- 11 April 2025
Americas Market Update | USA Tariff Increases
Update | April 11th 2025
Reciprocal tariffs on goods from all countries except China/Hong Kong (CN/HK) and Canada/Mexico (CA/MX) revert to 10%. Tariffs on goods from China are increased to 125%.
All other previously announced tariffs remain in effect. Only the country-specific tariff rates above 10% were suspended for 90 days.
The country-specific rates that became effective yesterday are now suspended as of 12:01 a.m. Eastern Time on April 10, 2025.
Imported goods from China (including Hong Kong and Macau)—except those falling within the identified exceptions in Annex II—that are entered for consumption, or withdrawn from warehouse for consumption on or after 12:01 a.m. ET on April 10, 2025, are subject to the following HTSUS classification and additional ad valorem duty rates:
9903.01.63: Articles that are the product of China (including Hong Kong and Macau) will be assessed an additional ad valorem duty rate of 125%.
Unless excepted (see below), these duties will apply in addition to any other applicable duties, fees, taxes, or exactions.
Exceptions:
- Goods from Canada and Mexico that qualify under the USMCA remain exempt from these new tariffs.
- Articles that were:
- Loaded onto a vessel at the port of loading and in transit on the final mode of transport prior to entry into the United States before 12:01 a.m. EDT on April 5, 2025, AND
- Entered for consumption, or withdrawn from warehouse for consumption on or after 12:01 a.m. EDT on April 5, 2025,
- are exempt—but only through May 26, 2025.
- Articles that are the product of any Column 2 rate country identified in General Note 3(b), currently limited to Belarus, Cuba, North Korea, and Russia.
- Articles that are donations by persons subject to U.S. jurisdiction—such as food, clothing, and medicine—intended to relieve human suffering.
- Articles that are informational materials, including but not limited to: publications, films, posters, phonograph records, photographs, microfilms, microfiche, tapes, compact disks, CD-ROMs, artworks, and newswire feeds.
- Articles of any country identified in the attachment Annex II.
- Steel/aluminum articles and their derivatives are exempt.
- Passenger vehicles (sedans, SUVs, crossovers, minivans, cargo vans), light trucks, and vehicle parts subject to Section 232 actions are exempt.
- Articles in which at least 20% of the value is U.S.-originating are exempt from reciprocal tariffs on that portion. The reciprocal tariff will be assessed only on the non-U.S. content. We’ll need your assistance to verify this!
Drawback: Permitted.
FTZ (Foreign Trade Zones): Articles entered into a FTZ (other than in Domestic status) on or after April 5 must be admitted as “privileged foreign status,” as defined in 19 CFR 146.41.
Such articles will be subject, upon entry for consumption, to the duties imposed by the order and the duty rates applicable under the HTSUS subheading in effect at the time of admission into the U.S. foreign trade zone.
Now Is the Time to Set Up a Monthly Duty Payment Process!
Your cash flow is going to be impacted by these new tariffs. You may soon need to apply for a yearly customs bond that requires more coverage for your duty exposure. However, we'll be issuing COD invoices, requiring payment from you no later than 10 days after we obtain a customs release. Instead of charging you a 3.5% duty disbursement fee, save the hassle! If you have a U.S. bank account, we can set you up for payment of duties directly from YOUR bank account to U.S. Customs. The only requirement is that you have an existing yearly customs bond in place. Complete the attached form, submit it to Customs for approval, and once approved, let us know your "PUN" (payer unit number). Simple! Click here for the ACH application.
Then, give our licensed brokers at Mainfreight a call! We'll help you apply for a monthly duty payment plan, whereby all duty payments can be made just once per month. Here's how it works: Let's say you import 20 shipments throughout April 2025. Under the "PMS" or Periodic Monthly Statement program, the duties will be debited to U.S. Customs from your bank account on the 15th working day of May 2025—that's May 21st! The cash flow savings are immense and significant for your bottom line, especially with these new tariffs. Sign up today!
Update | April 8th 2025
The details: Invoking Congressionally delegated powers under the International Economic Powers Act (IEEPA), President Trump is imposing global tariffs of an additional 10%. The announced start date was April 5th. But 83 countries/territories have additional tariffs replacing the 10% starting tomorrow as follows:
Reciprocal Tariffs Effective April 9th
Per US Customs:
The additional rates of duty established by reciprocal tariffs are in addition to any other duties, taxes, fees, exactions, and charges that apply to imported articles.
All imported goods, other than those that fall within the identified exceptions, entered for consumption, or withdrawn from warehouse for consumption on or after 12:01 a.m. eastern daylight time (EDT) on April 5, 2025, are subject to the following HTSUS secondary classification and duty rate:
9903.01.25: Additional ad valorem duty rate of 10% Effective April 9, 2025, a country-specific ad valorem rate of duty will apply to imported goods of 83 countries and will replace the 10% additional ad valorem duty rate under 9903.01.25. Imported goods of the countries identified below in 9903.01.43 – 9903.01.76, other than those that fall within the identified exceptions, entered for consumption, or withdrawn from warehouse for consumption on or after 12:01 a.m. EDT on April 9, 2025, are subject to the following HTSUS classifications and additional ad valorem duty rates.
9903.01.43: Articles the product of Cameroon or the Democratic Republic of the Congo will be assessed an additional ad valorem rate of duty of 11%.
9903.01.44: Articles the product of Chad or Equatorial Guinea will be assessed an additional ad valorem rate of duty of 13%.
9903.01.45: Articles the product of Nigeria will be assessed an additional ad valorem rate of duty of 14%.
9903.01.46: Articles the product of Norway or Venezuela will be assessed an additional ad valorem rate of duty of 15%.
9903.01.47: Articles the product of Mozambique will be assessed an additional ad valorem rate of duty of 16%.
9903.01.48: Articles the product of Israel, Malawi, Philippines, or Zambia will be assessed an additional ad valorem rate of duty of 17%.
