Dear Sirs/Madam,

This has reference to our earlier circular in the training email.

It may be noted that as per the new executive order “FURTHER MODIFYING THE RECIPROCAL TARIFF RATES” issued by the White House on 31^st July, 2025, the Harmonized Tariff Schedule of the United States (HTSUS) will be revised to incorporate an additional ad valorem duty, effective 7 days from the date of the order, i.e., from 8th August 2025

It may be noted that the modification as announced by the above executive order will not be applicable to 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of transit before 12:01 a.m. eastern daylight time 7 days after the date of this order, and entered for consumption, or withdrawn from warehouse for consumption, before 12:01 a.m. eastern daylight time on October 5, 2025.

Such consignments shall instead remain subject to the additional ad valorem duties previously imposed in Executive Order 14257 i.e. 10%.

The detailed executive order can be found at: https://www.whitehouse.gov/presidential-actions/2025/07/further-modifying-the-reciprocal-tariff-rates/

 Effect of this notification: The “additional ad valorem duty announced by USA on India (25% + Penalty) will be applicable from 8^th August 2025 or as otherwise announced by President of USA.

Members may note the below give timelines for duty on export to USA:

Date	Rate of Duty
Upto 7th August 2025	MFN + 10% additional ad valorem duty
From 8th August 2025 onwards	MFN + 25% additional ad valorem duty + Penalty (Rate to be defined) The above rate is as per the latest executive order stated above

An illustration of net duty applicable on top 20 T&A products imported by USA from India w.e.f. 8^th August is attached for the ready reference of members.

Members may take note of the above and plan their exports accordingly.

Thanking you,

With regards,

(Chandrima Chatterjee)

Secretary General