Imposing Additional Duties To Offset Canadian Discrimination Against the Commerce of the United States With Respect to Motor Vehicles

This is a trade measure under Section 338 of the Tariff Act of 1930. Section 338 can authorize additional duties or other import restrictions when the United States determines that a foreign country discriminates against U.S. commerce. In this example, the subject is Canadian treatment of U.S. commerce involving motor vehicles.

The measure typically matters to importers of covered motor vehicles, parts, or related merchandise, depending on the official scope. The additional charge is separate from the ordinary customs duty and is usually identified through a special tariff provision or other measure indicator in the Harmonized Tariff Schedule of the United States (HTSUS). A product’s title or general description alone does not prove that the measure applies: classification, country of origin, product specifications, exclusions, and the relevant entry conditions must be checked.

What to check

• Confirm the product’s correct HTSUS classification, including the applicable heading, subheading, and any statistical details; use a binding ruling or customs-broker advice when classification is uncertain.
• Read the official measure language and scope carefully to determine whether the merchandise is covered, excluded, or subject to special definitions for vehicles, parts, or related products.
• Verify the product’s country of origin under U.S. customs rules; the shipping country and the origin country are not necessarily the same.
• Check the HTSUS for any additional-duty provision or measure indicator that must be reported separately from the normal tariff classification.
• Confirm the applicable entry, importation, and filing requirements with CBP or a qualified customs broker, especially where the measure’s effective conditions or exemptions are unclear.