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Trump Invokes Section 338 to Impose Additional Duties on Canadian Imports 

Short summary: The Trump Administration has announced new tariffs on Canadian imports and issued three presidential proclamations addressing Canada’s treatment of U.S. dairy products, alcoholic beverages, and motor vehicles. The actions rely on Section 338 of the Tariff Act of 1930 – a statutory authority that has remained largely unused for decades. 

On July 20, 2026, the Trump Administration published a fact sheet announcing new 50% tariffs on a broad range of Canadian imports. Simultaneously, the Administration issued three separate presidential proclamations targeting Canada’s treatment of U.S. dairy products, alcoholic beverages, and motor vehicles. According to the White House, these actions are intended to respond to what the Administration describes as Canada’s long-standing discrimination against U.S. commerce. 

The New Tariffs 

The White House announced that the United States will impose an additional 50% tariff on many Canadian-origin products beginning 30 days after the order’s issuance. According to the Administration, the new duties are intended to offset Canada’s alleged discriminatory treatment of American products and businesses. 

Products eligible for USMCA treatment are not exempt from the new tariffs. Several categories of goods are excluded from the new tariffs, including: 

  • Energy products 
  • Critical minerals 
  • Potash 
  • Fish 
By |2026-07-21T12:54:06-04:00July 21, 2026|Canada, International Trade, Tariffs, USMCA|Comments Off on Trump Invokes Section 338 to Impose Additional Duties on Canadian Imports 
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The U.S. Declined to Renew USMCA – What Importers Must Do Now

USMCA remains in force, but annual reviews create a new layer of origin compliance risk that importers can’t afford to ignore. 

KEY TAKEAWAYS 

  • USMCA did not end. On July 1, 2026, the U.S. declined to renew the agreement for a fresh 16-year term, moving it into annual reviews. The pact stays in force, potentially through 2036, unless a country formally exits with six months’ notice. 
  • Nothing changes at the port tomorrow. USMCA-qualifying goods still enter duty-free. Your certifications, rules-of-origin claims, and preference elections remain valid today. 
  • The real risk is enforcement, not policy. A decade of open renegotiation puts rules of origin, especially auto content and regional-value-content thresholds, into permanent play. Origin claims made under old assumptions become audit and penalty exposure. 
  • Act now on documentation, not headlines. Importers should stress-test USMCA certifications, tighten origin recordkeeping, and model exposure to Section 232 auto/steel/aluminum tariffs that already sit on top of the agreement. 

The Challenge: Compliance & Enforcement 

The news landed fast and loud: the United States declined to renew the U.S.-Mexico-Canada Agreement (USMCA) on July 1, 2026. U.S. Trade Representative Jamieson Greer confirmed the U.S. would forgo a fresh 16-year term in favor of annual reviews of the pact. Some coverage framed this as the end of North American free trade. It is not. 

Here is the […]

By |2026-07-02T07:30:23-04:00July 2, 2026|Import, Trade Policy, U.S. Customs and Border Protection (CBP), USMCA|Comments Off on The U.S. Declined to Renew USMCA – What Importers Must Do Now
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Reminder! Three Upcoming USTR Filing Deadlines

This month, the United States Trade Representative (USTR) announced it is seeking comments from the public and trade community on three initiatives: (i) extension of 301 exclusions; (ii) the National Trade Estimate Report on Foreign Trade Barriers, and (iii) joint Review of USMCA.

Extending 301 Exclusions

There are currently 178 effective exclusions in the Section 301 investigation of China’s acts, policies, and practices related to technology transfer, intellectual property, and innovation. These products are exempt from additional 301 duties. USTR has extended these exclusions several times, including a recent 90-day extension through November 29, 2025. USTR is seeking public comment on whether any of the 178 effective exclusions warrant further extension beyond November 29, 2025.

Comments are due October 16, 2025.

National Trade Estimate Report

Each year, USTR publishes the National Trade Estimate Report on Foreign Trade Barriers (NTE Report). USTR is seeking input to assist it in identifying significant foreign barriers to, or distortions of, U.S. exports of goods and services and U.S. foreign direct investment. 

