Important Tariff Updates: Impact on U.S. Imports

At Worldwide Logistics Group, we are committed to providing complete and transparent communication to our customers. We want to inform you of significant tariff changes recently implemented in the United States, which may impact your shipments. Please note that this remains a rapidly evolving situation.

Mexico Tariff

President Trump imposed a 25% increase in tariffs on imports from Mexico; however, as of Monday morning, the implementation of this tariff has been postponed by one month.

Canada Tariff

President Trump issued an order stipulating that, effective 12:01 a.m. EST on February 4th, all products originating from Canada will be subject to an additional 25% tariff; however, following a call late in the day yesterday between Canadian President Trudeau and President Trump, the 25% tariff will be postponed for 30 days.

China Tariff

Effective immediately, imports from China (including Hong Kong) will be subject to an additional 10% duty. These tariffs are in addition to the normal tariff rate, the Section 301 additional duty imposed during President Trump’s first term and any antidumping/countervailing duty (ADD/CVD) assessment, if applicable.

Goods that may have received an exclusion from the Section 301 tariffs must still pay these additional tariffs. Goods eligible for duty exemption/reduction under HTSUS Heading 9902 (e.g. Miscellaneous Trade Bill) must also pay these 10 % tariffs.

The tariffs will not be imposed on goods that were loaded on a vessel or in transit on the final mode of transport before 12:01 a.m. EST on February 1st provided they are entered or withdrawn from warehouse for consumption before 12:01 a.m. EST on March 7th. Entry after that date will require payment of the duties.

De Minimis 

De minimis entries for products of China (including products of Hong Kong) valued under $800 are no longer eligible for the administrative exemption under Section 321. Accordingly, effective February 4th, such goods may not receive so-called “de minimis” clearance and enter the U.S. duty and tax free. Moving forward, imports from China must be entered via a formal or informal entry, regardless of value. Goods that enter the U.S. via international mail will require a formal entry.

No drawback is allowed for these tariffs. Duty drawback is allowed for other eligible duties paid.

Free Trade Zone (FTZ) Goods

Products of China and Hong Kong admitted to an FTZ after 12:01 EST on February 4th must be admitted in privileged foreign status. Upon entry for consumption into the U.S., they will be subject to the rate of duty in effect at the time of admission into the zone which includes the 10% duty. Goods eligible for admission to an FTZ under domestic status are exempt from the tariffs

We understand these changes may have significant implications for your supply chain. Please contact your Worldwide Logistics Group representative with any questions or concerns. We will continue to monitor the situation closely and provide updates as more details become available.