On August 25, U.S. Customs and Border Protection (“CBP”) issued a draft Federal Register notice to effectuate the President’s Executive Order (“EO”) on “Addressing Threats to the United States by the Government of the Russian Federation,” which imposed additional tariffs on imports of Indian origin due to India directly or indirectly importing Russian oil.
Under these new tariffs, imports of most goods of Indian origin will be subject to an additional 25% duty, effective August 27, which will stack on top of the 25% duty on Indian imports imposed by the International Emergency Economic Powers Act (“IEEPA”) reciprocal country-specific tariffs, effective August 7, to result in a total of 50% in duties on products of India.
The draft notice modifies the Harmonized Tariff Schedule of the United States (“HTSUS”) to implement the rate of duty imposed by the EO, effective with respect to products of India that are entered for consumption, or withdrawn from warehouse for consumption, on or after 12:01 a.m. eastern daylight time on August 27, 2025.
The draft notice provides that the following articles are exempt from the additional 25% duty:
- Articles products of India that (1) were loaded onto a vessel at the port of loading and in transit on the final mode of transit prior to entry into the United States, before 12:01 a.m. eastern daylight time on August 27, 2025; and (2) are entered for consumption, or withdrawn from warehouse for consumption, before 12:01 a.m. eastern daylight time on September 17, 2025;
- Products subject to tariffs imposed by Section 232 of the Trade Expansion Act of 1962; and
- Articles listed in Annex II to Executive Order 14257 of April 2, 2025 (Regulating Imports With a Reciprocal Tariff To Rectify Trade Practices That Contribute to Large and Persistent Annual United States Goods Trade Deficits) that are excluded from the IEEPA reciprocal tariffs.
Our prior blog post on the imposition of additional tariffs on Indian imports is available here.