9903.01.49: Articles the product of Nicaragua or Zimbabwe will be assessed an additional ad valorem rate of duty of 18%.
9903.01.50: Articles the product of Jordan or the European Union (Austria, Belgium, Bulgaria, Croatia, Cyprus, Czechia, Denmark, Estonia, Finland, France, Germany, Greece, Hungary, Ireland, Italy, Latvia, Lithuania, Luxembourg, Malta, Netherlands, Poland, Portugal, Romania, Slovakia, Slovenia, Spain, Sweden) will be assessed an additional ad valorem rate of duty of 20%.
9903.01.51: Articles the product of Côte dIvoire or Namibia will be assessed an additional ad valorem rate of duty of 21%.
9903.01.52: Articles the product of Vanuatu will be assessed an additional ad valorem rate of duty of 22%.
9903.01.53: Articles the product of Brunei, Japan, or Malaysia will be assessed an additional ad valorem rate of duty of 24%.
9903.01.54: Articles the product of South Korea will be assessed an additional ad valorem rate of duty of 25%.
9903.01.55: Articles the product of India will be assessed an additional ad valorem rate of duty of 26%.
9903.01.56: Articles the product of Kazakhstan will be assessed an additional ad valorem rate of duty of 27%.
9903.01.57: Articles the product of Tunisia will be assessed an additional ad valorem rate of duty of 28%.
9903.01.58: Articles the product of Pakistan will be assessed an additional ad valorem rate of duty of 29%.
9903.01.59: Articles the product of Algeria, Nauru, or South Africa will be assessed an additional ad valorem rate of duty of 30%.
9903.01.60: Articles the product of Libya, Moldova, or Switzerland will be assessed an additional ad valorem rate of duty of 31%.
9903.01.61: Articles the product of Angola, Fiji, Indonesia, or Taiwan will be assessed an additional ad valorem rate of duty of 32%.
9903.01.62: Articles the product of North Macedonia will be assessed an additional ad valorem rate of duty of 33%.
9903.01.63: Articles the product of China, including Hong Kong and Macau, will be assessed an additional ad valorem rate of duty of 34%.
9903.01.64: Articles the product of Bosnia and Herzegovina will be assessed an additional ad valorem rate of duty of 35%.
9903.01.65: Articles the product of Thailand will be assessed an additional ad valorem rate of duty of 36%.
9903.01.66: Articles the product of Bangladesh, Botswana, Liechtenstein, or Serbia will be assessed an additional ad valorem rate of duty of 37%.
9903.01.67: Articles the product of Guyana will be assessed an additional ad valorem rate of duty of 38%.
9903.01.68: Articles the product of Iraq will be assessed an additional ad valorem rate of duty of 39%.
9903.01.69: Articles the product of Mauritius will be assessed an additional ad valorem rate of duty of 40%.
9903.01.70: Articles the product of Falkland Islands or Syria will be assessed an additional ad valorem rate of duty of 41%.
9903.01.71: Articles the product of Myanmar (Burma) or Sri Lanka will be assessed an additional ad valorem rate of duty of 44%.
9903.01.72: Articles the product of Vietnam will be assessed an additional ad valorem rate of duty of 46%.
9903.01.73: Articles the product of Madagascar will be assessed an additional ad valorem rate of duty of 47%.
9903.01.74: Articles the product of Laos will be assessed an additional ad valorem rate of duty of 48%.
9903.01.75: Articles the product of Cambodia will be assessed an additional ad valorem rate of duty of 49%.
9903.01.76: Articles the product of Lesotho will be assessed an additional ad valorem rate of duty of 50%.
EXCEPTIONS
Until further notice, for all imported merchandise that is:
a) entered for consumption, or withdrawn from warehouse for consumption on or after 12:01 a.m. EDT on April 5, 2025, and for which an HTSUS classification is required to be declared, if the secondary classification under heading 9903.01.25 is not declared, or
b) entered for consumption, or withdrawn from warehouse for consumption on or after 12:01 a.m. EDT on April 9, 2025, and for which an HTSUS classification is required to be declared, if heading 9903.01.43 – 9903.01.76 is not declared, then one of the following HTSUS secondary classifications must be declared, to specify the particular exception pursuant to which the reciprocal tariff in heading 9903.01.25 or 9903.01.43 – 9903.01.76 does not apply to the imported articles that are excluded from the additional ad valorem duties:
9903.01.26: Articles the product of Canada, including those products of Canada entered free of duty as under the United States-Mexico-Canada Agreement, including any treatment set forth in subchapter XXIII of chapter 98 and subchapter XXII of chapter 99 of the HTSUS. Articles properly classified in 9903.01.10 through 9903.01.15 should declare a secondary classification under 9903.01.26 in order to be excepted from the reciprocal tariff.
9903.01.27: Articles the product of Mexico, including those products of Mexico entered free of duty as under the United States-Mexico-Canada Agreement, including any treatment set forth in subchapter XXIII of chapter 98 and subchapter XXII of chapter 99 of the HTSUS. Articles properly classified in 9903.01.01 through 9903.01.05 should declare a secondary classification under 9903.01.27 in order to be excepted from the reciprocal tariff.
9903.01.28: Articles the product of any country that were (1) loaded onto a vessel at the port of loading and in transit on the final mode of transport prior to entry into the United States before 12:01 a.m. EDT on April 5, 2025, AND (2) are entered for consumption, or withdrawn from warehouse for consumption, on or after 12:01 a.m. EDT on April 5, 2025, and before 12:01 a.m. EDT on May 27, 2025. NOTE: Articles the product of the countries that have an additional country-specific rate of duty, identified in 9903.01.43 – 9903.01.76, that were (1) loaded onto a vessel at the port of loading and in transit on the final mode of transport on or after 12:01 a.m. EDT April 5, 2025, and before 12:01 a.m. EDT April 9, 2025, and (2) are entered for consumption, or withdrawn from warehouse for consumption, before 12:01 a.m. EDT on May 27 2025, are subject to the 10% additional rate in lieu of the country-specific rate of duty. Articles to which this in transit scenario applies must be reported under 9903.01.25.
