03/21/2025

CBP Updates Section 232 Frequently Asked Questions

Check out this week’s Customs Corner to read about Section 232 updates, energy resources from Canada, and more.

Trade and Customs Updates

1) CBP Updates Section 232 Frequently Asked Questions

Customs and Border Protection (CBP) has updated the Section 232 FAQS on its website.

 

The newly added questions address:

  • The correct procedure for submitting entries for products that do not contain steel or aluminum, are not subject to Section 232 measures, but still require reporting of steel melt and pour and aluminum smelt and cast information.
  • Whether filers can report a unit of measure less than 1.
  • If CBP requires an aluminum certificate of analysis to be submitted at the time of entry.
  • How to determine the value of aluminum or steel content for derivative products outside Chapters 76 or 73.
  • How Section 232 duties are applied to "sets" that fall under Section 232 duties.

 

Reference:

Section 232 Tariffs on Aluminum Frequently Asked Questions | U.S. Customs and Border Protection

 

2) Section 232 EU Extended “STX” Exclusions Revoked

CBP published CSMS # 64456886 announcing that the European Union STX Steel Extended exclusions are revoked effective 12:01 am ET March 12, 2025 and are now subject to 25% Section 232 duties.

 

References:

CSMS # 64456886 - 232 EU Extended “STX” Exclusions Revoked

 

3) Energy and Energy Resources from Canada

“Energy and energy resources that qualify for USMCA are not subject to the additional tariffs.

 

For energy and energy resources that are the product of Canada and that do not qualify for USMCA, entered for consumption, or withdrawn from warehouse for consumption, on or after 12:01 a.m. eastern time on March 4, 2025, the following Harmonized Tariff Schedule of the United States (HTSUS) classification and additional duty rate applies:

 

9903.01.13: Imports of energy and energy resources of Canada, as defined in section 8 of Executive Order 14156 of January 20, 2025 (Declaring a National Energy Emergency) as: crude oil, natural gas, lease condensates, natural gas liquids, refined petroleum products, uranium, coal, biofuels, geothermal heat, the kinetic movement of flowing water, and critical minerals, as defined by 30 U.S.C. 1606 (a)(3) will be assessed an additional ad valorem rate of duty of 10%.

 

Energy or energy resources of Canada, as defined by HTSUS 9903.01.13, include, but are not limited to, goods classified under the HTSUS subheadings in the attached spreadsheet.   

 

Importers may request a classification ruling from CBP to determine whether goods classified under other HTS classifications fall under the definition of energy and energy resources under HTS 9903.01.13. For information on requesting a CBP ruling, see Requirements for Electronic Ruling Requests | U.S. Customs and Border Protection. Further questions may be addressed to [email protected].”

 

Reference: CSMS # 64472173 - CORRECTION - GUIDANCE: Energy and Energy Resources from Canada

 

4) Updated Deployment Date for De Minimis Rejections in ACE

CBP has set a target deployment of September 2025 for Stage 3 of an enhancement in ACE to withhold the release of de minimis shipments exceeding the $800 per person/per day threshold. Previously listed as "TBD," this update was announced in a March 17 in CSMS # 64418992.

 

Stage 1 required filers to provide the estimated date of arrival for Entry Type 86, while Stage 2 introduced ACE warnings for shipments potentially exceeding the exemption limit. CBP noted that the timeline remains tentative and subject to change.

 

References:

CSMS # 64418992 - Updated ACE Development and Deployment Schedule Posted to CBP.gov/ACE         

 

5) ACE Truck Manifest – Section 321 Consignee Address Validation 

On March 12, 2025, U.S. Customs and Border Protection (CBP) issued CSMS # 64470807  regarding the Section 321 consignee address validation in the ACE Truck Manifest (TMM), originally scheduled for deployment on March 20, 2025. The deployment date has now been postponed to March 27, 2025.

 

In accordance with 19 C.F.R. § 142.3, this validation will result in the rejection of manifests containing Section 321 bills if the consignee address does not include a valid U.S. state code (see also Customs Directive No. 3550-079A).

 

Filers should be aware that if a manifest with Section 321 bills lacks a valid state code for the consignee address, they will receive error code “422 - Inv Combination for Trip.”

