The following is an excerpt from the guidance we received from US Customs on Friday.

“9903.03.12:    Articles the product of Canada as provided in subdivision (b)(1) of U.S. note 51   

50% additional ad valorem rate of duty 

9903.03.13:    Articles the product of Canada as provided in subdivision (b)(2) of U.S. note 51 

50% additional ad valorem rate of duty 

9903.03.14:    Articles the product of Canada as provided in subdivision (b)(3) of U.S. note 51  

50% additional ad valorem rate of duty 

9903.03.15:    Articles of aluminum, of steel or of copper or derivative aluminum or steel articles; passenger vehicles (sedans, sport utility vehicles, crossover utility vehicles, minivans and cargo vans) and light trucks; parts of passenger vehicles (sedans, sport utility vehicles, crossover utility vehicles, minivans and cargo vans) and light trucks; medium- and heavy duty vehicles; parts of medium- and heavy duty vehicles; wood products; semiconductor articles; and patented pharmaceutical articles, as provided in subdivision (c) of U.S. note 51 

0% additional ad valorem rate of duty 

9903.03.16:    Articles of civil aircraft (all aircraft other than military aircraft and unmanned aircraft); their engines, parts and components; their other parts, components and subassemblies; and ground flight simulators and their parts and components the product of Canada, as provided for in subdivision (d) of U.S. note 51 

0% additional ad valorem rate of duty 

Products that are provided for in headings 9903.03.12–9903.03.16 shall continue to be subject to antidumping, countervailing, or other duties, taxes, fees, exactions and charges that apply to such products, as well as to the additional ad valorem rate of duty imposed by this heading.  

Chapter 98 

The additional duty imposed by headings 9903.04.12 to 9903.04.14 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 subchapter XXIII of chapter 98 of the tariff schedule, subheadings 9802.00.40, 9802.00.50 and 9802.00.60, and heading 9802.00.80.  For subheadings 9802.00.40, 9802.00.50 and 9802.00.60, the additional duty applies to the value of repairs, alterations or processing performed, as described in the applicable subheading.  For heading 9802.00.80, the additional duty applies 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 Any product subject to the duties imposed in these Proclamations that is subject to the additional duty imposed by this action, and that is admitted into a U.S. foreign trade zone, except any product that is eligible for admission under “domestic status” as defined in 19 C.F.R. 146.43, only may be admitted as “privileged foreign status,” as defined in 19 C.F.R. 146.41, and will be subject upon entry for consumption to any ad valorem rate of duty related to the classification under the applicable HTSUS subheading. 

Drawback 

The additional duty imposed by headings 9903.04.12 to 9903.04.14 is subject to drawback. “

Here are the posts from the Federal Register which provide the texts for these tariffs. There were three publication involved each with a separate list of affected tariff numbers.

Tariffs Numbers Affected by the Alcohol Action

Tariff Numbers Affected by the Dairy Action

Tariff Numbers Affected by the Motor Vehicles Action

We will continue to monitor and post any updates when new information is received.

]]> http://www.sandersbrokerage.com/dev/section-338-tariffs-on-certain-canadian-goods-now-in-effect/feed/ 0 http://www.sandersbrokerage.com/dev/section-301-forced-labor-import-duties/ http://www.sandersbrokerage.com/dev/section-301-forced-labor-import-duties/#comments Thu, 23 Jul 2026 22:49:21 +0000 http://www.sandersbrokerage.com/dev/?p=2455 Beginning at 12:01 a.m. Eastern time on July 24, 2026 (9:01 p.m. Pacific time on July 23,2026), the new Section 301 Forced Labor Duties will go into effect. At the same time, the Section 122 tariffs will expire. The tariff rates under Section 301 will be either 10% or 12.5% depending on the country of origin of the goods. There are some exemptions for goods that are in transit on a vessel bound for the US as well as goods covered under a valid USMCA.

For details, please see the Federal Register notice covering this action.

