewelry Exports

The zone’s modernization will enhance and increase India’s jewelry manufacturing capabilities while aiding small and mid-sized businesses.

Georgia May Jagger Tommy Hilfiger ad campaign
FinancialsMar 27, 2024
Movado’s Full-Year Sales Sink 11%

The company plans to invest $25 million in marketing initiatives to boost awareness around its namesake and licensed brands.

Hand holding shopping bags
SurveysMar 27, 2024
Consumer Confidence Held Steady in March

Optimism about the current state of the economy was offset by anxiety around inflation and the political environment.

April Is Diamonds Do Good Month
Policies & IssuesMar 27, 2024
Diamonds Do Good Announces Its April Initiative

DDG encourages retailers to educate customers on the positive impact of purchasing natural diamonds.

Tiffany & Co. With Love, Since 1837
MajorsMar 26, 2024
Tiffany & Co. Debuts ‘With Love, Since 1837’ Campaign

Highlighting the most iconic Tiffany collections, it’s inspired by the company’s late window designer, Gene Moore.

National Jeweler columnists Duvall O’Steen and Jen Cullen Williams
ColumnistsMar 26, 2024
Creative Connecting: AI Tools and Tips for Social Media

Jen Cullen Williams and Duvall O’Steen explore how jewelers can save time and money by using AI to analyze engagement and create content.

Nordstrom Men’s Store New York City
MajorsMar 26, 2024
Nordstrom May Go Private, Says Report

The retailer previously turned down an $8.4 billion offer in 2018.

Interior of Miami Lakes Jewelers
IndependentsMar 26, 2024
Miami Lakes Jewelers to Close After 37 Years

The Florida store’s owner Miguel Gonzalez is retiring.

 International Gemological Institute
GradingMar 26, 2024
IGI Announces Tech for ID’ing Lab-Grown Colored Diamonds

The lab stresses the importance of accurate identification, as the difference in price is “substantial.”

Kendra Scott lab-grown diamond jewelry
CollectionsMar 25, 2024
Kendra Scott Debuts Lab-Grown Diamond Fashion Jewelry

The brand also plans to expand its retail footprint from 138 to 200 stores over the next three years.

Instappraise logo NAJA logo
Events & AwardsMar 25, 2024
NAJA, Instappraise Offering Scholarships for Aspiring Jewelry Appraisers

One is reserved for a NAJA member, the other for a non-member.

Carie Lehrke and Megan Mattice
MajorsMar 25, 2024
Borsheims Announces New VP of HR, Assistant Manager

Longtime employees Carie Lehrke and Megan Mattice have received promotions.

My Next Question graphic vintage jewelry webinar
Recorded WebinarsMar 22, 2024
Watch: How to Buy and Sell Vintage Jewelry

Three guests joined National Jeweler and Jewelers of America to discuss trending time periods, spotting reproductions, and more.

Chris Clipper and Robert Lepere
MajorsMar 22, 2024
David Yurman Announces New CFO, Chief People Officer

Chris Clipper and Robert Lepere join the company with 50 years of combined experience.

Nakard pyrite earrings
CollectionsMar 22, 2024
Piece of the Week: Nakard’s Pyrite Earrings

The trendy, metallic earrings wink at classic spring colors.

Stock image of police cars with their lights on
CrimeMar 21, 2024
Sparks Fly as Burglars Lose Safe on California Freeway

JSA said a man and woman pulled the safe out of an Oakland jewelry store but couldn’t quite get it into their van.

Grizzly Mining rough emeralds
SourcingMar 21, 2024
Grizzly Sells 4,145-Carat Emerald for Over $1M

The miner’s March auction generated $19 million.

Helen McCluskey
MajorsMar 21, 2024
Signet Jewelers Names New Board Chair

Helen McCluskey will succeed H. Todd Stitzer when he meets his 12-year term limit in June.

Julia Roberts wearing a Chopard necklace
CollectionsMar 20, 2024
Julia Roberts Co-Designs New Chopard Jewelry Collection

“Chopard x Julia Roberts” showcases the first gems cut from the 6,000-carat-plus “Insofu Emerald."

×

This site uses cookies to give you the best online experience. By continuing to use & browse this site, we assume you agree to our Privacy Policy