President Trump Imposes Tariffs on Imports from Canada, Mexico and China
ADDRESSING AN EMERGENCY SITUATION: The extraordinary threat posed by illegal aliens and drugs, including deadly fentanyl, constitutes a national emergency under the International Emergency Economic Powers Act (IEEPA).
Until the crisis is alleviated, President Donald J. Trump is implementing a 25% additional tariff on imports from Canada and Mexico and a 10% additional tariff on imports from China. Energy resources from Canada will have a lower 10% tariff.
Full details of the Fact Sheet from the President can be found here.
The WhiteHouse.gov website has published the following documentation, including the Executive Orders themselves. Note that further official guidance (addressing the practical matters of daily entry processing) are still pending, and could result in changes to our guidance.
This document lays out the fact that the tariffs have in fact been imposed, but is otherwise light on specifics
This document lays out the specifics for China
Imposing Duties to Address the Flow of Illicit Drugs Across Our National Border – The White House
This document lays out the specifics for Canada
Imposing Duties to Address the Situation at Our Southern Border – The White House
This document lays out the specifics for Mexico
Please keep in mind the China tariff will be 10% ad valorem (at value), in addition to the existing Section 301 duties of 25% and normal duty rate as shown in the tariff schedule.
The tariff will be effective for all shipments entered for consumption on or after Feb. 4th.
However, there is provision to allow for merchandise already in transit. Specifically, if the merchandise was exported from China prior to Feb. 1, it will not be assessed the duty.
It is important to understand that final instructions from CBP have yet to be received; combined with the interpretation of this provision by any given CBP officer, shipments where export dates may be ambiguous could end up being subject to the additional duty.
To discuss your cargo details or solutions on particular lanes, please contact your South East World Wide (Chicago), Ltd. Sales Representative.