Latest Update. 07.07.2026
The latest announcements on trade and tariff treatment measures and rules as they directly affect UK trade interests are set out below.
This remains a developing global situation, and we are in close contact with the UK government to assist with relevant analysis and responses.
We encourage all our members to refer to the information provided which will be frequently updated. We ask that firms remain in close contact with suppliers, customers and intermediary advice services such as customs agents, brokers, and other logistics providers, for details pertinent to individual export and trade activity with the US and other export markets
New Updates
US
- Section 232 (Trade Expansion Act 1962) tariffs on steel, aluminium, and copper products: changes came into effect on 6 April 2026 and 8 June 2026
- Requirements and processes under Proclamations 10895, 10896, and 10962 (issued in 2025) are now terminated.
- Replaced with a process based on ad valorem tariffs now applying to the full customs value of imported metal products, not just the metal content.
- US administration has now rolling authority to add derivative articles to the tariff scope should it be determined that imports threaten national security objectives.
- Announcement includes exemptions including Derivative Products that are no longer subject to Section 232 duties, other products are removed due to low metal content and specific arrangements for metal products from Trade Agreement Partners (incl. UK).
- Changes applied from 8 June 2026 affect aluminium lithographic plates and steel racks imports into the US.
- This announcement does not affect other tariff and trade policy investigations or ongoing measures. These include: Trade Act 1974: Section 122 (universal tariff 10% plus MFN) & Section 301 probes into trading partners trading practices (includes UK); Trade Expansion Act 1962 Section 232 (e.g. wind turbines)
- Outcome of US Section 301 investigations
The US have concluded its investigations into forced labour in global supply chains, launched after the Supreme Court found reciprocal tariffs to be unlawful. The findings argue that the UK (alongside partners such as the EU) has not done enough to prevent forced labour entering supply chains and propose a 10% tariff in response. If this goes ahead, the timing is likely to coincide with the expected ending of the Section 122 tariffs of 10% in late July, that came into effect following the Supreme Court decision that nulled the IEEPA tariffs. This new proposed tariff treatment requires domestic consultation and legal ratification, followed by the publication of guidance. Sector and product tariffs and related commitments under the UK-US EPD agreement are not affected.
- US Customs
US strengthens customs
US Administration has directed US Customs and Border Protection (CBP) to strengthen customs enforcement. Foreign importers of record will face tighter entry requirements, enhanced vetting, additional supply-chain disclosure obligations, and higher bonding requirements.
Strengthening Customs Enforcement – The White House
- US de minimis rule
Prior to Aug 2025, import shipments under $800 were customs, tariff, and admin exempt. In June 2026, US Customs and Border Protection issued an interim final rule indefinitely suspending the de minimis exemption for imports valued at US $800 or less arriving by all modes other than the international postal network. Such shipments must now move through appropriate CBP entry procedures and are subject to applicable duties, taxes, and fees. A separate rule covers shipments arriving through the international postal network. It indefinitely suspends de minimis treatment for postal shipments valued at $800 or less and establishes a new informal entry process for certain postal merchandise valued at $2,500 or less. CBP also imposed bonding and data requirements for informal mail entries.
- US-UK Pharmaceutical Agreement
- 0% tariff.
- Support to meet US national security requirements: bi-lateral commitment to work together to support UK companies exporting to the US to meet US national security requirements.
- New US-UK Pharmaceutical Supply Chains Partnership: strengthen medicines supply chains and undertake resilience-building activities.
- Tariffs on medtech: UK-origin medical technology exports will not face any additional new tariffs for at least 3 years.
- Mutual recognition: The UK and US have agreed to work together towards mutual recognition of medical device approvals.
- IEEPA Tariff refunds
- IEEPA refund al opened 20 April 2026. The final guidance notes that unliquidated entries that are eligible for Phase I CAPE will liquidate within 45 days of CAPE file acceptance and refunds will be processed within 60-90 days after CAPE file acceptance except entries in “suspended,” “extended” or “under review” liquidation status, warehouse entries, and entries flagged by CBP for additional review. Liquidated entries will reliquidate one day after CAPE file submission and will be subject to the 60-90 day refund period, which includes a 45 day review period. US Customs & Border Protection has completed further online and IT enhancements, so Phase II CAPE procedures now apply.
gov.uscourts.cit.17610.15.0.pdf
CSMS # 69066837 - DEPLOYED – Consolidated Administration and Processing of Entries (CAPE) for IEEPA Refunds - Entries Flagged for Reconciliation
- USMCA: tri-partite trade agreement between US, Canada & Mexico
- On 1 July, the US announced it would not renew the USMCA in its current form. The Agreement remains in force while the parties continue discussions. The US confirmed it will continue negotiations with Mexico and Canada, including a third round of bilateral talks with Mexico during the week of 20 July. Canada confirmed it will use the review to pursue discussions with the US on tariffs affecting Canadian steel, aluminium, autos and timber.