Commenters should submit information related to one or more of the following categories of foreign trade barriers:

  • Import policies
  • Technical barriers to trade
  • Sanitary and phytosanitary measures
  • Government procurement
  • Intellectual property protection
  • Services
  • Investment

    • […]

By |2025-09-25T10:36:42-04:00September 25, 2025|Enforcement, International Trade, U.S. Trade Representative (USTR), USMCA|Comments Off on Reminder! Three Upcoming USTR Filing Deadlines
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Customs and Trade Law Weekly Snapshot

Here is a recap of the latest customs and international trade law news:

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By |2022-07-01T09:07:23-04:00July 1, 2022|Canada, Export, Import, International Trade, Mexico, Snapshot, U.S. Bureau of Industry and Security (BIS), U.S. Consumer Product Safety Commission (CPSC), U.S. Customs and Border Protection (CBP), U.S. Department of Commerce (DOC), U.S. Department of State (DOS), U.S. International Trade Commission (USITC), U.S. Office of Foreign Assets Control (OFAC), Uncategorized, USMCA|1 Comment
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Catch Up on All DTL Blogs from 2021

We want to make sure you stay up to date with the hottest trade blogs from 2021. Below is a summary of what you missed by category. Enjoy! […]

By |2022-04-25T16:57:22-04:00December 30, 2021|301 INVESTIGATIONS, AD/CVD, Best Practices, China, COVID-19, Export, Food, FSMA, Import, International Trade, Pre-compliance, Speaking, U.S. Bureau of Industry and Security (BIS), U.S. Customs and Border Protection (CBP), U.S. Department of Agriculture (USDA), U.S. Department of Commerce (DOC), U.S. Federal Trade Commission (FTC), U.S. Fish and Wildlife Service (FWS), U.S. Food and Drug Administration (FDA), U.S. International Trade Commission (USITC), U.S. Office of Foreign Assets Control (OFAC), U.S. Trade Representative (USTR), USMCA|Comments Off on Catch Up on All DTL Blogs from 2021
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Comment Now – CBP Proposed Rule on Country of Origin Determination for Imports under USMCA

Background on CBP Country of Origin Determination and USMCA

All merchandise of foreign origin imported into the United States (U.S.) must generally be marked with its country of origin, and it is subject to a country of origin (COO) determination by CBP. The country of origin of imported goods may be used as a factor to determine eligibility for preferential trade treatment under a free trade agreement.

[…]

By |2021-10-07T14:33:42-04:00September 21, 2021|AD/CVD, Canada, Customs Broker, Import, International Law, International Trade, Mexico, NAFTA, Pre-compliance, Reasonable Care, U.S. Customs and Border Protection (CBP), USMCA|Comments Off on Comment Now – CBP Proposed Rule on Country of Origin Determination for Imports under USMCA
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Insight on Last 6 Months of Biden/Congress on Trade

A lot has happened in the first 6 months of the Biden administration. Notable developments include (at least temporary) resolutions in the large civil aircraft and digital service tax disputes, consensus around a global minimum corporate tax of 15%, lawsuits pertaining to Section 232, increased export controls enforcement, shifting U.S. policy stances on Cuba, and more. However, the most important developments pertain to the ongoing U.S.-China trade war. The U.S. and China are engaged in ongoing negotiations while tensions have risen, a lawsuit challenging Trump’s imposition of 301 tariffs are underway, and a massive U.S. competitiveness bill is being considered in Congress that could bring back broad China tariff exclusions. Join us for a jam-packed hour where we discuss everything that has happened in the world of U.S. trade policy over the past 6 months, and provide insight into how Biden’s trade policies affect industry.

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By |2021-07-22T09:11:38-04:00July 21, 2021|Canada, China, China Trade War, Countries, COVID-19, Cuba, Customs Expert, Enforcement, Export, Forced Labor, Import, International Business, International Law, International Trade, IRAN, Mexico, Seizures, Special 301, Supply Chain, Trade Policy, U.S. Customs and Border Protection (CBP), U.S. Trade Representative (USTR), Uncategorized, USMCA|Comments Off on Insight on Last 6 Months of Biden/Congress on Trade
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List 4 Exclusion Update

On  June 26, July 17, and August 11, 2020, the Office of the United States Trade Representative (USTR) requested the public to submit comments regarding potential product exclusion extensions for items subject to Section 301 Tariffs. This comment period specifically applied to products that were included on List 4.

When the list was announced on August 20, 2019, it imposed a 10 percent ad valorem on 3,805 full and partial subheadings of the Harmonized Tariff Schedule of the United States (HTSUS), with an annual trade value of approximately $300 billion. Then, on August 30, 2019, USTR increased the rate of the additional duty announced in the August 20 notice from 10 to 15 percent. Finally, on January 22, 2020, USTR determined to reduce the rate from 15 to 7.5 percent. […]

By |2021-10-20T15:24:48-04:00October 23, 2020|China, China Trade War, Customs Expert, Enforcement, Export, HTS, Import, International Business, International Law, International Trade, Investigation, IPR, Trademarks and Logos, Supply Chain, U.S. Customs and Border Protection (CBP), USMCA|Comments Off on List 4 Exclusion Update
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