Further to our notice yesterday regarding the expiration of the temporary exemption from steel and aluminum tariffs by the US, the Trump administration announced last night that there will be an extension granted until the end of May. Canada and Mexico are two of the countries being exempted from this tariff and President Trump has indicated that the exceptions could become permanent upon a successful renegotiation of the North American Free Trade Agreement. The next round of negotiations is scheduled to begin on May 7, 2018.
- The increases directly add a 25% ad valorem duty to steel imports and a 10% ad valorem increase to aluminum imports but are expected to indirectly affect the larger US steel and aluminum commodity markets.
- The increases were enacted through Section 232 of the Trade Expansion Act of 1962. It provides the authority in any case that national security is threatened due to a damaged or degrading industrial base, a criterion which was intentionally left broad.
- To view the full list of Tariffs affected by this change, see the links on our website.
Buckland’s International Trade Compliance & Consulting services team are available to conduct reviews to identify potential risk impact. We welcome you to reach out to us for a list of your products that could be affected by these new tariffs.
Buckland is pleased to share this update and we hope that this information will be useful and beneficial. We will continue to monitor this situation and will provide updates through these notices, as well as on our social media accounts.
As a customer-focused company, we provide you with a single source of unmatched Customs Brokerage (Canadian, US, Mexican), Trade Managed Solutions, Freight Forwarding, Trade Technologies and Warehousing / Distribution Services. If you have questions, please reach out to Buckland today.