Section 122 was the prologue. The new Section 301 is the sequel.

At 12:01 a.m. EDT on July 24, 2026, USTR’s new Section 301 Forced Labor duties took effect across 60 economies, replacing the 150-day Section 122 surcharge that expired the same minute. According to CBP CSMS #69326983: 17 economies at 10%, 38 at 12.5%, and five capped economies (EU and Taiwan 10%; Japan, Korea, Switzerland 12.5%).

If China sits in your supply chain, three shifts land today:

  1. China and Hong Kong–origin goods now carry a flat 12.5% additional duty — permanent, replacing the temporary 10% Section 122 layer.
  1. Legacy Section 301 China IP duties (7.5%–25%), Section 232 (25%), and Section 201 keep stacking. Landed cost is now built from four-plus layers, not three.
  1. CBP locked the filing order for stacked remedies: Chapter 98 → 301 → 122 → 232 → 201 → other 99 → base 1–97. Misordered entries stall, even when rates are correct.

Key exemptions to map before filing: pharmaceuticals, civil aircraft, USMCA-qualifying Canada/Mexico, CAFTA-DR textiles, in-transit goods loaded before July 24 and entered before July 28, certain 232 derivatives, and humanitarian donations.

Our view: treat July 24 as a structural reset, not a transition. Re-run landed cost line-by-line this week and verify Chapter 99 eligibility before entry — blanket assumptions will overpay duty.

 

Contact: yuanbo@thecustoms.com.cn

Comment ‘guide’ if you source from China and want a tariff-layer map for your top 20 HTS lines.

#CustomsBroker #ImportChina #CrossBorderLogistics #SupplyChain #Tariff #HSCode


Post time: Jul-28-2026