The Section 122 reciprocal surcharge ends July 24: what changes for your rates
The 10% Section 122 reciprocal surcharge is scheduled to expire after July 23, 2026. From July 24, most import lines drop 10 points, unless the surcharge was already suppressed by Section 232 or an exemption. Here is what moves, what does not, and how to price the boundary.
Last verified against U.S. regulations as of July 23, 2026. See our live status page for current data.
The Section 122 reciprocal surcharge, a flat 10% ad valorem under HTS 9903.03.01, is scheduled to expire after July 23, 2026. It was imposed February 24, 2026 as a temporary balance-of-payments measure, and Section 122 caps that authority at 150 days. From July 24, goods that carried the 10% no longer do, unless the administration renews it before then.
For most import programs this is a rare thing: a tariff going down. Here is what actually moves.
What changes, and what doesn’t
The 10% applied broadly, on top of the base rate, across most origins. So on July 24, a lot of lines simply drop 10 points.
But not every line. The surcharge was already suppressed on two large groups, and those do not change at the boundary because they never carried the 10% to begin with:
- Goods subject to Section 232. Steel, aluminium, copper, autos, and semiconductor-scope goods were carved out of Section 122. A line already paying a 232 duty was never paying the 122 on top.
- Goods on the
9903.03.03exemption list. The reciprocal regime carved out a long product list, including most of chapters 84 and 85, so a lot of machinery and electronics never carried the surcharge.
If a line was in one of those groups, its total is the same on July 24 as it was on July 23.
The step-down, concretely
Take ceramic tableware, HTS 6912.00.48, from a non-preferential origin that carried only the surcharge:
| Through July 23 | From July 24 | |
|---|---|---|
| MFN base | 9.8% | 9.8% |
| Section 122 (9903.03.01) | + 10% | (expired) |
| Total | 19.8% | 9.8% |
A line that stacked the surcharge with another program moves the same 10 points, no more. A Brazilian line paying base plus Section 122 plus the Section 301 Brazil 25% loses only the 122 layer on July 24: the 25% stays, so the total falls by exactly 10 points, not to the base.
Price the entry date, not “today”
This is the part most integrations get wrong at a sunset.
Our as_of parameter is the date you are pricing for. Pass as_of set to the date of entry and you get the rate in force on that date: as_of=2026-07-23 still includes the 10%, as_of=2026-07-24 does not. Leave as_of off and we price for the current date in US Eastern time, so the switch happens at midnight ET, matching how the surcharge itself is dated.
A hardcoded past as_of will keep returning the old, surcharge-included number and will not reflect the sunset. If your landed-cost model pins a fixed date, point it at the entry date instead.
Our API handles the boundary automatically, there is nothing you need to refresh on our side. The changelog records the change, and watchlists can alert on the codes you care about.
Common questions
When exactly does Section 122 end? It is scheduled to expire after July 23, 2026; from July 24 the 10% no longer applies. Section 122 caps the authority at 150 days from the February 24, 2026 start. If the administration renews it, we will reflect that in the changelog.
Will all my rates drop 10 points?
Only the lines that actually carried the surcharge. Goods already subject to Section 232, and goods on the 9903.03.03 exemption list, were never paying the 10%, so they do not change.
How do I get the right rate for a shipment landing after July 24?
Pass as_of set to the entry date, or leave it off to price for today in US Eastern time. Do not hardcode a past date; it will keep returning the surcharge-included rate.
Does the sunset affect Section 301 or Section 232 duties? No. Those are separate programs on their own effective dates. Only the Section 122 layer drops. A line that stacked 122 on top of a 301 or 232 duty keeps the other duty and loses only the 10%.