MITA urges exemption for medical devices in China tariffs

The Medical Imaging and Technology Alliance (MITA) applauded Congress for its letter urging the Office of the U.S. Trade Representative (USTR) to exempt all medical devices from the proposed China tariffs.

With the support of 40 members of Congress, the bipartisan letter requested that U.S. trade representative Robert Lighthizer exempt nearly $3 billion worth of medical technology products manufactured in China from the Section 301 tariffs.

The Trump administration announced May 29 that it was once again planning to levy a 25% tariff on a wide range of goods manufactured in China. Just last week, the administration had said tariffs were no longer on the table as trade talks with China had progressed positively. The administration originally proposed the tariffs in April as a way to punish China for what the government said were unfair trade practices.

MITA noted that many components of medical products, including those of medical imaging devices, are imported from manufacturers in China to facilities in the U.S. for final production. Taxing these devices on both ends of a company's supply chain could reduce incentive to manufacture such products in the U.S., according to the organization.