New Section 301 Forced Labor Tariffs: What Importers and Customs Brokers Need to Know
On July 24, 2026, U.S. Customs and Border Protection (“CBP”) issued implementation guidance for the new Section 301 Forced Labor tariffs announced by the Office of the United States Trade Representative (“USTR”) one day earlier. The guidance provides the filing instructions that importers and customs brokers must follow immediately for covered merchandise entered on or after 12:01 a.m. EDT on July 24, 2026.
This is not simply another tariff increase. It establishes an entirely new Chapter 99 framework affecting imports from 60 different economies, each with its own duty rate, exceptions, and reporting requirements.
A New Layer of Tariffs
The new action generally imposes additional duties of either 10% or 12.5%, depending on the country of origin. Rather than applying a single universal rate, the USTR assigned specific Chapter 99 numbers to each covered economy, requiring careful country-of-origin analysis before entry.
For many importers, these duties will stack on top of existing customs obligations, making accurate classification and entry preparation more important than ever.
Thousands of Products Are Potentially Affected
The accompanying HTS list spans thousands of tariff classifications across Chapters 1 through 97, meaning the new tariffs reach far beyond traditional manufacturing sectors. The affected products include agricultural goods, chemicals, electronics, machinery, metals, consumer products, and countless other articles.
Companies should not assume that because a product has never been subject to Section 301 duties before, it will escape these new tariffs.
Important Exemptions Remain Available
Although broad in scope, the new action contains numerous exclusions that may significantly reduce duty exposure for qualifying imports.
Among the most significant are exemptions for:
- Goods already in transit before the effective date (subject to strict timing requirements);
- Certain Chapter 98 entries;
- Civil aircraft and related components;
- Pharmaceutical products;
- Certain steel, aluminum, copper, semiconductor, vehicle, and wood products already subject to separate trade actions;
- Various country-specific exclusions;
- USMCA-qualifying Canadian and Mexican merchandise; and
- Certain CAFTA-DR textile and apparel products.
Because many of these exemptions depend upon specific HTS provisions or Chapter 99 reporting, importers should verify eligibility before assuming relief applies.
New Filing Requirements
CBP’s guidance also includes detailed instructions for reporting the new tariffs on entry summaries.
Notably, CBP has prescribed the order in which Chapter 98 and Chapter 99 provisions must be reported. When multiple trade remedies apply, the sequence matters:
- Chapter 98 (if applicable)
- Section 301 Chapter 99
- Section 122
- Section 232
- Section 201
- Remaining Chapter 99 provisions
- Chapter 1-97 HTS classification
Improper sequencing can create filing errors and delay entry processing.
What Importers Should Do Now
Companies importing merchandise from any of the sixty covered economies should promptly:
- Review affected sourcing countries.
- Identify whether their HTS classifications appear on the new schedules.
- Evaluate whether any exclusions apply.
- Update ACE filing procedures and broker instructions.
- Confirm that internal duty calculations reflect the new Chapter 99 requirements.
- Review existing purchase contracts to determine whether the new duties shift commercial risk between buyers and suppliers.
Given the complexity of the new framework—and the numerous country-specific exceptions—early review may prevent costly filing mistakes and unexpected duty liability.
Our Thoughts
The speed with which these tariffs became effective leaves little room for error. While the headline rates of 10% and 12.5% have attracted the most attention, the real challenge for importers will be navigating the extensive web of exclusions, Chapter 99 provisions, and filing requirements incorporated into the implementing guidance.
Importers and customs brokers should treat this as a significant compliance event, not merely another tariff increase.
If your company imports merchandise from any of the affected economies, our customs and international trade team can assist with evaluating product coverage, identifying available exclusions, reviewing classifications, and ensuring compliance with CBP’s new entry requirements.
Need Help Navigating the New Section 301 Forced Labor Tariffs?
As CBP continues implementing the new Section 301 Forced Labor tariff regime, importers and customs brokers should closely monitor additional guidance and evaluate their compliance procedures to ensure they remain aligned with evolving requirements.
The new tariff framework introduces another layer of complexity to an already challenging import environment. Whether you need assistance determining product eligibility, evaluating country-of-origin issues, identifying available exclusions, or ensuring your entries are filed correctly, experienced legal guidance can help minimize risk and avoid costly mistakes.
Liang + Mooney PLLC represents importers, customs brokers, manufacturers, and logistics providers in all aspects of U.S. customs and international trade law, including tariff compliance, customs audits, CBP enforcement actions, protests, prior disclosures, binding rulings, and trade litigation.
If you have questions about how these new tariffs may affect your business, contact Liang + Mooney PLLC to speak with one of our tariff lawyers.
Disclaimer: This publication is provided for general informational purposes only and does not constitute legal advice. Reading this article does not create an attorney-client relationship with Liang + Mooney PLLC. Because every import transaction presents unique facts and legal considerations, you should consult qualified legal counsel before taking or refraining from taking any action based on the information discussed herein.