 U.S. Imposes 10% Temporary Import Surge Under Section 122 (CBP Guidance Issued) Trade Update ?February 24, 2026 |
Source |
American Shipper |
Post Date |
02/24/2026 |
|
Key Points
? CBP? latest guidance confirms 10% ad valorem duty applies to most imports from all countries for 150 days.
? The surge takes effect 12:01 a.m. EST on February 24, 2026.
? The measure stems from the February 20, 2026 Presidential Proclamation under Section 122 of the Trade Act of 1974.
? Specific exemptions apply under HTSUS headings 9903.03.02?903.03.11.
? Drawback remains available for the additional duties.
Shortly after the Supreme Court struck down the administration? IEEPA tariff authority on February 20, 2026, the White House issued a series of official actions, including the imposition of a 10% import surge under Section 122 and continuing the suspension of duty free de minimis treatment for all countries. On the same day, President Trump also issued a proclamation confirming the 10% surge and stating it could be raised up to the statutory maximum of 15% under Section 122 authority.
On February 24, 2026, CBP issued formal guidance confirming that imports from any country entered on or after that date would be subject to the 10% ad valorem duty under Section 122, with specified exemptions. There? no official announcement yet confirming the 15% rate.
Section 122 Tariffs to Address U.S. Balance-of-Payments Deficits
According to the proclamation, the 10% tariffs aim to address fundamental international payments problems, including large and persistent U.S. balance-of-payments deficits and pressures on the dollar. The order imposes a temporary 10% ad valorem import surge for a period of 150 days, effective February 24, 2026.
CBP Guidance
Effective Dates:
?Entries or withdrawals from warehouse: 12:01 a.m. EST, February 24, 2026 ?12:01 a.m. EDT, July 24, 2026.
?Duty applied under HTSUS heading 9903.03.01, except exempted products and personal baggage.
Exemptions (HTSUS headings 9903.03.02?903.03.11):
?9903.03.02: Goods in transit loaded before Feb 24, 2026, and entered by Feb 28, 2026.
?9903.03.03?04: Certain agricultural, religious, and specialty foods (acai, citrus juices, essential oils). Documentation required.
?9903.03.05: Civil aircraft, engines, parts, components, and ground flight simulators. Documentation required.
?9903.03.06: Iron, steel, aluminum, passenger vehicles, light and heavy trucks, semiconductors, copper, wood products.
?9903.03.07?08: Goods from Canada and Mexico under USMCA.
?9903.03.09: Textiles/apparel from Central America under CAFTA-DR.
?9903.03.10: Humanitarian donations (food, clothing, medicine).
?9903.03.11: Informational materials (publications, films, CDs, artworks, news feeds).
Chapter 98 Reporting:
?Duties do not apply to entries claimed under Chapter 98 provisions unless otherwise noted. Additional duties may apply to repairs, ations, or assembly abroad.
Foreign Trade Zones:
?Eligible imports admitted under ?rivileged foreign status?will be subject to the Section 122 duties upon consumption.
Drawback:
?Drawback is available on additional Section 122 duties.
HTS Sequence for Entry Summaries:
1. Chapter 98 (if applicable)
2. Chapter 99: Section 301 → Section 122 → Section 232 → Section 201 duties/quotas
3. Chapter 99: Replacement duties or Miscellaneous Tariff Bill provisions
4. Chapter 1?7 commodity classification
?Entered value reported on Chapter 1?7 HTS, unless Chapter 98 reporting requires otherwise.
|
|
|
|
