Effective last Tuesday, most U.S. imports from China are now subject to 20% emergency tariffs and imports from Canada and Mexico are subject to 25% emergency tariffs, in addition to any other applicable import duties. These tariffs, while sweeping in coverage, do contain certain exemptions discussed below.
In an Executive Order signed late Monday, President Trump followed through on his threat to increase tariffs on U.S. imports from China first implemented on February 4, 2025, imposed under the International Emergency Economic Powers Act (IEEPA). This directive increases the tariffs on Chinese products entering the United States from 10% to 20%, but makes no other changes to scope – meaning, that only limited products remain exempt from those duties (generally encompassing informational materials, donations intended to relieve human suffering and items ordinarily incident to travel to or from any country). Imports otherwise qualifying for duty-free entry (or reduced dutiable value treatment) under Chapter 98 may continue to benefit from that treatment; imports eligible for de minimis treatment may continue to benefit from it until such time as “adequate systems are in place to fully and expeditiously process and collect tariff revenue” arising from these new duties.
In addition, President Trump permitted the previously deferred duties on imports from Canada and Mexico to go into effect with an identical scope to the China import coverage. As previously announced, the duty rate for covered imported products of Canada (except for Canadian energy and energy resources) and Mexico will be 25%. Covered imported energy and energy resources of Canada will be subject to 10% duty rate.
Mere hours before these tariffs went into effect, U.S. Customs and Border Protection (CBP) issued Federal Register notices with guidance regarding imports newly subject to the Canada and Mexico tariffs. These notices amend Chapter 99 of the Harmonized Tariff Schedule of the U.S. (HTSUS) to implement the tariffs as previously stated in the Presidential Proclamations.
