Cargo Systems Messaging Service

CSMS #50536327 - GUIDANCE: European Union (EU) Section 232 Tariff Rate Quota on Aluminum and Steel Articles and Exempting EU from Derivative Duties

The purpose of this message is to provide guidance on A Proclamation on Adjusting Imports of Steel into the United States and A Proclamation on Adjusting Imports of Aluminum into the United States into the United States of December 27, 2021, establishing a tariff rate quota (TRQ) for imports of aluminum and steel articles from the member countries of the European Union (EU), and exempting aluminum and steel derivative articles from the EU from section 232 duties, effective January 1, 2022.

BACKGROUND

On March 8, 2018, the President issued Proclamations 9704 and 9705, providing for additional import duties for aluminum and steel articles, respectively, effective March 23, 2018.  On January 24, 2020, the President issued Proclamation 9980, providing for additional import duties for aluminum and steel derivative articles, effective February 8, 2020.

On December 27, 2021, A Proclamation on Adjusting Imports of Steel into the United States (Steel Proclamation) and A Proclamation on Adjusting Imports of Aluminum into the United States into the United States (Aluminum Proclamation) established a tariff rate quota (TRQ) for imports of aluminum and steel articles from the EU, effective January 1, 2022.  The Steel Proclamation additionally exempts countries of the EU from additional duties on imports of aluminum and steel derivatives, effective January 1, 2022.

The functionality for the acceptance of imports of aluminum and steel articles from member countries of the EU subject to the TRQ will be available in the Automated Commercial Environment (ACE) as of 7:00 am eastern standard time, January 1, 2022.

GUIDANCE:

ALUMINUM

Effective as of 12:01 a.m. eastern standard time on January 1, 2022, imports of aluminum articles from member countries of the EU are subject to a TRQ under HTSUS subheadings 9903.85.27 through 9903.85.44.  Section 232 aluminum products from the EU that are in-quota will enter free of any Section 232 duty.  For more details on the TRQ, consult www.cbp.gov/trade/quota/bulletins.

All aluminum article imports from the EU in excess of the TRQ quantities shall remain subject to the 10 percent ad valorem duty rate imposed by HTSUS subheading 9903.85.01, provided they are not subject to an exclusion. 

All imports of aluminum articles from the EU must be accompanied by a certificate of analysis in order to be eligible for the TRQ.  Importers should submit the certificate of analysis to the Document Imaging System.

STEEL

Effective as of 12:01 a.m. eastern standard time on January 1, 2022, imports of steel articles from member countries of the EU are covered under a TRQ under HTSUS subheadings 9903.80.65 through 9903.81.19.   Section 232 steel products from the EU that are in-quota will enter free of any Section 232 duty.  For more details on the TRQ, consult www.cbp.gov/trade/quota/bulletins.

All steel article imports from the EU in excess of the TRQ quantities shall remain subject to the 25 percent ad valorem duty rate imposed by HTSUS subheading 9903.80.01, provided they are not subject to an exclusion. 

Steel imports from the European Union must be melted and poured in a member country of the European Union in order to be eligible for the TRQ.  Additional details on the melt and pour requirement will be provided when they are available.

DERIVATIVES

Effective January 1, 2022, imports of aluminum and steel derivatives from the EU, as referenced in Proclamation 9980, will no longer be subject to additional duties under HTSUS subheading 9903.80.03 or HTSUS subheading 9903.85.03 per the Steel Proclamation.

ADDITIONAL INFORMATION

In accordance with Proclamations 9704 and 9705, as amended, any subject aluminum and steel articles from the member countries of the European Union, except those eligible for admission under “domestic status” as defined in 19 CFR 146.43,  that is admitted into a U.S. foreign trade zone on or after 12:01 a.m. eastern daylight time on March 23, 2018, must be admitted as ‘‘privileged foreign status’’ as defined in 19 CFR 146.41, and will be subject upon entry for consumption to any ad valorem rates of duty or quantitative limitations related to the classification under the applicable HTSUS subheading.

Any imports of aluminum and steel articles from the member countries of the European Union that were admitted into a U.S. foreign trade zone under “privileged foreign status” as defined in 19 CFR 146.41, prior to 12:01 a.m. eastern daylight time on January 1, 2022, shall be subject upon entry for consumption made on or after 12:01 a.m. eastern daylight time on January 1, 2022, to the provisions of the tariff-rate quota in effect at the time of the entry for consumption.

For any aluminum and steel articles from the member countries of the European Union that were admitted into a U.S. foreign trade zone under privileged foreign status before January 1, 2022, importers should contact the Trade Remedy Branch at traderemedy@cbp.dhs.gov for special instructions before entering steel and aluminum imports while the TRQ is in-quota. 

For questions regarding Section 232 trade remedies, please refer to CSMS message #42203908 (Information on Trade Remedy Questions and Resources) https://content.govdelivery.com/accounts/USDHSCBP/bulletins/283fb04. 

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