Advisory Notice – Section 301 Tariff Impact on Specific HS Codes

Dear client,

We want to inform you that, effective March 12, 2025, the U.S. government will impose new Section 301 tariffs on certain imported steel and derivative products as outlined in Proclamation 10896.

These tariffs apply to various Harmonized Tariff Schedule (HTS) codes related to iron and steel products.

Key Affected HS Codes:

1. Flat-Rolled Products – HTS: 7208, 7209, 7210, 7211, 7212, 7225, 7226
   
   
2. Bars, Rods, Angles, and Wire – HTS: 7213, 7214, 7215, 7227, 7228, 7216 (excluding 7216.61.00, 7216.69.00, 7216.91.00), 7217, 7229
   
   
3. Steel Tubes and Pipes – HTS: 7304, 7305, 7306
   
   
4. Semi-Finished and Primary Forms – HTS: 7206, 7207, 7224
   
   
5. Stainless Steel Products – HTS: 7218, 7219, 7220, 7221, 7222, 7223
   
   
6. Derivative Iron or Steel Products – HTS: 7317.00.30, 7317.00.5503, 7317.00.5505, 7317.00.5507, 7317.00.5560, 7317.00.5580, 7317.00.6560
   
   
7. Structural and Industrial Components – HTS: 7301.10.00, 7302.10, 7302.40.00, 7302.90.00, 7308.10.00, 7308.20.00, 7308.30.10, 7308.30.50, 7308.40.00, 7308.90.30, 7308.90.60, 7308.90.70, 7308.90.95
   
   
8. Fasteners and Hardware – HTS: 7318.11.00, 7318.12.00, 7318.13.00, 7318.14.10, 7318.14.50, 7318.15.20, 7318.15.40, 7318.15.50, 7318.15.60, 7318.15.80, 7318.16.00, 7318.19.00
   
   
9. Additional Components – HTS: 8431.31.00, 8431.42.00, 8431.49.10, 8431.49.90, 8432.10.00, 8432.90.00, 8547.90.00, 9403.20.00, 9405.99.20, 9405.99.40, 9406.20.00, 9406.90.01

Key Tariff Impacts:

• A 25% additional tariff will be imposed on applicable iron and steel products under the relevant HTS codes.
• Derivative steel products will also be subject to additional ad valorem duties.
• Goods entered into U.S. foreign trade zones prior to the effective date may still be impacted depending on processing and classification.
• USMCA/CUSMA does not exempt these products from the 25% tariffs. The only exemption is for steel and aluminum that are melted and poured in the U.S.

Canada Exemption Officially Removed

As of March 12, 2025, the previous exemption for Canada under the Section 301 steel and aluminum tariffs is officially removed.

This means that all imports of affected steel and aluminum products from Canada will now be subject to the 25% duty. Clients should assess how this change will impact their supply chain, pricing, and sourcing strategies.

Important Compliance Advisory

If you claim that your steel originates from the U.S. for tariff exemption purposes, you must have thorough and verifiable documentation proving the true country of the first melt and pour.

U.S. Customs is expected to scrutinize such claims rigorously, and any inaccuracies may lead to penalties or tariff reclassifications. We strongly advise ensuring full compliance before making any declarations.

For further details, you can review the official Section 301 tariff implementation document below:

👉 Federal Register – Section 301 Tariff Announcement.

We recommend reviewing your supply chain and import classifications to assess potential cost impacts.

Important Reminder

Impact on Our Pricing and Credit Limits

To avoid any customs clearance delays or disbursement fees, we highly recommend that you set up ACH payments directly to CBP.

If you want to pay directly to CBP, you will need:

1. A US Bank Account. CBP system is designed to retrieve duties from US Bank accounts.
   
   
2. CBP Form 400, you will need to fill out a form 400 with your importer information—If you don’t know your importer number, contact USCustoms@jorilogistics.com
   
   
3. Routing and Account number. This is very sensitive information so make sure to add the routing and account number but never share the form with anyone that is not US Customs and Border Protection.
   
   
4. Send your form (request) directly to CBP at ach-customs@cbp.dhs.gov

To mitigate risks on payments done to CBP, JORI Logistics has determined to override any credit terms on shipments with tariffs over 1,500 USD. These tariffs will need to be paid in advance.

If you want to keep your credit terms, you need to get set up for periodic statements with CBP by following the next steps:

1. In the To field, type periodicstatement@cbp.dhs.gov.
2. In the Subject field, type the following:
3. Activation Request
4. Your IR number
5. Your IR name

IMPORTANT: Applications for PMS must have the importer’s IR number and name in the email’s Subject field.

3. If applicable, type the email address of the Importer’s CBP Account Manager in the Cc field.
   
   
4. In the email, indicate you are interested in participating in PMS, either with an ACE account or as a Non-ACE Account. Provide a list of the Importer of Record (IR) numbers you are requesting for PMS activation. If you have an ACE account, provide the ACE ID from the top account and all ACE IDs associated for the included IR numbers.
   
   
5. In the email, attach a scanned image of the CBP Form 5106 with Periodic Monthly Statement Activation written at the top.

NOTE: Do not include more than five CBP Forms 5106 in a single email.

To download CBP Form 5106, navigate to

https://www.cbp.gov/newsroom/publications/forms, and type 5106 in the Search by Title or the Form Number field. Select the Apply button, then select the CBP Form 5106 hyperlink to display the pdf

6. Select the Send button.

If you require further clarification or assistance regarding compliance and mitigation strategies, click below to talk to our team!

Thank you for your attention to this important update.

Best regards,

Sam Woods

President, JORI Logistics

Logistics Training

Canada Border Services Agency Updates