SUPPLEMENTARY INFORMATION:

I. Background

On March 26, 2025, the President issued Proclamation 10908, “Adjusting Imports of Automobiles and Automobile Parts Into the United States” (90 FR 14705) (Proclamation 10908), finding that imports of automobiles and certain automobile parts continue to threaten to impair the national security of the United States and determining that it is necessary and appropriate to impose specified tariffs to adjust imports of automobiles and certain automobile parts so that such imports will not threaten to impair national security pursuant to section 232 of the Trade Expansion Act of 1962, as amended (19 U.S.C. 1862) (section 232). Proclamation 10908 imposed a 25 percent tariff on certain imports of automobiles and certain imports of auto parts. Proclamation 10908 also provided that for automobiles that qualify for preferential tariff treatment under the USMCA, importers of such automobiles may submit documentation to the Secretary identifying the amount of U.S. content in each model imported into the United States and apply the additional tariff exclusively to the value of the non-U.S. content of the automobile. Consistent with Proclamation 10908, on May 20, 2025, the Department issued a Federal Register Notice, “Procedures for Submissions by Importers of Automobiles Qualifying for Preferential Tariff Treatment Under the USMCA To Determine U.S. Content” (90 FR 21450) (May 20 Notice) that established the procedures for submission and review of U.S. content submissions by importers of automobiles. Those procedures provide that determinations of the U.S. content in eligible automobiles approved by the Secretary are valid for six months from the date of issuance.

On October 17, 2025, the President issued Proclamation 10984, “Adjusting Imports of Medium- and Heavy-Duty Vehicles, Medium- and Heavy-Duty Vehicle Parts, and Buses Into the United States” (90 FR 48451) (Proclamation 10984), finding that imports of medium- and heavy-duty vehicles (MHDVs), medium- and heavy-duty vehicle parts (MHDVPs), and buses threaten to impair the national security of the United States and determining that it is necessary and appropriate to impose specified tariffs to adjust imports of MHDVs, MHDVPs, and buses so that such imports will not threaten to impair national security pursuant to section 232. In Proclamation 10984, the President determined that, given the close connections and overlap between part suppliers for the automobile industry and for the medium- and heavy-duty vehicle industry, it is necessary and appropriate to conform certain aspects of the tariff system imposed in Proclamation 10908, as amended, with the tariff system imposed in Proclamation 10984. Both Proclamation 10908 and Proclamation 10984 state that the Secretary may issue regulations and guidance consistent with that proclamation, including to address operational necessity.

On February 2, 2026, the Department issued a Federal Register Notice, “Procedures for Submissions by Importers of Medium- and Heavy-Duty Vehicles Qualifying for Preferential Tariff Treatment Under the USMCA To Determine U.S. Content” (91 FR 4504) (February 2 Notice), establishing a process for identifying the U.S. content in MHDVs that qualify for preferential treatment under the USMCA and applying the additional tariff imposed by Proclamation 10984 exclusively to the non-U.S. content of the MHDV, as authorized in Proclamation 10984 and similar to the process outlined in the May 20 Notice. In contrast to the May 20 Notice, the February 2 Notice states that U.S. content eligibility determinations issued for imports of MHDVs after December 31, 2026 are valid for one calendar year, and adds that importers seeking eligibility for an MHDV model imported after December 31, 2026 must submit documentation supporting eligibility no later than the October 1 before the start of the calendar year of importation to ensure timely processing.

This Notice amends the submission timeline for automobile U.S. content requests established in the May 20 Notice to make it consistent with the submission timeline established in the February 2 Notice for MHDV U.S. content requests, consistent with the goal expressed in Proclamation 10984 of conforming aspects of the tariff systems in Proclamations 10908 and 10984. This Notice provides that eligibility determinations for imported ( printed page 53603) automobiles eligible to apply the tariff imposed in Proclamation 10908 exclusively to the value of the non-U.S. content of their automobiles will be valid for automobiles imported from December 1, 2026 to November 30, 2027, a one-year period consistent with the process in place for MHDVs established in the February 2 Notice.

