Adjusting Imports of Steel Into the United States

This proclamation lifts the 25% steel tariff on Canada and Mexico effective May 20, 2019, following negotiated agreements to prevent unfair trade practices and import surges. It amends Proclamation 9705 to exclude these countries while maintaining the tariff on other countries, and makes technical updates to the Harmonized Tariff Schedule.

Federal Register Open PDF 84 FR 23987

Impact dates

May 21, 2019
Final HTSUS tariff schedule update takes effect (removing Turkey from exception list)
May 20, 2019
Tariff exclusion for Canada and Mexico takes effect; HTSUS modifications effective

Key directives

Exclude Canada and Mexico from 25% steel tariff under Proclamation 9705
Amend HTSUS subchapter III of chapter 99 to reflect tariff modifications
Monitor implementation and effectiveness of Canada-Mexico agreements
Maintain 25% tariff rate for all other countries
Grant privileged foreign status exemption for Canada/Mexico steel in foreign trade zones prior to May 20, 2019

Who is ordered

Secretary of Commerce · Commerce

Timeline

Immediate

Tariff exclusion for Canada and Mexico takes effect May 20, 2019 at 12:01 a.m. EDT
HTSUS modifications effective for goods entered on or after May 20, 2019

Near term (90d)

Monitoring of Canada and Mexico agreement implementation
Assessment of whether steel imports remain at historical levels

Long term

Potential revisit of determination if agreements prove ineffective
Continued 25% tariff maintenance for non-exempt countries pending further presidential determination

Risks & tensions

Monitoring mechanism vague on specific enforcement triggers
Presidential discretion to 'revisit this determination as appropriate' creates policy uncertainty
Potential WTO dispute risk from maintained tariffs on other countries despite bilateral exemptions
USMCA ratification context may have influenced timing of Canada/Mexico deal