Addressing Certain Tariffs on Imported Articles

Executive Orders

TLDR

This executive order prevents “tariff stacking” by establishing that specific U.S. tariffs (auto/parts, Canada/Mexico border, steel/aluminum) will not cumulatively apply to the same imported articles. The order is retroactive to March 4, 2025, allows for refunds of overpaid duties, and requires implementation by May 16, 2025. Other tariffs (MFN, Section 301, antidumping) remain unaffected and can still be applied cumulatively.

This executive order is designed to address and clarify the application of overlapping U.S. tariffs on imported goods, specifically targeting the issue of “tariff stacking”-where multiple tariffs cumulatively apply to the same article, resulting in excessive duty rates beyond what is deemed necessary to achieve policy goals.

Key provisions include:

  • Purpose: The order aims to prevent the cumulative (stacked) effect of certain tariffs imposed under different statutory authorities and executive actions, ensuring that the total duty rate does not exceed what is necessary for national security, foreign policy, or economic objectives.
  • Scope: The order applies only to tariffs imposed through specific proclamations and executive orders relating to:
    • Imports of automobiles and automobile parts (Proclamation 10908)
    • Duties addressing the flow of illicit drugs across the northern and southern borders (EOs 14193, 14194, and their amendments)
    • Section 232 tariffs on aluminum and steel (Proclamations 9704, 9705, and their amendments)

Non-Stacking Rules:

  • Automobiles and Auto Parts: If an article is subject to the Section 232 tariffs on automobiles and auto parts, it will not also be subject to the IEEPA tariffs on Canada/Mexico (related to fentanyl or border security) or Section 232 tariffs on steel or aluminum.
  • Canada/Mexico IEEPA Tariffs: If an article is subject to the IEEPA tariffs on Canada or Mexico, it will not also be subject to Section 232 tariffs on steel or aluminum.
  • Steel and Aluminum: Articles subject to Section 232 tariffs on aluminum may also be subject to Section 232 tariffs on steel, and vice versa, if they meet all relevant conditions.
  • Other Tariffs: The order does not affect the application of other tariffs, such as most-favored-nation duties, Section 301 tariffs, or antidumping/countervailing duties, which may still be cumulative.

Implementation:

  • The Secretary of Homeland Security (via U.S. Customs and Border Protection), in consultation with the Secretaries of Treasury and Commerce and the U.S. Trade Representative, is responsible for updating guidance, systems, and regulations to reflect this policy.
  • Any necessary changes to the Harmonized Tariff Schedule of the United States (HTSUS) must be implemented by May 16, 2025.
  • The order is retroactive to all entries made on or after March 4, 2025; refunds for overpaid duties will be processed according to standard procedures.

The order is not a reduction or repeal of tariffs but a clarification to prevent excessive, unintended tariff rates due to overlapping measures. Each tariff authority remains valid and enforceable, but their rates do not stack when the same article qualifies under multiple listed actions. This addresses industry concerns, especially among auto and parts manufacturers, about punitive costs from multiple layers of tariffs on the same goods.

The order does not remove or alter tariffs outside the specified list. Other trade remedies (e.g., Section 301 tariffs on China, antidumping/countervailing duties) can still be imposed in addition to the tariffs covered by this order. The non-stacking rules are narrowly tailored; for example, steel and aluminum tariffs can still be cumulative if both apply to the imported article.

The retroactive application to March 4, 2025, means importers who paid stacked tariffs on affected goods since that date may be eligible for refunds, but only for the tariffs covered by this order.

This executive order does not signal a broader shift in U.S. tariff policy or a rollback of protectionist measures. It is an administrative clarification to streamline tariff application and reduce unintended financial burdens on U.S. importers.

This executive order clarifies that certain U.S. tariffs on automobiles, auto parts, steel, aluminum, and specific border-related duties should not be cumulatively applied to the same article, except in narrowly defined cases. The order is retroactive, provides for refunds where appropriate, and does not affect other tariff measures outside its scope. It is an administrative move to prevent excessive duty rates from overlapping tariffs, not a substantive change in overall U.S. trade policy.

By the authority vested in me as President by the Constitution and the laws of the United States of America, including the International Emergency Economic Powers Act (50 U.S.C. 1701 et seq.), the National Emergencies Act (50 U.S.C. 1601 et seq.), section 604 of the Trade Act of 1974, as amended (19 U.S.C. 2483), section 232 of the Trade Expansion Act of 1962, as amended (19 U.S.C. 1862), and section 301 of title 3, United States Code, it is hereby ordered:

Section 1.

Purpose.

The United States has imposed tariffs under various statutory authorities and through a number of Executive Orders and proclamations to protect national security and address unusual and extraordinary threats to the national security, foreign policy, and economy of the United States. Although each of these actions, as listed in section 2 of this order, serves separate and distinct policy purposes, I have now determined that, to the extent these tariffs apply to the same article, these tariffs should not all have a cumulative effect (or “stack” on top of one another) because the rate of duty resulting from such stacking exceeds what is necessary to achieve the intended policy goals. To avoid the cumulative effect of overlapping tariffs on certain articles, this order sets out the procedure for determining which of multiple tariffs shall apply to an article when that article is subject to more than one of the actions listed in section 2 of this order.

Sec. 2.

Applicability.

