While trying to figure out all these new HTS codes, and information related to 25 year old car import, I have found a few things that I am questioning.
9903.94.04: Applies to all entries of passenger vehicles and light trucks from all countries classifiable in the headings or subheadings listed above that were manufactured in a year at least 25 years prior to the year of the date of entry.
0% additional ad valorem rate of duty
Ad valorem is a Latin phrase that translates to “according to the value.” The essential characteristic of ad valorem tax is that it is proportional to the value of the underlying asset , unlike a specific tax , where the tax amount remains constant, irrespective of the underlying asset's value.
ADJUSTING IMPORTS OF AUTOMOBILES AND AUTOMOBILE
PARTS INTO THE UNITED STATES
The HTS website lists rates of duty, but I am questioning RATES OF DUTY, under 1 (General, Special) and 2.
8703.22.01 is for automobiles with engines from 1 liter to 1.5 liter. 10 being new, and 90 being used. You can see it has 2.5% under general, free under special, and 10% under 2.
8703.23.01 is for automobiles with 1.5 liter to 3 liter engines.
8703.24.01 is for automobiles with engines more than 3 liters.
But 9903.94.01 per the Federal Register notice 2025-05930 says, 1 - General Duty in the subheading +25 %, Special +25%, 2 + 25%
Rates of Duty.
The rates of duty in the "Rates of Duty" columns designated 1 ("General" and "Special") and 2 of the tariff schedule apply to goods imported into the customs territory of the United States as hereinafter provided in this note:
(a) Rate of Duty Column 1. (i) (ii) (iii) Except as provided in subparagraph (iv) of this paragraph, the rates of duty in column 1 are rates which are applicable to all products other than those of countries enumerated in paragraph (b) of this note. Column 1 is divided into two subcolumns, "General" and "Special", which are applicable as provided below. The "General" subcolumn sets forth the general or normal trade relations (NTR) rates which are applicable to products of those countries described in subparagraph (i) above which are not entitled to special tariff treatment as set forth below. The "Special" subcolumn reflects rates of duty under one or more special tariff treatment programs described in paragraph (c) of this note and identified in parentheses immediately following the duty rate specified in such subcolumn.These rates apply to those products which are properly classified under a provision for which a special rate is indicated and for which all of the legal requirements for eligibility for such program or programs have been met.Where a product is eligible for special treatment under more than one program, the lowest rate of duty provided for any applicable program shall be imposed.Where no special rate of duty is provided for a provision, or where the country from which a product otherwise eligible for special treatment was imported is not designated as a beneficiary country under a program appearing with the appropriate provision, the rates of duty in the "General" subcolumn of column 1 shall apply.
(b) Rate of Duty Column 2. Notwithstanding any of the foregoing provisions of this note, the rates of duty shown in column 2 shall apply to products, whether imported directly or indirectly, of the following countries and areas pursuant to section 401 of the Tariff Classification Act of 1962, to section 231 or 257(e)(2) of the Trade Expansion Act of 1962, to section 404(a) of the Trade Act of 1974 or to any other applicable section of law, or to action taken by the President thereunder: 1/ North Korea Republic of Belarus Russian Federation
Sec. 3. Implementation. (a) Except as otherwise provided in this order, all articles imported into the customs territory of the United States shall be, consistent with law, subject to an additional ad valorem rate of duty of 10 percent. Such rates of duty shall apply with respect to goods entered for consumption, or withdrawn from warehouse for consumption, on or after 12:01 a.m. eastern daylight time on April 5, 2025, except that goods loaded onto a vessel at the port of loading and in transit on the final mode of transit before 12:01 a.m. eastern daylight time on April 5, 2025, and entered for consumption or withdrawn from warehouse for consumption after 12:01 a.m. eastern daylight time on April 5, 2025, shall not be subject to such additional duty. Furthermore, except as otherwise provided in this order, at 12:01 a.m. eastern daylight time on April 9, 2025, all articles from trading partners enumerated in Annex I to this order imported into the customs territory of the United States shall be, consistent with law, subject to the country-specific ad valorem rates of duty specified in Annex I to this order. Such 11 rates of duty shall apply with respect to goods entered for consumption, or withdrawn from warehouse for consumption, on or after 12:01 a.m. eastern daylight time on April 9, 2025, except that goods loaded onto a vessel at the port of loading and in transit on the final mode of transit before 12:01 a.m. eastern daylight time on April 9, 2025, and entered for consumption or withdrawn from warehouse for consumption after 12:01 a.m. eastern daylight time on April 9, 2025, shall not be subject to these country-specific ad valorem rates of duty set forth in Annex I to this order. These country-specific ad valorem rates of duty shall apply to all articles imported pursuant to the terms of all existing U.S. trade agreements, except as provided below.
