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U.S. Applies 50% Import Tariff on Copper Content and Derivatives Starting August 1

U.S. Applies 50% Import Tariff on Copper Content and Derivatives Starting August 1
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The 50% tariff on copper imports is a result of a Section 232 investigation initiated in February 2025, under the Trade Expansion Act of 1962.

The U.S. has announced that, effective August 1, 2025, a 50% tariff on copper imports from all countries will apply.

A proclamation issued by the White House stated that this move “addresses the effects of copper imports on America’s national security.”

This tariff will only apply to the copper content and does not stack. Non-copper content will be subject to reciprocal tariffs or other applicable duties.

Moreover, this Section 232 tariff on copper content does not stack with the Section 232 tariffs on automobiles. If a product is subject to both tariffs, only the auto tariffs will apply.

What products are covered

A 50% additional ad valorem duty rate applies to HTSUS 9903.78.01, covering:

  • Semi-finished copper products (such as copper pipes, wires, rods, sheets, and tubes); and
  • Copper-intensive derivative products (such as pipe fittings, cables, connectors, and electrical components).

A 0% additional ad valorem duty rate applies to HTSUS 9903.78.02, covering:

  • The non-copper content of semi-finished copper and intensive copper derivative products; and
  • Imported goods under the subject HTSUS classifications which contain no copper. 

However, the International Emergency Economic Powers Act (IEEPA) Reciprocal tariff exception 9903.01.33applies to goods subject to Section 232 tariffs, including semi-finished copper and intensive copper derivative products provided for in 9903.78.01. 

Guidance on tariff implementation

The U.S. Customs and Border Protection (CBP) has issued guidance on the application of this updated copper tariff, in addition to entry filing instructions (CSMS # 65794272).

According to the guidance, the value of the copper content should be determined in accordance with the principles of the Customs Valuation Agreement.

For all Section 232 copper duties based on a value other than the full value of the good, importers must keep documentation to support the reported values and provide it to CBP upon request.

If insufficient documentation is provided to validate the reported value, CBP will collect duties on the copper content based on the entire value of the goods.

Underreported declarations may result in significant monetary penalties, loss of import privileges, and criminal liability.

Drawbacks will not be available for the imposed duties on copper.

Moreover, copper products subject to this updated duty that enter a U.S. foreign trade zone on or after August 1, 2025, must be admitted as privileged foreign status.

Upon entry for consumption, they will be subject to any ad valorem rates of duty related to the classification under the applicable HTSUS subheading.

Entry filing requirements

For articles made entirely of copper, the duty must be reported under HTSUS 9903.78.01 using the total entered value on a single entry summary line.

If the value of the copper content cannot be determined, the value must be reported based on the total entered value (and reported on one line). 

For articles that contain both copper and other materials, you must report one line for the noncopper content and another for the copper content, as follows:

First line: non-copper content

Report the same Chapter 1–97 HTSUS classification and the same country of origin on both lines.

The entered value should reflect the total value of the goods minus the value of the copper content.

You must also report the total quantity of the imported goods.  

The 0% Section 232 duty should be reported with HTSUS 9903.78.02 based on the noncopper content value.

In addition, report all other applicable duties, such as IEEPA tariffs and antidumping and countervailing duties.

Second line: copper content

For the copper content, report the same Chapter 1–97 HTSUS classification and the same country of origin on the first line.

For this line, you must report zero quantity for the Chapter 1–97 HTSUS and enter the value of the copper content.

The Section 232 duties should be reported based on the value of the copper content with HTSUS 9903.78.01.

You must also provide a second quantity for the copper content, in kilograms, with the HTSUS 9903.78.01. 

Finally, report all other applicable duties, such as IEEPA tariffs and antidumping and countervailing duties.

Additional steps to support the U.S. copper industry

In a move to level “the playing field for U.S. copper businesses” and support the domestic industry, President Donald Trump has authorized the Secretary of Commerce to require the following:

  • 25% of high-quality copper scrap produced in the U.S. to be sold domestically.
  • 25% of copper input materials (such as copper ores, concentrates, mattes, cathodes, and anodes) produced in the U.S. to be sold domestically at an annual incremental percentage:
    • 25% starting 2027
    • 30% in 2028
    • 40% in 2029 

Next steps for copper importers

If you import copper into the U.S., we recommend you take the following steps:

  • Evaluate your shipments to determine if they are covered by the updated tariff on copper content and derivatives.
  • Review and adjust your financial models to reflect accurate cost projections under this new tariff framework.
  • Consult your customs broker to ensure proper filings, tariff calculations, and compliance with CBP regulations.

How Cole International can help

At Cole International, we constantly monitor changing trade regulations and offer customs and compliance consulting services to help businesses navigate these changes.

Additionally, we provide timely and efficient customs brokerage services to help U.S. importers streamline their customs clearance and other import processes. 

Please reach out to one of our trade professionals to discuss how we can help ensure your business continuity under this updated copper tariff framework.

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