07/03/2025
U.S.-UK Economic Prosperity Deal: Key Measures Announced
Check out this week's Customs Corner to read more on the U.S.-UK Economic Prosperity Deal, CBP NIS August webinar schedule, and more.
Trade and Customs Updates
1) U.S.-UK Economic Prosperity Deal: Key Measures Announced
On June 16, 2025, the President of the United States issued Executive Order 14309, initiating the implementation of the U.S.-UK Economic Prosperity Deal.
On June 16, 2025, the President of the United States issued Executive Order 14309, initiating the implementation of the U.S.-UK Economic Prosperity Deal. This landmark agreement aims to enhance economic ties between the United States and the United Kingdom through a series of preferential trade measures.
Automobile Trade Adjustments
A significant aspect of the deal includes the establishment of a tariff-rate quota on UK-manufactured automobiles, as detailed in Federal Register notice 90 FR 26419. This quota aims to regulate and facilitate the entry of UK vehicles into the U.S. market under specific Harmonized Tariff Schedule of the United States (HTSUS) classifications. However, UK light trucks, classified under certain HTSUS 8704 codes, remain excluded from this quota and must adhere to existing import instructions outlined in CSMS # 64624801.
Preferential Tariff Treatment for Auto Parts
The agreement introduces a preferential tariff rate of 10% for specified UK automobile parts, effective from June 30, 2025. Importers must report these parts under HTSUS 9903.94.32 to benefit from the reduced duty rate. These auto parts are exempt from reciprocal tariffs and adhere to non-stacking provisions under Executive Orders 14257 and 14289, as well as Proclamation 10947.
Civil Aircraft Trade Provisions
The agreement also extends preferential treatment to UK civil aircraft products, including engines, components, and ground flight simulators. These items, effective June 30, 2025, will be imported under HTSUS 9903.96.01. Importantly, these products are exempt from tariffs imposed by various executive orders and proclamations, ensuring smoother trade flow under the World Trade Organization Agreement on Trade in Civil Aircraft.
Guidance for Importers
The U.S. Customs and Border Protection (CBP) has issued detailed entry filing instructions for importers, brokers, and filers. These guidelines cover the submission process for automobile parts and civil aircraft products from the UK under specified HTSUS headings. Additionally, any automotive parts entering U.S. foreign trade zones post-June 30, 2025, must be classified under "privileged foreign status" as per CBP regulations.
Reference:
2) U.S.-UK Economic Prosperity Deal: New Tariff-Rate Quota on UK Automobiles Announced
President Trump signed Executive Order 14309 on June 16, 2025, officially implementing the U.S.-UK Economic Prosperity Deal.
President Trump signed Executive Order 14309 on June 16, 2025, officially implementing the U.S.-UK Economic Prosperity Deal. A key component of this agreement is the establishment of a new annual tariff-rate quota for UK-manufactured automobiles, effective from June 30, 2025.
The initial quota for 2025, covering the period from June 30 to December 31, is set at 65,205 automobiles. This measure is part of the broader framework of the economic deal, which became operative on May 8, 2025, and is subject to section 232 duties as outlined in Proclamation 10908. Further details on the quota can be found in the Federal Register notice 90 FR 26419.
Looking ahead, the tariff-rate quota will expand to an annual limit of 100,000 automobiles starting in 2026. This quota will be managed quarterly, with specific guidelines published in the Federal Register to ensure smooth administration.
For importers and stakeholders, detailed filing instructions and additional quota-related information are available in Quota Bulletin QB 25-508, accessible via the U.S. Customs and Border Protection website (cbp.gov/trade/quota/bulletins).
References:
CSMS # 65475228 - GUIDANCE: 2025 United Kingdom Automobile Tariff Rate Quota
3) CBP NIS August Webinar Schedule
U.S. Customs and Border Protection Office of Trade’s National Commodity Specialist Division has announced the schedule for August Webinars.
U.S. Customs and Border Protection’s Office of Trade’s National Commodity Specialist Division (NCSD) is hosting the following webinars in the month of August as a part of the 2025 NCSD webinar series. These webinars are scheduled for 1:30 p.m. ET.