(b) The following goods as set forth in Annex II to this order, consistent with law, shall not be subject to the ad valorem rates of duty under this order: (i) all articles that are encompassed by 50 U.S.C. 1702(b); (ii) all articles and derivatives of steel and aluminum subject to the duties imposed pursuant to section 232 of the Trade Expansion Act of 1962 and proclaimed in Proclamation 9704 of March 8, 2018 (Adjusting Imports of Aluminum Into the United States), as amended, Proclamation 9705 of March 8, 2018 (Adjusting Imports of Steel Into the United States), as amended, and Proclamation 9980 of January 24, 2020 (Adjusting Imports of Derivative Aluminum Articles and Derivative Steel Articles Into the United States), as amended, Proclamation 10895 of February 10, 2025 (Adjusting Imports of Aluminum Into the United States), and Proclamation 10896 of February 10, 2025 (Adjusting Imports of Steel into the United States); (iii) all automobiles and automotive parts subject to the additional duties imposed pursuant to section 232 of the Trade Expansion Act of 1962, as amended, and proclaimed in Proclamation 10908 of March 26, 2025 (Adjusting Imports of 12 Automobiles and Automobile Parts Into the United States); (iv) other products enumerated in Annex II to this order, including copper, pharmaceuticals, semiconductors, lumber articles, certain critical minerals, and energy and energy products; (v) all articles from a trading partner subject to the rates set forth in Column 2 of the Harmonized Tariff Schedule of the United States (HTSUS); and (vi) all articles that may become subject to duties pursuant to future actions under section 232 of the Trade Expansion Act of 1962.
So my conclusion is that 25 year old cars pay 2.5% tariff as they always have. The 10% doesn't apply as they are subject to 0% duty, as per (iii) all automobiles and automotive parts subject to the additional duties imposed...
9903.94.04: Applies to all entries of passenger vehicles and light trucks from all countries classifiable in the headings or subheadings listed above that were manufactured in a year at least 25 years prior to the year of the date of entry.
0% additional ad valorem rate of duty
This CBP CSMS message for Guidance on Reciprocal Tariffs was sent 4/4/2025 at 3:33 pm EDT.
It says reciprocal tariffs are due on all imported merchandise, unless it falls under one of the excepted codes.
Passenger vehicles and light trucks, parts are an exception because they are already subject to other tariff under
https://www.whitehouse.gov/presidential-actions/2025/03/adjusting-imports-of-automobiles-and-autombile-parts-into-the-united-states/
https://content.govdelivery.com/bulletins/gd/USDHSCBP-3da7831?wgt_ref=USDHSCBP_WIDGET_2
APPLICATION OF ADDITIONAL DUTY RATES
All imported goods, other than those that fall within the identified exceptions, entered for consumption, or withdrawn from warehouse for consumption on or after 12:01 a.m. eastern daylight time (EDT) on April 5, 2025, are subject to the following Harmonized Tariff Schedule of the United States (HTSUS) secondary classification and duty rate:
9903.01.25: Additional ad valorem duty rate of 10%
Exceptions ---
9903.01.33: Articles of iron or steel, derivative articles of iron or steel, articles of aluminum, derivative articles of aluminum, passenger vehicles (sedans, sport utility vehicles, crossover utility vehicles, minivans, and cargo vans) and light trucks and parts of passenger vehicles (sedans, sport utility vehicles, crossover utility vehicles, minivans, and cargo vans) and light trucks, of any country, subject to Section 232. action
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