Trade Updates
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U.S. and Vietnam Agree to a Framework for Reciprocal Trade Agreement
The U.S. and Vietnam agreed on a Reciprocal Trade Framework to expand market access, reduce trade barriers, and enhance bilateral economic cooperation. Thailand will eliminate tariffs on about 99% of U.S. goods, while the U.S. will maintain a 19% reciprocal tariff rate and apply zero tariffs on select Thai-origin products.
U.S. and Thailand Reach Framework for Reciprocal Trade Agreement
The U.S. and Thailand have agreed on a new reciprocal trade framework to enhance economic ties. Thailand will remove tariff barriers on approximately 99% of goods, covering nearly all categories of U.S. industrial and agricultural exports., while the U.S. maintains 19% reciprocal tariff rate on Thai-origin goods.
USTR Launches Section 301 Investigation on China’s Compliance with Phase One Trade Agreement
The U.S. Trade Representative has launched a Section 301 investigation to assess China’s adherence to the Phase One Trade Agreement. The review will determine compliance, gather public input, and consider future trade enforcement actions based on findings.
GHY International Acquires W.G. McKay: Two Legacies Unite to Deliver Client-First Service
GHY International has acquired W.G. McKay, uniting two trusted Canadian customs brokerage leaders. With 235 years of combined expertise, this partnership strengthens trade compliance and ensures efficient cross-border solutions for businesses in Canada and the U.S.
Canada Extends Tariff Relief for Affected Businesses
Canada has extended tariff relief measures to support businesses impacted by U.S. and China trade countermeasures. The new Remission Order (2025-1), effective October 15, 2025, expands exemptions for manufacturers, agriculture, and public sector imports while extending key deadlines to December 15, 2025. Importers can access CBSA’s Duties Relief and Duty Drawback Programs for tariff refunds and remission claims.
UPS Disposes of U.S.-Bound Packages Over Customs Paperwork Issues
UPS is destroying some international packages that fail to clear U.S. customs because of missing paperwork. The end of the de minimis exemption has led to stricter rules, causing delays and confusion for customers and businesses.
Canada Introduces Bill C-12 to Strengthen Border Security and Immigration System
Canada introduces Bill C-12 to strengthen the country’s border security and immigration system. It aims to combat illegal fentanyl, organized crime, and enhance asylum processing, export inspections, and law enforcement collaboration to protect Canadians and keep communities safe.
U.S. Trade-Related Agencies’ Shutdown Plans Amid Funding Lapse
The 2025 U.S. government shutdown has paused routine trade activities, but key agencies continue essential enforcement, tariff, and border functions. Shutdown plans ensure critical operations linked to national security and trade negotiations proceed despite funding interruptions. CBP remains fully operational during the shutdown, with all ports, inspections, collections, and trade functions continuing, though refund and drawback processing is temporarily paused.
New Section 301 Vessel Fees Effective October 14, 2025
New Section 301 vessel fees take effect October 14, 2025, targeting vessels linked to China. Operators must pay fees via Pay.gov before arrival to avoid delays. Fees apply under three annexes with specific exemptions for LNG tankers and others.
CBSA Working Through Backlogs to Restore Normal Service (Updated)
CBSA has restored systems following the September 28 outage, but backlogs remain, and delays are expected at all ports of entry through the weekend. Key systems affected included ACROSS, Single Window, eManifest, and Commercial Exports. Commercial carriers are advised to avoid the Peace Bridge until further notice due to congestion.
U.S. Government Shutdown Now in Effect
The U.S. government shutdown, effective October 1, 2025, is causing customs clearance delays due to reduced staffing at agencies like the FDA and EPA, despite CBP continuing operations. Importers are advised to hold non-essential shipments to avoid disruptions.
DOJ and Homeland Security Launch Cross-Agency Trade Fraud Task Force
The DOJ and Homeland Security have created a Trade Fraud Task Force to crack down on tariff evasion, smuggling, and trade violations. This effort supports fair trade and protects American industries and taxpayers.
FDA Draft Supplemental Guide Version 2.6 Now Available
The FDA released draft version 2.6 of its Supplemental Guide for imports in ACE, focusing on tobacco and electronic nicotine delivery systems. This update improves import data accuracy and compliance with new validation rules and product code clarifications.
U.S. and EU Agree on Major Trade Deal (Tariff Implementation Guidance)
U.S. CBP issued guidance on implementing the EU-U.S. trade framework shortly before the tariff modifications were officially published in the Federal Register notice. The deal removes tariffs on American industrial exports, sets a 15% tariff cap on most European imports to promote domestic production, and strengthens investment and supply chain security.
Trump Administration Submits Legal Defense of IEEPA Tariffs to Supreme Court
The Trump Administration argues in its Supreme Court brief that IEEPA authorizes the President to impose tariffs during national emergencies. The Court’s ruling will clarify presidential powers and impact U.S. trade and national security policy.
FY 2026 CBTPA Apparel Quotas and Eligible Countries
CBP has announced the FY 2026 Caribbean Basin Trade Partnership Act (CBTPA) apparel quotas. The quota period runs from October 1, 2025, through September 30, 2026, covering apparel articles and T-shirts from CBTPA beneficiary countries including Barbados, Belize, Curacao, Guyana, Haiti, Jamaica, Saint Lucia, and Trinidad and Tobago. Duty-free access begins at the quota opening on October 1, 2025.
CBP Issues Updated Entry Filing Guidance on Replacement Duties
CBP has updated entry filing guidance (CSMS #66319804) on replacement duties for certain imports from the European Union, Japan, and the United Kingdom. The update clarifies filing requirements under specific Chapter 99 HTSUS headings/provisions, confirms capped duty rates (15% for EU and Japan; 10% for UK auto parts), and reminds importers that Section 232 duties are not eligible for drawback. Importers who misreported must file post summary corrections.
CBSA Announces Preliminary Determinations on Steel Strapping Imports
The CBSA issued preliminary determinations on steel strapping imports from China, South Korea, Türkiye, and Vietnam. Provisional duties will apply on shipments released after September 16, 2025, to address dumping and subsidy concerns under SIMA.
USTR Seeks Public Comments Ahead of USMCA Joint Review 2026
USTR is seeking public input on the USMCA’s operation and the Competitiveness Committee. Comments and hearing requests are due November 3, 2025, ahead of the Joint Review on July 1, 2026, to decide the agreement’s future and whether to extend it for a new 16-year term.
U.S. Commerce Opens Process for Adding Auto Parts to Section 232 Tariffs Oct. 1
Commerce/BIS issued an interim final rule to expand Section 232 tariffs on auto parts. Starting October 1, 2025, domestic producers can request additions by submitting product details, HTSUS codes, and national security impact data. Public comments close November 3.
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