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Section 232In effectPublished June 4, 2026

Section 232 revises derivative metal tariffs and US content threshold

This proclamation changes the Section 232 tariff treatment for certain aluminum and steel derivative products and lowers the threshold for products treated as made entirely from US metal to 85% by weight. It also sets temporary rules through December 31, 2027 for products listed in Annex I-C.

Authority
Section 232, Trade Expansion Act of 1962
Status
In effect
Effective
June 8, 2026
Rate
15%, 25%, 10% rules updated

What this affects

Countries
ArgentinaEcuadorEl SalvadorGuatemalaJapanSouth KoreaCanadaMexico
Product categories
AluminumSteelCopperAgricultural equipmentIndustrial equipment and machineryResidential HVAC systemsResidential HVAC componentsMobile industrial equipment and machinery

The update

This proclamation further adjusts the Section 232 tariff regimes for aluminum, steel, and copper imports. It adds agricultural equipment and certain residential HVAC systems and components to the derivative products eligible for the temporarily reduced 15% additional duty under Proclamation 11021. It also states that aluminum lithographic plates and steel racks are to be treated as aluminum and steel derivative products subject to the applicable derivative tariff under Proclamation 11021.

For aluminum and steel articles listed in Annex I-C, the proclamation sets temporary additional duty rules for entries on or after June 8, 2026, through December 31, 2027. The default additional duty is 25%, with alternative rules for specified economies, for derivative articles made entirely from qualifying US aluminum or US steel, and for qualifying USMCA products from Canada and Mexico where the duty applies only to non-US content, subject to a 15% minimum effective duty. If more than one rate applies, the lowest applicable rate applies.

The proclamation also lowers the threshold for a product to be treated as made entirely from American aluminum, steel, or copper from 95% to 85% by weight of the product's aluminum, steel, and copper content. Beginning January 1, 2028, the additional duty rates for imports of products listed in Annex I-C revert to the rates set out in clause (3) of Proclamation 11021. The Secretary of Commerce may make needed HTSUS changes through Federal Register notice and issue technical corrections, while Homeland Security and CBP are directed to administer and enforce the changes.

Impact

Import costs can change even when the base Section 232 framework stays in place, because this proclamation changes which derivative products receive reduced treatment and how US metal content is measured. For importers of covered machinery, equipment, HVAC products, racks, and lithographic plates, the commercial effect may turn on product scope, origin, and content documentation.

What to watch

The product lists and HTSUS modifications are contained in annexes that are not reproduced in the text provided here, so exact product coverage cannot be confirmed from this excerpt alone. The Canada and Mexico rule also depends on later guidance from the Secretary to CBP on how US content will be assessed.

How to prepare

  1. 1
    Map products to annex coverage

    Confirm whether imported items fall within Annex I-C or the modified derivative product lists.

  2. 2
    Review origin and content records

    Check whether documentation supports any US metal content or USMCA claims tied to these rules.

  3. 3
    Model landed cost scenarios

    Compare the default additional duty with any lower treatment that may apply under the proclamation.

  4. 4
    Confirm entry treatment with broker

    Ask how the proclamation and any follow-on CBP guidance will be reported at entry.

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.