Reign of the ‘Total Tariff’ on Products of South Korea

On December 3, 2025, a Federal Register Notice announced U.S. tariff modifications on certain products of South Korea pursuant to an agreement first announced in July.

A new 15% (or higher) total tariff applies to goods made in Korea, subject to the Reciprocal, Section 232 Auto/Auto Parts, or Wood Products tariffs. The US-Korea deal also offers significant tariff benefits for certain Civil Aircraft Goods. The modifications are retroactive to either November 1 or 14, depending on the applicable tariff action.

Details

Section 232 – Auto and Auto Parts

Covered Products

Passenger vehicles, light trucks and auto parts that are products of South Korea. For the HTSUS classifications covered by the Section 232 duties on automobiles and automobile parts, see CSMS 64624801 and 64916652, respectively.

Effective date

Effective for automobiles and automobile parts entered for consumption, or withdrawn from warehouse, on or after 12:01 a.m. eastern time on November 1, 2025.

Additional Harmonized Tariff Numbers

Automobiles

Drawback Availability

If drawback may be claimed on the Column 1 duty paid for an automobile of South Korea, report the Column 1 duty amount on the Chapter 1 to 97 classification, and report the difference between 15 percent and the Column 1 tariff on heading 9903.94.61.

Automobile Parts

Self-Certifying Automobile Parts

Applies to parts of passenger vehicles and light trucks (automobiles) when certified by the importer of record that such parts will be used for automobile production or repair activity in the United States, excluding articles classifiable in chapters 72, 73, or 76; and articles classifiable in the provision of subdivision (g) of U.S. note 33 (auto parts or in the provisions of subdivision (i) of U.S. note 38 (MHDV parts).

Automobile parts, for this purpose, include engines and engine parts, transmissions and powertrain parts, and electrical components. Do not use the Chapter 99 classifications below for any auto parts that are subject to HTSUS 9903.94.62/63.

To certify that such parts will be used for automobile production or repair activity in the United States, and not covered by the exclusions above, report one of the following Chapter 99 HTSUS:

Drawback Availability

Section 232 duties for automobile parts, pursuant to Proclamation 10908, as amended and Proclamation 10984, as amended, continue to be eligible for Direct Identification Manufacturing Drawback Claims, under 19 U.S.C. 1313(a) and Substitution Manufacturing Drawback Claims under 19 U.S.C. 1313(b). This applies to the following HTS headings:  9903.94.63 and 9903.94.65.

Additional Duties – Not Applicable

Automobiles and automobile parts subject to Proclamation 10908, as amended, are not subject to the additional duties imposed on:

1. entries of semi-finished copper products and copper-intensive derivative products under heading 9903.78.01
2. entries of aluminum products under heading 9903.85.02 and 9903.85.12
3. 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
4. entries of iron or steel products under headings 9903.81.87, 9903.81.88, 9903.81.94 and 9903.81.95;
5. 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;
6. entries of articles the product of Canada under heading 9903.01.10;
7. entries of articles the product of Mexico under heading 9903.01.01; and
8. entries of wood products under headings 9903.76.01, 9903.76.02 and 9903.76.03. (applies to parts only)

Automobiles classified under HTSUS 9903.94.60 and auto parts classified under HTSUS 9903.94.62, 9903.94.64 and 9903.94.06 (based on eligibility for USMCA) are considered subject to Proclamation 10908, as amended, (for purposes of Executive Order 14289) and are also subject to the unstacking provisions of Executive Order 14289, “Addressing Certain Tariffs on Imported Articles,” April 29, 2025 , modified by Proclamation 10947 and Proclamation 10984.

Section 232 – Wood Products

Covered Products

Certain kitchen cabinets and upholstered wooden furniture of South Korea, classified in the HTS provisions listed below:

• 9401.61.4011
• 9401.61.4031
• 9401.61.6011
• 9401.61.6031
• 9403.40.9060
• 9403.60.8093
• 9403.91.0080

Effective Date

Entered for consumption or withdrawn from warehouse for consumption on or after 12:01 a.m. eastern time on November 14, 2025, the combined Column 1 and additional Section 232 duty rate is 15 percent ad valorem. Use heading 9903.76.23.

Additional Harmonized Tariff Schedule Number

9903.76.23

Drawback

Section 232 duties on wood products, pursuant to Proclamation 10976, continue to be eligible for drawback.

Civil Aircraft-Related Products

Covered Products

Articles of civil aircraft (all aircraft other than military aircraft); their engines, parts, and components; their other parts, components, and subassemblies; and ground flight simulators and their parts and components that are the products of South Korea, excluding unmanned aircraft, that otherwise meet the following:

1. The criteria of General Note 6 of HTSUS (Articles Eligible for Duty-Free Treatment Pursuant to the Agreement on Trade in Civil Aircraft), and
2. Are classified in the HTSUS classifications listed in subdivision (vi)(xviii)(b) of U.S. note 2 to subchapter III of chapter 99 of the HTSUS

Effective Date

Entered for consumption or withdrawn from warehouse for consumption on or after 12:01 a.m. eastern time on November 14, 2025.

Additional Harmonized Tariff Number

9903.02.81

Additional Duties – Not Applicable

• Section 232 – Copper [Proclamation 10962 of July 30, 2025 (Adjusting Imports of Copper Into the United States), as amended.]
• Reciprocal Tariff [Executive Order 14257 of April 2, 2025 (Regulating Imports With a Reciprocal Tariff to Rectify Trade Practices that Contribute to Large and Persistent Annual United States Goods Trade Deficits), as amended;]
• Section 232 – Aluminum [Proclamation 9704 of March 8, 2018 (Adjusting Imports of Aluminum Into the United States), as amended;]
• Section 232 – Steel [Proclamation 9705 of March 8, 2018 (Adjusting Imports of Steel Into the United States), as amended;]

Reciprocal Tariff

The reciprocal tariff for products of South Korea, entered for consumption or withdrawn from warehouse for consumption on or after 12:01 a.m. eastern time November 14, 2025, is dependent on the Column 1 ad valorem (or ad valorem equivalent) duty rate applicable.

Drawback

Reciprocal tariffs, pursuant to Executive Order 14257, as amended, continue to be eligible for drawback.

Additional Information

CSMS # 66987366 – Guidance – Implementation of Tariff-Related Elements of the United States-Korea Strategic Trade and Investment Deal

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