Press Release | September 17, 2018

CTA: New Round of Tariffs are Legally Questionable

Bronwyn Flores

The following statement is attributed to Gary Shapiro, president and CEO, Consumer Technology Association (CTA), in response to the Trump Administration's newly released $200 billion list of products subject to a 10 percent tariff beginning September 24:

“We appreciate the Trump Administration removing consumer connected devices, the largest tariff code CTA identified in our USTR comments. Retaliatory tariffs, whether 10 percent or 25 percent, are bad policy. We are especially concerned about retaliatory tariffs on printed circuit assemblies, routers and networking equipment. They will stifle our global leadership in 5G, create an internet tax on businesses and cause uncertainty for companies.

“Today’s retaliatory tariffs are not an effective trade policy and may violate U.S. law. Congress has not given the president or the USTR a blank check to pursue a trade war. These new retaliatory tariffs run afoul of the carefully tailored provisions of the Trade Act of 1974, which require any action to be within the scope of the Section 301 investigation.

“We urge the administration to reconsider its misguided approach of increasing tariffs, as they are directly paid for by American companies and consumers.

“We will review the administration’s final list and may issue further comments.”