Month: April 2025
CBP Issues Guidance on Reciprocal Tariffs
On April 2, 2025, a new Executive Order titled “Regulating Imports with a Reciprocal Tariff to Rectify Trade Practices that Contribute to Large and Persistent Annual United States Goods Trade Deficits” was issued. In response, U.S. Customs and Border Protection (CBP) has provided official guidance for actions effective as of April 5, 2025. Importers must act quickly to ensure compliance with the new requirements.
Key Highlights of the Reciprocal Tariff Guidance
New Tariff Classification Requirement
Beginning April 5, 2025, all imports must include a secondary Harmonized Tariff Schedule of the United States (HTSUS) Chapter 99 classification. This applies whether the product is subject to the reciprocal tariff or qualifies for an exemption. This additional classification ensures CBP can track and apply the new duty structure properly.
Core Duty Rate: HTSUS 9903.01.25
The baseline reciprocal tariff imposes a 10 percent additional ad valorem duty on most imported goods. This applies to all items entered for consumption or withdrawn from the warehouse for consumption on or after 1201 a.m. EDT, April 5, 2025.
This 10 percent duty is in addition to all other applicable duties, taxes, and fees.
Exceptions to the Tariff
There are several key exceptions. If the tariff under 9903.01.25 does not apply, importers must declare an alternative HTSUS code to indicate the exemption. These include:
- 9903.01.26 for articles originating in Canada
- 9903.01.27 for articles originating in Mexico
- 9903.01.28 for goods already in transit before April 5, 2025 (valid only through May 26, 2025)
- 9903.01.29 for products from Column 2 countries such as Belarus, Cuba, North Korea, and Russia
- 9903.01.30 for humanitarian donations
- 9903.01.31 for informational materials
- 9903.01.32 for products specifically identified in Annex II
- 9903.01.33 for certain iron, steel, aluminum, and automotive articles under Section 232
- 9903.01.34 for goods with at least 20 percent U.S. content (duty applies only to non-U.S. portion)
Need Help?
Reach out to your Future Forwarding representative or traderemedy@cbp.dhs.gov.