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Foreign-Trade Zones
Source
American Shipper
Post Date
06/17/2025

The proclamation appearsto limit the option of avoiding the higher 50 percent tariff by using aforeign-trade zone by providing that (1) any imports of articles in aforthcoming Annex II that were admitted into an FTZ under privileged foreignstatus before 12:01 a.m. EDT on June 4 will be subject to this tariff uponentry for consumption, and (2) any article in a forthcoming Annex I that issubject to this tariff and admitted into an FTZ on or after June 4 may beadmitted only under privileged foreign status and will be subject to thistariff upon entry for consumption.

Enforcement

The proclamation requires CBP to issue authoritativeguidance mandating strict compliance with declaration requirements for steeland aluminum content in imported articles and outlining maximum penalties fornoncompliance. For example, importers who submit underreported declarations maybe subject to consequences including ?ignificant monetary penalties, loss ofimport privileges, and criminal liability.?


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