News
U.S. reverses 25% Tariff on Imports from Mexico & Canada; Increases 10% Tariff on Imports from China
The U.S. Customs and Border Protection (CBP) implemented five Presidential Executive Orders on March 4 and March 7, 2025, putting into effect additional tariffs for imports from Canada, Mexico, China and Hong Kong.
In accordance with the Executive Orders, CBP is collecting the following additional tariffs under the International Emergency Economic Powers Act:
• Additional 25% tariffs on goods that do not satisfy U.S.-Mexico-Canada Agreement (USMCA) rules of origin.
• A lower, additional 10% tariff on energy products imported from Canada that fall outside the USMCA preference.
• A lower, additional 10% tariff on potash imported from Canada and Mexico that falls outside the USMCA preference.
• Additional 20% on goods from China and Hong Kong (increased from 10% on March 4).
Effective March 7, 2025, no additional tariffs are due on goods imported from Canada and Mexico that qualify for the USMCA preference. The United States also announced a one-month exemption for certain automobiles that comply with the requirements of the USMCA.
The rules that govern whether a product qualifies for USMCA preference are unchanged by the recent tariff updates and are found in 19 CFR 182.
These changes are effective for qualifying goods entering on or after March 7, 2025.