-
Welcome to Auto Parts Forum
Whether you are a veteran automotive parts guru or just someone looking for some quick auto parts advice, register today and start a new topic in our forum. Registration is free and you can even sign up with social network platforms such as Facebook, X, and LinkedIn.
MEMA Taps Gardner to Lead Marketing and Communications
-
Similar Topics
-
By Counterman
link hidden, please login to view announced “The 3 Dragons: Aftermarket Outlook” session returns to the 2025 Vision Conference, April 2 in Chicago. “This annual favorite will set the stage for the conference, enabling attendees to understand where the industry currently stands with a 360-degree view of the economic, financial and industry factors shaping the aftermarket,” MEMA Aftermarket Suppliers said.
link hidden, please login to view for the event is now open. 3 Dragons, 3 Perspectives
Kristin Dziczek, Federal Reserve Bank of Chicago – The macroeconomic forces impacting consumers, manufacturers and the aftermarket Simeon Gutman, Morgan Stanley – Wall Street’s perspective on the health and future prospects of the aftermarket Todd Campau, S&P Global Mobility – The latest data on vehicle population and driving trends that will shape demand Why It Matters
The 3 Dragons session frames everything that follows at the Vision Conference, explained
link hidden, please login to view. Sessions like Talk from the Top, A Landmark Study from McKinsey and Associates, and the O’Reilly keynote—to name a few—will build on insights from our 3 dragons, helping you translate today’s realities into tomorrow’s strategies. The post
link hidden, please login to view appeared first on link hidden, please login to view.
link hidden, please login to view -
By Counterman
Bill Long, president & CEO,
link hidden, please login to view, The Vehicle Suppliers Association, issued this statement regarding the implementation of China tariffs to its membership. Dear MEMA Members,
On February 1, 2025, President Trump signed an
link hidden, please login to view which imposed new tariffs on the majority of items coming from China into the U.S. These new tariffs are being implemented under the International Emergency Economic Powers Act (IEEPA). The IEEPA tariffs, set at 10%, went into effect at 12:01 am ET on February 4, 2025. There is currently no date by which the tariffs will sunset. Further, the 10% tariffs articulated in this Executive Order will be imposed on top of any prior and existing “duties, fees, exactions, or charges applicable to such imported articles.” China subsequently announced retaliatory tariffs of between 10-15% on certain U.S. goods and further imposed export controls on five critical minerals.
Additional Details:
Goods in Transit: U.S. Customs and Border Protection (CBP) issued a
link hidden, please login to view on February 5, 2025 and link hidden, please login to view via the Cargo System Messaging Service which provide more information on the items covered by the new tariffs. Consistent with the language included in the Executive Order, CBP noted that items that are onboard a vessel before 12:01 am EST on February 1, 2025 are exempt from the newly imposed Chinese tariffs of 10% as long as they are entered for consumption (or withdrawn from warehouse for consumption) before 12:01 am EST on March 7, 2025.
However, products of China that are entered for consumption beginning February 4, 2025 would be subject to the new tariffs. Therefore, if there is a product of China that is placed on the vessel between February 1, 2025 and February 3, 2025, but it is not entered until February 4, 2025 or later, then it would still be subject to the tariffs.
CBP further issued guidance via its Cargo Systems Messaging Service on how companies can certify eligibility for this provision. Importers will need to use secondary HTS 9903.01.23 if they are eligible for this “on the water” exception. The use of HTS 9903.01.23 will only be available for those imports within those time-bound requirements.
Goods Covered by the Executive Order: The CBP notice covers the majority of goods coming from China into the U.S. There are very limited exceptions for donations (i.e., food, clothing, medicine used to relieve human suffering) and informational materials (e.g., publications, films, posters). In addition, an importer can make use of the Chapter 98 duty saving or reduction provisions (e.g., U.S. goods returned, goods exported for repair/alteration and returned). See below.
Excluded from the IEEPA Tariffs:
9903.01.21: Articles the product of China and Hong Kong that are donations, by persons subject to the jurisdiction of the United States, of articles, such as food, clothing, and medicine, intended to be used to relieve human suffering.
9903.01.22: Articles the product of China and Hong Kong that are informational materials, including but not limited to, publications, films, posters, phonograph records, photographs, microfilms, microfiche, tapes, compact disks, CD ROMs, artworks, and news wire feeds.
CHAPTER 98: The additional duties imposed by heading 9903.01.20 shall not apply to goods for which entry is properly claimed under a provision of chapter 98 of the tariff schedule pursuant to applicable regulations of CBP, and whenever CBP agrees that entry under such a provision is appropriate, except for goods entered under heading 9802.00.80; and subheadings 9802.00.40, 9802.00.50, and 9802.00.60. For subheadings 9802.00.40, 9802.00.50, and 9802.00.60, the additional duties apply to the value of repairs, alterations, or processing performed (in China and Hong Kong), as described in the applicable subheading. For heading 9802.00.80, the additional duties apply to the value of the article assembled abroad (in China and Hong Kong), less the cost or value of such products of the United States, as described.
