Section 301 Tariff Alert – Additional 25% tariff effective May 10, 2019

From the desk of Sheila Hewitt
V.P. international / AFS LOGISTICS

As you likely know, U.S. Customs has been ordered to begin collecting 25% additional duty on items from China on List 3 that are currently subject to 10% additional duty.  According to Customs (as of this afternoon), their interpretation of this order is as follows:

  • Goods that “enter” the U.S. on or after 12:01 AM on Friday, May 10, that are currently subject to 10% additional duty (China List 3) will be subject instead to 25% additional duty.
  • NOTE – If the goods were exported before May 10, they WILL NOT be subject to 25% additional duty but will instead be subject to 10% additional duty as they are currently.
  • FURTHER NOTE – U.S. Customs has indicated that this is their “interpretation” of the regulation and they are still trying to confirm this with the Trump Administration. We don’t know when this will be clarified but hopefully soon.
  • As of 4:30 EDT, the computer programming that must be done by U.S. Customs has not been completed, so because of this fact, we CANNOT transmit any entries for goods arriving after 12:01 AM EDT on Friday until we are instructed by U.S. Customs that the programming is completed or duty will not calculate properly. It is currently auto-flagging everything for 25% even when it should be 10% for things previously exported before the deadline.  This is not something that we have the ability to correct or override. U.S. Customs must update their computer systems in order for the update to be passed down to brokers and their software providers.  At this current time, U.S. Customs is stating the only solution is to clear at 25% and later ask for a refund when they “get the programming complete”. Obviously, we want to avoid this situation to save importers from outlaying such large duty when it’s not necessary.

This is an unprecedented event in our vast experience in the industry and we are working diligently to provide updates as they come to us.

If you have a shipment from China that MUST be cleared on or after 5/10, please let me know urgently so we can determine the best way to proceed during this confusing time and transition.  All shipments that are not considered to be an emergency to clear on 5/10 will be cleared as soon as further instructions from U.S. Customs are passed down the pipeline.  If your shipment – specifically from China – has not cleared yet, this is likely the reason.  We are hopeful a resolution will be provided by Monday, but again, we are not in control of this situation or timeline.

Please do not hesitate with any questions regarding your imports from China. AFS Logistics will continually update you as this process evolves.

Kind Regards,

Sheila Hewitt
Vice President, International
AFS Logistics

[email protected]  |  877-242-3383



Sign-up for the AFS Newsletter

Receive news updates and insights delivered straight to your inbox.

Download the Full Q1:2023
Cowen/AFS Freight Index

Reach out to our team by
phone or email

Become a carrier

First name:
Last name:

Motor Carrier #:

First name:
Last name:

AFS client name:
PRO #:
Invoice Date:
Payment Received Date:
Invoice Amount:

Other carrier inquiries

First name:
Last name:

AFS client name:

Have you tried logging in to vendor portal?

If you do not have a vendor log-in, please fill out the following.

First name:
Last name:

Have my account manager contact me

First name:
Last name:


AFS is directing carriers and customers to direct all inbound invoices to [email protected] or via established electronic submission, such as EDI or eSubmit to avoid processing delays due to the impacts of the COVID-19 countermeasures and service interruptions at the United States Postal Service.

Carriers should contact Carrier Support via email at [email protected] in lieu of calls. We have added additional resources and later hours to assist you and email will serve as the method for fastest response. Please send an aging report with your inquiry so that we may provide you the most current status.

Thank you!