II. Amended Review Process

To improve operational efficiency by easing administration of the U.S. content procedures and to conform the tariff system for automobiles with the tariff system for MHDVs as called for by Proclamation 10984, the Department has decided to amend the process for reviewing and approving U.S. content submissions for automobiles. All U.S. content eligibility determinations for automobiles approved by the Department under the procedures in the May 20 Notice shall remain valid for automobiles imported before December 1, 2026, regardless of model year and any expiration date set forth in the determination. Importers seeking eligibility for an automobile model imported on or after December 1, 2026 must submit new documentation to the Department by September 30, 2026 to ensure timely processing; such determinations are valid for vehicles imported before December 1, 2027. Importers seeking eligibility for an automobile model imported on or after December 1, 2027 must submit documentation supporting eligibility no later than the September 1, 2027 to ensure timely processing. Those eligibility determinations will apply to automobiles imported on or after December 1, 2027 and before December 1, 2028. Importers of a new model may apply at any time for a U.S. content eligibility determination, which shall apply to automobiles imported on or after the date the application was submitted and before the December 1 occurring after the date the application was submitted.

Importers must promptly inform the Department and request a new eligibility determination if any changes in sourcing or production occur that results in a decrease in U.S. content relevant to an eligibility determination. If a change in sourcing or production results in an increase in U.S. content, the importer may inform the Department and request a new eligibility determination by providing a new submission. These determinations will be valid for automobiles imported after the date of the change in sourcing as set forth in the determination and before the December 1 occurring after the date of the determination. Importers may continue to submit new or amended U.S. content eligibility submissions, including updated submissions, for automobiles imported before December 1, 2026; however, an eligibility determination granted in response to such a submission shall only be valid for automobiles imported before that date.

III. Text of Amended Procedures

This Notice changes Section IV (Review Process) of the May 20 Notice, as it relates to the submission timeline described above. Sections II, III, V, VI, and VII (Eligibility, Opportunity to Submit Documentation, Consequences of Misreporting, Confidential Business Information, and No Effect on USMCA Preferential Status) of the May 20 Notice remain unchanged, though they are reproduced below for ease of reference. Please see below for the entirety of the procedures, as amended:

“II. Eligibility

Only vehicles imported from Mexico and Canada that qualify for preferential tariff treatment under the USMCA may be found to be eligible to apply the additional tariff exclusively to the value of the non-U.S. content of the automobile. Vehicles imported from non-USMCA countries and vehicles imported from Canada and Mexico that do not qualify for preferential tariff treatment under the USMCA may not be found to be eligible.

For the avoidance of doubt, the preferential tariff treatment available under this notice applies exclusively to automobiles imported from Canada or Mexico that qualify for preferential treatment under the USMCA, while the preferential tariff treatment under Proclamation 10925 applies exclusively to automobiles assembled in the United States using foreign parts.

Proclamation 10908 separately references the Secretary establishing a process to apply the additional tariff exclusively to the value of the non-U.S. content of automobile parts. This notice does not establish that process.

III. Opportunity To Submit Documentation

Importers of automobiles qualifying for preferential treatment under the USMCA seeking preferential tariff treatment on the U.S. content of their automobiles may submit documentation, on a model line basis, identifying the type and value of U.S. content attributable to each model line imported into the United States.

Each submission should include documentation certified by an importer's Chief Financial Officer, General Counsel, or an equivalent-level of senior officer that identifies the following:

1. The total declared customs value of an automobile in the model line at the time of importation based on 19 U.S.C. 1401a. If the customs value varies within the model line, the importer may provide an average value consistent with an averaging methodology set forth in Article 5 of the Appendix to Annex 4-B, “Provisions Related to the Product-Specific Rules of Origin for Automotive Goods,” of Chapter 4 of the USMCA (“Automotive Appendix”) (available at: ustr.gov/​trade-agreements/​free-trade-agreements/​united-states-mexico-canada-agreement/​agreement-between).

2. Total Value of U.S. content for an automobile in that model line based on 19 U.S.C. 1401a attributable to parts wholly obtained, produced entirely, or substantially transformed in the United States for a vehicle in the model line (“U.S. content”). If the U.S. content attributable to such parts varies within a model line, the importer may provide an average value consistent with an averaging methodology set forth in the USMCA Automotive Appendix Article 5.

3. Total value of non-U.S. content of an automobile in the model line, calculated by subtracting the value of the U.S. content for an automobile in the model line from the total value of the automobile. If the value varies within the model line, the importer may provide an average consistent with an averaging methodology set forth in the USMCA Automotive Appendix Article 5.

4. Vehicle production location(s) and country of final assembly. Vehicle production locations may include more than one country.

