Proc 9759ProclamationTrump 45 · R Quiet signal

Proclamation 9759

Adjusting Imports of Steel Into the United States

This proclamation permanently excludes Argentina, Brazil, and South Korea from the 25% steel tariff imposed in March 2018, replacing the tariff with country-specific annual quantitative limits on steel imports. It also amends prior proclamations and HTSUS provisions to implement these quotas and adds new quarterly surge limits effective July 1, 2018.

Impact dates

  1. quarterly surge limits (500,000 kg + 30% cap) take effect for quota countries

  2. quantitative limitations effective for Argentina and Brazil steel articles entered for consumption or withdrawn from warehouse

Key directives

  • Amend HTSUS subheadings 9903.80.05 through 9903.80.58 to replace 'South Korea' with 'Argentina, of Brazil, or of South Korea'
  • Apply annual aggregate quantitative limits for Argentina and Brazil starting calendar year 2018, effective June 1, 2018
  • Implement quantitative limitations by CBP as soon as practicable
  • Secretary of Commerce to monitor quantitative limitations and consult with Secretary of Defense, USTR, and other officials
  • Amend HTSUS note to impose quarterly surge limits: imports exceeding 500,000 kg and 30% of annual aggregate in any quarter prohibited beginning July 1, 2018
  • Secretary of Commerce to revise HTSUS and publish modifications in Federal Register
  • Amend clauses in Proclamations 9711 and 9740 to reference quantitative limitations

Who is ordered

Timeline

Immediate

  • HTSUS amendments to superior text for Argentina, Brazil, South Korea
  • supersession of inconsistent prior provisions

Near term (90d)

  • quantitative limitations effective June 1, 2018 for Argentina and Brazil
  • quarterly surge limits (500,000 kg + 30% cap) effective July 1, 2018

Long term

  • annual aggregate limits continue for subsequent years unless modified or terminated
  • ongoing monitoring of agreed measures with excluded countries
  • potential presidential revisit of determinations

Risks & tensions

  • Potential transshipment and import surge risks as excluded countries may serve as conduits for other countries' steel
  • Quarterly surge cap mechanism is complex; 'as set forth on the internet site of CBP' creates implementation uncertainty
  • Presidential revisit clause retains leverage but introduces policy unpredictability
  • EU, Canada, Mexico not resolved—continued trade tension with major allies
  • Monitoring burden on Commerce and CBP with consultation requirements across multiple agencies
Proclamation 9759: Adjusting Imports of Steel Into the United States · Executive Orders