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Section 338Announced, pending implementationPublished September 14, 2026

Import ban replaces 50% duty for some Canadian motor vehicles

This proclamation excludes certain Canadian motor vehicle products from importation into the United States starting September 29, 2026. It applies to products listed in the annex that were already subject to the additional duties imposed under Proclamation 11048.

Authority
Section 338, Tariff Act of 1930
Status
Announced, pending implementation
Effective
September 29, 2026
Rate
Import ban for listed goods

What this affects

Countries
Canada
Product categories
Motor vehiclesAuto parts

The update

This proclamation excludes certain products of Canada from importation into the United States. It applies to products identified in the annex to the proclamation that are currently subject to the additional ad valorem duties imposed under Proclamation 11048.

The action is taken under section 338 of the Tariff Act of 1930. The proclamation states that the covered products move from the additional duty treatment under Proclamation 11048 to an import ban, while other products subject to Proclamation 11048 are otherwise unaffected.

The import ban applies to goods imported on or after 12:01 a.m. eastern time on September 29, 2026. Products covered by the ban that were imported, but not yet entered for consumption, or withdrawn from warehouse for consumption, before that time remain subject to the 50 percent duty rate established by Proclamation 11048. The proclamation also authorizes CBP to issue implementing rules, guidance, instructions, determinations, and any needed HTSUS modifications through Federal Register notice.

The proclamation includes a severability provision. If the import ban is invalidated in whole or in part as to any import, the 50 percent ad valorem duty under Proclamation 11048 applies to that import instead.

Impact

For affected Canadian goods, this changes the consequence from a higher duty to a complete bar on importation after the effective time. That can force immediate sourcing and logistics changes, while goods already imported before the cutoff may still face the 50 percent duty, affecting landed cost and cash flow.

What to watch

The proclamation relies on an annex to define the covered products, and CBP may make additional HTSUS modifications or technical corrections by later Federal Register notice. It is also easy to misread this as replacing all Canada duties under Proclamation 11048, but the text says other products under that proclamation are otherwise unaffected.

How to prepare

  1. 1
    Match SKUs to the annex

    Identify whether any imported items fall within the listed Canadian products covered by the ban.

  2. 2
    Review import timing

    Separate goods arriving before and on or after the effective time because treatment differs.

  3. 3
    Model duty and disruption exposure

    Account for the 50 percent duty on pre-cutoff goods and a potential import stop for covered later shipments.

  4. 4
    Confirm origin support

    Keep origin records ready in case CBP reviews whether goods are products of Canada.

  5. 5
    Coordinate with customs broker

    Check for CBP implementation guidance, HTSUS updates, and entry handling details.

Sources

We summarize published reporting and official notices. Always confirm rates and dates against the Federal Register or your customs broker before acting on them.