The following is an excerpt from the notice providing a broad overview of the tariffs and exemptions:

“Section 1.  Tariffs and Exemptions.  (a)  Except as otherwise provided in this memorandum, the Trade Representative shall impose the following tariff rates on all goods of the economy for which an act, policy, or practice was found actionable under section 301:

(i)  10 percent tariff rate:  The Trade Representative shall impose a tariff of 10 percent on goods of Argentina, Bangladesh, Cambodia, Canada, Ecuador, El Salvador, Guatemala, Honduras, India, Indonesia, Jordan, Malaysia, Mexico, Pakistan, Sri Lanka, the United Kingdom, and Trinidad and Tobago.

(ii)  Tariff rate of 10 percent or 12.5 percent, net of MFN rate:  For a product of the European Union or Taiwan, where such product’s MFN tariff is less than 10 percent, the Trade Representative shall impose a section 301 tariff pursuant to these investigations so that the sum of the MFN tariff and the section 301 tariff shall be 10 percent, and where such product’s MFN tariff is greater than or equal to 10 percent, the Trade Representative shall impose a section 301 tariff of zero.  For a product of Japan, Korea, or Switzerland, where such product’s MFN tariff is less than 12.5 percent, the Trade Representative shall impose a section 301 tariff pursuant to these investigations so that the sum of the MFN tariff and the tariff imposed pursuant to these investigations shall be 12.5 percent, and where such product’s MFN tariff is greater than or equal to 12.5 percent, the Trade Representative shall impose a section 301 tariff of zero.  Capping total duties in this manner is feasible, consistent with the terms of the Agreements on Reciprocal Trade or similar arrangements, and appropriate to encourage these economies to fulfill commitments regarding forced labor import prohibitions or to enact and effectively enforce such a prohibition.

(iii)  12.5 percent tariff rate:  For goods of all other investigated economies, the Trade Representative”

We will provide an update as further information is received.

Here is the notice in Federal Register providing details of the action. In the notice is a list of all the tariff numbers that will be affected by this action.

We will update you when more information becomes available.

For further details, please see the proclamations listed below:

Alcohol

Dairy

Motor Vehicles

This situation is developing and may change as time goes on. We will post updates as more information becomes available.

To summarize, many countries have differing tariff rates according to Annex I in the Executive Order. Any country not listed in Annex I will continue with the 10% tariff as before.

Goods from the European Union (EU) will have it a little differently. If a good has a general duty rate of under 15%, then the Reciprocal Duty rate will equate to 15%. If a good has a general duty equal to or greater than 15%, then that rate will apply and the Reciprocal Duty rate will be 0%.

Goods determined by US Customs to have been transshipped to evade applicable duties will be subject to an additional 40% in lieu of the Reciprocal Duty rate. This does not include any other applicable fines or penalties. US Customs is not allowing for mitigation or remission of penalties for goods found to have been transshipped.

As is usual, this situation is fluid and is subject to change with little warning. Also, the US is in negotiations with various countries, and their Reciprocal Duty rate may change.

As always, we will keep you informed of any changes as we become aware of them.

Thank you.

As before, the situation is fluid and changes may arrive with very little notice. We will continue to post changes as they become available. The information presented here is from other sources and may not be considered legally binding.

The US will lower the Reciprocal Tariff to 10% for a period of 90-days. This is down from 125% imposed last month. However, the 20% Fentanyl Tariff remains in effect as does the original Section 301 Tariffs from Trump’s first term (7.5% or 25% depending on the HTS number used) as well as the Section 232 Tariffs (Aluminum/Steel and Autos/Auto Parts).

We are awaiting further information from US Customs on implementation. The information above is garnered from news reports and is not legally binding. We will keep monitoring the situation and provide additional information as it becomes available.

The statements above are based on the best information available to us at the time. They are not legally binding and are subject to change as new information becomes available.

• Section 301 Tariffs from 2018 of 7.5%, 25%, or 100% (on a few items)
  • The tariff rate applied is determined by the tariff classification number used for importation
• IEEPA Fentanyl Tariff of 20%
• IEEPA Reciprocal Tariff of 125%

If you combine all the maximum tariffs listed above together, you will get 245%. Does this mean that all Chinese products are 245%. No. Most products will be between 132.5% and 170%.

The products which have 100% tariffs include photovoltaic cells, electric vehicles, electric vehicle batteries, battery parts, and syringes.

As always, the situation remains fluid and information can change with very little notice. We will endeavor to keep this page updated as new information comes in.