CBP Updated Guidance on Section 232 Copper and Copper Derivative Products
This article is a summary of CSMS #65794272 with a downloadable file of Copper HTSUS codes subject to this guidance. To review the complete document, please click on the following link:
CSMS # 65794272 – GUIDANCE: Section 232 Import Duties on Copper and Copper Derivative Products
BACKGROUND
- Implementation Date: July 30, 2025 – The new tariff takes effect immediately
- Tariff Rate: 50% ad valorem tariff imposed on all qualifying copper imports
- Affected Products:
- Semi-finished copper products
- Intensive copper derivative products
- Scope: Applies to imports from all countries without exception
- Legal Authority: Enacted under Section 232 of the Trade Expansion Act of 1962, which allows trade restrictions for national security purposes
ENTRY FILING INSTRUCTIONS
Effective August 1, 2025, U.S. Customs and Border Protection implements new tariff structures for copper-containing imports under Section 232 duties.
Key Tariff Rates:
- 50% additional duty applies to copper content in semi-finished copper and intensive copper derivative products (HTSUS 9903.78.01)
- 0% additional duty applies to non-copper content in these products and goods containing no copper (HTSUS 9903.78.02)
Affected Products:
- Semi-finished copper products from all countries
- Intensive copper derivative products containing copper content
- Mixed-material products requiring separate reporting for copper and non-copper components
Reporting Requirements:
- Pure copper products: Report entire value under single entry line with 50% duty
- Mixed products: Split into two entry lines—first for non-copper content (0% duty), second for copper content (50% duty)
- Copper content value determined using standard customs valuation principles
- Documentation required: Bill of materials, material invoices, and accounting records to support reported values
Compliance Notes:
- Importers must maintain supporting documentation and provide to CBP upon request
- Insufficient documentation results in duties calculated on entire product value
- Underreporting consequences include monetary penalties, loss of import privileges, and potential criminal liability
Duties Applying to the Non-Copper Content
Per the July 30, 2025 Proclamation, the non-copper content of all subject copper articles shall be subject to any other import duties in effect, including import duties established by Presidential Proclamations, except as specified below.
Exemption for Goods Subject to Section 232 Duties on Auto Parts
If an imported good is subject to both the Section 232 duties on automobiles and automobile parts under Proclamation 10908, as amended, and the Section 232 duties on copper and copper derivative products, then the Section 232 duties on copper and copper derivative products are not applicable.
IEEPA Reciprocal Tariff Exception
International Emergency Economic Powers Act (IEEPA) Reciprocal tariff exception 9903.01.33 applies to goods subject to Section 232 tariffs including semi-finished copper and intensive copper derivative products provided for in 9903.78.01.
DRAWBACK
No drawback shall be available with respect to the duties imposed pursuant to the July 30, 2025 Proclamation.
FOREIGN TRADE ZONE
- Foreign Trade Zones: Products subject to July 30, 2025 Proclamation must enter as “privileged foreign status” starting August 1, 2025
- Duty Requirements: Items face ad valorem duty rates based on HTSUS classification upon consumption entry
- Copper Goods Support: Contact your CBP Client Representative for ACE entry rejection issues
Reference Materials:
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