Canada Section 338: October 30 Scope Change, 22 Off and 100 On

On October 30, 2026, at 12:01 a.m. eastern time, the list of Canadian products carrying the 50 percent Section 338 duty changed again. Proclamation 11076, signed October 23 and published October 30 at 91 FR 68861, takes 22 HTSUS lines off the duty and puts 100 new ones on, including carpets, cocoa powder, certain wood and paper products, and hand-operated valves. CBP issued its filing guidance, CSMS #70314289, on October 29, the day before the change took effect. It puts the affected lines under heading 9903.03.14.

If you import from Canada, the rules under your entries have now moved several times since the duties took effect in August. This piece states the position as of November 7, 2026: what changed, what CBP's message says, and how to check your own codes. For the earlier rounds, see our coverage of the September 15 scope change and the 9903.03.15 restriction and the September 29 import ban.

What Proclamation 11076 does

Proclamation 11076 amends the motor-vehicles list created by Proclamation 11048 of July 20, 2026. That list's duties took effect August 22, 2026, and Proclamation 11065 of September 8, 2026 modified them.

The proclamation and its annex do three things:

• Annex I, Part A lists products that "no longer" carry the 50 percent ad valorem Section 338 duty.
• Annex I, Part B lists products that now carry it, "unless they are articles of civil aircraft or aircraft parts that meet the criteria of General Note 6 of the HTSUS."
• The Section 338 duties "shall apply in addition to" duties imposed under Section 232 of the Trade Expansion Act of 1962.

Annex II modifies the Harmonized Tariff Schedule of the United States (HTSUS, the classification schedule that sets duty rates and reporting requirements) to match. The effective clause is the sentence that governs your entries, and CBP's message repeats it:

"These changes shall be effective with respect to goods entered for consumption, or withdrawn from warehouse for consumption, on or after 12:01 a.m. eastern time on October 30, 2026."

The White House fact sheet adds one point for anyone filing USMCA claims. Section 338 tariffs "apply to all covered goods regardless of whether a good originates under the U.S.-Mexico-Canada Agreement (USMCA)." A valid USMCA claim does not take a Part B product off the 50 percent duty.

No in-transit grace period appears in the text

The September exclusions dealt with goods already on their way. CSMS #70050970 said covered products imported before the cutoff "remain eligible to be entered for consumption." Proclamation 11076 has no comparable provision, and CSMS #70314289 does not address in-transit goods. The effective clause turns on one event: entry for consumption, or withdrawal from warehouse for consumption, on or after the effective time.

On the face of that text, three things follow:

• When the goods shipped does not matter. A truckload of carpet that left Ontario on October 28 and was entered on October 30 falls under the new list.
• Entries made before the cutoff stay under the old list. An entry made at 11:30 p.m. on October 29 was filed under the rules in force at that moment.
• Warehouse withdrawals follow the withdrawal date. A Part B product withdrawn for consumption on or after October 30 reads as owing the 50 percent duty. A Part A product withdrawn on or after that date reads as no longer owing it.

We are reading the clause as written. We are not predicting how CBP will administer any particular entry.

The 22 lines that came off (Annex I, Part A)

CBP's message lists these same 22 classifications as "no longer subject to" the 50 percent duty. The descriptions are summarized from the annex, which says its descriptions are "provided for informational purposes only." The HTSUS number is what controls scope.

• Seaweed: 1212.21.00 (seaweeds and other algae, fit for human consumption)
• Plastics packaging: 3920.20.00 (polypropylene plates, sheets, film, foil and strip), 3923.10.90 (other plastic boxes, cases and crates for conveyance or packing), 3923.21.00 (polyethylene sacks and bags)
• Thin plywood, not over 6 mm: 4412.33.06, 4412.33.26, 4412.33.32, 4412.33.57, 4412.34.26, 4412.34.32, 4412.34.57
• Paper and paperboard: 4811.51.20 and 4811.51.40 (bleached paperboard coated or covered with plastics, over 150 g/m²), 4819.10.00 (corrugated cartons, boxes and cases), 4819.40.00 (other paper sacks and bags), 4823.70.00 (molded or pressed paper-pulp articles), 4823.90.10 (articles of paper pulp, nesoi)
• Machinery and refrigeration: 8418.69.01 (refrigerating or freezing equipment nesoi), 8419.89.95 (industrial temperature-change machinery nesoi), 8422.30.91 (filling, closing, sealing and labeling machinery nesoi), 8422.40.91 (packing or wrapping machinery nesoi), 8433.60.00 (machines for cleaning, sorting or grading eggs, fruit or other produce)

