At-a-Glance

  • Effective: August 18, 2025 (12:01 a.m. ET; entry for consumption)
  • Scope: New steel & aluminum derivative products (e.g., truck trailers, certain auto/motorcycle parts, refrigerators, dishwashers, ranges/ovens, laundry machines, microwaves)
  • Rates: 50% on metal content value (most countries); 25% for qualifying UK-origin derivatives
  • Quick take: 50% Section 232 duties now apply to the metal content value of added products; UK-origin derivatives are assessed at 25%.
  • Filing reality: You must separately report metal vs. non-metal content; claim the correct Chapter 99 HTS; and capture melt & pour (steel) / smelt & cast (aluminum) data.
  • Risk hotspot: Missing or “unknown” origin/meta-data can trigger punitive assessments and delays.

What Changed on Aug 18: The Section 232 Expansion at a Glance

The U.S. has expanded the lists of steel and aluminum derivative products subject to Section 232 tariffs. Effective 12:01 a.m. ET, August 18, 2025, entries of the newly listed goods incur a 50% duty on the value of their steel/aluminum content (25% for UK-origin derivatives under designated headings). These 232 duties are in addition to any other applicable tariffs (e.g., IEEPA “reciprocal” tariffs), plus ADD/CVD where relevant. The effective trigger is the entry for consumption time, not the shipment date.


Representative Coverage: Which Products Are Now Caught?

The new derivative lists cover hundreds of HTS lines. Impacted categories (selection):

  • Transportation/industrial: truck trailers, certain auto/motorcycle parts, locomotive components
  • Consumer durables: refrigerators, freezers, dishwashers, ranges/ovens, laundry machines, microwaves

Tip: Share this post with your clients’ procurement and engineering teams so they can map SKUs to the correct HTS lines before the next PO cycle.

Sample Chapter 99 HTS References (You’ll Pair These with the Base HTS)

MaterialChapter 99 HTS (Non-UK)Chapter 99 HTS (UK only)Rate Applied ToDuty Rate
Steel derivatives (new additions)9903.81.90 / 9903.81.919903.81.97 / 9903.81.98Value of steel content50% (Non-UK) • 25% (UK)
Aluminum derivatives (new additions)9903.85.07 / 9903.85.089903.85.14 / 9903.85.15Value of aluminum content50% (Non-UK) • 25% (UK)
Processed from U.S. metalSteel: 9903.81.92 • Al: 9903.85.09Qualifying U.S. melt/pour (steel) or smelt/cast (aluminum)0%

Landed Cost — How to Quote Accurately (Without Over- or Under-Charging)

232 duties for the added derivatives apply to the metal content value, not the entire article value. Non-metal content is still reported and can be subject to separate tariff programs (e.g., reciprocal tariffs) if applicable.

ItemTotal Entered ValueSteel/Al Content Value232 Duty Rate232 Duty OwedOther Tariffs/Notes
Refrigerator (non-UK)$1,000$380 (metal content)50% (232)$190Non-metal remainder ($620) may face other tariffs (country/program-dependent)
Trailer axle assembly (UK)$4,500$2,000 (metal content)25% (232)$500Check ADD/CVD; confirm correct 99 heading and FTZ status, if any

Pro move: Build a “metal content” field into your quoting template and require suppliers to certify content shares on POs. For mixed assemblies, expect to transmit two lines (non-metal and metal content) to ACE with the correct Chapter 99 code on the metal line.


232 Filing Essentials: Prevent Delays & Reworks

  1. Map SKUs to the new HTS lines: Use the updated CBP lists (steel & aluminum). Create an internal flag in your item master for “232-derivative”.
  2. Report the metal content value correctly: For many entries you’ll transmit two lines (base HTS for non-metal content; Chapter 99 for metal content). Determine and report the value of the steel/aluminum content per 19 U.S.C. 1401a; do not default to the full article value; obtain documentation from suppliers
  3. Capture origin meta-data:
    • Steel: country of melt & pour (ISO code)
    • Aluminum: primary/secondary smelt and most recent cast (ISO code). If unknown (“UN”), aluminum entries can be assessed Russia 200% duties — avoid this by tightening supplier documentation.
  4. Apply the right Chapter 99 HTS: Use 9903.81.xx for steel and 9903.85.xx for aluminum (see table). UK derivatives have distinct 99 headings at 25%.
  5. Stack duties when required: 232 is not a substitute for other applicable programs. Non-metal content may be subject to separate reciprocal tariffs, and ADD/CVD can still apply.
  6. Foreign Trade Zones: Many derivative goods require privileged foreign status; confirm status dates vs. the effective date to select the correct 99 code.
  7. Exclusions & drawback: Valid product-specific 232 exclusions continue until expiration/volume exhaustion. No drawback on 232 duties.

