New Procedures for Submissions by Importers of Automobiles Qualifying for Preferential Tariff Treatment Under the USMCA

On May 20, 2025, the U.S. Department of Commerce’s International Trade Administration published a notice outlining procedures for importers of automobiles from Mexico and Canada that qualify for preferential tariff treatment under the United States-Mexico-Canada Agreement (USMCA). These procedures allow eligible importers to submit documentation to determine the U.S. content of their vehicles, potentially reducing the impact of the 25% tariff imposed by Proclamation 10908 on certain automobile imports.

Key Points:

• Eligibility: Only automobiles imported from Mexico and Canada that qualify for preferential tariff treatment under the USMCA are eligible. Vehicles from non-USMCA countries or those not meeting USMCA requirements are excluded.

• U.S. Content Definition: “U.S. content” refers to the value of the automobile attributable to parts wholly obtained, produced entirely, or substantially transformed in the United States. Production includes manufacturing, processing, or assembling as defined in Article 4.1 of the USMCA.

• Submission Requirements: Importers seeking preferential tariff treatment must submit documentation on a model line basis, certified by a senior officer (e.g., CFO or General Counsel), detailing:

  1. Total declared customs value of the automobile at importation.

  2. Total value of U.S. content based on parts obtained or produced in the U.S.

  3. Total value of non-U.S. content, calculated by subtracting U.S. content from the total value.

  4. Vehicle production locations and country of final assembly.

If values vary within a model line, importers may provide average values consistent with the averaging methodology set forth in Article 5 of the Appendix to Annex 4-B of the USMCA.

• Submission Process: Documentation must be submitted electronically to Autos232USMCAContent@trade.gov.Federal Register

For more detailed information, please refer to the full notice published in the Federal Register: Federal Register

If you have any questions or require assistance with the submission process, please contact your Buckland representative.