U.S. Introduces New Tariffs and Global Policy Changes Affecting Importers
In a series of trade announcements made in late July 2025, the U.S. government introduced new tariffs and regulatory changes with implications for global supply chains and U.S. importers. The changes affect inbound shipments from India, Brazil, and low-value imports worldwide under the de minimis exemption.
India: 25% Tariff and Penalty Measures
Effective August 1, the United States will impose a 25% tariff on a broad range of goods imported from India. The tariff was announced by the White House in response to what it described as India’s high tariff levels and non-tariff trade barriers.
- Additional import penalties are expected in response to India’s continued defense and energy transactions with Russia.
- India’s government stated it is evaluating the policy and remains committed to ongoing trade negotiations.
Brazil: 50% Tariff on Most Goods, With Key Exemptions
A separate action imposes a 50% tariff on most Brazilian goods starting August 6, in connection with political developments involving Brazil’s judiciary and former President Jair Bolsonaro.
- Exemptions were granted for specific product categories, including aircraft, energy, fertilizers, wood pulp, and pig iron.
- The effective tariff rate across all Brazilian shipments is projected to average 30.8% due to the exemptions.
- Brazil’s government expressed readiness to negotiate but has not ruled out reciprocal trade measures.
De Minimis Exemption Suspended for Global Shipments
On July 30, the White House announced a suspension of the de minimis exemption for most low-value commercial shipments entering the U.S., effective August 29, 2025.
- The change eliminates duty-free treatment for most shipments under $800 not sent through the international postal system.
- Shipments will now be subject to either:
- An ad valorem duty based on the product’s country of origin and effective tariff rate, or
- A specific duty ranging from $80 to $200 per item, available temporarily for six months.
- The suspension aims to address enforcement concerns, particularly regarding narcotics, counterfeit goods, and duty evasion.
- According to CBP data, de minimis shipments accounted for over 90% of cargo seizures in FY24 and have surged to over 309 million packages in FY25 to date.
Implications for Importers
The combined impact of these policies introduces higher tariff exposure and new compliance requirements for U.S. importers—especially those sourcing goods from India, Brazil, or via direct-to-consumer e-commerce channels.
J.M. Rodgers: Helping Importers Manage Tariff Impact and Maximize Duty Drawback
J.M. Rodgers continues to monitor trade policy developments and supports importers in identifying and recovering duties through the U.S. drawback program. Our team can help assess your exposure under the new rules and implement a recovery strategy.
Contact us to learn how these changes may affect your operations.
