Annexes Released With List of Autos Subject to 25% Tariffs April 3; Auto Parts Tariffs Begin May 3
The annex to the Section 232 auto tariff proclamation has been released, listing tariff subheadings subject to the 25% tariffs on passenger vehicles and light trucks beginning April 3, and setting the effective date for tariffs on auto parts at May 3 (and also listing the subheadings covered by those tariffs).
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Beginning at 12:01 a.m. ET on April 3, the recently announced Section 232 tariffs on passenger vehicles and light trucks will cover subheadings 8703.22.01, 8703.23.01, 8703.24.01, 8703.31.01, 8703.32.01, 8703.33.01, 8703.40.00, 8703.50.00, 8703.60.00, 8703.70.00, 8703.80.00, 8703.90.01, 8704.21.01, 8704.31.01, 8704.41.00, 8704.51.00 and 8704.60.00.
Entries subject to the tariffs will be filed under new subheading 9903.94.01, with a duty of 25%.
New duty-free subheading 9903.94.02 will apply to goods of the subheadings otherwise subject to the tariffs that aren’t passenger vehicles and light trucks, as well as the U.S. content of cars and trucks exempt from tariffs upon approval by the commerce secretary for the specific car or truck to use the U.S.-content exemption. New subheading 9903.94.03 will apply 25% tariffs to the non-U.S. content of such vehicles.
New duty-free subheading 9903.94.04 will exempt passenger vehicles and light trucks manufactured at least 25 years prior to the year of the date of entry from the tariffs.
Then, beginning at 12:01 a.m. ET on May 3, tariffs on auto parts listed in the annex will take effect under new subheading 9903.94.05. Those parts are found in various subheadings of chapters 40, 70, 73, 83, 84, 85, 87, 90 and 94.
New subheading 9903.94.06 will exempt goods that fall under those subheadings that aren’t auto parts, as well as goods that qualify for special tariff treatment under USMCA. USMCA auto parts are exempt from the auto parts tariffs until the commerce secretary and CBP establish a procedure to exempt U.S. content and publish a notice in the Federal Register.