On April 29, President Trump signed an Executive Order aimed at easing tariff pressures on specific duties that “stack” and resulted in cumulative tariffs that exceeded intended policy goals.
This executive order is specific to only those proclamations or executive orders specifically addressed in that notice. It does not apply to the tariffs applied to China or Hong Kong under the Executive Order “Imposing Duties to Address the Synthetic Opioid Supply Chain in the People’s Republic of China,” referred to as IEEPA Fentanyl nor does it impact or change applicability of reciprocal tariffs.
Auto and Auto Parts – Proclamation 10908
Goods subject to the Section 232 automotive duties under proclamation 10908, will be exempt from overlapping tariffs, avoiding combined duties under Section 232 Steel and Aluminum and Canada and Mexico IEEPA Fentanyl related measures.
Benefits for Canada and Mexico Countries
Imports from Canada and Mexico subject to IEEPA Fentanyl are exempt from the Section 232 Steel and Aluminum.
Clarification on Section 232 Steel and Aluminum
The notice clarifies if a good is subject to Section 232 tariffs on steel and Section 232 tariffs on aluminum, both will apply to the merchandise.
Within 30 days, the Secretary of Commerce is expected to establish a process allowing importers to request import adjustment offsets. The changes in this order will be retroactive.
While the Executive Order offers short-term relief, it does not eliminate all tariffs. For importers, the regulatory environment remains complex and fast-moving.
We will continue to monitor these developments and provide updates as they become available. Reach out to Mohawk Global Trade Advisors for expert insight on how to navigate these tariff updates.