UK
- Steel Safeguard measures.
The UK Government has implemented new steel import measures from 1 July 2026 to protect domestic steelmaking amid global overcapacity and declining UK production. These measures aim to secure supply chains in critical sectors and form part of a broader UK Steel Strategy.
Key elements of the measures:
- The policy covers 20 steel product categories with a tariff-rate quota system reducing duty-free import volumes by 51% imposing a 50% tariff on imports above quota.
- Access to the duty-free quota will be managed by HMRC on a first-come, first-served basis with unused quarterly quotas rolling over to the next quarter, but not to the next quota year.
- Transitional exemptions will apply so that goods that were under contract prior to March 14, 2026, are fully exempt from the 50% out-of-quota duty between 01 July and 30 September 2026.
- UK Government will keep under review the implementation of the measures over the next 12 months. This will include looking at options to introduce a ‘melt & pour’ certification requirement on all steel imports into the UK.
What are the Steel Trade Measures?
Steel trade measures manage the way steel imports are allowed into an economy.
Import restrictions are government- imposed limits on the quantity or type of goods that can be imported into an economy. Typical import restriction measures that can be used for steel products include import taxes (tariffs); volume restrictions on specified goods (quota’s); trade and regulatory rules that define the original country of origin despite any processing into a final product or good (melt and pour rule).
Import restrictions often use a combination of these measures and will be imposed on a general or time-limited period and can be the subject of regular review undertaken by government or appointed regulator.
The new measures replaced existing import measures that expired on 30 June 2026.
Full details of the measures can be found on the .Gov.UK link
UK's steel trade measure from 1 July 2026 - GOV.UK
Implementation notifications on the UK steel trade measure - GOV.UK
The measures as they apply to Northern Ireland and in particular trade in steel and related products to/from Great Britain are provided in the .Gov.UK link
The UK steel strategy (web version) - GOV.UK
European Union
- Steel Safeguard measures
The European Union has implemented new steel safeguard measures from 1 July 2026. This is to protect its domestic steel industry from global overcapacity and unfair trade practices. The key objectives are to increase capacity utilization, safeguard jobs, and support the sector’s decarbonisation efforts while remaining WTO-compliant
Key elements of the measures:
- Tariff-Free Quotas: The annual duty-free import volume is capped at 18.3 million tonnes, a reduction of approximately 47% compared to 2024 quotas.
- Out-of-Quota Tariffs: Imports exceeding the quota will face a 50% customs duty, up from the previous 25%
- Melt and Pour Requirement: Importers must provide evidence of the country where the steel was originally melted and poured to prevent circumvention and ensure traceability
- Exemptions: Norway, Iceland, and Liechtenstein are exempt under the European Economic Area agreement. Special allocations may be considered for countries in exceptional situations, such as Ukraine
- Product Scope: The safeguard covers 28 steel categories covering a broad range of steel products, including flat-rolled, long products, stainless steel, and certain specialized categories. The regulation allows for periodic reviews to potentially expand coverage
- Carry-Over Flexibility: Unused quotas in one quarter may be carried over to the next within the same year to support supply chains, with adjustments possible in subsequent years based on market conditions
Regulation - EU - 2026/1384 - EN - EUR-Lex
New rules to protect EU steel industry from damaging impacts of global overcapacity
- Airbus-Boeing trade dispute
The EU has agreed to prolong the suspension of the EU’s WTO-authorised retaliatory tariffs against US exports in the Airbus-Boeing dispute, avoiding a scheduled reactivation of the measures when the 2021 truce expires on 11 July.
Canada
- Steel and aluminium safeguard measures extended. Canada will extend its steel tariff-rate quotas (TRQ) regime for imports from non-CUSMA partners, and the existing horizontal tariff relief for eligible steel and aluminium products from the US, and additionally, for eligible steel products subject to derivative tariffs. These measures would be extended to June 27 and June 30, 2027, respectively.
Canada to extend steel and aluminium tariff measures to support workers and businesses - Canada.ca
Canada's tariffs: Steel and aluminium - Canada.ca
- Provisional Safeguard Tariff on Canned Vegetables.
Canada announces the imposition of a 10% tariff on global imports of canned vegetables, excluding those from the U.S., Mexico, Chile, Israel and developing countries due to existing trade obligations. The provisional safeguard measure will remain in place for a maximum of 200 days.