To prevent importers from abusing the exceptions for goods that were in transit before April 5, 2025 or April 9, 2025, as applicable, CBP will permit heading 9903.01.28, or heading 9903.01.25 for products of countries covered by headings 9903.01.43 – 9903.01.76, as applicable, to be declared only for goods that are entered for consumption, or withdrawn from warehouse for consumption, before 12:01 a.m. EDT on May 27, 2025, after which time the exceptions would no longer realistically apply due to the passage of time.
9903.01.29: Articles the product of any Column 2 rate country identified in general note 3(b); currently limited to Belarus, Cuba, North Korea and Russia.
9903.01.30: Articles 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.
9903.01.31: Articles 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.
9903.01.32: Articles of any country, classified in the subheadings enumerated in the subdivision (v)(iii) of U.S. note 2, identified in Annex II. The only merchandise that is eligible for this exception is that which is listed in Annex II.
9903.01.33: Articles of iron or steel, derivative articles of iron or steel, articles of aluminum, derivative articles of aluminum, passenger vehicles (sedans, sport utility vehicles, crossover utility vehicles, minivans, and cargo vans) and light trucks and parts of passenger vehicles (sedans, sport utility vehicles, crossover utility vehicles, minivans, and cargo vans) and light trucks, of any country, subject to Section 232. actions.
9903.01.34: For articles in which at least 20% of the value of article is U.S. originating, the U.S. content will not be subject to the reciprocal tariff. The reciprocal tariff will be assessed on the non-U.S. content. (See below for reporting instructions.)
CHAPTER 98
The additional duties imposed by the headings above shall not apply to goods for which entry is properly claimed under a provision of chapter 98... 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, as described in the applicable subheading. For heading 9802.00.80, the additional duties apply to the value of the article assembled abroad, less the cost or value of such products of the United States, as described.
FOREIGN TRADE ZONE
Subject articles, excluding those encompassed by 50 U.S.C. 1702(b), except those that are eligible for admission to a foreign trade zone under "domestic status" as defined in 19 CFR 146.43, and are admitted into a United States foreign trade zone on or after 12:01 a.m. EDT on April 9, 2025, must be admitted as "privileged foreign status" as defined in 19 CFR 146.41. Such articles will be subject, upon entry for consumption, to the duties imposed by this order and the rates of duty related to the classification under the applicable HTSUS subheading in effect at the time of admission into the United States foreign trade zone.
DRAWBACK
Drawback is available with respect to the additional duties imposed pursuant to this Executive Order.
DE MINIMIS
Until further notice... the de minimis exemption, continues to be available for articles covered by headings 9903.01.25 and 9903.01.43 – 9903.01.76 and that are otherwise eligible for the exemption, including eligible articles sent to the United States through the international postal network.
Now Is the Time to Set Up a Monthly Duty Payment Process!
Your cash flow is going to be impacted by these new tariffs. You may soon need to apply for a yearly customs bond that requires more coverage for your duty exposure. However, we'll be issuing COD invoices, requiring payment from you no later than 10 days after we obtain a customs release. Instead of charging you a 3.5% duty disbursement fee, save the hassle! If you have a U.S. bank account, we can set you up for payment of duties directly from YOUR bank account to U.S. Customs. The only requirement is that you have an existing yearly customs bond in place. Complete the attached form, submit it to Customs for approval, and once approved, let us know your "PUN" (payer unit number). Simple! Click here for the ACH application.
Then, give our licensed brokers at Mainfreight a call! We'll help you apply for a monthly duty payment plan, whereby all duty payments can be made just once per month. Here's how it works: Let's say you import 20 shipments throughout April 2025. Under the "PMS" or Periodic Monthly Statement program, the duties will be debited to U.S. Customs from your bank account on the 15th working day of May 2025—that's May 21st! The cash flow savings are immense and significant for your bottom line, especially with these new tariffs. Sign up today!
Update | April 7th 2025
Starting April 5, President Trump is implementing a 10% increase in global tariffs under the International Economic Powers Act (IEEPA). This update outlines the affected goods, exceptions, and key steps to help you manage these changes effectively. Please review the details below.
Reciprocal Tariffs Round 1 - 10% Tariffs Effective April 5th
The details: Invoking Congressionally delegated powers under the International Economic Powers Act (IEEPA), President Trump is imposing additional global tariffs of 10%. The announced start date is confirmed as April 5.
Unless exempted (see below), these tariffs will be assessed in addition to any other applicable duties, fees, taxes, or exactions.
Exceptions:
- Goods from Canada and Mexico that qualify under the USMCA remain exempt from these new tariffs.
- Articles that were (1) loaded onto a vessel at the port of loading and in transit on the final mode of transport prior to entry into the United States before 12:01 a.m. EDT on April 5, 2025, AND (2) are entered for consumption or withdrawn from warehouse for consumption on or after 12:01 a.m. EDT on April 5, 2025, are exempt, but only through May 26, 2025.
- Articles from any Column 2 rate country identified in General Note 3(b); currently limited to Belarus, Cuba, North Korea, and Russia.
- Articles that are donations, by persons subject to the jurisdiction of the United States, of items such as food, clothing, and medicine, intended to relieve human suffering.
- Articles that are informational materials, including, but not limited to, publications, films, posters, phonograph records, photographs, microfilms, microfiche, tapes, compact discs, CD-ROMs, artworks, and news wire feeds.
- Articles from any country identified in the attachment Annex II.
- Steel/aluminum articles and their derivatives are exempt.
