Section 232 Tariffs Announced on Medium- and Heavy-Duty Vehicles and Parts

President Trump has issued a presidential proclamation imposing Section 232 tariffs on imports of medium- and heavy-duty vehicles (MHDVs) and parts (MHDVPs), effective Nov. 1, 2025 at 12:01 a.m. EDT.

Tariff Rates

• Medium- and heavy-duty vehicles and parts (listed in Annex I): 25% ad valorem
• Buses (HTSUS 8702): 10% ad valorem
• Applies to all countries unless specifically exempted and is in addition to existing duties, taxes, and fees.

USMCA Treatment

• Medium- and heavy-duty vehicles that qualify for USMCA may be eligible for partial exemption, with the tariff applied only to non-U.S. content.
• Medium- and heavy-duty parts qualifying under USMCA are temporarily exempt until Commerce establishes a separate process to assess only non-U.S. content.
• Knock-down kits are not eligible for exemption.

Import Adjustment Offset Program

• Vehicle manufacturers that assemble medium- and heavy-duty trucks in the U.S. can receive a tariff credit (offset) to reduce some of the new tariffs on imported parts.

Tariff Stacking Rules

If goods are subject to Section 232 MHDV and MHDVP tariffs:

• Other Section 232 tariffs (e.g., steel, aluminum, copper) do not apply.
• IEEPA tariffs imposed on Canada (fentanyl), Mexico (fentanyl), Brazil, or India (Russian oil) do not apply.

Option to Opt-In to Auto or MHDV Tariff

• Importers may elect to classify eligible parts under either the auto or MHDV tariff for preferential tariffs or un-stacking rules
• Opt-in excludes goods classifiable under HTSUS Chapters 72, 73 or 76
• Part must be used for automobile- or MHDV- related production or repair activity in the U.S., as attested to by certification from the importer of record.
• Auto Care is seeking clarification on how this option will be implemented, including any restrictions or qualification requirements, and will share additional information as soon as it becomes available.

Other Provisions

• The Secretary of Commerce may add additional parts in the future if imports are found to threaten national security.