Truck and Bus Tariffs Start Nov 1
20 October 2025 07 MINS. Read USA
President Trump announced new Section 232 tariffs on the imports of medium-and heavy-duty vehicles (MHDVs) and their parts, and on buses. Starting November 1, 2025, MHDVs and parts shall be subject to a 25% duty rate, and buses shall be subject to 10% duty rate.
“Offshoring of MHDV manufacturing, enabled by foreign industrial practices and other policies, has resulted in an import penetration level of 43 percent of Class 4 through 8 MHDVs sold on the United States market. The United States suffers 50 percent import penetration in Class 8 MHDVs — the heaviest-duty trucks.”
The proclamation also provides information on future exclusions, inclusions, import adjustment offsets for both medium-and heavy-duty vehicles and passenger vehicles and light trucks, and makes a special allowance for vehicle parts that aren’t currently listed within this Section 232 order or Section 232 Auto Parts.
Effective Date
On or after 12:01 a.m. eastern daylight time on November 1, 2025, medium-and heavy-duty vehicles, parts, and vehicles transporting 10 or more persons (buses) are subject to additional duties under Section 232. Details including the Harmonized Tariff Schedule of the United States (HTSUS) numbers are in Annex I of the proclamation.
- 9903.74.01 – Medium-and heavy-duty vehicles (MHDVs) (such as trucks): 25%
- 9903.74.08 – Parts of medium-and heavy-duty vehicles (MHDVPs): 25%
- 9903.74.02 – Buses and other vehicles of 8702: 10%
Learn which HTSUS numbers are subject to the tariffs.
Exemptions
Vehicles at Least 25 Years Old
The tariffs imposed shall not apply to MHDVs or buses and other vehicles classified in HTSUS heading 8702 that were manufactured in a year at least 25 years prior to the date of entry. [HTSUS 9903.74.07]
USMCA: Medium- and Heavy-Duty Vehicle Parts
Initially, imports of individual medium- and heavy-duty vehicle parts that qualify for preferential tariff treatment under the USMCA shall not be subject to the additional ad valorem duty rate imposed under this proclamation. [HTSUS 9903.74.10]
However, at a later date the Secretary, in consultation with the Commissioner of U.S. Customs and Border Protection (CBP), will establish a process to apply the tariff exclusively to the value of the non-United States content only of such MHDVPs and publish a notice in the Federal Register.
Imports of MHDV knock-down kits or equivalent parts compilations, as determined by CBP, shall continue to be subject to the additional ad valorem duty rate imposed under this proclamation regardless of USMCA preferential treatment qualification.
USMCA: U.S. Content Exclusion for MHDVs
Upon approval from the Secretary, MHDVs, except for buses and other vehicles classified in HTSUS heading 8702, that qualify for preferential tariff treatment under the United States-Mexico-Canada Agreement (USMCA), can apply the ad valorem duty rate of 25 percent exclusively to the value of the non-United States content of the MHDV. [HTSUS 9903.74.03] The U.S. content will be classified under HTSUS 9903.74.06
Stacking
The application of multiple tariffs (stacking) for imports of MHDVs, MHDVPs, and buses subject to this proclamation shall follow the same rules for stacking for imports subject to Proclamation 10908 [Section 232 Automobiles and Auto Parts], as amended. For purposes of Executive Order 14289 of April 29, 2025 (Addressing Certain Tariffs on Imported Articles), as amended, a product remains “subject to” this proclamation or Proclamation 10908, as amended, even if the tariff imposed by these two proclamations is not owed and payable due to compliance with USMCA rules of origin, use of an offset adjustment, or tariff reductions effected through the implementation of agreements on trade and security.