- Passenger vehicles (sedans, sport utility vehicles, crossover utility vehicles, minivans, and cargo vans) and light trucks, and parts of passenger vehicles (sedans, sport utility vehicles, crossover utility vehicles, minivans, and cargo vans), and light trucks of any country subject to Section 232 actions, are exempt.
- Articles in which at least 20% of the value of the article is U.S.-originating—meaning the U.S. content will not be subject to the reciprocal tariff. The reciprocal tariff will be assessed only on the non-U.S. content. We will need your assistance with this!
Drawback: Permitted.
FTZ: Articles entered into a FTZ (other than in Domestic status) on or after April 5 must be admitted as "privileged foreign status" as defined in 19 CFR 146.41. Such articles will be subject, upon entry for consumption, to the duties imposed by the order and the rates of duty related to the classification under the applicable HTSUS subheading in effect at the time of admission into the United States Foreign Trade Zone.
Now Is the Time to Set Up a Monthly Duty Payment Process!
Your cash flow is going to be impacted by these new tariffs. You may soon need to apply for a yearly customs bond that requires more coverage for your duty exposure. However, we'll be issuing COD invoices, requiring payment from you no later than 10 days after we obtain a customs release. Instead of charging you a 3.5% duty disbursement fee, save the hassle! If you have a U.S. bank account, we can set you up for payment of duties directly from YOUR bank account to U.S. Customs. The only requirement is that you have an existing yearly customs bond in place. Complete the attached form, submit it to Customs for approval, and once approved, let us know your "PUN" (payer unit number). Simple! Click here for the ACH application.
Then, give our licensed brokers at Mainfreight a call! We'll help you apply for a monthly duty payment plan, whereby all duty payments can be made just once per month. Here's how it works: Let's say you import 20 shipments throughout April 2025. Under the "PMS" or Periodic Monthly Statement program, the duties will be debited to U.S. Customs from your bank account on the 15th working day of May 2025—that's May 21st! The cash flow savings are immense and significant for your bottom line, especially with these new tariffs. Sign up today!
Update | April 3rd 2025
Today's update highlights recent changes announced by the White House, including new tariffs, automobile import duties, and updated certification requirements, with more details to follow as US Customs provides further guidance.New Global Tariffs on Imported Goods Announced by the White House
Invoking powers delegated by Congress under the International Economic Powers Act (IEEPA), President Trump is imposing additional global tariffs of 10%. These tariffs will take effect on April 5th. Unless exempted (see below), these tariffs will be assessed in addition to any other applicable duties, fees, taxes, exactions, or charges.For Canada and Mexico, goods that qualify under the USMCA will remain exempt from these new tariffs. For more details on this Executive Order, click here: Executive Order Details
Which countries will have additional duty rates higher than 10% effective April 9th?
Click here: Annex I
When will these tariffs apply?
Similar to the February 10% additional tariffs on goods from China under the IEEPA, there will be a phase-in period. However, April 9th is the official start date.
The tariffs will apply to goods entered or withdrawn from a warehouse for consumption on or after 12:01 a.m. EDT on April 9th. They will not apply to goods that are (1) loaded onto a vessel at the port of loading and in transit on the final mode of transport before that time, or (2) entered or withdrawn from warehouse for consumption after that time.
What does this mean?
Generally, if the goods are loaded onto a ship or plane before April 9th, the additional tariffs will not apply (essentially, if the bill of lading date is on or after April 9th, the additional duties will be applicable).
Are there exceptions?
Yes. The following items are exempt:
- All steel and aluminum articles/derivatives already subject to Section 232 tariffs of 25%.
- All automobiles and auto parts subject to Section 232 tariffs of 25%.
- All articles from a trading partner subject to Column 2 duty rates (e.g., Russia).
- All informational and communication goods (including, but not limited to, publications, films, posters, phonograph records, photographs, microfilms, microfiche, tapes, CDs, CD-ROMs, artworks, and news wire feeds), charitable donations of food, clothing, and medicine as described in 50 USC 1702(b).
- Copper, semiconductors, articles of lumber, energy products, certain critical minerals, and pharmaceuticals. Details will be provided once confirmed in writing by CBP.
Will de minimis be impacted?
Yes. According to another Executive Order, goods from China or Hong Kong will no longer be eligible for duty-free entry under the "Section 321" release process as of May 2nd. Normal and additional duty rates will apply to these goods after 12:01 a.m. on May 2, 2025.
Further Information
Automobile Tariffs Effective April 3, 2025 (Today)
Section 232 tariffs apply to all imported passenger vehicles and light trucks as classified below and are effective as of April 3, 2025 (today).- 8703.22.01, 8703.23.01, 8703.24.01
- 8703.31.01, 8703.32.01, 8703.33.01
- 8703.40.00, 8703.50.00, 8703.60.00
- 8703.70.00, 8703.80.00, 8703.90.01
- 8704.21.01, 8704.31.01, 8704.41.00
- 8704.51.00, 8704.60.00
No benefits will be applied to any passenger vehicles or light trucks entered into a Foreign Trade Zone (FTZ), as they must be entered under "privileged foreign status." Additionally, no drawback will be available.
For more information, click here: Commerce Department Bulletin
Chile to Issue eCerts for USDA/FSIS
Starting April 14, 2025, the government of Chile will send electronic certification (eCert) data to the U.S. Department of Agriculture (USDA) and the Food Safety and Inspection Service (FSIS) for products under FSIS jurisdiction that are exported to the United States. With this change, paper inspection certificates will no longer be required by FSIS.Now Is the Time to Set Up a Monthly Duty Payment Process!
With these new tariffs, your cash flow may be impacted. You may also need to apply for a yearly customs bond with higher coverage for your duty exposure. To help manage this, we can set up a payment process where duties are paid from your US bank account directly to US Customs, instead of charging a 3.5% duty disbursement fee. All you need is an existing yearly customs bond.Simply complete the attached form, submit it to Customs for approval, and once approved, provide us with your "PUN" (payer unit number). It’s that easy!
