A few months back, the court ruling that overturned emergency tariffs in the US briefly raised expectations that trade measures could ease. However, the US Administration replaced the tariffs at the time with a universal 10% duty, which reached the end of its 150-day duration last week.
On 23 July 2026, a new framework was introduced under Section 301 of the same legislation. Under the updated measures, some economies now face a higher baseline tariff rate of 12.5%, replacing the previous 10% level.
The US claims that tariffs imposed by Section 301 are necessary actions against countries that fail to ban imports produced with forced labour.
In its announcement, the United States Trade Representative (USTR) confirmed final action in its Section 301 investigations covering 60 economies.
The tariffs under this section took effect on 24 July 2026. Most imports from the affected trading partners will be subject to duties of either 10% or 12.5%, depending on the economy concerned and the applicable framework established by the USTR.
Products loaded onto a vessel before 24 July 2026 and already in transit on their final mode of transport are exempt from the additional duties if entered for consumption or withdrawn from the warehouse for consumption on 28 July 2026.
The USTR also announced plans to establish tariff-rate quotas, where feasible, for Bangladesh, Cambodia, Indonesia and Malaysia.
These quotas are intended to be based on each economy’s importation of US inputs and are designed to encourage imports of US cotton and textile goods.
Kuehne+Nagel advises importers to review product classifications, countries of origin, normal duty rates, shipment dates and any available exemptions.
Particular attention is recommended for imports from the European Union, Taiwan, Japan, South Korea and Switzerland, while textile and apparel importers sourcing from Bangladesh, Cambodia, Indonesia and Malaysia should note that the planned tariff-rate quotas have not yet been implemented and that the 10% Section 301 tariff remains in effect.
For more information, check our latest advisory or contact your local Kuehne+Nagel representative.
