President Donald J. Trump issued a proclamation on Sept. 8, 2026, modifying which Canadian products are subject to a 50% ad valorem duty first imposed in July under Section 338 of the Tariff Act of 1930. The changes take effect at 12:01 a.m. ET on Sept. 15, 2026.
What is changing on Sept. 15
According to the proclamation, “certain products of Canada, as set forth in Annex I, Part A” will be subject to the 50% duty previously imposed, while “certain products of Canada, as set forth in Annex I, Part B” will no longer be subject to that 50% duty. The specific product lists are contained in the annexes referenced by the proclamation.
The proclamation states the duties “shall apply in addition to duties imposed pursuant to section 232 of the Trade Expansion Act of 1962.” It also modifies the Harmonized Tariff Schedule of the United States (HTSUS) as provided in Annex II, effective Sept. 15, 2026, unless expressly changed later.
How we got here
In Proclamation 11046 (July 20, 2026), the President “found as a fact” that Canada “is discriminating in fact against the commerce of the United States by banning the purchase, distribution, or retailing of U.S. alcoholic beverages while not banning or similarly restricting such products from other countries,” and imposed additional duties under Section 338, effective Aug. 19, 2026.
Proclamation 11056 (Aug. 18, 2026) temporarily suspended the effective date for three days “after Canada expressed a commitment to remove the discrimination.” The new Sept. 8 proclamation asserts that, on Aug. 21, 2026, “Canada reneged on its commitment, ceased negotiating in good faith, and did not remove the discrimination,” after which the suspension lapsed and the additional duties “became effective” at 12:01 a.m. ET on Aug. 22, 2026.
Stated rationale and legal authorities
The proclamation cites information and recommendations from “senior executive branch officials” that modifying the scope of products subject to the 50% duty would still offset the burden on U.S. commerce “while better serving the public interest.”
It invokes Section 338 (19 U.S.C. 1338), which authorizes the President to impose up to a 50% ad valorem duty to offset discriminatory or unequal treatment and to “suspend, revoke, supplement, or amend” such proclamations if the public interest requires. It also cites Section 604 of the Trade Act of 1974 (19 U.S.C. 2483) to embody changes in the HTSUS, and 3 U.S.C. 301. The United States Trade Representative is delegated the President’s approval authority under 19 U.S.C. 1338(h) for rules implementing the proclamation.
Who implements this
The heads of executive departments and agencies are directed to take appropriate measures to implement the proclamation. The Commissioner of U.S. Customs and Border Protection (in consultation with Treasury, Commerce, and the USTR) is authorized to issue rules, guidance, instructions, or determinations as necessary and to administer the proclamation. In consultation with Treasury, Commerce, the USTR, the Chair of the U.S. International Trade Commission, and other officials as appropriate, the CBP Commissioner may determine whether further HTSUS modifications are needed and make them through notice in the Federal Register, including technical or ministerial corrections to the annexes.
Effective date and severability
The modifications are effective for goods entered for consumption, or withdrawn from warehouse for consumption, on or after 12:01 a.m. ET on Sept. 15, 2026. Any inconsistent provisions of prior proclamations or executive orders are superseded to the extent of inconsistency. If any provision is held invalid, the remainder remains in effect.
What remains unclear from this document
The specific products added to or removed from the 50% duty are defined in Annex I (Parts A and B) and the HTSUS changes in Annex II; those annexes are referenced but not included here. The proclamation’s characterizations of Canada’s actions and any resulting impact are presented as statements within the document.
