09/19/2025
Supreme Court to Hear Arguments on Legality of Trump-Era IEEPA Tariffs in November
Check out this week's Customs Corner to read about the Supreme Court hearing of Trump-Era IEEPA tariffs, tariff cuts for Japanese vehicles, and more.
Trade and Customs Updates
1) Supreme Court to Hear Arguments on Legality of Trump-Era IEEPA Tariffs in November
On September 18, 2025, the U.S. Supreme Court announced its upcoming docket, revealing that it will hear oral arguments on November 5, 2025, in two high-profile cases challenging the legality of tariffs imposed by President Trump under the International Emergency Economic Powers Act (IEEPA).
The cases—Learning Resources, Inc. et al. v. Trump, President of U.S., et al. (No. 24-1287) and Trump, President of U.S., et al. v. V.O.S. Selections, Inc., et al. (No. 25-250)—raise questions about the scope of presidential authority to levy tariffs under IEEPA. The Supreme Court has set October 30, 2025, as the final deadline for all parties to submit briefs on these cases.
Reference:
Monthly Argument Calendar November 2024
2) U.S. Announces Tariff Cuts for Japanese Vehicles and Parts Effective September 16
The U.S. Commerce Department has announced tariff cuts for Japanese automobiles and auto parts, scheduled to take effect on September 16, as detailed in a recent official notice.
Starting September 16, 2025, U.S. importers of Japanese cars, trucks, and auto parts with a Column 1 Duty Rate that is less than 15 percent, the combined Column 1 Duty Rate and the additional automobile or automobile parts Section 232 is 15 percent. For a product of Japan with a Column 1 Duty Rate that is at least 15 percent, the additional automobile or automobile part ad valorem rate of duty imposed is zero. These modifications are effective for goods entered for consumption, or withdrawn from warehouse for consumption, on or after September 16, 2025.
For other specific products of Japan with a Column 1 Duty Rate that is less than 15 percent, the sum of its Column 1 Duty Rate and the additional ad valorem rate of duty is 15 percent. Japanese imports with an MFN rate above 15% will continue to pay only the MFN rate. This rate applies retroactively to qualifying imports dating back to August 7, 2025.
Per Executive Order 14345, treatment of specific or compound duty rates is identical to the treatment provided to products of the European Union, as outlined in Executive Order 14326 of July 31, 2025, Further Modifying the Reciprocal Tariff Rates.
The new policy also provides specific exemptions for imports of civil aircraft and related parts from Japan. These products will remain exempt from Section 232 tariffs on steel, aluminum, and copper, as well as from any reciprocal tariffs. Importers must use the newly established subheading 9903.96.02 for these goods. A full list of the HTS exempted can be found in the Federal Register.
References:
- 2025-17908.pdf
- CSMS # 66242844 - Updated Guidance - Implementation of the United States-Japan Agreement and Modification of Duties on Imports from Japan
3) USTR Seeks Public Input on Potential Extension of Section 301 Tariff Exclusions
The Office of the United States Trade Representative (USTR) has issued an invitation for public comments regarding the possible extension of 178 tariff exclusions currently set to expire on November 29, 2025. Each exclusion will be evaluated individually to determine if further extension is warranted.
The USTR’s review will focus on several key factors, including the availability of the excluded products from suppliers outside of China, ongoing efforts to source these products from the United States or other countries, and the reasons additional time may be required. The agency will also assess whether extending the exclusions is likely to facilitate a shift in sourcing away from China.
Additionally, the USTR will consider whether any extension aligns with Administration priorities and the broader interests of the United States. This includes weighing the overall effect of the exclusion on the Administration’s efforts to address and eliminate China’s acts, policies, and practices identified in the Section 301 investigation.
Stakeholders are encouraged to submit their comments to inform the USTR’s decision-making process on the future of these tariff exclusions. Procedures to comment can be found in the Federal Register.
Reference:
4) Commerce Department Opens September Window for Section 232 Steel and Aluminum Inclusions Requests
The U.S. Commerce Department’s Bureau of Industry and Security (BIS) has announced the opening of the September 2025 window for submitting requests to include additional derivative steel and aluminum products under Section 232 duties.
According to a notice published in the Federal Register on September 15, 2025, stakeholders can submit their requests from September 15, 2025, through 11:59 p.m. ET on September 29, 2025. BIS emphasized that only inclusion requests will be accepted during this period, and all submissions must be sent via email to the Defense Industrial Base Programs at [email protected].
Reference:
5) USTR Launches Public Consultation Ahead of 2026 USMCA Joint Review
The Office of the United States Trade Representative (USTR) has announced the start of a public consultation process in preparation for the Joint Review of the United States-Mexico-Canada Agreement (USMCA), scheduled for July 1, 2026. As mandated by Congress under Section 611 of the USMCA Implementation Act (19 U.S.C. 4611), USTR is seeking input from stakeholders on the operation of the trade agreement, including feedback on the North American Competitiveness Committee.
The Competitiveness Committee, established under Article 26.1 of the USMCA, is tasked with developing and implementing cooperative activities to strengthen North America’s economic environment and incentivize regional production. Its efforts to date have included fostering trilateral cooperation on workforce development and supporting the continuity of North American trade during emergencies.
USTR is inviting interested parties to submit written comments or requests to provide oral testimony on issues relevant to the Joint Review, including the performance and impact of the Competitiveness Committee. This consultation process will help shape USTR’s positions and recommendations for the upcoming review, ensuring the agreement continues to support robust trade and economic growth across North America.
Important Dates:
- November 3, 2025, at 11:59 p.m. EST: Deadline for submitting written comments and requests to appear at the hearing. The request to appear must include a summary of testimony.
- November 17, 2025: USTR will hold a public hearing in the main hearing room of the U.S. International Trade Commission, 500 E Street SW, Washington, DC 20436, beginning at 10 a.m. If necessary, the hearing may continue the next business day.
- Seven calendar days after the last day of the public hearing, at 11:59 p.m. EST: Deadline for submission of post-hearing rebuttal comments.
Further information on the hearing participation and written submissions can be found in the Federal Register
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