To register for these free webinars, click on the registration link for the coordinating webinar below. All registrants will receive the link for the webinar on their confirmation email and the day prior to the scheduled webinar via the OTR Webinars mailbox, but entry into the webinar is on a first-come, first-served basis as space is limited. After the live event, this and other previously recorded webinars will be available for replay at Trade Outreach Webinars | U.S. Customs and Border Protection (cbp.gov).
These webinars are a part of CBP’s Continuing Education program.
NCSD’s August Webinar Schedule:
Tuesday, August 5, 2025: Getting to the Point – Forks and Spoons of Heading 8215 – The “Getting to the Point – Forks and Spoons of Heading 8215” is part of the 2025 Educations Commodity Specific Webinar Series hosted by the National Commodity Specialist Division, Regulations and Rulings, Office of Trade. This webinar will discuss the classification of forks, spoons, and other tableware of heading 8215, including the GRI 1 set provisions, and how to calculate the ad valorem equivalent rate.
Wednesday, August 6, 2025: Overview of Liquid Pumps – The “Overview of Liquid Pumps” is part of the 2025 Educations Commodity Specific Webinar Series hosted by the National Commodity Specialist Division, Regulations and Rulings, Office of Trade. The webinar will provide insight concerning what liquid pumps are and how they are classified within the broader 8413 subheadings. Pumps classified within this heading are subject to Section 301 Trade Remedies and understanding how liquid pumps of heading 8413 are classified will help balance trade, as they are often misclassified as parts of the end item.
Tuesday, August 12, 2025: Classification of Plaited Articles of Chapter 46 – The “Classification of Plaited Articles of Chapter 46” is part of the 2025 Educations Commodity Specific Webinar Series hosted by the National Commodity Specialist Division, Regulations and Rulings, Office of Trade. The webinar will cover classification of goods in Chapter 46, Plaiting Materials, including differentiating plaiting materials from textiles.
Thursday, August 14, 2025: Traveling Through the Rules of Heading 4202 – The “Traveling Through the Rules of Heading 4202” is part of the 2025 Educations Commodity Specific Webinar Series hosted by the National Commodity Specialist Division, Regulations and Rulings, Office of Trade. This webinar will provide guidance on the proper application of the rules and precedents pertaining to articles of Heading 4202.
Tuesday, August 26, 2025: Other Made-up Textiles Articles of Subheading 6307.90 – The “Other Made-up Textiles Articles of Subheading 6307.90” is part of the 2025 Educations Commodity Specific Webinar Series hosted by the National Commodity Specialist Division, Regulations and Rulings, Office of Trade. This webinar will focus on other made-up textile articles classified under subheading 6307.90, HTSUS. What is considered a textile material and what the expression “made up” means per Note 7 to Section XI. Will elaborate on these concepts by discussing recent Headquarters and NY Rulings that classified articles under 6307.90.
Wednesday, August 27, 2025: All About Chapter 62 Blouses – The “All About Chapter 62 Blouses” is part of the 2025 Educations Commodity Specific Webinar Series hosted by the National Commodity Specialist Division, Regulations and Rulings, Office of Trade. This webinar focuses on Chapter 62 women's blouses, shirts, sleeveless tank styles, similar upper body garments, 6206 exclusions, coverage requirements, and sewn-in and detachable inside pockets.
4) 484(f) Committee HTS and Schedule B changes – In Effect as of July 1
The Committee for the Statistical Annotation of Tariff Schedules, commonly known as the 484(f) Committee, has announced updates to the Harmonized Tariff Schedule (HTS) and Schedule B (exports), that went into effect July 1.
The Committee for the Statistical Annotation of Tariff Schedules, commonly known as the 484(f) Committee, has announced updates to the Harmonized Tariff Schedule (HTS) and Schedule B (exports), that went into effect July 1.
The 484(f) Committee is an interagency group comprising representatives from the U.S. International Trade Commission (USITC), Customs and Border Protection (CBP), and the Census Bureau. It addresses the trade data needs of both government and private users by adding, removing, or modifying the non-legal 10-digit statistical reporting numbers in the HTS and Schedule B (exports).
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