China
- Supply Chains
China has made an announcement on investigating the security of industrial chains and supply chains. This announcement focuses on conducting a thorough investigation into the security of the industrial chain and supply chain, to safeguard the security of China's industrial chain and supply chain. This announcement will come into effect as of the date (June 22, 2026) of its release.
On Further Strengthening Supervision and Improving the Reporting Mechanism for Violations of Export Control Regulations Concerning Dual-Use Items Derived from Strategic Minerals. This was issued on 24 June 2026 & is effective as of 1 July 2026.
- Foreign Investment law
On 1 June, China issued the Regulations of the State Council on Foreign Investment, effective 1 July 2026. The regulations extend data security, export control, and personal information protection obligations to outbound investment by Chinese-domiciled enterprises, organisations, and individuals.
Current
US
- US Supreme Court rules against Tariff measures introduced in Apr 2025 under the International Emergency Economic Powers Act:
- Tariffs under IEEPA ended from 00.01 (Eastern time) 24 Feb 2026.
- US Admin invoked Section 122 of the 1974 Trade Act—a legitimate trade policy tool under US law
- Tariff level is 10% plus MFN for all countries including UK applies up to 24 July 2026.
- Section 122 tariffs do not stack with existing Section 232 duties
- US Admin (through US Trade & Representative Office) signalled new and expanded trade and market investigations. The potential for future tariff action in 2026.
EU
- Customs Reform: Guidance on EU Union Custom Code reforms
On 1 July, the EU removed customs duty exemption for parcels worth less than €150. Meaning most low value goods will have a €3 customs charge or normal EU tariffs. DBT have published guidance through business.gov and the business academy on the changes to the EU Union Customs Code. Changes have also been announced on ‘rules of origin’ definitions under the revised Union Custom Code reforms
EU Union Customs Code (UCC) reforms – changes for goods valued at or below EUR 150
EU Union Custom Code Reforms Explained - July 1st, 2026 - Business Academy - Business.gov.uk
4ba8dc4c-2600-43ee-9010-2101cd05210c_en
Implementing regulation - EU - 2026/1183 - EN - EUR-Lex
- EU-US
The European Parliament has approved legislation implementing the August 2025 EU-US trade framework, reducing tariffs on US industrial goods while improving access for selected agricultural products. The package also includes safeguards allowing the EU to withdraw concessions or take protective action if US steel and aluminium tariffs remain above agreed thresholds or threaten EU industry.
The EU-US trade deal - European Commission
External Links
US
US Federal Register: The Federal Register (FR or sometimes Fed. Reg.) is the official journal of the federal government of the United States that contains government agency rules, proposed rules, and public notices. It is published every weekday, except on federal holidays. The final rules promulgated by a federal agency and published in the Federal Register are ultimately reorganized by topic or subject matter and codified in the Code of Federal Regulations (CFR), which is updated quarterly.
Federal Register :: Current Federal Register Document Issue
Federal Register :: Document Search
US Customs and Border Protection: CBP takes a comprehensive approach to border management and control, combining customs, immigration, border security, and agricultural protection into one coordinated and supportive activity.
Tariff Overview | U.S. Customs and Border Protection
Trade Remedies | U.S. Customs and Border Protection
Cargo Systems Messaging Service | U.S. Customs and Border Protection
Harmonized Tariff Schedule: The Harmonized Tariff Schedule of the United States (HTS) sets out the tariff rates and statistical categories for all merchandise imported into the United States. The HTS is based on the international Harmonized System, which is the global system of nomenclature applied to most world trade in goods.
White House:
UK
GOV.UK: US tariff changes updated. Check new taxes on imports to the US using the Check duties and customs procedures for exporting goods service on GOV.UK.
https://www.business.gov.uk/export-from-uk/markets/united-states/us-trade-tariffs
https://www.gov.uk/world/organisations/department-for-business-and-trade-in-the-usa?lang=en-gb
Canada
The Canada Border Services Agency (CBSA): CBSA oversees customs regulations and border security, ensuring safe and efficient travel into Canada.
Trade facilitation, compliance, and incentives
News | Prime Minister of Canada
UK-US Economic Prosperity Deal
In May 2025, the Economic Prosperity Deal agreed between the UK and the U.S. sets out high-level trade commitments and opportunities for further negotiation. A series of implementing measures is described in Executive Order 14309 dated 16 June 2025 “Implementing the General Terms of the United States of America-United Kingdom Economic Prosperity Deal”.
