Section 301 Brazil Action Finalized: New 25% Duties and Available Exclusions

The Office of the United States Trade Representative (USTR) has issued its final determination in the Section 301 investigation of Brazil. During the year-long investigation and comment period, USTR received more than 360 comments, and 77 witnesses participated in the public hearing.

As a result, the United States will impose an additional 25% duty on most products of Brazil, subject to specified exclusions and exceptions. The measure becomes effective for covered entries on July 22, 2026.

Key Takeaways

1. Broad 25% Additional Duty on Brazilian-Origin Goods (9903.05.01)

Beginning July 22, 2026, most products of Brazil will be subject to an additional 25% ad valorem duty upon importation into the United States. The duty will apply in addition to any other applicable duties, taxes, fees, or trade remedies unless specifically exempted.

Goods entered to a Foreign Trade Zone (FTZ) must be admitted under Privileged Foreign Status.

2. Limited In-Transit Relief (9903.05.02)

The Section 301 Brazil action includes an in-transit provision that applies only to ocean freight shipments. Cargo arriving into the United States by other transportation modes, including air, truck, or rail, does not qualify for this exemption.

To qualify for the in-transit provision, goods must meet both of the following conditions:

1. The goods must have been loaded onto a vessel at the port of loading and in transit on the final mode of transit prior to entry into the U.S. before 12:01 a.m. Eastern Time on July 22, 2026; and
2. The goods must be entered for consumption, or withdrawn from warehouse for consumption, before 12:01 a.m. Eastern Time, July 29, 2026.

3. Significant Product Exclusions Remain Available

USTR retained a substantial list of excluded products listed in Annex I. Excluded products generally include:

• General list of exclusions (9903.05.03)
• Specific product exclusions (9903.05.04)
• Civil aircraft (9903.05.05)
• Pharmaceutical products (9903.05.06)
• Goods subject to Section 232 (Metals, Wood Products, Auto and Auto Parts, Medium and Heavy-Duty Vehicles, Semiconductors) (9903.05.07)
• Humanitarian supplies (9903.05.08)
• Informational materials (9903.05.09)

4. Tariffs Stacking

Section 301 Brazil will not stack with Section 232 tariffs. However, they may stack with future Section 301 tariffs, including those related to forced labor or overcapacity investigations.

U.S. Customs and Border Protection (CBP) is expected to issue additional implementation guidance.

If you have any questions, please reach out to your C.H. Robinson representative.

Resources

USTR Section 301 Action on Brazil’s Unreasonable Acts, Policies, and Practices | United States Trade Representative

Pre-published Federal Register Notice Brazil 301 Final Action FRN 7-15-2026 final.pdf