Customs and Border Protection (CBP) has provided the following additional guidance on the new 50% Section 232 duties that will apply to imports of semi-finished copper and intensive copper derivative products as of today, August 1, 2025.
- New provisional HTS provided for reporting:
- 9903.78.01: 50% additional ad valorem rate of duty on the copper content of semi- finished copper and intensive copper derivative products
- 9903.78.02: 0% additional ad valorem rate of duty on:
- the non-copper content of semi-finished copper and intensive copper derivative products; and
- imported goods under the subject HTSUS classifications which contain no copper.
Reporting Instructions for Applying Duties Based on Copper Content:
- The 50% duty is to be reported based upon the value of the copper content.
- The value of the copper content should be determined in accordance with the principles of the Customs Valuation Agreement, as implemented in 19 U.S.C. 1401a.
- The value of the copper content is the total price paid or payable for that content, which is:
- The total payment made/to be made for the copper content by the buyer to, or for the benefit of, the seller of the copper content.
- Normally, this would be based on the invoice paid by the buyer of the copper content to, or for the benefit of the seller of the copper content.
- For all Section 232 duties based on copper content which are based on a value other than the entire value of the good, importers must keep documentation to support the reported values and provide to CBP upon request. Examples of such documentation include, but are not limited to, the bill of materials for the production of the goods, invoices for the materials used in the production of the goods, and accounting
documentation to substantiate the reported values.
- When insufficient documentation is provided to substantiate the reported values, CBP will collect the duties on the copper content based on the entire value of the good.
Importers who submit underreported declarations may be subject to severe consequences, such as significant monetary penalties, loss of import privileges, and criminal liability, consistent with United States law.
CBP CSMS # 65794272 – Guidance may be found here. |