Drawback: The Executive Order states that drawback will not be available for items covered by the IEEPA tariffs.
De Minimis: The Executive Order revoked duty-free “de minimis” treatment for goods coming into the U.S. from China that are subject to the order. According to CBP: “De minimis provides admission of articles free of duty and of any tax imposed on or by reason of importation, but the aggregate fair retail value in the country of shipment of articles imported by one person on one day and exempted from the payment of duty shall not exceed $800.” For more information, see the CBP Guidance on De Minimis Shipments from China:
link hidden, please login to view NOTE: De Minimis Update on 2/7/2025: The White House issued an Executive Order which announced the suspension of the afore-mentioned revocation on de minimis treatment for goods coming from China. MEMA is still analyzing the new order but it indicates that the revocation would return once “adequate systems are in place to fully and expediently process and collect tariff revenue applicable.”
Source:
link hidden, please login to view CBP is expected to issue an updated guidance document to help inform the trade community of the details concerning this change. MEMA will share this information as soon as it becomes available.
Free Trade Zones (FTZ): Beginning February 4, goods subject to these IEEPA tariffs must be admitted in a zone as “privileged foreign status” (with limited exceptions for goods eligible for “domestic status”). When withdrawn from the zone and entered for consumption, the goods will be subject to the IEEPA tariffs (and other applicable duties) related to the classification under the applicable HTSUS subheading in effect at the time of admission.
Exclusions: At this time, there is no language in the Executive Order concerning an exclusion process.
Escalation: The Executive Order includes language stating that the U.S. may escalate these actions if China takes steps to retaliate against U.S. exports and goods.
MEMA will continue to update member companies on any new developments regarding the tariffs. As new details may evolve, we will promptly notify members of any changes as soon as more information becomes available.
If you wish to join the MEMA Trade Working Group, contact Bill Frymoyer.
The post
link hidden, please login to view appeared first on link hidden, please login to view.
link hidden, please login to view -
By Counterman
MEMA, The Vehicle Suppliers Association, welcomes the news reported on February 3, 2025, that the United States (U.S.) has reached agreements with both
link hidden, please login to view and link hidden, please login to viewto delay the implementation of proposed tariffs and engage in further discussions over the next month. This period of negotiation provides an opportunity to explore solutions that achieve shared objectives while maintaining the strength and stability of North American trade, MEMA said. The vehicle supplier industry remains the largest sector of manufacturing jobs in the U.S., and the relationships between the three nations are a key facet of the industry’s daily operations and competitiveness. In a news release, MEMA also said “We recognize and respect President Trump’s commitment to addressing critical challenges concerning border security and fentanyl trafficking and appreciate this opportunity for the three partner nations in North America to engage in productive negotiations. A collaborative, strategic approach will be key to ensuring that these efforts meet their intended goals without disrupting the highly integrated North American supply chain that supports U.S. jobs.
“The unique partnership between the United States, Canada and Mexico has enabled the creation, over many decades, of a robust automotive and commercial vehicle industry and strengthened US manufacturing competitiveness globally.
“As discussions continue,
link hidden, please login to view will work with the administration, Congress and industry partners to support policies that protect supply chain resilience, investment and affordability for consumers. We look forward to continued dialogue that fosters solutions benefiting all stakeholders and reinforces the critical role of trade in driving economic opportunity.” The post
link hidden, please login to view appeared first on link hidden, please login to view.
link hidden, please login to view -
By Counterman
*After this statement was released, Mexico President Claudia Sheinbaum announced on X (formerly Twitter) that the U.S. and Mexico have reached an agreement to delay tariffs for a month. In exchange, Mexico will be putting 10,000 National Guard troops on the Mexico/U.S. border as conversations between the countries continue.
On February 1, 2025, President Donald J. Trump
link hidden, please login to view: An Executive Order expanding a previous Executive Order (Declaring a National Emergency at the Southern Border – Proclamation 10886, Jan 20, 2025) to include Canada and China and to reiterate a national emergency under the International Emergency Economic Powers Act (IEEPA) and the National Emergencies Act (NEA). An Executive Order imposing a 25% tariff (ad valorem rate of duty) on all goods entering the United States from Mexico. An Executive Order imposing a 25% tariff (ad valorem rate of duty) on all goods (except energy resources) entering the United States from Canada. Energy resources will be subject to a 10% tariff. An Executive Order imposing a 10% tariff (ad valorem rate of duty) on imports from China. Trade Authority: These new tariffs are being implemented under the International Emergency Economic Powers Act (IEEPA). Under IEEPA, the President has the ability to take certain actions quickly after declaring a national emergency. The President may terminate the emergency. The U.S. Congress, “could terminate the underlying national emergency by enacting a joint resolution of disapproval.”
