On July 23, the Office of the United States Trade Representative (USTR) officially announced a new round of tariffs under Section 301 of the Trade Act of 1974, applying additional duties of 10% to 12.5% on imports from 60 economies.
The new tariff measures took effect at 12:01 AM Eastern Time on July 24, 2026 (12:01 PM Beijing Time on July 24), replacing the previous temporary global tariff policy that had expired.
The latest adjustment will have an impact on international trade flows, supply chain planning, and import costs for companies doing business with the U.S. market.
New Tariff Rates Applied to Different Economies
Under the updated Section 301 tariff framework:
Economies Subject to 10% Additional Tariff (17 Countries)
The 10% tariff applies to:
Argentina, Bangladesh, Cambodia, Canada, Ecuador, El Salvador, Guatemala, Honduras, India, Indonesia, Jordan, Malaysia, Mexico, Pakistan, Sri Lanka, Trinidad and Tobago, and the United Kingdom.
Economies Subject to 12.5% Additional Tariff (38 Countries)
The 12.5% tariff applies to:
Algeria, Angola, Australia, Bahamas, Bahrain, Brazil, Chile, Mainland China, Colombia, Costa Rica, Dominican Republic, Egypt, Guyana, Hong Kong, Iraq, Israel, Kazakhstan, Kuwait, Libya, Morocco, New Zealand, Nicaragua, Nigeria, Norway, Peru, Philippines, Qatar, Russia, Saudi Arabia, Singapore, South Africa, Thailand, Türkiye, United Arab Emirates, Uruguay, Venezuela, and Vietnam.
Special Tariff Arrangements for Certain Economies
For some trading partners, the final tariff treatment follows specific calculation rules:
- European Union and Taiwan: The combined tariff rate, including existing Most-Favored-Nation (MFN) duties and the new Section 301 tariff, will reach 10%.
- Japan, South Korea, and Switzerland: The combined tariff rate will reach 12.5%.
If existing MFN tariff rates already meet or exceed the required level, the additional Section 301 tariff will not apply.
Exemptions and Non-Stacking Rules
The new tariff measures include several exemptions and special provisions:
- Fuel products, most unprocessed agricultural products, food products, and fertilizers are excluded from the additional tariffs.
- Products already covered under Section 232 tariffs, including certain automobiles, metals, and pharmaceutical products, will not be subject to overlapping tariff increases.
- Goods covered by the USMCA (United States–Mexico–Canada Agreement) remain exempt.
- A special mechanism is available for certain textile and apparel products, allowing limited quantities to enter the U.S. market under reduced tariff conditions.
Transitional Rules for Goods Already in Transit
For shipments already in transit, the USTR has provided a transition period.
Goods that:
- Were loaded onto a vessel at the port of export before 12:01 AM Eastern Time on July 24 (12:01 PM Beijing Time on July 24),
- Are already in the final transportation process to the United States,
- And are declared for import entry or withdrawn from bonded warehouses before 12:01 AM Eastern Time on July 28 (12:01 PM Beijing Time on July 28),
will not be subject to the newly implemented tariffs.
Implications for Global Supply Chain Management
The latest Section 301 tariff adjustment highlights the increasing importance of supply chain flexibility and cost management for international businesses.
For importers and exporters, key considerations include:
- Reviewing current sourcing strategies
- Evaluating the impact of tariff changes on landed costs
- Optimizing shipping routes and logistics solutions
- Building more diversified supply chain networks
As global trade policies continue to evolve, businesses need timely market information and reliable logistics partners to manage uncertainty and maintain competitiveness.
