New Tariff Rules for EU-Origin Goods

Section 232 and IEEPA Reciprocal Tariffs adjusted for qualifying EU goods

The U.S. has implemented significant tariff exemptions under the recent U.S.-EU trade agreement. These changes apply only to goods originating from European Union (EU) member countries.

Key Updates:

• Effective Dates:
  • August 1, 2025: For EU automobiles and auto parts with the most favored nation duty rate over 15%, there will be no Section 232 or IEEPA Reciprocal Tariffs. If the duty rate is under 15%, the Section 232 tariffs are capped at 15%.
  • September 1, 2025: Exemptions for natural resources, essential oils, civil aircraft and parts, and pharmaceuticals under subheadings 9903.02.74–9903.02.77. If the product is on the list in the Federal Register, the product will be exempt from IEEPA Reciprocal Tariffs in certain circumstances.

Although the official notice was published on September 25, the exemptions are retroactively effective. Importers who paid tariffs between the effective dates and the publication date may be eligible for refunds via Post Summary Correction (PSC) or protest procedures, depending on entry status

Scope Limitations for the IEEPA Reciprocal:

• Natural Resources: Over 200 HTS codes.
• Essential Oils: Exemptions apply only to non-citrus oils used for religious purposes.
• Civil Aircraft & Parts: Applies only to civil aircrafts listed.
• Pharmaceuticals: Applies only to non-patented products which are used in pharmaceutical applications.

EU Member Countries (2025):

Austria, Belgium, Bulgaria, Croatia, Cyprus, Czech Republic, Denmark, Estonia, Finland, France, Germany, Greece, Hungary, Ireland, Italy, Latvia, Lithuania, Luxembourg, Malta, Netherlands, Poland, Portugal, Romania, Slovakia, Slovenia, Spain, Sweden.

For the full text of the official executive order outlining these tariff measures, view the notice in the Federal Register.

Due to the rapidly changing application and modifications of duty rates, please note that Deringer is not responsible for coordinating the timing of U.S. entry and imposed tariff rates.