CBP / CSMS · Effective September 15, 2026
Canada goods: Section 338 scope changes and 50% duty filing rules
A 50% additional ad valorem Section 338 duty will apply from September 15, 2026, to the modified set of Canadian goods entered for consumption or withdrawn from warehouse for consumption. HTSUS 9903.03.12 and 9903.03.14 gain 122 additional underlying classifications, while HTSUS 9903.03.13 remains unchanged; HTSUS 9903.03.15 and 9903.03.16 carry a 0% additional rate for their stated categories, and only goods subject to HTSUS 9903.03.13 may claim HTSUS 9903.03.15 as of that date. The controlling scope axis is the entry or withdrawal date and the applicable HTSUS classification: entries on or after 12:01 a.m. eastern time on September 15, 2026, use the modified list, while the earlier treatment applies to goods entered or withdrawn on or after August 22, 2026, under the classifications then covered. The September 15 list removes 2208.30.60 and 2208.70.00 from HTSUS 9903.03.12 and removes 2501.00.00, 2523.29.00, 2940.00.60, 4803.00.40, 4818.90.00, 7801.10.00, 8537.10.91, and 9507.10.00 from HTSUS 9903.03.14; the attached complete list governs the 122 additions and other classification-level scope questions. Properly claimed Chapter 98 entries generally receive an exception, subject to the stated Chapter 98 exclusions and value-based rules for specified 9802 provisions; covered goods admitted to a foreign-trade zone must use privileged foreign status unless eligible for domestic status, and the additional duties remain eligible for drawback and do not displace other applicable duties, taxes, fees, exactions, or charges.
Dates | Published | September 11, 2026 CBP published the CSMS guidance | | Transition | August 22, 2026 Prior Section 338 classifications and 50% additional rates apply from this entry date | | Effective | September 15, 2026 Modified Section 338 scope and filing treatment begin for entries and withdrawals; the listed schedule governs from this date |
Tariff provisions | HTSUS 9903.03.12 | Articles the product of Canada as provided in subdivision (b)(1) of U.S. note 51 to this subchapter | | HTSUS 9903.03.13 | Articles the product of Canada as provided in subdivision (b)(2) of U.S. note 51 to this subchapter | | HTSUS 9903.03.14 | Articles the product of Canada as provided in subdivision (b)(3) of U.S. note 51 to this subchapter | | HTSUS 9903.03.15 | Articles of aluminum, of steel or of copper or derivative aluminum or steel articles; passenger vehicles (sedans, sport utility vehicles, crossover utility vehicles, minivans and cargo vans) and light trucks; parts of passenger vehicles (sedans, sport utility vehicles, crossover utility vehicles, minivans and cargo vans) and light trucks; medium- and heavy-duty vehicles; parts of medium- and… | | HTSUS 9903.03.16 | Articles of civil aircraft (all aircraft other than military aircraft and unmanned aircraft); their engines, parts and components; their other parts, components and subassemblies; and ground flight simulators and their parts and components the product of Canada, as provided for in subdivision (d) of U.S. note 51 to this subchapter | | HTSUS 2208.30.60 | Other | | HTSUS 2208.70.00 | Liqueurs and cordials | | HTSUS 2501.00.00; HTSUS 2523.29.00; HTSUS 2940.00.60; HTSUS 4803.00.40 | Removed from the classifications subject to HTSUS 9903.03.14 beginning with the September 15 modified scope. | | and 8 further provisions, in the linked authority |
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