Customs Trade Update

We want to inform you that, effective June 4, 2025, a new Presidential Proclamation>> updates Section 232 tariffs on steel and aluminum products as outlined below.

We recommend reviewing product classifications and supply chain details to assess the impact on your shipments. Our team is here to assist with any questions or support regarding these changes. Contact your Yusen Logistics representative or email us at solutions@us.yusen-logistics.com and a member of our team will contact you promptly.
 

Steel and Aluminum Tariffs to Increase from 25% to 50%

Effective June 3rd, the U.S. President issued a Presidential Proclamation>> increasing the Section 232 tariff rate on Steel and Aluminum from 25% to 50% for all countries except the United Kingdom. The UK will remain at 25% for now while future negotiations continue. Below are some key points that adjust how we will do business in this manner.

• The Section 232 rate will increase from 25% to 50% for goods entered for consumption starting 12:01 am EST on June 4, 2025, for all countries except the UK.
• The UK will be monitored at the rate of 25% until July 9, when the secretary may adjust the applicable rates of duty and construct import quotas if necessary.
• This effective date is considered for all goods being withdrawn from a bonded warehouse, as well as all goods being withdrawn from a Foreign Trade Zone. This changes the way duties are managed on an FTZ shipment as privileged foreign status will no longer lock in the duty rate at the time of admission, but will be calculated at the time of consumption.
• The Section 232 rate will only be applied to the steel or aluminum content of merchandise, including derivative articles in Chapters 73 and 76. There will no longer be a requirement to declare 100% of the value for articles of Chapters 73 and 76 if the importer can provide a breakdown on non-steel and aluminum components.
• For derivative items where 100% of the value is not declared for Section 232, the non-steel and aluminum content WILL BE subject to additional tariffs such as IEEPA Reciprocal, IEEPA Fentanyl, etc. This content will no longer be exempt from these additional fees.

• The Tariff Stacking program for application is changing to prioritize Section 232 actions. The new priority stacking is as follows:

  1. Section 232 Autos and Auto Parts
  2. Section 232 Aluminum
  3. Section 232 Steel
  4. IEEPA Canada
  5. IEEPA Mexico

• No Drawback will be available for these Section 232 tariffs.

Yusen Logistics' customs brokerage team is actively monitoring these developments and working with our global network to ensure smooth and timely clearance of shipments, keeping your supply chain resilient and compliant.

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