With so much uncertainty occurring with U.S. import regulations, companies should develop multiple strategies that address potentially different tariff outcomes, with some strategies being deployed in the short-term and others being deployed further down the road as the geopolitical situation becomes more clear, according to trade experts with professional services firm KPMG.
More and more companies are requesting bonds that are worth millions of dollars and even "up to the billions at this point" as importers seek to ensure they have enough bonding to cover anticipated higher duties, Patrice Lafayette of Roanoke Insurance Group said during an April 23 webinar on tariffs hosted by Flexport.
Although the number of entry summaries processed by CBP in March slightly rose compared with amounts in January and February this year and March 2024, the amount of identified estimated duties nearly doubled, according to releases from the agency.
Several trade groups representing shippers, the maritime industry and U.S. ports criticized the Office of the U.S. Trade Representative's Section 301 determination last week calling for a phased-in approach to levy fees on foreign-built vessels and car-carrying vessels docking at U.S. ports as part of a broader push to build and bolster an American shipbuilding industry (see 2504180018).
A leaked draft document describing possible budgeting plans of the Department of Health and Human Services also mentions absorbing the Consumer Product Safety Commission, according to trade groups.
Customs brokers are still wishing for guidance from CBP on the in-transit exemptions mentioned in the April 2 executive order on reciprocal tariffs, according to remarks made during the April 17 bi-weekly ACE support call hosted by CBP.
The Office of the U.S. Trade Representative is planning a phased-in approach to assessing fees on foreign-built vessels calling at U.S. ports, according to an April 17 announcement unveiling the results of its year-long Section 301 investigation.
Air cargo transportation is likely eligible for reciprocal tariff exemptions for goods in transit as of April 5 or 9, according to two trade lawyers with law firm Grunfeld Desiderio, echoing similar comments from a DHL official the previous day who said the exemption applies to both air and truck modes (see 2504160027).
An exemption for goods in transit from the reciprocal tariffs that recently took effect applies not only to ocean vessels, but to air and truck shipments as well, according to Jeff McCauley, senior director of operations and compliance at DHL Global Forwarding.
The Commerce Department is launching Section 232 investigations on imports of semiconductors and pharmaceuticals as a possible precursor to levying duties on these products, according to Federal Register notices released April 14.