On July 20, 2026, President Trump signed three new Presidential Proclamations imposing additional duties on certain Canadian products under Section 338 of the Tariff Act of 1930. The Administration states these actions are intended to offset what it considers discriminatory Canadian trade practices affecting U.S. exports of motor vehicles, alcoholic beverages, and dairy products.
For importers, the key takeaway is that these are targeted measures, not across-the-board tariff changes. The proclamations each identify specific Canadian practices that the Administration argues disadvantage U.S. commerce, including Canada’s treatment of certain U.S. motor vehicles, provincial restrictions on U.S. alcoholic beverages, and dairy tariff-rate quota (TRQ) allocation policies that the Administration says favor European suppliers over U.S. exporters.
The proclamations provide for an additional 50% ad valorem duty on designated Canadian products identified in the accompanying annexes. Unless otherwise excluded, the new duties are scheduled to become effective for goods entered for consumption, or withdrawn from warehouse for consumption, at 12:01 a.m. EDT on August 19, 2026. The proclamations also specify that these duties are generally in addition to other applicable duties, taxes, fees, and charges, although products already subject to certain Section 232 duties are excluded from these particular measures. U.S. Customs and Border Protection (CBP) has been directed to issue implementing guidance and any necessary HTSUS updates.
If your company imports products from Canada, now is the time to review your product classifications to determine whether any imported merchandise appears in the affected tariff annexes. Importers should also monitor forthcoming CBP guidance for implementation details and reporting requirements.
Schayer will continue tracking these developments and will provide updates as CBP releases additional instructions. If you have questions about whether your Canadian imports may be impacted, please contact our compliance team.
Links to proclamations:
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