Customs Guidance on Ukraine Steel

Customs issued the following guidance on the extension of previously suspended tariffs on steel articles from Ukraine, extending the suspension for another year, until June 1, 2024.

BACKGROUND

In Proclamation 10403 of May 27, 2022 (Adjusting Imports of Steel into the United States), the President of the United States suspended the Section 232 tariffs set forth in Proclamation 9705 for the import of steel articles and derivative steel articles from Ukraine for one year. The suspension is scheduled to expire on 11:59 p.m. eastern daylight time on June 1, 2023.

On May 31, 2023, in Proclamation 10588: A Proclamation on Adjusting Imports of Steel Into the United States | The White House, the President issued a second suspension of Section 232 duties on imports of steel articles and derivative steel articles from Ukraine for one year, commencing on June 1, 2023. In addition, the new proclamation also provides that steel articles from the member countries of the European Union where the steel used in the manufacture of the steel article is melted and poured in Ukraine are exempt from paying Section 232 duties through 11:59 p.m. eastern daylight time on June 1, 2024. See  88 FR 36437.

For imports of steel and steel derivative articles from Ukraine, including steel articles from the European Union where the steel is melted and poured in Ukraine, importers are required to submit the certificate of origin from Ukraine to CBP’s Document Imaging System (DIS).  Imports of such steel and steel derivative articles that are not accompanied by certificates of origin from Ukraine are subject to the 25 percent ad valorem duty.

Importers should also submit the steel mill certificate required by 19 CFR 141.89.

The functionality, for the suspension of 232 duties on steel articles and derivatives was available in the Automated Commercial Environment (ACE) as of 7 am eastern daylight time, June 1, 2023.

GUIDANCE

Effective June 1, 2023, for certain goods subject to Proclamation 10588: A Proclamation on Adjusting Imports of Steel Into the United States | The White House, importers shall report the following Harmonized Tariff Schedule of the United States (HTSUS) classifications. See 88 FR 36437.

Steel/steel derivative articles from Ukraine with a certificate of origin:

Do not report any Chapter 99 HTS for the Section 232 duties.

Steel/steel derivative articles from Ukraine without a certificate of origin:

9903.81.83: Iron or steel products described in subdivision (b) of note 16 to the subchapter, when such are products of Ukraine and are not accompanied by certificates of origin.

9903.81.84: Derivative iron or steel products enumerated in note 16(a)(ii) to the subchapter, when such good are the products of Ukraine and are not accompanied by certificates of origin.

Steel articles from the European Union melted and poured in Ukraine with a certificate of origin from Ukraine:

9903.81.82: Iron or steel products described in subdivision (b) of note 16 to the subchapter that are melted and poured in Ukraine and are products of the member countries of the European Union enumerated in U.S. note 16(f).

Steel articles from the European Union melted and poured in Ukraine without a certificate of origin from Ukraine:

9903.80.01:  Products of iron or steel provided for in the tariff headings or subheadings enumerated in note 16.

FOREIGN TRADE ZONES

Any imports of steel articles from the member countries of the European Union where the steel used in the manufacture of the steel article is melted and poured in Ukraine, that were admitted into a U.S. foreign trade zone under “privileged foreign status,” prior to 12:01 a.m. eastern daylight time on June 1, 2023, shall be subject upon entry for consumption made on or after 12:01 a.m. eastern daylight time on June 1, 2023, to the 25 percent rate of duty imposed by Proclamation 9705, as amended.

TARIFF RATE QUOTA

Steel articles from a member country of the European Union where the steel used in the manufacture of the steel article is melted and poured in Ukraine are not eligible for and shall not count against, the in-quota volume of the tariff-rate quota. See Proclamation 10328.

For reference, a summary of Section 232 Chapter 99 HTS classifications is attached.

Information and contacts related to Section 232 entry filing requirements is located on the trade remedy website on CBP.gov at https://www.cbp.gov/trade/remedies.