What are Section 301 tariffs and how do they affect me?
📋 Direct Answer
Section 301 tariffs are additional US import duties (7.5-25%) on Chinese-origin goods, imposed in response to China's trade practices. They apply ON TOP of standard MFN tariffs. Most consumer electronics, toys, textiles, and household goods are affected. These tariffs are still in effect in 2026. Combined with MFN duty, total rates can reach 25-50%+ on many products. No de minimis exemption for Section 301 above $200. (Reference values: 2025-2026)
📝 Step-by-Step Guide
Prerequisites
- •Section 301 Tariff Rates
- 1
Section 301 Tariff Rates - Step 1
Check which List your HS code falls under (1-4A)
- 2
Section 301 Tariff Rates - Step 2
List 1: 25% (industrial goods), List 2: 25% (machinery)
- 3
Section 301 Tariff Rates - Step 3
Lists 3-4A: 7.5% (most consumer goods)
- 4
De Minimis Limitation - Step 1
Section 301 tariffs apply on shipments over $200 per package
- 5
De Minimis Limitation - Step 2
Standard de minimis ($800) still applies for regular duty
- 6
De Minimis Limitation - Step 3
But Section 301 duty kicks in at $200 — much lower threshold
💰 Cost Breakdown
| Item | Cost | Frequency |
|---|---|---|
| DDP (Delivered Duty Paid) | 10-20% higher shipping + duty advance | one-time |
| DAP (Delivered at Place) | Standard shipping rates | one-time |
| Self-filing customs declaration | €200-500/shipment for in-house team | one-time |
| Section 301 Tariff Rates | 7.5-25% additional | one-time |
| Total Estimate | €215 – €545 | Per US filing |
Section 301 tariffs on Chinese goods are expanding in 2025-2026, with new product categories added and rates increased to 25-100% on some items
Products previously at 7.5-10% may jump to 25% or higher
🛡️ Prevention Steps
- ✓Monitor USTR announcements monthly
- ✓Diversify sourcing away from China for high-tariff categories
- ✓Use FTZ (Foreign Trade Zones) for duty deferral
Item by Item
RequiredSection 301 Tariff Rates7.5-25% additionalIn effect
- 1Check which List your HS code falls under (1-4A)
- 2List 1: 25% (industrial goods), List 2: 25% (machinery)
- 3Lists 3-4A: 7.5% (most consumer goods)
InfoDe Minimis Limitation——
- 1Section 301 tariffs apply on shipments over $200 per package
- 2Standard de minimis ($800) still applies for regular duty
- 3But Section 301 duty kicks in at $200 — much lower threshold
Comparison
| DDP (Delivered Duty Paid) | DAP (Delivered at Place) | Self-filing customs declaration | |
|---|---|---|---|
| Pros |
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|
| Cons |
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| Best For | B2C sellers wanting premium customer experience | B2B sellers or low-value goods where buyer expects to handle customs | High-volume sellers with dedicated logistics team |
| Est. Cost | 10-20% higher shipping + duty advance | Standard shipping rates | €200-500/shipment for in-house team |
Tariff Calculator
After comparing options, check your own case in the free tool.
Open Tariff Calculator →Common Mistakes
❌ Assuming Section 301 tariffs are temporary — they have been in place since 2018 and are expanding
💥 Consequence: Building business models on assumed duty removal that never happens
✅ Fix: Treat Section 301 as a permanent cost factor in your pricing
❌ Not checking the full duty stack — Section 301 is ON TOP of regular MFN duty
💥 Consequence: Total duty can reach 30-40% for some product categories
✅ Fix: Calculate total duty = MFN rate + Section 301 rate + any anti-dumping duties
Seller Paths
Understand Section 301 Impact
- 1. Check if product is on Section 301 list
- 2. Calculate additional tariff rate (7.5%-25%)
- 3. Factor into pricing model
- 4. Explore exclusion request process if applicable
Mitigate Section 301 Costs
- 1. Source from non-China countries where possible
- 2. Use Foreign Trade Zone (FTZ) for duty deferral
- 3. Apply for exclusion if product qualifies
- 4. Consider bonded warehouse for cost management
Next Steps
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Related Questions
Sources
- • USTR Section 301 tariff lists
- • CBP Section 301 guidance
- • USITC HTS database
Disclaimer: This page is for informational purposes only and does not constitute legal or tax advice. Consult a professional for your specific situation.