Imposing Additional Duties To Offset Canadian Discrimination Against the Commerce of the United States With Respect to Dairy

This proclamation imposes, under section 338 of the Tariff Act of 1930, an additional ad valorem duty of 50 percent on certain products of Canada identified in Annex II, effective 12:01 a.m. eastern time on August 19, 2026, to offset Canada's discriminatory tariff-rate quota allocation measures that exclude retailers from the USMCA cheese TRQ while granting retailers access under the CETA cheese TRQ. The duties are in addition to existing duties but do not apply to articles subject to section 232 duties or, excluding unmanned aircraft, articles covered by the WTO Agreement on Trade in Civil Aircraft, and covered products admitted to foreign trade zones must enter as "privileged foreign status". The Commissioner of U.S. Customs and Border Protection, in consultation with the Secretary of the Treasury, the Secretary of Commerce, and the United States Trade Representative, is authorized to issue implementing rules and make necessary modifications to the Harmonized Tariff Schedule.

Importers of covered Canadian products to Pay an additional 50 percent ad valorem duty on covered products of Canada identified in Annex II entered for consumption or withdrawn from warehouse for consumption (Effective 12:01 a.m. eastern time on August 19, 2026). Parties admitting covered Canadian products into U.S. foreign trade zones to Admit covered products into U.S. foreign trade zones under "privileged foreign status" rather than other statuses, except products eligible for admission under "domestic status" (On or after the effective date of the proclamation (August 19, 2026)).

No known legal challenges.