As of November 13, 2025, there are significant changes affecting U.S. imports from Brazil, driven by recent developments in U.S.-Brazil trade relations. U.S. importers who deal with Brazilian goods, particularly agricultural products, need to pay close attention to these updates, which come as part of Executive Order 14323 and its amendments.
Background: Why These Changes Matter
The original Executive Order 14323, issued on July 30, 2025, responded to concerns about Brazil’s policies and actions that the U.S. government deemed a national security threat. To address these concerns, the U.S. imposed an additional 40% ad valorem duty on certain products from Brazil. This was part of a broader strategy to address trade imbalances and security risks.
However, following discussions between U.S. and Brazilian leaders, it became clear that progress was being made in addressing some of the issues that led to these tariffs. Based on recommendations from officials monitoring the situation, the President has decided to modify the scope of products subject to these tariffs.
What Has Changed?
- Exemption for Certain Agricultural Products
The most significant change in the updated Executive Order is the exemption of certain agricultural products from the 40% additional ad valorem duty. This exemption reflects the progress made in negotiations with Brazil and will help reduce the burden on U.S. importers of Brazilian agricultural goods, such as soybeans, coffee, and certain fruits.
If you import agricultural products from Brazil that were previously subject to this additional duty, you could see a reduction in your costs—effective for goods entering the U.S. market starting November 13, 2025.
- Changes to the Harmonized Tariff Schedule (HTSUS)
The Harmonized Tariff Schedule of the United States (HTSUS) will be updated to reflect these changes. This means that certain tariff codes will be modified, and some goods that were previously subject to the 40% duty may no longer be subject to this additional charge. As an importer, you need to ensure that your customs declarations reflect these updated codes to avoid overpaying on duties.
The modifications to the HTSUS will take effect on November 13, 2025, so be sure to check the updated schedule and consult with your customs broker to confirm the correct tariff codes for your imports.
- Refunds for Overpaid Duties
If you have already paid duties on products that are now exempt from the additional tariff, you may be eligible for a refund. Customs and Border Protection (CBP) will process refunds in accordance with standard procedures. It’s important to work with your broker to ensure that any overpayments are identified and refunded appropriately.
How Will These Changes Impact Your Business?
If your business imports goods from Brazil, particularly agricultural products, you may see significant cost reductions due to the removal of the additional 40% duty. Here’s how you can respond to these changes:
- Review Your Imports and Tariff Classifications
Take a close look at your current product classifications and the tariffs applied to them. Many importers rely on Harmonized Tariff Codes to determine the appropriate duty rates for their products. Make sure to update these codes in your customs filings to reflect the changes in the HTSUS. - Work with Your Customs Broker
Navigating tariff changes can be complicated, and it’s important to ensure that your goods are classified correctly. If your goods were subject to the additional 40% duty but are now exempt, your customs broker can help you file for a refund and ensure that you are paying the correct duties going forward. - Consider Revising Your Supply Chain Strategy
With the exemption of certain agricultural goods from the 40% duty, you may have the opportunity to adjust your pricing, sourcing, or inventory strategies. This could be an ideal time to re-evaluate your supply chain to take advantage of lower duty rates on Brazilian products. - Stay Updated on Ongoing Negotiations
The U.S. government has made it clear that it will continue to monitor developments in its negotiations with Brazil. The status of these discussions could lead to further changes in tariffs or trade policy, so staying informed is crucial. Your customs broker can help keep you updated on any new developments.
What Should You Do Next?
Here are the steps you should take to ensure your business stays compliant:
- Consult Your Broker: Make sure to reach out to your customs broker to verify that your product classifications are up-to-date, and that you understand the potential impact on your shipments.
- Review Tariff Codes: The updated tariff schedule will contain important changes that could affect the duty rates for your products. Review these changes carefully.
- File for Refunds: If you’ve overpaid on duties due to the previous 40% tariff, take action to file for refunds with U.S. Customs. Your broker will assist in facilitating this process.
- Plan for Future Imports: With the new exemptions in place, it might be worth revisiting your procurement strategy, especially for agricultural imports from Brazil, to take advantage of the reduced duties.
*Disclaimer: The articles provided reflect our perspective and are created by our employees. They do not constitute legal documents or comprehensive information. For further inquiries, please contact our staff for additional details.