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CBP Says Goods on Feeder Vessels Don't Qualify for Reciprocal Tariff Exemption

Goods loaded onto feeder vessels before reciprocal tariffs took effect, but transferred to another vessel after, aren’t eligible for an exemption from the tariffs for in-transit goods, CBP said in an update to a FAQ May 15.

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Such cargo “does not qualify for the in-transit exception for reciprocal tariffs because the U.S. bound cargo was laden onto a vessel destined for the U.S. after the cutoff date irrespective of when it departed from the original port of lading; it was thus not loaded onto a vessel that was the final mode of transit prior to the cutoff date for the reciprocal tariff in-transit exception.”

On the other hand, goods loaded before the tariffs took effect onto a vessel that subsequently “stops at foreign ports to load/offload other cargo, or refuel, but the U.S. bound cargo remains onboard” would qualify for the in-transit exemption, CBP said.

“The cargo in this scenario does qualify for the exception from reciprocal tariffs pursuant to the in-transit provision because prior to the cutoff date, the U.S. bound cargo was laden onto a vessel destined for the U.S. upon departure from the original port of loading and was never unladen or transferred onto another vessel,” it said.