Dear Valued Customer,

This is to let you know that due to the national state of emergency at the southern border of the United States, which was declared on January 20, 2025, President Trump has ordered a series of tariffs on imports from Canada, China, and Mexico. The tariffs on Canadian and Chinese imports are slated to go into effect at 12:01 A.M. eastern time on Tuesday, Feb. 4, 2025. Tariffs on imports from Mexico are being delayed by one month. There is currently no timeline for when the tariffs may be lifted.

Here is a summary of what President Trump has ordered:

1. A 25% tariff (ad valorem rate of duty) on all goods (except energy resources) entering the United States from Canada. Energy resources will be subject to a 10% tariff.

2. A 10% tariff (ad valorem rate of duty) on imports from China. 

The new tariffs are in addition to all other tariffs currently being imposed. Furthermore, all goods from Canada and China that were in transit before 12:01 a.m. on February 1, 2025, will not be subject to the current tariff order. Finally, the new order has revoked the “de minimis” exemption for all goods coming from Canada and China.

Also, according to multiple media reports, President Trump’s 25% tariff (ad valorem rate of duty) on all goods entering the United States from Mexico are being postponed by one month after the Mexican government and the Trump Administration reached a deal where Mexican troops would be deployed to the U.S. Border to help stop the influx of illegal immigration into the United States.

We will update you on any new developments. In the meantime, please reach out to your logistics advisors if you have any questions about the current situation and understanding which items are covered by the new tariffs.

Sincerely,

OEC Group