The U.S. Trade Representative (“USTR”) announced this evening via a Federal Register Notice the imposition of Section 301 tariffs on products of 59 countries plus the European Union. These tariffs are the result of the USTR’s investigation into the various economies’ enforcement related to the importation of goods produced with forced labor.
The tariffs are effective, Friday, July 24, 2026 at 12:01 am EST. Goods loaded onto a vessel at the port of loading and in transit on the final mode of transit before 12:01 am EST on July 24, 2026 and entered for consumption or withdrawn from warehouse for consumption before 12:01 am EST on July 28, 2026 are exempt from the tariffs.
Products of Canada and Mexico qualifying for preferential treatment under the USMCA are exempt from these Section 301 tariffs just as those products were exempt from Section 122 tariffs. As previously advised, Section 122 tariffs are set to expire just as these Section 301 tariffs take effect.
The applicable rates are listed in the Federal Register Notice linked above and are either 10% or 12.5% depending on the country. However, for products of the EU and Taiwan, the additional tariff rate is the difference between the column 1 duty rate (aka Most Favored Nation rate) and 10%. If the column 1 rate is 10% or greater, there is no additional duty.
For products of Japan, South Korea, and Switzerland, the additional tariff rate is the difference between the column 1 duty rate and 12.5%. If the column 1 duty rate is 12.5% or greater, there is no additional duty.
For products of Canada or Mexico not qualifying for USMCA treatment, the tariff rate is 10% plus any applicable column 1 duty rate.
Further, products subject to Section 232 tariffs, e.g. steel, aluminum, copper, autos, auto parts, etc. remain exempt from these tariffs.
Finally, a full list of additional exemptions can be found HERE.
CBP’s official CSMS Message can be found HERE.