Currently, elements of the deal have been agreed and ratified. There has been no change to the baseline ten per cent tariff for UK origin goods entering the US market, except for aerospace and the future prospect for pharmaceutical and related products.
The 10 percent tariffs have been reduced to zero for aerospace goods which fall under the WTO Agreement on Trade in Civil Aircraft such as engines and aircraft parts.
UK Automotive manufacturers currently have an annualised tariff relief quota, allowing the sector to sell up to 100,000 vehicles to the US at a 10 percent tariff rate, including MFN duty. This could be reviewed during 2026.
Progress towards zero percent tariffs for core steel products continue to be discussed, but there is no further information on this part of an Aluminium and Steel deal at this stage.
All measures will be kept under review by the US administration.
External References
US
UK
UK-US Economic Prosperity Deal (EPD) - GOV.UK
US_UK_EPD_050825_FINAL_rev_v2.pdf
UK-US trade deal kicks into gear: immediate tariff cuts for UK auto and aerospace sectors - GOV.UK
Check new tariffs on imports to the U.S. using the ‘Check Duties and Customs’ procedures for exporting goods service on GOV.UK.
Check duties and customs procedures for exporting goods - GOV.UK
How to use Harmonised System (HS) or commodity codes | business.gov - business.gov.uk
General Questions to Consider
The application of trade tariffs to export to the US will cause complexity on global trade and uncertainty on how long they will last and their longer-term impact on the UK economy, international economies and for trade dynamics.
UK businesses need to assess the implications and think through new commercial, trading, and financial strategies in what remains a highly fluid situation.
Impact on UK exports
- Tariffs on US imports will lead to higher US prices being paid by importers and therefore increased prices for US consumers. This could have an impact on the timely processing of goods through the US border affecting receipt with importers and customers. It could impact on the demand for UK exported goods.
- Supply chain challenges
- Increased costs on UK goods/components could also be seen as other countries' exports to the US that include UK content, will be affected by the tariff measures and the cost push through around the wider international supply chains. UK businesses relying on materials from China, India, Brazil, Mexico, and Canada, as well as those other countries with higher rates imposed could see cost increases, affecting manufacturing and demand for US goods.
- Financial liquidity could have an impact on supply chain stakeholders, if an economic slow-down impacts on banking trends and appetite for risk. UK businesses should maintain as maximal view of their supply chains as possible to reduce the risk of disruption, in the event of decreased appetite for lending.
Currency & investment
- International sentiment and unpredictability in currency and money markets particularly towards the US dollar, will affect the pound and other global currencies, impacting import costs and export competitiveness. UK firms with US operations should keep close observance on the impacts this could bring on heightened revenue and investment uncertainties.
Immediate questions and steps for UK businesses
The US tariff landscape demands immediate measures to be considered and some quick hints.
Keep informed
- Monitor US, UK, EU, and other key nations (i.e. China, Canada, Mexico) trade policy changes and announcements. The position will remain fluid as countries and economic blocs respond to ongoing US tariff announcements.
- Consider and respond to impact on your supply chains. Trade data will be a useful resource to help understand potential tariff impacts on specific products and materials.
- Review and adapt your supply chain
- Assess supply chain vulnerabilities to the tariff increases. Undertake an initial impact analysis and start to model cost and demand drivers.
- Consider supply chain diversification by sourcing with countries that have more favourable tariff treatment.
- Increase companywide supply chain visibility to identify known or potential disruptions. A key focus on your main producers or manufacturers and assessment of the impact on them.
Renegotiate contracts
- Review commercial and trade contracts with suppliers and incorporate clauses addressing tariff fluctuations.
- Consider force majeure clauses for significant tariff changes, allowing for renegotiation or termination.
- Explore shifting tariff responsibility to suppliers through modified terms of sale.
- Explore tariff mitigation strategies.
Tariff analysis
- Analyse product classifications and explore modifications to potentially qualify for lower tariff rates.
- Free trade agreements (FTAs): despite the changes to US tariff policy, options to see/use benefits from reduced or zero-rated tariffs. FTA rules of origin compliance essential.
- Foreign trade zones (FTZs): Consider utilizing FTZs for potential duty deferral, reduction, and increased supply chain efficiency.
Optimise customs valuation and compliance
- Accurately classify your goods for US import: review customs valuation methods to ensure accurate declarations and exclude non-dutiable costs.
- Goods origin calculations: consider revising goods origin calculations and valuation procedures to the US, to ensure compliance and minimise ‘over statement’ of tariff amounts.
- Trade compliance: engage trade compliance experts to navigate complex regulations and ensure accurate documentation.
For questions or other policy matters on Tariffs, please email [email protected]