This order shall apply only to the administration of tariffs imposed through the following actions and subsequent amendments to those tariffs:

(a) Proclamation 10908 of March 26, 2025 (Adjusting Imports of Automobiles and Automobile Parts Into the United States);

(b) Executive Order 14193 of February 1, 2025 (Imposing Duties To Address the Flow of Illicit Drugs Across Our Northern Border), as amended by Executive Order 14197 of February 3, 2025 (Progress on the Situation at Our Northern Border), Executive Order 14226 of March 2, 2025 (Amendment to Duties To Address the Flow of Illicit Drugs Across Our Northern Border), and Executive Order 14231 of March 6, 2025 (Amendment to Duties to Address the Flow of Illicit Drugs Across Our Northern Border);

© Executive Order 14194 of February 1, 2025 (Imposing Duties To Address the Situation at Our Southern Border), as amended by Executive Order 14198 of February 3, 2025 (Progress on the Situation at Our Southern Border), Executive Order 14227 of March 2, 2025 (Amendment to Duties To Address the Situation at Our Southern Border), and Executive Order 14232 of March 6, 2025 (Amendment to Duties to Address the Flow of Illicit Drugs Across Our Southern Border);

(d) Proclamation 9704 of March 8, 2018 (Adjusting Imports of Aluminum Into the United States), as amended by Proclamation 9980 of January 24, 2020 (Adjusting Imports of Derivative Aluminum Articles and Derivative Steel Articles Into the United States), and Proclamation 10895 of February 10, 2025 Adjusting Imports of Aluminum Into the United States); and

(e) Proclamation 9705 of March 8, 2018 (Adjusting Imports of Steel Into the United States), as amended by Proclamation 9980 of January 24, 2020 (Adjusting Imports of Derivative Aluminum Articles and Derivative Steel Articles Into the United States), and Proclamation 10896 of February 10, 2025 (Adjusting Imports of Steel Into the United States).

Sec. 3.

Non-Stacking of Tariff Measures.

(a) Notwithstanding any provision of any action listed in section 2 of this order, tariffs for articles subject to tariffs under the actions listed in section 2 of this order shall apply as follows:

(i) An article subject to tariffs pursuant to the action listed in section (2)(a) of this order shall not be subject to additional tariffs on that article pursuant to the actions listed in sections 2(b) through 2(e) of this order.

(ii) An article subject to tariffs pursuant to the actions listed in section 2(b) or 2© of this order shall not be subject to additional tariffs on that article pursuant to the actions listed in section 2(d) or 2(e) of this order.

(iii) An article subject to tariffs pursuant to the actions listed in section 2(d) of this order shall be subject to additional tariffs on that article pursuant to the actions listed in section 2(e) of this order, provided the article otherwise satisfies all conditions necessary for application of those additional tariffs; likewise, an article subject to tariffs pursuant to the actions listed in section 2(e) of this order shall be subject to additional tariffs on that article pursuant to the actions listed in section 2(d) of this order, provided the article otherwise satisfies all conditions necessary for application of those additional tariffs.

(b) Subsection (a) of this section shall not be construed to diminish the validity of any action listed in section 2 of this order. Each action listed in section 2 of this order remains independently valid and enforceable, except that the duty rates provided by these actions shall not be cumulative when the conditions outlined in subsection (a) of this section are met.

© If an imported article is subject to both a tariff imposed pursuant to subsection (a) of this section and one or more tariffs imposed pursuant to an action or actions not listed in section 2 of this order, then the tariff imposed on the article pursuant to subsection (a) of this section shall be cumulative with the tariff or tariffs imposed pursuant to the action or actions not listed in section 2 of this order.

Sec. 4.

Non-applicability to Other Tariff Measures.

(a) Nothing in this order shall be interpreted to alter or limit the application of any duties, taxes, fees, or exactions other than those imposed pursuant to the actions listed in section 2 of this order.

(b) Accordingly, an article that is subject to duties pursuant to an action listed in section 2 of this order may still be subject to other applicable duties, taxes, fees, exactions, and charges, such as, but not limited to, those set forth in column 1 of the Harmonized Tariff Schedule of the United States (HTSUS); duties imposed pursuant to section 301 of the Trade Act of 1974, as amended; duties imposed pursuant to Executive Order 14195 of February 1, 2025 (Imposing Duties To Address the Synthetic Opioid Supply Chain in the People’s Republic of China), as amended; and antidumping and countervailing duties.

Sec. 5.

Implementation.

(a) The Secretary of Homeland Security, acting through the Commissioner of U.S. Customs and Border Protection and in consultation with the Secretary of the Treasury, shall take all necessary steps to update guidance, systems, and enforcement mechanisms, including to revise, suspend, or rescind any regulations that may be inconsistent with this order, to reflect the policy set forth in this order.

(b) The Secretary of Commerce and the Secretary of Homeland Security, in coordination with the Secretary of the Treasury and the United States Trade Representative, shall provide additional guidance as necessary to ensure consistent interpretation and application of the policy set forth in this order.

© The Secretary of Homeland Security is authorized to determine whether changes to the HTSUS are necessary and to coordinate with the Chair of the United States International Trade Commission to implement all necessary changes to execute this order.

(d) Any changes to the HTSUS necessary to comply with this order shall be made not later than 12:01 a.m. eastern daylight time on May 16, 2025. This order shall apply retroactively to all entries of merchandise subject to any applicable tariffs outlined in section 2 of this order and made on or after March 4, 2025. Any refunds will be processed pursuant to applicable laws and U.S. Customs and Border Protection’s standard procedures for such refunds.

Sec. 6.

General Provisions.

(a) Nothing in this order shall be construed to impair or otherwise affect:

(i) the authority granted by law to an executive department or agency, or the head thereof; or

(ii) the functions of the Director of the Office of Management and Budget relating to budgetary, administrative, or legislative proposals.

(b) This order shall be implemented consistent with applicable law and subject to the availability of appropriations.

© This order is not intended to, and does not, create any right or benefit, substantive or procedural, enforceable at law or in equity by any party against the United States, its departments, agencies, or entities, its officers, employees, or agents, or any other person.

DONALD J. TRUMP THE WHITE HOUSE, April 29, 2025.