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Duty Changes on Imports from Mexico: A Southern Border Timeline


Close-up of the Mexican flag waving in the wind, showing the eagle grasping a snake on a cactus. Green, white, and red stripes are visible.
Close-up of the Mexican flag waving in the wind, showing the eagle grasping a snake on a cactus. Green, white, and red stripes are visible.

Greetings, trade friends! As your trusted U.S. Customs Broker, I’m here to unpack the latest updates on duties affecting imports from Mexico, our Southern Border partner. These changes, rolled out in 2025 under Executive Order 14194, target the flow of illicit drugs—like fentanyl—while fine-tuning trade impacts. With effective dates driving the shifts, let’s dive into the timeline and what it means for your imports from Mexico!

Mexico (Southern Border): Tackling Drugs, Supporting Trade

The U.S. has rolled out a series of executive orders and notices to address drug trafficking across the southern border, starting with broad duties and evolving into targeted relief. Here’s the full story, step by step.

Timeline of Events and Effective Dates

  • February 1, 2025 – Duty Imposition Kicks Off:

    • Executive Order 14194: Signed by President Donald J. Trump and published February 7, 2025 here, this order imposed a 25% ad valorem duty on Mexican goods (except those exempt under 50 U.S.C. 1702(b), like humanitarian items) to push Mexico to curb drug flows.

    • Effective Date: February 4, 2025, at 12:01 a.m. EST—applies to goods entered for consumption or withdrawn from warehouse after this time, unless in transit before February 1, 2025, with certification.

  • February 3, 2025 – A Temporary Pause:

    • Executive Order 14198: Signed February 3, 2025, and published February 10, 2025 here, this amendment deferred the 25% duty to evaluate Mexico’s progress on drug trafficking, offering a brief reprieve.

    • Effective Date: February 3, 2025, at 12:01 a.m. EST—duties were paused, easing the immediate burden.

  • March 2, 2025 – Duties Resume with De Minimis Relief:

    • Notice of Implementation: Published March 6, 2025 here, this reinstated the 25% duty via HTSUS heading 9903.90.04 after the pause expired.

    • Executive Order 14227: Signed March 2, 2025, and published March 6, 2025 here, this preserved duty-free de minimis treatment (under $800) for low-value shipments, pending the Secretary of Commerce’s confirmation of tariff collection systems.

    • Effective Date for Both: March 7, 2025, at 12:01 a.m. EST—25% duty returned, with de minimis still intact.

  • March 6, 2025 – Industry-Specific Adjustments:

    • Executive Order 14232: Signed March 6, 2025, and published March 11, 2025 here, this exempted USMCA-eligible automotive goods (HTSUS General Note 11) from the 25% duty and reduced the potash duty from 25% to 10%.

    • Effective Date: March 7, 2025, at 12:01 a.m. EST—immediate relief for key industries.

  • March 7, 2025 – Duty Rate Reduction:

    • Executive Order 14233: Signed March 7, 2025, and published March 11, 2025 here, this lowered the general duty rate from 25% to 15%, reflecting Mexico’s “demonstrable progress” on drug trafficking, while maintaining the automotive exemption and 10% potash rate.

    • Effective Date: March 11, 2025, at 12:01 a.m. EST—goods entered after this date faced the reduced 15% rate.

What This Means for You

  • Through February 2, 2025: No duties due to the initial pause.

  • February 4 to March 6, 2025: 25% duty applied briefly, then paused.

  • March 7 to March 10, 2025: 25% duty resumed, but USMCA automotive goods were exempt, and potash dropped to 10%.

  • March 11, 2025 onward: General rate eased to 15%, with automotive exemptions and 10% potash holding firm. De minimis remains duty-free—for now.

Your Next Steps

  1. Verify USMCA Status: Automotive importers—ensure your goods qualify under HTSUS General Note 11 to avoid duties.

  2. Update Budgets: Plan for 15% on most goods, 10% on potash, and monitor de minimis developments.

  3. Track Key Dates: March 11, 2025, shifted rates—confirm your entries align.

  4. Prepare Ahead: De minimis relief could vanish soon—stay ready for that change.

We’re Your Trade Ally

These updates aim to secure the southern border while supporting trade, and those effective dates are critical to staying compliant. Need help with classifications, duty calculations, or filings? We’re here for you—drop us a line anytime!

Happy importing, and let’s keep that southern border bustling!

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