Duties and Other Information to Help You Navigate Upcoming Tariffs

The purpose of this communication is to outline the various tariffs impacting imported products to assist you in determining what your total landed cost will be for your imported goods.  Below is a summary of various trade actions involving additional duties implemented over the last several years.  This information continues to be fluid; in some cases, we are providing a heads up of what seems to be coming ahead.

First, we want to give you some of the basics about tariffs and how they are applied.   Later, we will discuss each of the tariffs implemented over the last few years.

  • Duties are assessed based on the origin of the goods.  Where did the manufacturing take place?  If you are not sure, give us a call and we can discuss the specifics of your product manufacturing and raw material source to help you determine your duties.  Tariffs are based on the country where goods are manufactured, not where they are shipped from.
  • Duties are generally applied based on the cost of the goods (your purchase price) Ex Works, Packed ready for shipment to the US.
  • There are many fees and taxes, but these are the newer tariffs implemented over the last several years.
  • The process for tariffs being created or changed varies depending on the type of tariff.  Some are the result of investigations by the Department of Commerce, others the US Trade Representative and yet others can be implemented solely at the discretion of the President.

IEEPA Tariffs: International Emergency Economic Powers Act.  This tariff use is for situations being created outside of the United States which have significant impact on the US.  In this case, the sited reasons are the flow of narcotics, and illegal immigration at the Canadian & Mexican borders.

Tariff amount: 10%

Countries Impacted:  Currently China.  The effective date was February 4, 2025.  An exception was made for product that was in transit but not yet arrived and cleared in the United States.

Products Impacted:  All goods manufactured in China or Hong Kong.

Countries which may be impacted:   Canada & Mexico have been paused until March 4th, at which time implementation of a 25% tariff may be imposed.

232 Tariffs: On February 10, President Trump issued proclamations which expand Section 232 tariffs, which have been in place since March of 2018.  These tariffs are implemented to protect the National Security of the United States.

Products Impacted: Steel and Aluminum and derivative products.

Countries Impacted: All

Effective Dates and amounts: The following changes are effective as of 12:01 a.m. EDT on March 12.

  • The 25 percent Section 232 tariff on steel and steel derivative articles will be extended to imports from all countries.
  • The 10 percent Section 232 tariff on aluminum and aluminum derivative articles will be increased to 25 percent and extended to imports from all countries.  This is a modification to 25%.  It will not be 10% + 25% = 35%
  • These tariffs will be extended to additional derivative articles (which will be identified in annexes to the proclamations as of this writing).
  • The only exception is for those processed in another country from steel articles melted and poured, or aluminum articles smelted and cast, in the U.S.
  • All existing general approved exclusions from the tariffs will be terminated at their expiration date.   No exclusions will be considered in the future.

Section 301 Tariffs:  A Section 301 investigation in 2018 determined that China was engaged in unreasonable and discriminatory trade practices (such as Intellectual property violations, technology transfer, etc.).  In 2019, the US imposed additional tariffs.  A Four-year review was completed in 2023, and these tariffs primarily remained in effect with some changes.  Please contact us if you have any questions on how the 301 tariffs impact your specific products.

Tariff amounts: 7.5% – 100%.  Most products impacted fall under the tariff amount of 25%.

Effective dates: 2019 and various other dates for changes.  For more information, please contact us regarding your specific product.  You may also review this link for more information about the 301 Tariffs

Reciprocal Tariffs:  Finally, on February 13, 2025, President Trump has ordered an immediate review and development of a ‘Fair and Reciprocal Plan’ to examine the policies of other countries treatment of US Products versus the US treatment of those countries goods. This is being referred to as Reciprocal Tariffs.   While this does not have any specific date, country or amount and will not have one until a review is completed, this has the potential to be quite wide-ranging.  We will be watching this closely and reporting what we learn to you.  Read the Executive Order on the Fair and Reciprocal plan on trade.

We will continue to update you when new information is released about any of these tariffs.   Please contact us if you have any questions.   We will continue to place the most common questions asked in our upcoming updates.

February 19, 2025

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