U.S. Trade Policy and Tariff Actions
U.S. Court of International Trade certifies class action for IEEPA refunds: On 8 October, CIT Judge Richard Eaton certified a class of importers as plaintiffs in the lawsuit seeking IEEPA tariff refunds. The class includes importers that paid duties between 1 February 2025 and 19 February 2026, excluding those that filed separate/individual refund claims at the CIT. PMMI members with a significant amount of finally liquidated IEEPA tariffs may want to consult customs/trade law firms to explore timing on filing an individual suit at the CIT as filing is being considered as an insurance policy to getting Phase 3 IEEPA refunds expedited.
The situation remains fluid, as the decision is expected to be appealed by the Administration. If upheld, the ruling could eliminate the need for individual Importers of Record (IORs) to file separate lawsuits to recover IEEPA tariff refunds, although a final decision and implementation could take time. The Administration has until 23 November to file an appeal.
- USTR seeking comments on the EU Carbon Border Adjustment Mechanism (CBAM): On 8 October, USTR announced it was seeking comments on the EU’s CBAM current and potential impact on US producers, exports, and overall US trade with the EU. Imports of machinery into the EU are not currently in scope of CBAM, but there are proposals by the EU to expand coverage to downstream products which may include machinery. Under CBAM, there are emission reporting requirements and carbon emission fees for imports in scope products.
USTR requesting comments specifically on:
- Potential impact of the EU’s three proposals (the Commission, Council and Parliament proposals) to expand CBAM coverage to additional products on the costs, processes, and access to the EU’s market for U.S. producers, including small-and-medium-sized producers, workers, direct and indirect exports; and overall trade with the EU.
- CBAM’s current impact on the costs, regulatory burden, and access to the EU’s market for U.S. producers, including small-and-medium sized producers; workers; direct and indirect exporters, and overall trade with the EU.
- Whether CBAM and the EU’s three proposals (the Commission, Council, and Parliament proposals) disadvantage, advantage, or have other impacts and potential impacts on U.S. companies as compared to EU companies or third-country companies; and
- Whether and what enforcement action may be appropriate to remedy any negative effects of CBAM.
Comments can be submitted at regulations.gov by 9 November 2026.
- CBP proposes new import requirements from low-value shipments: On 8 October, CBP published and requested public comments on proposed import requirement changes for shipments valued at ≤ $2,500 which could impact imports of certain spare parts and components. Under the proposed changes low value shipments would be subject to new entry filing, data reporting, and bonding requirements. The proposed changes are in response to EO 14411, signed in June, ordering CBP to strengthen customs enforcement. US machinery importers should work with their customs broker to understand the potential impact of these new requirements on imports of low value spare parts/components.
Trade Policy Actions by Other Countries
- Free trade agreement signed between Vietnam, Switzerland, Norway, Iceland, and Liechtenstein: On 18 October, Vietnam and member countries of the European Free Trade Association (EFTA) signed a comprehensive free trade agreement after 14 years of ongoing negotiations. Implementation of the agreement is anticipated to start in 2027 after all Parties have completed their respective country ratification process. The preferential tariff schedule has not been published, but it is anticipated to include preferential market access for certain food processing and packaging machinery of 8422 and 8438 which are not already duty-free under the MFN/standard tariff rate.
