May 31, 2018 Import Tariff Update It's official. By presidential proclamation the U.S. has today extended the Section 302 tariffs on steel (25%) and aluminum (10%) to the European Union countries which were previously exempted. These duties have also been added to imports from Canada and Mexico which had previously been exempted pending the ongoing re-negotiation of the NAFTA. The effective date is June 1st.
The EU has already announced its intention to impose tariffs on U.S. goods ranging from 10 to 50% and has indicated this could be effective as soon as June 17th. The EU is also proceeding with the dispute process at the World Trade Organization. Mexico has also released a list of U.S. exports designated for retaliatory tariffs.
Imports from other countries were also impacted by today's proclamation as follows:
Argentina - steel and aluminium products still exempted but subject to quota limits for both.
Brazil - aluminum imports subject to the full 10% tariff but steel allows some quota limits
Australia - steel imports subject to full 25% tariff but aluminum subject quota
Quota limits for steel from Brazil and Argentina are effective as of June 1st under HTS subheadings 9903.80.05-9903.80.58 for consumption entries and warehouse withdrawals starting on June 1st, but quotas for both countries will take into account total imports from each since January 1, 2018.
While not the news many importers and exporters were hoping for we want to keep you informed. More specifics and further responses from our trading partners will be forthcoming in the days ahead.