Canada exempt from U.S. tariffs on bumper stampings

by | Feb 7, 2020 | 0 comments

New U.S. tariffs go into effect on bumper stampings February 8, 2020. Imported bumper stampings for motor vehicles (HTSUS 8708.10.30) will be subject to the 25% steel tariffs and 10% aluminum tariffs.

The tariffs are above any duties already being collected. Several countries are exempted from the tariffs: Argentina, Australia, Canada and Mexico for the aluminum tariffs, and Argentina, Australia, Brazil, Canada, Mexico and South Korea for the steel tariffs.

When the additional tariffs were announced, they would have also applied to body stampings for motor vehicles. However, the body stamping tariffs were later limited to tractors for agricultural use (8708.29.21). 

The U.S. government first began imposing the metal tariffs in March 2018 based on a finding that a global over-supply had depressed prices and posed a national security threat to U.S. domestic production.

Until now, the tariffs only applied to processed raw materials (steel/aluminum plate, sheets, bars, etc.), not finished products (e.g., wheels, exhausts, etc.). Over the past two years, however, the Trump Administration has documented a dramatic increase in the volume of certain finished products that could be construed as circumventing the tariffs. Products identified include bumper and body stampings along with nails, staples, electrical wire and several other products. The Administration’s goal is to maintain domestic steel production at or above 80% capacity levels and to stabilize aluminum production.

Source: SEMA

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