Japan Origin Steel May be Exempt from Additional Section 232 Duties

The Secretary of Commerce and U.S. Trade Representative announced the establishment of a tariff rate quota (TRQ) available for imports of Japan origin steel products which may exempt them from the 25% Section 232 duties. 

The TRQ is effective for entries or withdrawals from warehouse, for consumption, as of April 1st, 2022, and would be renewed for the next calendar year, through December 31st, 2023.

This will lower the amount of duties being paid by U.S. importers of Japanese origin steel.

Details to note:

  • Japan origin steel articles must be melted and poured in Japan to be eligible to enter under the TRQ.
  • TRQ annual total: 1.25 million metric tons, under 54 product categories.
  • TRQ Periods: Four quarterly periods.
  • TRQ Harmonized Tariff Schedule (HTS): 9903.81.25 through 9903.81.78
  • Importers granted a Commerce exclusion will not count against the TRQ.
  • The U.S. will maintain the exclusion process.
  • Japan origin steel articles previously admitted into a Foreign Trade Zone (FTZ) under ‘privileged foreign status’ are eligible for the TRQ in effect at time of the entry for consumption.

In addition, Japanese origin steel derivatives will no longer be subject to Section 232 duties.

Quota status may be monitored using Customs and Border Protection’s Weekly Commodity Status Reports.

If you have any questions regarding the TRQ for Japanese origin steel products, please contact your Livingston account manager.