CBP updated their Frequently Asked Questions (FAQs) on May 8th, 2025 and clarified that “subject to” implies that Section 232 duties are owed and payable.

Section 232 Tariffs on Steel and Aluminum Frequently Asked Questions

“Subject to Section 232 actions” implies that duties are owed and payable, not just as a possible derivative product on the 232 HTS list. 

Can 9903.01.33 be claimed if the imported article is classified under a Section 232 new derivative tariff number, but contains no steel or aluminum and is therefore not subject to Section 232 duties?

No. The phrase “subject to Section 232 actions” implies that Section 232 duties are owed and payable. If the article does not contain any steel or aluminum that is subject to Section 232 duties, then HTS 9903.01.33 cannot be claimed.

However, the IEEPA-based reciprocal duty may be applicable unless an exception applies. (Printed materials, donations, etc.) So, if 232 flags but does not apply, the importer has to pay the reciprocal, which is currently 10% (previously 125%). We do not know if Customs will issue 28 or 29s to importers with request to update the entries and to apply the 125%. If we do, we will use the email from the Trade Remedy Group to support the exemption of the 125%.

If an article is classified under a Section 232 derivative number and the filer separates the steel/aluminum and non-steel/aluminum values on two lines and paid Section 232 duties on the steel/aluminum portion—can 9903.01.33 be claimed on both lines?

Yes. If Section 232 duties are paid on the steel/aluminum content, the imported article qualifies as “subject to Section 232 actions.” Therefore, the 9903.01.33 exemption can be claimed on both lines, representing the entire article.

Are importers expected to pay the reciprocal tariff on the value not declared on the steel content, and how would that be determined? Would the importer need to report an additional line for the non-steel value that may be subject to reciprocal tariffs?

No, articles and derivatives of steel and aluminum subject to Section 232 duties are excluded from the reciprocal tariffs; pursuant to heading 9903.01.33, HTSUS. Refer to 90 FR 15041 (April 7th, 2025) and CSMS # 64680374 and # 64701128.

RIM received the below guidance from CBP Trade Remedy Group on April 15th:

Going forward, RIM will need to follow the updated guidance received on May 8th; however, we will not be applying this retroactively. In the case a CF28 or CF29 is issued by Customs, we will provide the guidance received on April 15th to support classification of 9903.01.33.

RIM logistics, ltd. will continue to closely monitor this evolving situation and provide updates as necessary. Please reach out to your RIM representative if you have any further questions.