NEMA Testifies Against Additional Tariffs

ROSSLYN, Va.— On August 21, the National Electrical Manufacturers Association (NEMA) testified on behalf of its Member companies that would be materially affected by additional tariffs proposed by the Office of U.S. Trade Representative (USTR) on products made in China. The Administration is considering whether to place 10 or 25 percent additional tariffs on $200 billion in Chinese goods, of which $18 billion are of direct interest to NEMA Member companies, in its efforts to bring about changes in China’s intellectual property and industrial policies and practices.

“The Administration has proposed additional tariffs, citing Beijing’s retaliation against U.S. shipments and failure to address U.S. complaints about discriminatory intellectual property practices and predatory industrial development planning,” said NEMA President and CEO Kevin J. Cosgriff. “NEMA supports USTR actions to defend markets from unfair practices, but strongly urges USTR to minimize collateral damage on NEMA Members by ensuring that any tariffs imposed are narrowly targeted and time-limited.”

“NEMA agrees with the Administration’s intent to pursue and produce negotiated outcomes that restore and, whenever possible, advance market openness and fairness,” Cosgriff concluded. “We encourage U.S.-China discussions in Washington, DC, this week to earnestly construct a path toward those outcomes.”

The $200 billion list of products now under consideration follows on tariffs that went into effect on July 6 on $34 billion shipments – including more than 100 electrical and medical imaging products and inputs imported from China – as well as tariffs scheduled to take effect August 23 on $16 billion in shipments that include more than 30 additional electroindustry products.

NEMA is developing additional written comments to be filed with USTR by September 6. NEMA believes in global free enterprise that is based on a solid legal infrastructure with due process to define and protect property rights as well as to ensure adherence to trade agreements. NEMA strives to eliminate barriers to international trade such as tariffs, quotas, and technical regulations that unfairly limit market access.