Reciprocal Tariffs Update 7 Day Delay in Implementation

President Trump finally posted his update for Reciprocal Tariff implementation. Note that the following information applies to shipments from all countries except China.

Implementation Date
The Reciprocal Tariff was supposed to increase on August 1, 2025. The latest update postpones the increased reciprocal tariff in the following important ways:

The updated reciprocal tariff will now be effective based on entry date of 12:01a.m. EST on August 7, 2025.
For ocean shipments ONLY, there is also a new sailing date exemption. If the shipment is loaded and departs from the port of loading before 12:01a.m. EST on August 7, 2025 AND arrives with customs entry before 12:01a.m. EST on October 5, 2025, the shipment will be subject to the current 10% reciprocal tariff. Please note that this sailing date applies to the sailing date of the FINAL vessel departing to the United States. For ocean shipments that transfer from a feeder vessel onto a mother vessel, this exemption will apply based on the departure date of the mother vessel. Please note that this exemption does NOT apply to shipments that sail to Canada and rail in-bond to the United States. This exemption also does NOT apply to air shipments.

Updated Reciprocal Tariff Rate
The executive order includes an updated Annex I rate sheet that shows the updated reciprocal tariff rates that will apply to goods from various countries. Please review this list very closely. If the country of origin is not on this list, goods from that country will be subject to a 10% reciprocal tariff.

Shipments with an EU country of origin will be subject to a special calculation for the reciprocal tariff. The official reciprocal tariff for products from the EU is 15%. However, this tariff will take into account the base (column 1) tariff.

If the base tariff is GREATER than 15%, then the reciprocal tariff will not apply. For example, a nylon backpack classified under U.S. HTS# 4202.92.3120 has a base tariff of 17.6%. Since the base tariff is higher than 15%, these backpacks from the EU will not be subject to any reciprocal tariff. These backpacks will only be subject to the base tariff of 17.6%.
If the base tariff is LESS than 15%, then the reciprocal tariff will be adjusted such that the total duty (base tariff + reciprocal tariff) will equal 15%. For example, a plastic cup classified under U.S. HTS#3924.10.2000 has a base tariff of 6.5%. In this scenario, the reciprocal tariff will be applied at a rate of 8.5% so that the total tariff paid will be 15%.

Transshipment Penalty
The executive order also includes an additional 40% tariff penalty for any shipment that CBP determines was transshipped in order to evade tariffs. This penalty will be in addition to standard fines and penalties issued by CBP.

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Update on Section 232 Copper Tariff
There is no delay in the implementation of the new Section 232 copper tariff. The copper tariff will be effective on August 1, 2025. CBP published the list of HTS classifications that will be subject to the Section 232 copper tariff. Please review this list carefully. The classification subheadings that we believe many importers should be concerned with are as follows: