CBP Clarifies Feeder Vessel Scenarios for In-Transit Tariff Exemption Eligibility

CBP has issued clarification on feeder vessel scenarios and their eligibility for the in-transit tariff exemption under the reciprocal tariff provisions, as detailed in their IEEPA FAQ page.

 

Cargo loaded onto a U.S.-bound vessel before the reciprocal tariff cutoff date qualifies for the in-transit tariff exemption, even if the vessel makes stops at foreign ports en route, as long as the cargo remains onboard. In this case, the vessel is considered the final mode of transit.

However, if cargo is initially loaded onto a vessel before the cutoff date but is later transferred at a foreign port onto a different vessel bound for the U.S. after the cutoff date, it does not qualify for the in-transit exemption. This is because the determining factor is when the cargo is loaded onto the final vessel destined for the U.S. In this case, since the final loading occurs after the cutoff date, the exemption does not apply, even if the original departure was before the deadline. 

 

For the complete set of FAQs, please visit: CBP IEEPA FAQ Page