TPP: A Logger Perspective – Sound Economics

Inspired by Planet Money’s recent episode on the Trans Pacific Partnership, I decided to look through the text of the deal… from a Logger perspective. So, I brought up the “US Tariff Elimination-Schedule” and did a quick ctrl-f search for “axe.” I have put the Logger-relevant section of the table in the post below, but first here are the definitions of a few acronyms and codes that appear there:

customs duties on originating goods provided for in the items in staging category EIF shall be eliminated entirely, and such goods shall be duty-free on the date of entry into force of this Agreement for the United States
customs duties on originating goods provided for in the items in staging category B3 shall be eliminated in three annual stages, and such goods shall be duty-free effective January 1 of year three;
customs duties on originating goods provided for in the items in staging category B6 shall be eliminated in three annual stages, and such goods shall be duty-free effective January 1 of year five;
NESOI: Not Elsewhere Specified or Indicated

HTS 8 (2010)

Description

Base Rate

Australia

Brunei

Canada

Chile

Japan

Malaysia

Mexico

New Zealand

Peru

Singapore

Vietnam

82014060

Axes, bill hooks and similar hewing tools (o/than machetes), and base metal parts thereof

6.20%

EIF

82015000

One-handed secateurs, pruners and shears (including poultry shears), and base metal parts thereof

1 cents each + 2.8%

EIF

82016000

Hedge shears, two-handed pruning shears and similar two-handed shears, and base metal parts thereof

1 cents each + 2.8%

EIF

82019030

Grass shears, and base metal parts thereof

2 cents each + 5.1%

EIF

82019060

Base metal hand tools of a kind used in agriculture, horticulture or forestry nesoi, and base metal parts thereof

Free

EIF

82021000

Hand saws, and base metal parts thereof (except blades)

Free

EIF

82022000

Band saw blades

Free

EIF

82023100

Circular saw blades (including slitting or slotting saw blades), w/working part of steel

Free

EIF

82023900

Circular saw blades (including slitting or slotting saw blades), with working part of o/than steel, & base metal parts thereof

Free

EIF

82024030

Chain saw blades & base metal parts thereof, w/cutting parts cont. o/0.2% of Cr, Mo or W, or o/0.1% of V

7.20%

EIF

82024060

Chain saw blades and base metal parts thereof, nesoi

Free

EIF

82029130

Hacksaw blades for working metal

Free

EIF

82029160

Straight saw blades for working metal (o/than hacksaw blades), and base metal parts thereof

Free

EIF

So, it looks like if we want to import a new hatchet to put class numbers (as per the Logger tradition) on we would currently pay a 6.2% tariff on that hatchet. If the TPP is enacted we won’t be paying that tariff except on imports from Mexico for five years and on imports from Vietnam for three years. But if we wanted to change things up for and go for a handsaw instead, we wouldn’t have to pay tariff right now and it would stay that way if the TPP is enacted. It might be of interest to the Grizz that the 7.2% tariff on chain saw blades “w/cutting parts cont. o/0.2% of Cr, Mo or W, or o/0.1% of V” is set to be eliminated. Of course, I bet our average reader doesn’t interact with any of these objects on a regular basis, but I believe that this small snippet does illustrate the insane complexity of current trade regulations and of this TPP deal. Anyways, if you’re interesting in paging through the deal yourself, the complete text can be found here.

One Reply to “TPP: A Logger Perspective”

I’m using this in my IPE 201 class. Thanks for the unique perspective on the TPP. I wonder how the Atlantic version (TTIP) would affect your tool-purchasing Logger?

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One Reply to “TPP: A Logger Perspective”

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