Updates: The latest news on U.S. tariffs

News and announcements: 

25% tariffs on the EU will be announced soon

News and announcements: 

At a cabinet meeting on Wednesday, President Donald Trump announced plans to implement a 25% tariff on EU imports into the U.S.

He stated that further details would be released soon, as no confirmed date has been set.

The European Union is a 27-country bloc and is the US’s third largest trading partner alongside China.

U.S. tariffs on Canada and Mexico are likely to go ahead in March

News and announcements: 

It is reported that President Donald Trump has announced that U.S. tariffs on imports from Canada and Mexico are likely to proceed.

As previously mentioned in this update, President Trump signed executive orders on February 1st to impose 25% tariffs on imports from Canada and Mexico, along with 10% duties on Canadian energy.

However, ongoing negotiations have delayed the implementation of these tariffs until March 4th.

Reciprocal trade and tariffs

News and announcements:

President Donald Trump has signed a Presidential Memorandum ordering an assessment and plan for new tariffs under the “Fair and Reciprocal Plan.” The plan will evaluate levies, regulations, and subsidies deemed unfair by the White House administration on a country-by-country basis.

Reciprocal tariffs could take effect as early as April 2nd and will vary based on the country of origin.

25% tariffs on all steel and aluminum imports to the U.S.

Official act: 

President Donald Trump has signed proclamations imposing 25% tariffs on all steel and aluminum imports to the U.S. He has also removed the exceptions and exemptions from his 2018 steel tariffs. 

Additionally, the new tariff on aluminum is significantly higher than the 10% duty he imposed during his first term.

De Minimus suspension delayed for Chinese made goods

Official act: The 10% tariff on imports from China has already taken effect since February 4th. This originally included shipments valued under $800 USD, which were previously exempt under the de minimis rule. 

The closing of Section 321 (de minimis) for Chinese made goods has since been suspended but is still expected to return imminently.

10% tariffs on all Chinese imports, tariffs on Canada and Mexico have been postponed

Official acts: 

All products with a Country of Origin (COO) from Canada and Mexico were initially subject to a 25% tariff, while energy products from Canada faced a 10% tariff. These tariffs have now been suspended for one month.

However, a 10% tariff has been implemented on Country of Origin (COO) China imports into the U.S..This affects all product types. There are no exclusions for this rule aside from international aid, informational materials and prior to February 1st departures. No drawback is available for the additional duties imposed under the Executive Order, as outlined in the Federal Register Notice.

Exclusions

Goods that are made in China (per rules of origin) that load on a vessel or are in transit on the final mode of transport prior to entry, before the 1st February 2025; and, are entered for consumption, or withdrawn from warehouse for consumption after 12:01 am eastern standard time February 4th but before 12:01am eastern standard time March 7th 2025. 

De Minimus Exemption (Section 321)

Previously, Chinese-origin de minimis goods avoided additional tariffs and entered duty-free, including those goods under Section 301 etc.

The new Executive Order clarifies that Chinese-origin goods no longer qualify for the de minimis exemption. 

Therefore, all goods from China and Hong Kong that used to qualify for de minimis are now subject to a 10% additional tariff. 

If a manifest or Entry Type 86 (ET86) is filed before 12:01 AM EST on February 4, 2025, but the shipment arrives after, it will not qualify for de minimis clearance. Even if the manifest or Entry Type 86 was submitted and approved before the deadline, it will become invalid if the shipment arrives after 12:01 AM EST on February 4, 2025.

President Trump’s tariffs on Canada, Mexico and China

News and announcements: 

All products from Canada and Mexico will be subject to a 25% tariff, except for energy products from Canada, which will face a 10% tariff.

• The tariffs for both countries were originally set to take effect on Tuesday, February 4th. However, President Donald Trump has delayed the tariffs on Mexico and Canada for one month.  
• USMCA agreement is currently expected to still be in effect, and 25% is on top of any duty that currently would be levied on those products.

All products from China will be subject to an additional 10% tariff starting 12:01 AM February 4th. This is also expected to include products that are already under Section 301, 232, etc.

Previously, low value shipments (under $800USD) from China, Canada and Mexico could enter the U.S. duty free under the de minimis threshold. This rule is now suspended for these countries, meaning all shipments—regardless of value—will now be subject to tariffs, customs duties and formal entry process. 

Cargo loaded for transportation before February 1st will not be subject to these tariffs.*

*Section 2(a) of the Executive Order by President Trump details that an importer must certify with the U.S. Customs Border Protection (CBP) as specified in the Federal Register notice. 

The Federal Register notice is not yet available for public viewing. The precise details of the above are not fully clarified yet by the U.S. Government. Federal Register notice is expected to be available today, Monday February 3rd.

America First Trade Policy

News and announcements: 

On January 20th 2025, President Donald Trump announced his presidential actions to address matters relating to U.S. trade policy. In the ‘America First Trade Policy’ a comprehensive review of U.S. trade and economic policies with recommendations is due by April 1st 2025. 

This includes:

• A review of trade with China and consider potential additional tariff modifications as needed under section 2411 of title 19, United States Code.
• A public consultation process set out in section 4611(b) of title 19, United States Code, with respect to the United States-Mexico-Canada Agreement (USMCA).
• An assessment of the effectiveness of exclusions, exemptions and other import adjustment measures on steel and aluminium under section 1863 of title 19, United States code.