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CBP Issues Updated Entry Filing Guidance on Replacement Duties

Trade Update • Sept.23, 2025

Key Points

  • CBP issued updated entry filing guidance (CSMS #66319804) covering replacement duties on certain imports from the EU, Japan, and the UK.
  • Impacted HTSUS headings: 9903.02.20, 9903.02.73, 9903.94.41, 9903.94.43, and 9903.94.32.
  • Duty rates capped:
    • EU & Japan reciprocal tariffs → 15% total.
    • Japan autos & auto parts (Section 232) → 15% total.
    • UK auto parts (Section 232) → 10% total.
  • Filing requirement: Report full duty under the Chapter 99 provision; report 0 under the regular Chapter 1–97 HTSUS line.
  • Drawback: Section 232 duties are not eligible for drawback; only Column 1 duties may be claimed.
  • Corrections: Importers who misreported must file post summary corrections.
  • References: Federal Register notices 90 FR 37963, 90 FR 27851, 90 FR 44638.
CBP Officer Working at Computer w/ CBP Office of Trade Logo

U.S. Customs and Border Protection (CBP) has issued updated entry filing guidance that revises prior instructions (CSMS #65475725, 65829726, and 66242844) on replacement duties applied to certain imports from the European Union, Japan, and the United Kingdom. The updates affect specific Chapter 99 HTSUS headings / provisions tied to reciprocal tariffs and Section 232 automobile and auto part duties.

Key Filing Updates:

  • EU Reciprocal Tariff – HTSUS 9903.02.20

    • Total duty rate: 15% (Column 1 + reciprocal tariff)

    • Report 15% under 9903.02.20; report 0 under the Chapter 1–97 tariff line.

  • Japan Reciprocal Tariff – HTSUS 9903.02.73

    • Total duty rate: 15%

    • Report 15% under 9903.02.73; report 0 under the Chapter 1–97 tariff line.

  • Japan, Section 232 Duties

    • Automobiles – HTSUS 9903.94.41: Total duty 15%

    • Auto Parts – HTSUS 9903.94.43: Total duty 15%

    • Report full duty under Chapter 99; report 0 under Chapter 87 (autos) or Chapter 1–97 (parts).

  • UK, Section 232 Duties

    • Auto Parts – HTSUS 9903.94.32: Total duty 10%

    • Report full duty under 9903.94.32; report 0 under Chapter 1–97 tariff line.

Drawback Exception

  • Section 232 duties under HTSUS 9903.94.41, 9903.94.43, and 9903.94.32 are not eligible for drawback.

  • Only the Column 1 duty may be claimed for drawback.

  • Example – For a Japanese auto under HTSUS 8703.22.01 (2.5% Column 1 duty):

    • Report 2.5% under 8703.22.01.

    • Report 12.5% (difference to reach 15%) under 9903.94.41.

    • Drawback can only be claimed on the 2.5% Column 1 duty.

Post Summary Corrections Required

Importers who may have misreported total duties under these Chapter 99 provisions are advised to submit post summary corrections.

Reference Federal Register Notices: 90 FR 37963, 90 FR 27851, 90 FR 44638

How GHY Can Help?

GHY specializes in helping businesses navigate and reduce the impacts of tariffs through strategic solutions tailored to their needs. Our experts can audit your supply chain to identify inefficiencies, uncover cost-saving opportunities, and ensure compliance with evolving trade regulations. We also employ tariff engineering techniques to optimize product classification and sourcing strategies, minimizing duty exposure and maximizing profitability.

By partnering with GHY, your business gains access to the tools and expertise needed to streamline operations and stay competitive in a challenging trade environment.

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