New Section 232 Duties on Copper And Copper Derivatives
On July 30, 2025, the White House issued a new Presidential Proclamation imposing 50% ad valorem duties on imports of certain copper products under Section 232 of the Trade Expansion Act of 1962. These tariffs—effective August 1—apply broadly to semi-finished copper products and intensive copper derivative products from all countries, significantly expanding the reach of national security-related duties.
New Guidance
U.S. Customs and Border Protection (CBP) has released guidance, providing instructions for how these tariffs must be declared on import entries. Importers, brokers, and freight forwarders alike should prepare for major procedural and valuation changes affecting shipments of copper and copper-containing items.
The tariff applies not just to primary copper materials like rods, sheets, or bars, but also to products that incorporate copper in significant forms. Importers must now report these goods using one or both of two new Harmonized Tariff Schedule subheadings. If the item is made entirely of copper, the full entered value is subject to the 50% tariff under HTSUS 9903.78.01. However, if the article is composed of copper and non-copper materials, the value must be split: the copper content is reported on one line (and taxed at 50%), and the non-copper content is reported on another line (taxed at 0% under HTSUS 9903.78.02). This dual-line reporting is mandatory, and each line must reflect the same HTSUS classification and country of origin.
Determining the value of copper
Determining the value of the copper content is now crucial. Importers are expected to calculate this using the same principles that govern customs valuation generally—i.e., the price paid or payable for the copper content. CBP expects supporting documentation such as bills of materials, copper invoices, and internal accounting records. If the copper content cannot be valued independently, or if supporting documentation is inadequate, CBP may assess the 50% duty on the total entered value of the good. That can be a steep price to pay for an ambiguous product description or a missing invoice.
The proclamation contains a few limited carve-outs. For instance, goods already subject to Section 232 duties on automobiles or automobile parts will not also be hit with the new copper duties. There is also a narrow exemption under the International Emergency Economic Powers Act (IEEPA), which may shield some products under specific reciprocal tariff arrangements.
Conclusion
This sweeping new duty regime will significantly impact importers of copper-containing goods. As with previous Section 232 actions, compliance will depend heavily on precise entry reporting and documentary support. Our firm is assisting clients with entry reviews, valuation strategies, and risk mitigation under the new copper duties—please reach out if you need help.
If you have questions about how this policy could affect your importing activities or customs compliance, please contact our office for assistance. As new tariff regulations continue to evolve, navigating these changes requires experienced legal counsel. At Liang + Mooney, PLLC, our seasoned tariff lawyers can answer your questions and concerns with sophisticated legal solutions. If you seek strategic counsel and insight into how these changes could affect your operations, we invite you to contact us to schedule a consultation.