5. Certification of eligibility for USMCA preference ( i.e., the signed origin certification that supports the import meeting the rules of origin requirements as well as the approved producer-submitted auto certifications, jointly reviewed/approved by U.S. Customs and Border Protection and the Department of Labor, for meeting North American steel and aluminum content, and North American labor value content requirements) for the model line as submitted to U.S. Customs and Border Protection (CBP), including whether the model line is subject to an approved Alternative Staging Regime outlined in the USMCA Automotive Appendix Article 8 of Chapter 4 of the USMCA (available at: ustr.gov/​trade-agreements/​free-trade-agreements/​united-states-mexico-canada-agreement/​agreement-between). ( printed page 53604)

6. The importer name, importer of record number, manufacturer name, manufacturer facility, country of origin, and year, make, and model information for every model line requested in the submission. If retroactive treatment is requested, the importer should provide entry numbers for previously imported automobiles.

IV. Review Process

The Department will review each submission for completeness and compliance. The Department may request supplemental documentation or clarification. Upon verification by the Department that a submission is consistent with this notice and upon a determination of the value of the U.S. content and non-U.S. content for the requested model line, the Department will inform the importer and CBP of that determination and of the value of the non-U.S. content for each model line. The Commerce Department will provide CBP with a list of importers and automobiles authorized by Commerce, including importer name, importer of record number, manufacturer name, manufacturer facility, country of origin, and year, make, and model of each authorized automobile.

The additional tariff will apply exclusively to the value of the non-U.S. content for the relevant model line. If the determination applies to automobiles imported before the date of the determination, the Department will provide CBP with the entry numbers of those automobiles. If a change in sourcing or production results in a decrease in U.S. content relevant to the eligibility determination, the importer must promptly inform the Department and request a new eligibility determination by providing the documentation described above. If a change in sourcing or production results in an increase in U.S. content, the importer may inform the Department and request a new eligibility determination by providing a new submission containing the information required by Section III.

Eligibility determinations are valid only for vehicles imported in the period specified in the determination, ordinarily the one-year period from December 1 to November 30. All U.S. content eligibility determinations for automobiles issued by the Department under the procedures in the May 20 Notice (90 FR 21450) shall remain valid for vehicles imported prior to December 1, 2026, regardless of any expiration date specified in the determination. Importers seeking an eligibility determination for an automobile model imported on or after December 1, 2026 must submit new documentation to the Department by September 30, 2026 to ensure timely processing. Eligibility determinations issued for automobiles imported on or after December 1, 2026 are valid for automobiles imported prior to December 1, 2027. Importers seeking eligibility for an automobile model imported on or after December 1, 2027, must submit documentation supporting eligibility no later than the September 1 that precedes that one-year period to ensure timely processing. Importers of a new model may apply at any time for a U.S. content eligibility determination, which is valid for vehicles imported on or after the date the application was submitted and before the December 1 occurring after the date the application was submitted.

V. Consequences for Misreporting

If CBP determines that the declared U.S. content is overstated or inconsistent with a U.S. content figure approved by the Secretary, the 25 percent tariff will apply retroactively, to the extent authorized by law (from April 3, 2025, to the date of the inaccurate overstatement) and prospectively (from the date of the inaccurate overstatement to the date the importer corrects the overstatement, as verified by CBP) to the full value of all automobiles of the same model line imported by the same importer, as provided for in Proclamation 10908. This does not apply to or otherwise affect any other applicable fees or penalties.

VI. Confidential Business Information

Submissions containing confidential business information must be clearly marked as such.

VII. No Effect on USMCA Preferential Status

This process does not affect or alter the determination of whether a vehicle qualifies for USMCA preferential tariff treatment.”

IV. Authority

This Notice is issued pursuant to the authority delegated to the Secretary by Proclamation 10908 consistent with section 232 of the Trade Expansion Act of 1962, as amended (19 U.S.C. 1862).

V. Paperwork Reduction Act

A Federal agency may not conduct or sponsor, and a person is not required to respond to, nor shall a person be subject to a penalty for failure to comply with an information collection subject to the requirements of the Paperwork Reduction Act of 1995 unless the information collection has a currently valid OMB Control Number. The approved OMB Control Number for this information collection is 0625-0143. Without this approval, we could not conduct this information collection. Public reporting for this information collection is estimated to be approximately 20 hours per response, including the time for reviewing instructions, searching existing data sources, gathering and maintaining the data needed, and completing and reviewing the information collection. The estimated burden hours are within the approved burden hour limits of this control number. All responses to this information collection are voluntary. Send comments regarding this burden estimate or any other aspect of this information collection, including suggestions for reducing this burden to the International Trade Administration Paperwork Reduction Act Program: PRA@trade.gov.

91 FR 53602