Important: Upcoming Tariff Updates
Hi everyone,
Over the last few weeks there have been several updates regarding the current and future state of tariffs. Below is a summary of where things stand: the expiring Section 122 tariff, the proposed Section 301 forced-labor tariff set to replace it, and the EU/US trade agreement.
Section 122 Tariff (Expiring)
The current 10% tariff, imposed under Section 122, is set to expire on July 24, 2026.
Section 301 Forced-Labor Tariff (Proposed)
New tariffs under Section 301 have been proposed due to countries' failure to police forced labor. These have gone through the review and public hearing stages, with a decision imminent. We expect a new 10% tariff under Section 301 to take effect immediately after the Section 122 tariff expires.
We're waiting on final guidance from CBP on this tariff, which should arrive any day. Once it does, we'll send a follow-up confirming the details.
EU/US Trade Agreement
Separately, the recently ratified EU/US trade agreement introduces a possible cap of 15% on certain tariffs. The agreement doesn't mandate an increase — it caps the rate at 15% — so it's possible the applicable tariff stays at 10%. We don't yet have details on exactly which goods will be subject to a tariff or at what rate.
We'll share more as soon as we have confirmed details on either front.
If you have any questions, please reach out to us at answers@elysiaships.com.
Thank you,
The Elysia & Co Team