The 100 lines that went on (Annex I, Part B)

CBP's message counts 100 additions and shows them in bold on its attached list. The annex lines match that list, grouped here by chapter:

• Chapter 57, carpets and textile floor coverings (43 lines): every listed line in headings 5701 (knotted), 5702 (woven, including Wilton and velvet, kelem and coir), 5703 (tufted, including nylon and other turf), 5704 (felt, including carpet tiles) and 5705 (other).
• Chapter 18, cocoa powder (13 lines): sweetened cocoa powder under 1806.10.05 through 1806.10.75, across every sugar-content tier the annex lists.
• Chapter 44, wood (9 lines): 4409.10.05 (coniferous wood continuously shaped along its ends), 4411.12.10 and 4411.12.90 (MDF not over 5 mm), 4411.92.10 (high-density fiberboard), 4415.10.30 (wooden packing boxes and cases), 4418.75.70 (assembled multilayer wood flooring panels), 4418.91.91 (bamboo builders' joinery), 4421.20.20 (wooden coffins), 4421.99.60 (skewers, ice cream sticks, tongue depressors and similar).
• Chapter 48, paper (8 lines): 4802.56.70, 4804.31.60, 4807.00.94, 4811.41.10 (self-adhesive paper), 4811.59.20, 4811.59.40, 4819.30.00 (paper sacks with a base 40 cm or wider), 4821.90.20 (unprinted pressure-sensitive labels).
• Chapter 34, soaps, lubricants and waxes (5 lines): 3401.11.50, 3402.50.51, 3403.19.50, 3403.99.00, 3404.90.51.
• Chapter 38, reagents and residual products (5 lines): 3822.19.00, 3822.90.00 (diagnostic and laboratory reagents and reference materials), 3825.10.01, 3825.20.00, 3825.30.00 (municipal waste, sewage sludge, clinical waste).
• Chapter 39, plastics (4 lines): 3907.61.00 (PET), 3909.50.10 (elastomeric polyurethanes), 3918.10.20 (vinyl flooring other than tile), 3926.90.30 (plastic parts for yachts and pleasure boats).
• Chapter 84, machinery (4 lines): 8415.10.30 (window or wall air conditioners), 8418.30.00 (chest freezers up to 800 liters), 8467.29.00 (electromechanical hand tools other than drills or saws), 8481.80.30 (hand-operated taps, cocks and valves of iron or steel).
• Chapter 90, instruments (3 lines): 9018.90.60 (electro-surgical instruments), 9023.00.00 (demonstration instruments and models), 9027.30.80 (nonelectrical spectrometers).
• Chapter 32, paints and mastics (2 lines): 3208.20.00 (acrylic or vinyl paints in a nonaqueous medium), 3214.10.00 (glaziers' putty, caulking and other mastics).
• One line each: 3305.10.00 (shampoos), 4016.91.00 (rubber floor coverings and mats), 8903.93.05 (canoes up to 7.5 m), 9506.99.05 (archery articles and equipment).

Watch for the same heading moving in opposite directions

Several Part A removals and Part B additions sit in the same 4-digit heading. A check by heading, or by product family, will get some of your lines wrong.

• Heading 8418. Refrigerating or freezing equipment nesoi (8418.69.01) came off. Chest freezers (8418.30.00) went on.
• Heading 4819. Corrugated cartons (4819.10.00) and other paper sacks (4819.40.00) came off. Paper sacks with a base of 40 cm or more (4819.30.00) went on.
• Wood panels. Thin plywood under heading 4412 came off. Thin MDF and high-density fiberboard under heading 4411 went on.

