On August 4, U.S. Eastern Time, U.S. Customs and Border Protection (CBP) issued implementation guidance for President Trump’s revised reciprocal-tariff executive order. The new “reciprocal tariffs” take effect at 12:00 a.m. New York time on August 7. The guidance simultaneously exempts ten categories, including USMCA-covered products, Section 232 tariff items, and certain specified tariff lines.

Scope of Policy Implementation

A CBP bulletin confirms that President Trump has signed an executive order revising duties on imports from 69 countries and regions. Effective 12:01 a.m. ET on August 7, 2025, these goods will be subject to reciprocal tariffs ranging from 10 % to 41 %.

The executive order specifies the following “reciprocal tariff” rates:

Highest rate: Syria – 41 %

Myanmar & Laos – 40 %

Switzerland – 39 %

Algeria – 30 %

India – 25 %

Vietnam – 20 %

Philippines, Thailand, Cambodia – 19 %

Brazil & United Kingdom – 10 % (lowest)

Most other countries/regions – 15 %, including Japan, South Korea, Israel, Turkey

Any country or territory not explicitly listed will be subject to a uniform 10 % tariff.

For China (including Hong Kong and Macao), the existing 10 % reciprocal tariff under HTS 9903.01.25 remains unchanged.

In-Transit Goods
Merchandise that is already on the final leg of its journey—i.e., loaded on board prior to 12:01 a.m. ET on 7 August 2025—and that arrives in the United States on or before 5 October 2025 for entry into consumption or withdrawal from warehouse for consumption, will not be subject to the revised reciprocal tariffs. This gives existing U.S.-bound orders a two-month grace window: as long as the goods are dispatched before 7 August and reach a U.S. port by 5 October, they remain subject only to the previously deferred 10 % reciprocal rate.

⚠️ HTS 9903.01.33 – Products Subject to Section 232 Duties
Items already covered by Section 232 tariffs are exempt from the new reciprocal duties. This category includes:

Steel and steel-derived products

Aluminum and aluminum-derived products

Motor vehicles and auto parts

Copper semi-finished goods (e.g., tubes, wire, bars, sheet, and pipe)

Copper-intensive derivatives (e.g., fittings, cables, connectors, electrical components)

⚠️ HTS 9903.01.34 – Goods with ≥20 % U.S. Content
If the value of “U.S. content” accounts for 20 % or more of the total customs value declared, the U.S. portion is exempt from the reciprocal tariff; only the “non-U.S. content” is assessed the duty.

⚠️ HTS 9903.01.32 – Exemption List for Specific Goods from China and Other Countries
The following tariff-line items originating in China and elsewhere are exempt from the reciprocal tariffs:

Integrated circuits and semiconductor devices

Flash memory

Smartphones

Tablets

Laptops

Display modules
(Complete list of exempt HTS numbers follows.)

8471、8473.30、8486、8517.13.00、8517.62.00、8523.51.00、8524、8528.52.00、8541.10.00、8541.21.00、8541.29.00、8541.30.00、8541.49.10、8541.49.70、8541.49.80、8541.49.95、8541.51.00、8541.59.00、8541.90.00、8542

⚠️ HTS 9903.01.32 – Global Product Exemption List
Products bearing the tariff numbers below, regardless of origin, are exempt from the reciprocal tariff.

⚠️ HTS 9903.01.26 – Canadian Goods
Canadian products that meet USMCA rules of origin are exempt from the reciprocal tariff.

⚠️ HTS 9903.01.27 – Mexican Goods
Mexican products that meet USMCA rules of origin are exempt from the reciprocal tariff.

⚠️ HTS 9903.01.29 – Column 2 Countries
Goods originating from HTSUS Column 2 countries/regions—such as Russia, Belarus, Cuba, and North Korea—are not subject to the reciprocal tariff. These nations already face higher, punitive rates.

⚠️ HTS 9903.01.30 – Humanitarian Relief Items
Articles donated by U.S.-persons to alleviate human suffering—e.g., food, clothing, and medicines—are exempt.

⚠️ HTS 9903.01.31 – Informational Materials
Includes (but is not limited to) publications, films, posters, phonograph records, photographs, microfilm, microfiche, tapes, optical discs, CDs, artworks, and press releases.

⚠️ Transshipment Penalty – Additional 40 % Duty
To prevent circumvention via third-country routing, the guidance incorporates President Trump’s threatened penalty: any shipment deemed to have been transshipped will be slapped with an extra 40 % tariff.

Impact
If fully implemented, the U.S. average applied tariff would leap from 13.3 % to 15.2 %—a sharp jump from the 2.3 % rate in place when President Trump took office.

Timeline
After announcing the “reciprocal tariff” plan in April, the administration postponed implementation to allow negotiations. With the 7 August deadline looming, countries such as Switzerland and India are still seeking better terms. Yet uncertainty remains: the White House is expected to unveil separate tariff lists for pharmaceuticals, semiconductors, critical minerals, and other key industrial products in the coming weeks. Additionally, on 4 August President Trump posted on Truth Social that India “buys massive amounts of Russian oil and then sells most of it on the open market at a big profit,” threatening to raise India’s tariff beyond the 25 % slated for 7 August.