US Tariff Changes Announced with August Implementation

Products of Canada

Effective August 1, 2025, the IEEPA Fentanyl tariff on Canadian made product increases from 25% to 35%.  Articles that are eligible for USMCA treatment remain exempt from this tariff.  It is noted that any goods that are determined by CBP to have been transshipped to avoid the tariff will be assessed at a 40% rate.

Products of Brazil

Effective August 6, 2025, a tariff of 40% will be in place in addition to the 10% Reciprocal tariff.  A Section 301 investigation has also been initiated to determine if current actions, policies and practices of the Government of Brazil are unreasonable or discriminatory and burden or restrict U.S. commerce.

IEEPA Reciprocal Tariffs

Effective August 7, 2025, IEEPA Reciprocal tariff rates are modified for many countries, while others remain at 10% due to continuing negotiations and more favorable trading relationships. 

Products of the European Union will be subject to a tariff up to 15%, that is contingent upon the general rate of duty.  If the general rate is 15% or higher, the IEEPA Reciprocal tariff rate will be 0%.

It is noted that any goods that are determined by CBP to have been transshipped to avoid the tariff will be assessed at a 40% rate.

Merchandise loaded on the final ocean vessel destined for the United States before August 7th and released into the commerce of the United States before October 5th, 2025, will remain dutiable at the previous 10% rate.

Mexico

While no formal publication has confirmed so, messaging on social media is suggestive that any further action on Mexican products may be extended for 90 days.