We would like to inform you of important changes to tariffs on imports from China and Hong Kong into the United States of America, as announced in CSMS #64299816 from U.S. Customs and Border Protection. These changes stem from the Executive Order “Further Amendment to Duties Addressing the Synthetic Opioid Supply Chain in the People’s Republic of China,” signed on March 3, 2025.

Key Updates:

• Increased Duties: Effective March 4, 2025, the additional ad valorem duty rate on applicable imports will increase from 10% to 20%.
• New Tariff Classification: A new Chapter 99 HTSUS number (9903.01.24) has been introduced for imports subject to the increased duty.
• Application Period: The revised duty rates apply to goods entered for consumption, or withdrawn from warehouse for consumption, from March 4, 2025, onwards.

Exemptions & Special Provisions: Certain categories of goods are excluded from these additional duties, including:

• Humanitarian donations (food, clothing, medicine) – HTSUS 9903.01.21
• Informational materials (books, films, CDs, artworks, etc.) – HTSUS 9903.01.22
• Goods already in transit before February 1, 2025 – HTSUS 9903.01.23

Additionally, products eligible for Chapter 98 tariff provisions may be exempt unless entered under specific subheadings. Foreign Trade Zone (FTZ) regulations also require imports to be admitted under “privileged foreign status,” impacting
duty rates upon entry for consumption.

Important Considerations:

• No drawback will be available on the additional duties.
• The de minimis exemption (low-value shipments under $800) remains applicable where eligible.
• The new tariffs apply in addition to all other duties, taxes, and fees, including antidumping and countervailing duties.

For further details, please refer to the official U.S. Customs and Border Protection (CBP) guidance or reach out to us for assistance in assessing the impact on your shipments.