Entries of MHDV (trucks and buses) and MHDV Parts shall not be subject to:
- (1) the additional duties imposed on entries of semi-finished copper products and copper intensive derivative products under heading 9903.78.01 [Section 232 Copper];
- (2) the additional duties imposed on entries of products of aluminum under headings 9903.85.02 and 9903.85.12 [Section 232 Aluminum;
- (3) the additional duties imposed on entries of derivative aluminum products under headings 9903.85.04, 9903.85.07, 9903.85.08, 9903.85.13, 9903.85.14 and 9903.85.15 [Section 232 Aluminum];
- (4) the additional duties imposed on entries of iron or steel products under headings 9903.81.87, 9903.81.88, 9903.81.94 and 9903.81.95 [Section 232 Steel];
- (5) the additional duties imposed on entries of derivative iron or steel products under headings 9903.81.89, 9903.81.90, 9903.81.91, 9903.81.93, 9903.81.96, 9903.81.97, 9903.81.98 and 9903.81.99; [Section 232 Steel]
- (6) the additional duties imposed on entries of articles the product of Canada under heading 9903.01.10 [IEEPA Canada]; and
- (7) the additional duties imposed on entries of articles the product of Mexico under heading 9903.01.01 [IEEPA Mexico]
- (8) the additional duties imposed on entries of wood products under headings 9903.76.01, 9903.76.02 and 9903.76.03 [IEEPA Timber/Lumber] **Applicable to MHDV Parts only**
Other Vehicle Parts, Not Subject to Section 232 Auto/Auto Parts or Trucks
An importer of record may declare an automobile part or MHDV part as subject to the automobile parts tariff, or to the MHDV parts tariff pursuant to this proclamation. For an automobile or MHDV part to be eligible for this treatment, the part must meet the following conditions:
(a) the part cannot be presently subject to the tariffs imposed pursuant to Proclamation 10908 [Section 232 Auto / Auto Parts Tariff], as amended, or this proclamation;
(b) the part cannot be classifiable in Chapters 72, 73, or 76 of the HTSUS; and
(c) the part must be used for automobile- or MHDV-related production or repair activity in the United States, as attested to by certification from the importer of record.
FTZ
Any product subject to tariffs pursuant to this proclamation, except those eligible for admission under “domestic status” as defined in 19 C.F.R. 146.43, that is admitted into a United States foreign trade zone on or after the effective date of this proclamation, as set forth in clause (1) of this proclamation, must be admitted in “privileged foreign status” as defined in 19 C.F.R. 146.41, and will be subject upon entry for consumption to any duties related to the classification under the applicable HTSUS subheading.
Drawback
As of the effective date of this proclamation, only manufacturing drawback claims made in accordance with subsections (a) and (b) of section 313 of the Tariff Act of 1930, as amended, 19 U.S.C. 1313(a)–(b), and no other drawback, shall be available with respect to the duties imposed on MHDVPs pursuant to this proclamation and on automobile parts pursuant to Proclamation 10908, as amended. The Secretary may adjust a company’s offset accrual amount as necessary to avoid awarding excessive offset accrual benefits for United States-assembled vehicles production that receives drawback benefits upon exportation.
Future Plans
Import Adjustment Offsets
Medium-and heavy-duty vehicles and Engines
In the future, there will be opportunity for medium-and heavy-duty vehicle manufacturers and engine manufacturers to receive import adjustment offsets if they assemble goods in the U.S. Offset amounts equal to 3.75% of the aggregate value of all MHDVs assembled in the U.S. by that manufacturer from November 1, 2025, through October 31, 2030. Additional details may be found in clause 4 of the proclamation. The offset amounts can be shared with importers authorized by that manufacturer.
Automobiles, Light Trucks, and Parts
This proclamation also informs that passenger automobile and light truck manufacturers assembling vehicles in the U.S. will have an opportunity to receive import adjustment offsets similar to MHDV and engine manufacturers. Details may be found in clause 11 of the proclamation.
Inclusion Process
The Secretary shall establish a process for including additional medium-and heavy-duty vehicle parts.
Steel / Aluminum Tariff Rate Adjustments
The Secretary is authorized to reduce tariffs owed under Section 232 Aluminum, and Section 232 Steel, by up to half the applicable rate for aluminum or steel producers that operate production facilities in Canada or Mexico and supply United States automobile or MHDV manufacturers.
- Adjustments shall be limited to quantities of aluminum or steel equal to newly committed United States production capacity, as determined by the Secretary.
- In no cases shall the adjusted rate be lower than 25%.
- Rate adjustments shall also be limited to imports of aluminum and steel that qualify for preferential tariff treatment under the USMCA and that were smelted and cast or melted and poured in Canada or Mexico.
Additional Information
Adjusting Imports Of Medium- And Heavy-Duty Vehicles, Medium- And Heavy-Duty Vehicle Parts, And Buses Into The United States – The White House
Annex I: 2025 Medium-and Heavy-Duty Vehicles, Parts, and Buses
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