President Trump has issued new Executive Orders exempting goods from Canada and Mexico that claim and qualify for USMCA preferential treatment, effective 12:01 a.m. on March 7, 2025. However, social media indicates that this exemption may be temporary.
A 25% IEEPA tariff remains in effect for goods that do not meet USMCA rules of origin. A 10% tariff will apply to energy products from Canada that do not qualify for USMCA preferential treatment and a reduced 10% tariff will apply to potash imported from Canada and Mexico that does not meet USMCA preference criteria.
There will be no refunds, recourse, or retroactive adjustments for entries that have already been released or are released before 12:01 a.m. tonight. Due to the short notice, we strongly urge importers to coordinate with their carriers and temporarily pause border crossings until after 12:01 a.m. to avoid additional duties. Customs is processing entries as shipments cross the border, regardless of admissibility or bill match status, and once an entry is submitted for cargo release, it cannot be retracted.
This is a developing situation, and we are awaiting further clarification. We will continue to monitor updates and provide new information as it becomes available.