PROCLAMATION: U.S. ASSEMBLED AUTOMOTIVES ELIGIBLE FOR SOME TARIFF RELIEF
On April 29, 2025, the White House issued a proclamation modifying how Section 232 duties apply to auto parts. Automakers that assemble vehicles in the United States may now apply for a limited tariff offset to reduce their Section 232 parts liability.
The offset equals 3.75% of the MSRP value of U.S.-built vehicles through April 2026 and drops to 2.5% for the following year. Relief is capped to each manufacturer’s own tariff exposure and must be requested through a formal application process.
Manufacturers have 30 days to submit production plans, cost data, and importer details. Approved offsets will be applied by U.S. Customs Border Protection (CBP), with penalties for excess claims.
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