Source: Congressional Research Service
Timeline: The tariffs will go into effect at 12:01 a.m. eastern time on Tuesday, February 4, 2025. There is currently no date by which the tariffs will sunset.
Existing Tariffs: The new tariffs articulated in these Executive Orders will be imposed on top of any prior and existing “duties, fees, exactions, or charges applicable to such imported articles.”
Items Covered by the Tariffs: At this time, it appears that all items will be subject to the 25% tariff except in the case of Canada, where a lower 10% tariff will be applied to energy resources. The Trump Administration will publish a Federal Register notice containing the specific HTSUS (Harmonized Tariff Schedule of the United States) codes. This notice is not yet available.
Goods in Transit: The Executive Orders concerning Canada, Mexico, and China note that the duty will apply, “except that goods entered for consumption, or withdrawn from warehouse for consumption, after such time that were loaded onto a vessel at the port of loading or in transit on the final mode of transport prior to entry into the United States before 12:01 a.m. eastern time on February 1, 2025, shall not be subject to such additional duty, only if the importer certifies to CBP as specified in the Federal Register notice.”
De Minimis: The Executive Orders revoke duty-free “de minimis” treatment for goods coming into the U.S. from Mexico, Canada, and China that are subject to the order. According to CBP, “De minimis provides admission of articles free of duty and of any tax imposed on or by reason of importation, but the aggregate fair retail value in the country of shipment of articles imported by one person on one day and exempted from the payment of duty shall not exceed $800.”
For more information, see Section 321 Programs | U.S. Customs and Border Protection
Drawback: The Executive Orders note that “no drawback shall be available with respect to the duties imposed pursuant to this order.”
Exclusions: At this time, there is no language in the Executive Orders concerning an exclusion process.
Escalation: The Executive Orders include language stating that the U.S. may escalate these actions if the other nations take steps to retaliate against U.S. exports and goods.
Canada:
On February 1, 2025, Canada announced plans to impose 25% tariffs on $155 billion worth of U.S. items. The official statement from the Canadian government noted that these tariffs will be imposed in phases.
The first phase “will include tariffs on $30 billion in goods imported from the U.S., effective February 4, 2025, when the U.S tariffs are applied. The list includes products such as orange juice, peanut butter, wine, spirits, beer, coffee, appliances, apparel, footwear, motorcycles, cosmetics, and pulp and paper. A detailed list of these goods will be made available shortly.” A second phase of tariffs, which will address $125 billion worth of exports from the U.S., will not be imposed until after a 21-day comment period. They will include “products such as passenger vehicles and trucks, including electric vehicles, steel and aluminum products, certain fruits and vegetables, aerospace products, beef, pork, dairy, trucks and buses, recreational vehicles, and recreational boats.” Source: Canada announces $155B tariff package in response to unjustified U.S. tariffs – Canada.ca
Mexico:
On February 1, 2025, Mexico pledged to retaliate against the U.S. tariffs. Press reports indicate that Mexican President Claudia Sheinbaum has directed her government to enact “Plan B.” MEMA is awaiting further details on this action.
China:
China has reacted and pledged retaliatory action against the tariff announcement. However, no specific details were available as of the morning of February 2, 2025. MEMA is monitoring the announcements from the Chinese government on this action.
MEMA will continue to closely monitor these developments and provide our members with timely updates as more details emerge. As we assess the impact of these tariffs, we are actively engaging with members to gather insights and determine the best path forward. Your feedback is invaluable in understanding how these policies affect businesses, employees, customers, and communities.
Be on the lookout for details about member briefings next week, where we will provide further updates and opportunities for discussion, MEMA said.
The post
link hidden, please login to view appeared first on link hidden, please login to view.
link hidden, please login to view -
-
By Counterman
MEMA Aftermarket Suppliers announced it will host a virtual Advocacy Town Hall on January 30 @ 11 a.m. ET, where its Advocacy team will share the latest on policy and legislative efforts that impact the aftermarket, including Right to Repair, tariff developments and supply chain challenges.
link hidden, please login to view for the chance to stay informed and engage with MEMA’s advocacy work on the issues that matter most to our industry, the organization encouraged. The post
link hidden, please login to view appeared first on link hidden, please login to view.
link hidden, please login to view
-
Recommended Posts
Join the conversation
You can post now and register later. If you have an account, sign in now to post with your account.
Note: Your post will require moderator approval before it will be visible.