Section 232PublishedUpdated Jul 29, 2026

Commerce opens Section 232 tariff offset applications for US auto and MHDV engine makers

The International Trade Administration's notice (Docket No. 260720-0174) sets procedures for US manufacturers of automobile engines and medium- and heavy-duty vehicle (MHDV) engines to claim import adjustment offsets under Proclamations 10925 and 10984. The offset equals 3.75% of the aggregate value of qualifying engines assembled in the US and can reduce Section 232 tariff liability on automobile parts (Proclamation 10908) and MHDV parts (clauses 1, 7 or 12 of Proclamation 10984). To qualify, engine production must use at least two US-originating core engine components (turbochargers, heads, blocks, crankshafts, pistons, rods) in years 1–2 and at least four from year 3. Applications open July 29, 2026; annual periods begin November 1, 2025 for MHDV engines and May 1, 2026 for automobile engines; offsets carry forward indefinitely but cannot be traded, sold or transferred.

Countries: 🌐 All countries

How we got here

Every official document behind this update, oldest first.

  1. Filed earlyJul 28, 2026 · Federal Register (public inspection) · Notice
    Procedures to Administer Import Adjustment Offset Amounts: Certain Imports of Automobile and Medium- and Heavy-Duty Vehicle Parts for Automobile and Medium- and Heavy-Duty Vehicle Engine Manufacturers
  2. PublishedJul 29, 2026 · Federal Register · Notice
    Procedures To Administer Import Adjustment Offset Amounts for Certain Imports of Automobile and Medium- and Heavy-Duty Vehicle Parts for Automobile and Medium- and Heavy-Duty Vehicle Engine Manufacturers
Stages
  1. Announced
  2. Signed
  3. ✓ Filed early
  4. ✓ Published
  5. CBP guidance
  6. In the HTS

More Section 232 updates

  • Oct 16, 2026CBP issues HSU 2625 with Section 232 pharmaceutical updates and CPSC flag changes

    CBP's CSMS # 70220191 announces Harmonized System Update (HSU) 2625, created September 29, 2026, with 57 harmonized tariff records and 304 ABI records. It contains Section 232 pharmaceutical updates (details referenced in CSMS # 70054007), corrections to assessment reduction rates for live porcine animals and pork products under the Pork Promotion, Research, and Consumer Information Order, and CPSC PGA flag changes. The CPSC flag changes from CP2 to CP1 on 14 HTS codes, and CP2 is removed from 9613802010.

  • Oct 14, 2026Commerce seeks comment on information collection for steel and aluminum tariff adjustment program

    The International Trade Administration has issued a Paperwork Reduction Act notice requesting comment on extending information collection OMB Control Number 0625-0285. The collection covers submissions by steel and aluminum producers with facilities in Canada or Mexico that commit to new U.S. primary steel or primary aluminum production. Under Proclamation 10984, such producers may obtain reductions of Section 232 steel and aluminum tariffs (Proclamations 9704 and 9705) of up to half the applicable rate, but not below 25 percent. The reduction applies only to USMCA-qualifying steel melted and poured, or aluminum smelted and cast, in Canada or Mexico, in quantities equal to newly committed U.S. capacity. Comments are due August 17, 2026; the notice does not change any tariff rate.

  • Oct 14, 2026Commerce defines "U.S. content" for USMCA metal goods under Proclamation 11032 tariffs

    A Bureau of Industry and Security notice gives CBP guidance on assessing "U.S. content" under clause (2)(d) of Proclamation 11032 of June 1, 2026, which adjusted the Section 232 tariffs on aluminum, steel and copper. It applies to products of Canada and Mexico that qualify for USMCA preferential treatment. U.S. content means the value attributable to parts wholly obtained, entirely produced or substantially transformed in the US. It also covers, where not already counted, the value of steel melted and poured or aluminum or copper smelted and cast in the US. The guidance applies to goods entered or withdrawn from warehouse for consumption on or after 12:01 a.m. ET on October 14, 2026.

  • Sep 24, 2026BIS sets anti-stockpiling import limits on polysilicon products ahead of Section 232 tariffs

    A Commerce/BIS temporary final rule (15 CFR Part 705, Supplement No. 1) implementing Proclamation 11052 restricts stockpiling of polysilicon and derivatives before the Section 232 minimum import prices and tariffs take effect on December 4, 2026. Existing importers of record found importing volumes substantially above their historic averages can be barred from further entries until December 4. New importers of record registered with CBP on or after August 6, 2026 may import only up to set weekly quantities per HTSUS code: 12 kg for 2804.61.00, 7 kg for listed 3818.00 codes, 2,000 units for 8541.42.00 and 55 units for 8541.43.00. Affected importers can apply to BIS for a waiver between September 22 and December 3, 2026. The rule also removes the old aluminum and steel inclusions process.

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