Canada Section 338 Duties: 50% Tariff Changes | C.H. Robinson

  • ClientAdvisories.EffectiveDate: Oktober 29, 2026
  • ClientAdvisories.AffectedRegions: Nordamerika
  • ClientAdvisories.AdvisoryType: Zolltarif

On October 23, 2026, the White House issued a proclamation modifying the list of Canadian products subject to the 50% additional ad valorem duties previously imposed under Proclamation 11048, commonly referred to as Section 338 duties.

The original duties were announced on July 20, 2026, and took effect on August 22, 2026, following the expiration of a temporary three-day suspension. This latest action marks the second modification to the scope of the Section 338 duties, expanding the list of affected products and applying to goods entered for consumption, or withdrawn from warehouse for consumption, on or after 12:01 a.m. ET on October 30, 2026.

The October 23 proclamation significantly expands the scope of the Section 338 duties, adding approximately 100 HTSUS provisions while removing 22. As a result, a substantially broader range of Canadian products will be subject to the additional 50% duty beginning October 30, 2026.

What’s changing?

Products Removed from the 50% Duty Scope

Twenty-two HTSUS provisions identified in Annex I, Part A, have been removed from the additional duty scope, including products within the following categories:

  • Agriculture
  • Plastics Packaging
  • Wood products
  • Paper & Packaging
  • Machinery & Equipment

Products Added to the 50% Duty Scope – HTSUS 9903.03.14

Approximately 100 HTSUS provisions identified in Annex I, Part B, have been added to the additional duty scope, including products within the following categories:

  • Cocoa powder products
  • Paints, chemicals, cleaning products, lubricants, and laboratory reagents
  • Plastics and rubber products
  • Wood and forest products
  • Paper and packaging products
  • Carpets and textile floor coverings
  • Appliances, machinery, tools, valves, boats, medical/scientific equipment, and sporting goods

The proclamation also specifies that the additional 50% duties apply in addition to any Section 232 duties. Annex II of the proclamation modifies the HTSUS to implement the changes outlined.

Importer Takeaway

Importers should review the Annex I product lists and applicable HTS classifications before October 30, 2026, as certain Canadian products will no longer be subject to the additional duties while others become newly covered. These changes may have a significant impact on landed costs, duty forecasting, sourcing strategies, and customs compliance planning.

In Cargo Systems Messaging Service (CSMS) #70314289, issued on October 29, 2026, U.S. Customs and Border Protection (CBP) provided guidance on the HTSUS classifications and reporting requirements applicable to affected merchandise. Importers should confirm product classifications and ensure compliance with new reporting requirements.

Please reach out to your C.H. Robinson representative with any questions.

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