232 Readiness Checklist (Copy/Paste for Your Ops Channel)

✅ Refresh HTS mappings for affected SKUs; add a “232-derivative” indicator
✅ Require suppliers to provide metal content value + melt/pour (steel) or smelt/cast (aluminum) on commercial docs
✅ Update quote & PO templates to include metal content fields
✅ Configure your broker instructions for two-line reporting where needed
✅ Audit UK-origin items for 25% headings vs. non-UK at 50%
✅ Review FTZ status and timing vs. Aug 18 effective date
✅ Re-price impacted lanes and advise customers on new landed costs


Operational Risks for Shippers & Brokers (and How to Avoid Them)

  • Misclassification: Using the wrong base HTS or 99 heading leads to under/over-collection and post-summary corrections. Implement a “second reviewer” gate on any new 232-derivative SKU.
  • Missing origin/meta-data: “Unknown” smelt/cast (aluminum) or melt/pour (steel) can trigger punitive duty outcomes and holds. Add supplier attestations to vendor onboarding.
  • Price shock for customers: If your quotes don’t break out 232 on metal content, you risk margin leakage. Itemize 232 on quotes and invoices.
  • FTZ pitfalls: Wrong status or dates can force the higher rate/heading. Reconcile FTZ admission records against the effective timestamp.

FAQs: Navigating the New Section 232 Changes

How do I know if my product is on the new list?

Check the CBP steel/aluminum derivative lists and match at the 8/10-digit HTS level. If present, apply the corresponding 99 heading on the metal content line and include required origin meta-data.

Do goods shipped before Aug 18 get grandfathered?

No. The trigger is the entry for consumption on or after 12:01 a.m. ET, Aug 18, 2025 not the ship date. Plan re-pricing and customs staging accordingly.

Do Section 232 duties stack with other tariffs?

Yes. 232 applies on the metal content line; non-metal content can be subject to reciprocal tariffs or other programs; ADD/CVD remain applicable where relevant.

What about UK-origin derivatives?

UK-origin derivative steel and aluminum entries use specific 99 headings at 25% (see table). Verify origin at time of entry.

If the steel was melted & poured in the U.S., or aluminum smelted/cast in the U.S., does 232 still apply?

Qualifying goods processed abroad from U.S. metal may use zero-rate headings (steel 9903.81.92; aluminum 9903.85.09) when requirements are met. Document thoroughly.


Authoritative Resources & Tools


Key Takeaways for Logistics Teams

  • 232 on derivatives is now live; it hits common SKUs (trailers, appliances, select auto parts); re-quote and re-plan immediately.
  • Get BOM-level metal content and origin meta-data into your documents; build it into PO and vendor requirements.
  • Train ops on two-line entries (non-metal vs. metal with 99 code) and UK vs. non-UK handling.
  • Create a recurring audit for 232-derivative SKUs so misclassification doesn’t snowball into penalties or margin loss.

Stay Ahead of Tariff Turmoil with Real-Time Visibility

TRADLINX gives shippers and LSPs live shipment milestones and ETA alerts so you can time filings, coordinate with brokers, and flag loads carrying 232-impacted SKUs before arrival.

  • Live vessel/container tracking & ETA change alerts
  • Tag shipments for 232-sensitive SKUs to prioritize clearance
  • Shareable tracking pages for clients and customs brokers

Further Reading

Why overpay for visibility? TRADLINX saves you 40% with transparent per–Master B/L pricing. Get 99% accuracy, 12 updates daily, and 80% ETA accuracy improvements, trusted by 83,000+ logistics teams and global leaders like Samsung and LG Chem.

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