 

Reference:

CSMS # 64470807 - ACE Truck Manifest – Section 321 Consignee Address Validation

 

6) Section 232 EU Extended STX Exclusions Revoked

CBP posted CSMS # 64456886 confirming that the European Union Steel Extended (“STX”) exclusions were revoked effective 12:01 a.m. ET on March 12, 2025. “Effective March 12, the steel articles from the EU previously covered by the STX exclusions are now subject to the 25 percent Section 232 import duty. For more information, visit the Section 232 National Security Investigation of Steel Imports on the Bureau of Industry and Security Department of Commerce webpage: https://www.bis.doc.gov/index.php/232-steel.”

 

Reference:

CSMS # 64456886 - 232 EU Extended “STX” Exclusions Revoked

 

7) USDA Invests Up To $1B to Combat Avian Flu and Reduce Egg Prices

The USDA is expanding biosecurity assessments and audits for commercial poultry producers following emergency funding to combat avian flu and reduce egg prices. Led by the Animal and Plant Health Inspection Service (APHIS), these programs aim to enhance biosecurity and prevent the spread of highly pathogenic avian influenza (HPAI). 

 

Their focus will be on:

  • Wildlife Biosecurity Assessments: Conducted by APHIS Wildlife Services to identify and mitigate wildlife-related risks.
  • Biosecurity Incentives-Focused Assessments: APHIS Veterinary Services will assist producers in identifying biosecurity gaps to prevent disease.

 

Additionally, commercial poultry premises affected by HPAI must pass specific biosecurity audits to qualify for federal indemnity. The USDA will cover up to 75% of the costs for high-risk biosecurity improvements, prioritizing egg-laying facilities in top-producing states to help stabilize egg prices.

 

More information about these programs is available in this factsheet.

 

8) APHIS Seeks Data on Small Aircraft’s Risk of Introducing Invasive Pests as Compared to the Risk Posed by Commercial Aircraft

APHIS is seeking data to determine whether small aircraft should qualify for reduced or exempted agricultural quarantine and inspection (AQI) user fees. These fees cover inspections of non-passenger-related areas of the aircraft—such as the cargo hold, wheel wells, and exterior—as well as inspections of cargo, packages, international mail, and other transported goods.

 

APHIS included aircraft with 64 or fewer seats in its revised AQI fee structure after determining that the risk of pest introduction is not based on aircraft seating capacity. Instead, the risk is influenced by factors such as the flight's country of origin, transit routes, the type and volume of cargo, and environmental conditions at departure points. These aircraft still have the potential to carry hitchhiking pests into the United States.

 

Following the comment period for the proposed rule, some small aircraft operators argued that their planes do not pose a risk because they lack cargo holds. Others acknowledged some level of risk but contended that their lower risk compared to larger commercial aircraft should warrant a reduced fee.

 

Through this RFI, APHIS seeks concrete, data-driven evidence to support an alternative fee structure for smaller aircraft. Any new information submitted will be considered before the updated fees take effect on June 2, 2025.

 

To respond to the RFI please visit www.regulations.gov. Enter APHIS-2022-0023 in the Search field.  Select the Documents tab, review the documents to determine exactly what information APHIS is requesting in this RFI, then select the Comment button in the list of documents when you are ready to reply. Response to this RFI is voluntary. Each individual or institution is requested to submit only one response. Responses should include the name of the person(s) or organization(s) completing the response. All comments must be received on or before April 21, 2025.

 

9) Canada Mercury Regulations Coming Into Force June 2025

On June 19th, 2025, amendments to the Products Containing Mercury Regulations will come into force.

 

The amendments intent is to protect Canadians by lowering the risk of mercury releases into the environment from products containing mercury, and to fulfill international commitments under the Minamata Convention.

 

  • On June 19, 2025, products for which mercury-free alternatives now exist, and products that are no longer imported or manufactured in Canada will be prohibited. 
    • Examples include cold cathode tubing for signage or cove lighting (neon signs), photographic paper and films, radiation and infrared light detectives. 
  • Catalysts used in the manufacturing of polyurethane will be prohibited on December 31, 2025.
  • Between 2025 and 2030, the import, manufacture, and sale of most common types of lamps containing mercury, used for general lighting purposes, will be gradually prohibited. 
    • Most fluorescent lamps, high pressure sodium vapour lamps, and metal halide lamps are included.
    • Lamps used for specialized purposes - like treating water – are exempted.  More information is available on this factsheet.

 

EVENT: CBP's Trade Facilitation and Cargo Security Summit 

May 6 - 8, 2025 | Hilton New Orleans Riverside, Two Poydras St, New Orleans, LA 70130


This event will be hosted in person and webcasted. Event and registration details are now available on the TFCS Summit web page. Click here for more information.

 

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