HAGERSTOWN, MD (April 1, 2025) – Washington County Department of Business and Economic Development wants to alert Foreign Trade Zone (FTZ) Operators and Users about the tariff increases expected to be announced on April 2, 2025. These changes could impact imports and FTZ activities, so it’s important to review your operations now and plan accordingly to minimize or avoid the additional tariffs.
To prepare, consider taking the following steps:
- Expedite Shipments: File Customs entries before the tariff increases take effect. For air freight, file your entry “wheels up,” and for ocean freight, file five days before arrival at the first U.S. port of entry.
- Review HTSUS Classifications: Double-check your product classifications to ensure they are correct, especially for steel and aluminum derivatives or products under HTSUS Chapters 98 and 99, as these are subject to additional tariffs.
- Explore Tariff Engineering: If possible, consider re-engineering your product or shipping it differently (e.g., separate shipments) to potentially qualify for a different tariff classification.
- Reduce Customs Value: Look for opportunities to reduce your customs value by negotiating lower prices with suppliers or excluding U.S. engineering and design costs.
- FTZ Strategies: Route incoming shipments through FTZs to take advantage of specific FTZ benefits. You may also be able to declare products as “U.S.-origin” if they undergo substantial transformation in the FTZ.
- Compliance with Customs Regulations: Stay aware of new CBP rules, as there are strict penalties for non-compliance with these tariffs and trade remedies.
“We recommend consulting with trade experts to ensure you’re fully prepared for these changes and to understand how to navigate the new tariff landscape,” stated Linda Spence, Foreign Trade Zone #255 Grantee and Administrator for the Washington County Department of Business and Economic Development.
For more information and a list of trade experts, please email Ms. Spence at [email protected] or phone her at 240-313-2286.