Click here for the ACH Application
Our licensed brokers at Mainfreight are ready to assist you in applying for a monthly duty payment plan. Under the Periodic Monthly Statement (PMS) program, all duty payments can be made once per month. For example, if you import 20 shipments throughout April 2025, the duties will be debited from your bank account on the 15th working day of May 2025—May 21st. This can result in significant cash flow savings, especially with the new tariffs.
Update | March 27th 2025
In todays update, we’ve compiled key information on upcoming changes that could impact your business. From new requirements for Canadian shipments to shifts in U.S. import tariffs, it's essential to stay ahead of these regulatory changes. Please read on for important details that could affect your operations in the coming months.
DDP Shipments to Canada Will Soon Require a Bond – Mandatory as of April 19, 2025!
Starting April 19, 2025, all Canadian importers will be required to secure a surety bond to continue participating in the Release Prior to Payment (RPP) program under Canada Border Services Agency (CBSA) regulations.
Without a bond, your shipments will not clear electronically, resulting in delays.
What Does This Mean for You? If you fail to obtain a CARM bond by April 19, your goods will experience delays at the border, disrupting schedules, affecting deliveries, and potentially increasing downtime.
If you're using Mainfreight for your DDP shipments, our team in Toronto is here to help. We can assist you in obtaining your CARM bond at a competitive rate, ensuring a smooth transition to compliance.
For more information, please reach out to our licensed customs broker in Toronto: Stacey Mitchell at stacey.mitchell@mainfreight.com.
A New 25% Auto Tariff on Imported Vehicles and Non-U.S. Parts Has Been Announced
President Trump has issued an Executive Order to implement Section 232 of the Trade Expansion Act of 1962, imposing a 25% tariff on imports of automobiles and certain automobile parts. These tariffs are expected to take effect on April 3, 2025. You can view the full proclamation here: Executive Order – March 2025.
The 25% tariff will apply to all imported passenger vehicles (sedans, SUVs, crossovers, minivans, cargo vans) and light trucks, as well as auto parts including engines, transmissions, powertrain components, and electrical parts.
Under the USMCA, importers of automobiles will be able to certify the U.S. content of their vehicles. This means the 25% tariff will only apply to the value of non-U.S. content. Additionally, USMCA-compliant auto parts will remain tariff-free until the U.S. Secretary of Commerce establishes a process to apply tariffs to the non-U.S. content of these vehicles.
We will provide further updates as more information becomes available.
The EU is Introducing Retaliatory Tariffs on U.S. Goods
The European Union has prepared a list of U.S. products that will be subject to additional tariffs, which were initially held back from 2018 and 2020. These tariffs are now expected to go into effect as early as March 31, 2025. The lists of impacted goods can be found here:
Navigating the Uncertainty in Global Trade
These are challenging times for the global trade community, with landed duty-paid costings remaining difficult to predict for the foreseeable future. We will continue to keep you informed with the latest updates as soon as information becomes available.
For more assistance, please contact your Mainfreight Customs team at licensedbrokersusa@mainfreight.com.
Update | March 10th 2025 - Steel & Aluminum Derivative Tariff
In todays update, you will find some important changes regarding the implementation of global steel and aluminum tariffs, as well as an update on Canada Tariffs.
Steel & Aluminum “Derivative Goods” – How Are These Tariffs Calculated?
Beginning Wednesday, March 12, US CBP will implement a global steel/aluminum tariff on those items, along with “derivatives.” But how do you know what derivatives are? Well, there is a first “batch” of derivative tariff numbers for certain steel and aluminum articles. We’ve attached these lists from US Customs to this Did You Know? This is a new way to collect tariffs; we’ll do our best to work with you to report them properly!
- Steel HTS List including derivatives
- Aluminum HTS including derivatives
- Section 232 Chart
FTZ: Please remember that any article on the above lists must be entered into an FTZ in Privileged Foreign status (i.e., the duty rate “sticks” – if it applies when it enters the FTZ, it will apply no matter what when it enters the commerce of the country, even if the Section 232 tariffs are later removed).
Exclusions and Drawback
Importer-specific product exclusions for Section 232 duties that are currently in effect shall remain effective until their expiration date or until the excluded product volume is imported, whichever occurs first. All general approved exclusions (GAEs) will expire on March 11, 2025, and products will be subject to 25% ad valorem duties on March 12, 2025. No drawback shall be available with respect to the duties imposed.
Quotas
All Section 232 tariff rate and absolute quotas will expire on March 11, 2025. All Section 232 tariff rate and absolute quotas entries must be presented to CBP during official office hours by 4:30 p.m. local port time on March 11, 2025. Entries that do not achieve quota status by 4:30 p.m. local port time on March 11, 2025, do not qualify for the Section 232 quotas and must be refiled as non-quota entries on March 12, 2025.
How to Apply the New Derivative Tariffs
For new steel/aluminum derivative articles, the 25% additional duty must be reported based on the value/quantity (in kg) of the steel content. If the content isn’t known, the full 25% applies to the entire value of the article.
We will need you to provide this data based on the best and most accurate information possible to ensure correct reporting.
In cases where the value of the steel/aluminum content is less than the entered value of the imported article, the goods must be reported on two entry lines. The first line will represent the non-steel or non-aluminum content, while the second line will represent the steel/aluminum content. Each line should be reported as per the instructions below:
Non-Steel/Aluminum Content (First Line):
- Ch. 1-97 HTS: This same tariff number must be reported on both lines.
- Country of Origin: The same must be reported on both lines.
- Total Entered Value of the article minus the value of the steel content.
- Report the total quantity of the imported goods.
- Report all other applicable duties, such as IEEPA tariffs and antidumping and countervailing duties.
Steel or Aluminum Content (Second Entry Line):
- Same Ch. 1-97 HTS reported on the first line.
