China and Hong Kong IEEPA Duties Increase to 20% Effective March 4

CBP issued CSMS #64299816 late Monday night to address operational elements of the increase.

The key change is that new HTSUS number 9903.01.24 was issued to assess the 20% rate of duty.

Applicable HTS Numbers:

• 9903.01.20 – Assigned to assess 10% from February 4 – March 3, 2025, except when 9903.01.21, 9901.01.22, or 9901.01.23 are applicable.
• 9903.01.24 – Assigned to assess 20% starting March 4, 2025, except when 9903.01.21, 9901.01.22, or 9901.01.23 are applicable.
• 9903.01.21 – Exclusion for certain donations such as food, clothing, and medicine, intended to be used to relieve human suffering.
• 9903.01.22 – Exclusion for certain informational materials such as publications, films, posters, and media.
• 9903.01.23 – This is the in transit exclusion HTS number for products that were:
  1. Loaded on a vessel at the port of lading, or in transit on the final mode of transport prior to entry into the U.S. before 12:01 a.m. EST on February 1, 2025
  2. Entered for consumption, or withdrawn from warehouse for consumption
  3. Entry is between 12:01 a.m. EST on February 4, 2025 and 12:01 a.m. EST on March 7, 2025

Current Section 301 Exclusions:

• Products eligible for temporary duty exemptions are subject to the payment of the new duty.