TARIFF TRACKER

USTR implements phased Section 301 tariffs on non-CAFTA-DR Nicaraguan goods

USTR creates HTSUS 9903.89.01 for Nicaragua-origin goods not originating under CAFTA-DR. The additional duty is 0% in 2026, 10% in 2027, and 15% on or after January 1, 2028.

Updated October 12, 2026

STATUS
In effect
·
EFFECTIVE
·
Section 301
RATE

0%, 10%, then 15%

Additional duty phased in: 0% for 2026, 10% for 2027, and 15% on or after January 1, 2028.

COUNTRIES

Nicaragua

PRODUCT FAMILIES

All goods

COVERED GOODS

Articles the product of Nicaragua provided for in new HTSUS heading 9903.89.01 and subject to column 1-general rates, excluding CAFTA-DR originating goods and most proper chapter 98 entries.

EXCLUSIONS

The additional duties do not apply to CAFTA-DR originating goods of Nicaragua. They also do not apply to goods properly claimed under chapter 98, except subheadings 9802.00.40, 9802.00.50, 9802.00.60, and heading 9802.00.80, where the duty applies to the stated foreign value portion.

WHAT TO DO (OUR GUIDANCE, NOT LEGAL ADVICE)

Check Nicaragua-origin SKUs for CAFTA-DR originating status and chapter 98 claims before entry. Update landed-cost files for heading 9903.89.01, with 0% in 2026, 10% in 2027, and 15% beginning January 1, 2028.

QUOTES FROM THE SOURCE

Signed: "On December 10, 2025, USTR announced the U.S. Trade Representative's determination that action is appropriate" (source)

Effective date: "effective January 1, 2026." (source)

Covered goods: "Heading 9903.89.01 imposes additional duties on imports of articles the product of Nicaragua, as provided in this note." (source)

Rate: "If entered during the period from January 1, 2026, though December 31, 2026, . . . 0% If entered during the period from January 1, 2027, though December 31, 2027, . . . 10% If entered on or after January 1, 2028, . . . 15%" (source)

Exclusions: "The additional duties do not apply to originating goods of Nicaragua under the Dominican Republic-Central America-United States Free Trade Agreement (CAFTA-DR)" (source)

Exclusions: "The additional duties imposed by heading 9903.89.01 do not apply to goods for which entry is properly claimed under a provision of chapter 98 of the HTSUS" (source)

Rate: "If entered during the period from January 1, 2026, though December 31, 2026, . . . 0%" (source)

Rate: "If entered on or after January 1, 2028, . . . 15%" (source)

Checked against source

on

USTR implementation notice creates heading 9903.89.01 for products of Nicaragua not originating under CAFTA-DR: 0 percent in 2026, 10 percent in 2027, 15 percent from Jan 1, 2028; chapter 98 entries excluded except listed 9802 provisions; no later change found through Oct 8, 2026.

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Machines, people, and vendors, finally in one. We start with yours.

For queries, feedback or suggestions

© 2026 Lunar Inc. All Rights Reserved.

Machines, people, and vendors, finally in one. We start with yours.

For queries, feedback or suggestions

© 2026 Lunar Inc. All Rights Reserved.