- Same Country of Origin reported on the first line.
- Report 0 for quantity for the Ch. 1-97 HTS.
- Report the value of steel or aluminum content.
- Report the Section 232 duties based on the value/quantity of steel/aluminum content using special tariff 9903.8191.
- Report all other applicable duties, such as IEEPA tariffs and antidumping and countervailing duties.
CBP has issued an official statement on the new tariffs/import taxes.
You can click here for a synopsis: Official CBP Statement on Tariffs
Contact your local Mainfreight brokerage team at ammfichb@mainfreight.com or call your local Mainfreight broker for guidance. We’ll do our best to keep you informed as we receive additional information. Thank you.
Canada Update
Firstly, Canada has not suspended the import taxes on certain US goods that were announced and implemented on March 4. Additionally, Canada will impose a 25% export tax on the electricity currently sent from Ontario to three US states, effective today. This will impact New York, Michigan, and Minnesota, and is subject to doubling to 50% if the US President insists on continuing the trade war with Canada. Moreover, American companies are now barred from $30 billion CAD in procurement contracts by Ontario, and US alcohol is no longer sold in provincially-run liquor stores. For more info on this, click here: Ontario Tax on Electricity Sent South of the Border Effect Today
For information on the list of US goods now subject to 25% tariffs, click here: CBSA List of Tariffed Goods
Mexico Update
President Claudia Sheinbaum has not announced any retaliatory tariffs at this time, given the temporary suspension of the 25% additional tariffs on USMCA qualifying goods.
Update | March 7th 2025
Below is the latest update regarding the partial suspension of the 25% additional duties on Mexican and Canadian products into the United States, effective through April 2.
Additional 25% Duties on Canada/Mexico Products – Partially Suspended Until April 2
The President’s proclamation from four days ago, placing additional import taxes (tariffs) on all goods from Mexico and Canada, has been partially counteracted today. Until April 2nd, many Mexican and Canadian goods will not be subject to the IEEPA’s additional 25% tariffs—but only if the goods otherwise qualify under the U.S.-Mexico-Canada Agreement (USMCA) for duty-free treatment.
However, the partial suspension of these tariffs is not retroactive. Goods that entered on March 4, 5, and 6 will still have to pay the 25% additional duties, and drawback remains unavailable for these additional tariffs.
For goods of Mexican origin: The effective date was 12:01 a.m. ET, March 7. For any Mexican-origin goods that qualify for free entry under the USMCA, those goods will not be subject to the additional 25% duties.
For goods of Canadian origin: The effective date is 12:01 a.m. ET, March 7. For any Canadian-origin goods that qualify for free entry under the USMCA, those goods will not be subject to the additional 25% duties. Potash that does not qualify for duty-free treatment under the USMCA will be subject to a 10% duty (instead of the 25% duty).
For goods both of Mexican and Canadian origin, there is no end date set for this exemption for USMCA-qualifying goods. What this means for American importers is that unless your goods qualify (and are accompanied by) a valid certification confirming that the goods comply with the terms of the USMCA, you will receive duty-free status as before. If not, you’ll still pay the additional 25%.
The net effect is that we had tariffs—non-refundable—for three days on all Mexican and most Canadian goods.
The exemption is not retroactive, so those goods imported and entered during the 3-day period are subject to tariffs with no drawback available.
Steel/Aluminum Tariffs, Notwithstanding:
Note that this does not change the upcoming Steel/Aluminum (+ derivatives) tariffs of 25%, set to go into effect on March 12th.
For specific information from U.S. Customs and Border Protection (CBP), see the CSMS messaging providing implementing guidelines to importers and the overall trade community.
Click here: https://www.cbp.gov/trade/automated/cargo-systems-messaging-service
What Are Canada and Mexico Doing?
Firstly, as of this writing, Canada has not suspended the import taxes on certain U.S. goods that were announced and implemented on March 4.
For information on this list, click here: https://www.cbsa-asfc.gc.ca/publications/cn-ad/cn25-10-eng.html
As for Mexico, President Claudia Sheinbaum has not announced any retaliatory tariffs at this time, given the temporary suspension of the 25% additional tariffs on USMCA-qualifying goods.
Update | March 4th 2025
In our continued effort to keep you updated, we want to inform you of some important tariff changes being introduced in the United States on goods from China/Hong Kong. These changes could affect your shipments. Please take a moment to review the details below for further information.
CBP clarified the Presidential Proclamation- Additional 10% is NOT retroactive. But it is 20%.
The President amended his prior Executive Order that had increased additional tariffs on goods from China/Hong Kong last month. Originally set at 10%, it's now set at 20%. Based on the proclamation released earlier today, which can be found at whitehouse.gov, it appeared the tariffs were to be retroactive. However, US Customs has now issued guidelines stating that they are "not" retroactive - but the new 20% additional tariffs are effective on a go-forward basis starting today.
There's only a small "out" - for Goods In Transit the additional tariffs are excluded until March 7 if: they were loaded on a vessel or in transit on the final mode of transport prior to 12:01 a.m. ET on Feb. 1, 2025. What does this mean? Even if they are entered or withdrawn from a warehouse for consumption after Feb. 4, those goods will not pay the 10% tariffs - but this exception is only valid until 12:01 a.m. ET on March 7. Entries after that date will require payment of the duties.
For more information, you can sign up for free messaging from US Customs in the below link. We'll send out more info on how the retroactive tariffs will be collected from you once known.
https://www.cbp.gov/trade/automated/cargo-systems-messaging-service
We are here to help you navigate these changes and will continue to provide updates as we receive more information. For any questions regarding the new agreement or how these tariff increases may affect your current shipments, please contact your local Mainfreight team.
