Overview
- The tariffs take effect at 12:01 a.m. EDT Friday and replace the expiring 10% temporary global levy with a goods-in-transit exemption that runs through July 28.
- Imports from countries judged to have adequate anti–forced-labor laws will pay 10% while those without adequate bans pay 12.5%, and some nations lowered their rate after adopting new rules.
- Large carve-outs shield many products including oil and gas, fertilizer, USMCA-compliant goods, and items already under Section 232 national security tariffs to limit immediate consumer and supply-chain shocks.
- The move follows the Supreme Court’s February limit on emergency IEEPA tariffs and marks a legal pivot to Section 301 investigations with separate probes into industrial overcapacity still underway.
- The duties add to recent measures that include a 25% tariff on many Brazilian exports and up to 50% on some Canadian goods, and governments and firms warn of diplomatic disputes, legal challenges, and sector pain such as layoffs in Brazil’s footwear industry.