The U.S. and more than 50 countries have reached final agreement on the pace of tariff reduction and elimination for products being added to the World Trade Organization (WTO) Information Technology Agreement (ITA) as of July 1, 2016. The expansion agreement was announced by U.S. Trade Representative Michael Froman on December 16, 2015, and it includes several products traded by member companies of the National Electrical Manufacturers Association (NEMA). Following is a statement by NEMA President & CEO Kevin J. Cosgriff:
“We applaud Ambassador Froman, his team, and their counterparts in other participating countries on this achievement. Our manufacturers of products included in ITA expansion look forward to the implementation of this landmark agreement for the WTO and to the associated tariff reductions and eliminations.
“Under the terms of the expansion agreement, the U.S., the EU, China, Japan, Korea, and others will progressively eliminate customs import duties on more than 200 types of information and communication technology products, including variable frequency drives used to make motor-driven systems more efficient; smart meters to enable electricity users; and medical ultrasound, magnetic resonance imaging (MRI), and computed tomography scanning units to help diagnose illnesses. While the U.S. and others will eliminate import duties on these products as of July 1, 2016, other participants will begin phased annual duty reductions on that date.”