Update | March 3rd 2025
Effective midnight tonight, 25% tariffs are imposed on most (except 10% on certain energy sector goods) from Canada, and 25% on all Mexican-origin goods. See below for the Mexico guidance, and Canada guidance follows, as well as some additional information regarding the steel and aluminum tariffs.
Cargo Systems Messaging Service (CSMS) # 64297292 - GUIDANCE: Additional Duties on Imports from Mexico (see below for notice on goods from Canada)
GUIDANCE
APPLICATION OF ADDITIONAL DUTY RATES
Effective on or after 12:01 a.m. eastern standard time on March 4, 2025, with respect to goods that are the product of Mexico entered for consumption, or withdrawn from warehouse for consumption, the following HTSUS classification and additional duty rate apply:
- 9903.01.01: All imports of articles that are products of Mexico, other than products classifiable under headings 9903.01.02 and 9903.01.03 and other than products for personal use included in accompanied baggage of persons arriving in the United States will be assessed an additional ad valorem rate of duty of 25%.
Products of Mexico that are eligible for special tariff treatment under general note 3(c)(i) to the tariff schedule (e.g., the United States-Mexico-Canada Agreement), or that are eligible for temporary duty exemptions or reductions under subchapter II to chapter 99, are subject to the additional ad valorem rate of duty imposed by headings 9903.01.01.
The additional duties imposed by headings 9903.01.01 that apply to products of Mexico include both goods of Mexico under the rules of origin set forth in part 102, title 19 of the Code of Federal Regulations, as applicable, as well as goods for which Mexico was the last country of substantial transformation prior to importation into the United States.
EXCLUSIONS
The following HTSUS classifications apply to products that are excluded from the additional ad valorem duties:
- 9903.01.02: Articles the product of Mexico 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.
- 9903.01.03: Articles the product of Mexico 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.
The additional duties imposed by heading 9903.01.01 will 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 Mexico), as described in the applicable subheading. For heading 9802.00.80, the additional duties apply to the value of the article assembled abroad (in Mexico), less the cost or value of such products of the United States, as described.
FOREIGN TRADE ZONE
Articles that are products of Mexico, excluding those encompassed by 50 U.S.C. 1702(b), except those that are eligible for admission to a foreign trade zone under “domestic status” as defined in 19 CFR 146.43, and are admitted into a United States foreign trade zone on or after 12:01 a.m. eastern standard time on March 4, 2025, must be admitted as “privileged foreign status” as defined in 19 CFR 146.41. Such articles will be subject, upon entry for consumption, to the duties imposed by this order and the rates of duty related to the classification under the applicable HTSUS subheading in effect at the time of admission into the United States foreign trade zone.
DRAWBACK
No drawback is available with respect to the additional duties imposed pursuant to the Executive Order, as implemented in the Federal Register Notice.
DE MINIMIS
The administrative exemption from duty and certain taxes at 19 U.S.C. 1321(a)(2)(C), known as the de minimis exemption, continues to be available for articles covered by heading 9903.01.01 that are otherwise eligible for the exemption, including eligible articles sent to the United States through the international postal network.
REPORTING
CBP will reject entry summaries that are not in compliance with the requirements of the Executive Orders identified above, including but not limited to, entry summaries filed without deposit of the required additional duties. If an entry summary is rejected, CBP will require a resubmission within two business days of the rejection, per existing policy. If the rejected entry summary is not resubmitted timely with payment, the importer of record may be subject to liquidated damages.
For entry summary lines that include multiple HTS numbers, CBP requires that the duty be appropriately associated to the correct HTS. For example, if the entry is subject to 9903.01.01, then the 25% duty must be associated to 9903.01.01 when transmitting to ACE and when a printed 7501 is produced. The 25% duty must not be combined with the duty reported on a different HTS within the entry summary line. Further, duties across several required HTS numbers on a given entry summary line must not be combined and cannot be reported on only one HTS within the entry summary line.
CBP expects full compliance from the trade community for accurate reporting and payment of the additional duties.
HTS SEQUENCE
When submitting an entry summary in which a heading or subheading in Chapter 98 and/or 99 is claimed on imported merchandise, the following instructions will apply for the order of reporting the HTS on an entry summary line.
1. Chapter 98 (if applicable)
2. Chapter 99 number(s) for additional duties (if applicable)
3. For trade remedies,
- First report the Chapter 99 HTS for Section 301,
- Followed by the Chapter 99 HTS for IEEPA,
- Followed by the Chapter 99 HTS for Section 232 or 201 duties (if applicable),
- Followed by the Chapter 99 HTS for Section 201 or 232 quota (if applicable).
5. Chapter 99 number for other quota (not covered by #3) (if applicable)
6. Chapter 1 to 97 Commodity Tariff
The entered value of the imported product reported on the entry summary line should be reported on the Chapter 1-97 HTS classification, unless Chapter 98 reporting provisions require the entered value to be reported differently.
CBP will provide additional guidance to the trade community through CSMS messages as appropriate.
Questions regarding this memorandum should be directed to the Trade Operations Division (TOD) email attribute at OFO-TRADEOPERATIONS@cbp.dhs.gov, or the OT, TPP, Commercial Operations, Revenue and Entry Division (CORE) email attribute at OTENTRYSUMMARY@cbp.dhs.gov.
CSMS #64297449 - GUIDANCE: Additional Duties on Imports from Canada
The purpose of this message is to provide guidance on the additional duties on imports that are the products of Canada, which were imposed by Executive Order 14193, “Imposing Duties to Address the Flow of Illicit Drugs Across Our Northern Border” (90 FR 9113), issued on February 1, 2025, as amended by Executive Order 14197, “Progress on the Situation at our Northern Border” (90 FR 9183), issued on February 3, 2025 and as directed by the Executive Order issued on March 2, 2025.
GUIDANCE
APPLICATION OF ADDITIONAL DUTY RATES
Effective on or after 12:01 a.m. eastern standard time on March 4, 2025, with respect to goods that are the product of Canada entered for consumption, or withdrawn from warehouse for consumption, the following HTSUS classifications and additional duty rates apply:
- 9903.01.10: All imports of articles that are products of Canada, other than products classifiable under headings 9903.01.11, 9903.01.12, and 9903.01.13, and other than products for personal use included in accompanied baggage of persons arriving in the United States, will be assessed an additional ad valorem rate of duty of 25%.
- 9903.01.13: Imports of energy or energy resources of Canada, as defined in section 8 of Executive Order 14156 of January 20, 2025 (Declaring a National Energy Emergency) as: crude oil, natural gas, lease condensates, natural gas liquids, refined petroleum products, uranium, coal, biofuels, geothermal heat, the kinetic movement of flowing water, and critical minerals, as defined by 30 U.S.C. 1606 (a)(3) will be assessed an additional ad valorem rate of duty of 10%.
Products of Canada that are eligible for special tariff treatment under general note 3(c)(i) to the tariff schedule (e.g., the United States-Mexico-Canada Agreement), or that are eligible for temporary duty exemptions or reductions under subchapter II to chapter 99, are subject to the additional ad valorem rate of duty imposed by headings 9903.01.10 and 9903.01.13.
The additional duties imposed by headings 9903.01.10 and 9903.01.13 that apply to products of Canada include both goods of Canada under the rules of origin set forth in part 102, title 19 of the Code of Federal Regulations, as applicable, as well as goods for which Canada was the last country of substantial transformation prior to importation into the United States.
EXCLUSIONS
The following HTSUS classifications apply to products that are excluded from the additional ad valorem duties:
- 9903.01.11: Articles the product of Canada 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.
- 9903.01.12: Articles the product of Canada 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.
The additional duties imposed by headings 9903.01.10 and 9903.01.13 will 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 Canada), as described in the applicable subheading. For heading 9802.00.80, the additional duties apply to the value of the article assembled abroad (in Canada), less the cost or value of such products of the United States, as described.
FOREIGN TRADE ZONE
Articles that are products of Canada, excluding those encompassed by 50 U.S.C. 1702(b), except those that are eligible for admission to a foreign trade zone under “domestic status” as defined in 19 CFR 146.43, and are admitted into a United States foreign trade zone on or after 12:01 a.m. eastern standard time on March 4, 2025, must be admitted as “privileged foreign status” as defined in 19 CFR 146.41. Such articles will be subject, upon entry for consumption, to the duties imposed by this order and the rates of duty related to the classification under the applicable HTSUS subheading in effect at the time of admission into the United States foreign trade zone.
DRAWBACK
No drawback is available with respect to the additional duties imposed pursuant to the Executive Order, as implemented in the Federal Register Notice.
DE MINIMIS
The administrative exemption from duty and certain taxes at 19 U.S.C. 1321(a)(2)(C), known as the de minimis exemption, continues to be available for articles covered by headings 9903.01.10 and 9903.01.13 that are otherwise eligible for the exemption, including eligible articles sent to the United States through the international postal network.
REPORTING
CBP will reject entry summaries that are not in compliance with the requirements of the Executive Orders identified above, including but not limited to, entry summaries filed without deposit of the required additional duties. If an entry summary is rejected, CBP will require a resubmission within two business days of the rejection, per existing policy. If the rejected entry summary is not resubmitted timely with payment, the importer of record may be subject to liquidated damages.
For entry summary lines that include multiple HTS numbers, CBP requires that the duty be appropriately associated to the correct HTS. For example, if the entry is subject to 9903.01.10, then the 25% duty must be associated to 9903.01.10 when transmitting to ACE and when a printed 7501 is produced. The 25% duty must not be combined with the duty reported on a different HTS within the entry summary line. Further, duties across several required HTS numbers on a given entry summary line must not be combined and cannot be reported on only one HTS within the entry summary line. CBP expects full compliance from the trade community for accurate reporting and payment of the additional duties.
HTS SEQUENCE:
When submitting an entry summary in which a heading or subheading in Chapter 98 and/or 99 is claimed on imported merchandise, the following instructions will apply for the order of reporting the HTS on an entry summary line.
1. Chapter 98 (if applicable)
2. Chapter 99 number(s) for additional duties (if applicable)
3. For trade remedies,
- first report the Chapter 99 HTS for Section 301,
- followed by the Chapter 99 HTS for IEEPA,
- followed by the Chapter 99 HTS for Section 232 or 201 duties (if applicable),
- followed by the Chapter 99 HTS for Section 201 or 232 quota (if applicable).
5. Chapter 99 number for other quota (not covered by #3) (if applicable)
6. Chapter 1 to 97 Commodity Tariff
The entered value of the imported product reported on the entry summary line should be reported on the Chapter 1-97 HTS classification, unless Chapter 98 reporting provisions require the entered value to be reported differently.
CBP will provide additional guidance to the trade community through CSMS messages as appropriate.
Questions regarding this memorandum should be directed to the Trade Operations Division (TOD) email attribute at OFO-TRADEOPERATIONS@cbp.dhs.gov, or the OT, TPP, Commercial Operations, Revenue and Entry Division (CORE) email attribute at OTENTRYSUMMARY@cbp.dhs.gov.
Canada puts tariffs on targeted US imports in retaliation:
CBSA has issued a list of US goods for which Canada will impose their own 25% tariffs. As with US tariffs, Canadian importers will pay these tariffs. See here for the list:
https://www.canada.ca/en/department-finance/news/2025/02/list-of-products-from-the-united-states-subject-to-25-per-cent-tariffs-effective-february-4-2025.html.
Tariffs on Steel / Aluminum - effective March 12, 2025
For the Federal Register notices and more information on both the steel and aluminum tariffs, click below:
Aluminum: https://public-inspection.federalregister.gov/2025-03596.pdf
Steel: https://public-inspection.federalregister.gov/2025-03598.pdf