If you import both a removed line and an added line, those products now need opposite treatment on the same entry. Check the 8-digit number on every line.

How these lines report: what CBP's message says

CBP issued CSMS #70314289 (Cargo Systems Messaging Service, its official trade bulletin channel) on October 29, 2026, at 10:03 a.m. EDT. It settles the reporting questions this way:

• Heading. The 100 additions report under 9903.03.14, the 50 percent heading for articles of Canada under U.S. note 51(b)(3). The 22 removals also come off that heading. CBP states there are no changes to the classifications under 9903.03.12 or 9903.03.13. Its attached list, "Section 338 Canada Modified HTS LIST 10.25.2026," shows every classification subject to Section 338 as of October 30.
• Do not reach for 9903.03.15 on a Part B line. CBP repeats that as of September 15, 2026, "only goods subject to HTSUS 9903.03.13 are eligible to claim HTSUS 9903.03.15." If an added wood or metal line also carries a Section 232 duty, the proclamation says the duties stack. That coverage does not make it a 0 percent claim.
• Civil aircraft. 9903.03.16 is the 0 percent heading for civil aircraft articles. Check that your product falls in the provisions CBP names for it before claiming it.
• AD/CVD and other duties. Goods under these headings "shall continue to be subject to antidumping, countervailing, or other duties" that apply. Our 2026 tariff stacking guide covers the order.
• Chapter 98. The additional duty does not apply to goods properly entered under a Chapter 98 provision when CBP agrees that entry is appropriate. The exceptions are subchapter XXIII and 9802.00.40, 9802.00.50, 9802.00.60 and 9802.00.80. Under the first three 9802 subheadings, the duty applies to the value of the repairs, alterations or processing. Under 9802.00.80, it applies to the value of the assembled article, less the cost or value of the U.S. products in it.
• Foreign-trade zones. A covered product may be admitted only in privileged foreign status under 19 C.F.R. 146.41, unless it is eligible for domestic status under 19 C.F.R. 146.43. The message does not separately address goods admitted before a product's status changed, so raise that with your zone operator.
• Drawback. The additional duties under 9903.03.12 through 9903.03.14 are eligible for drawback. A claim still has to be filed and substantiated, and CBP decides it.

CBP directs Section 338 filing questions to its Trade Remedy Branch at TradeRemedy@cbp.dhs.gov, and entry summary errors to your CBP client representative or the ACE Help Desk.

Entries filed since October 30: both directions are errors

A removed line still carrying the duty line. If a 3923.21.00 poly bag or a 4819.10.00 corrugated carton was entered on or after 12:01 a.m. October 30 with the Section 338 line on it, the entry declares a duty that no longer applies. A post summary correction (PSC, the electronic amendment to a filed entry summary) is how an importer corrects its own filing before liquidation. Strix files PSCs at $150 per entry for up to 10 lines. We file the correction; CBP decides what happens to it. Our post summary corrections page covers the window and the process.

An added line filed without it. This is the more serious risk. A carpet, a cocoa powder, a sheet of thin MDF or a hand-operated steel valve entered without the Section 338 line under-declares duty. The importer of record owns that declaration whether a broker or its own staff filed it. If you find one, correct the entry rather than waiting for CBP to find it.

What to do now

1. Pull every Canadian-origin product with its 8-digit HTSUS code, including packaging, supplies and maintenance parts.
2. Check each code against CBP's list and Annex I, Part A. The list shows what is subject as of October 30, and bold marks the additions.
3. Audit entries filed since 12:01 a.m. October 30, in both directions. Removed lines should not carry the Section 338 line. Added lines should carry 9903.03.14.
4. Update templates and self-filing product records. Add 9903.03.14 where it now applies, remove it where it no longer does, and strip any 9903.03.15 claim from goods outside 9903.03.13.
5. Reprice landed cost for Part B products. The 50 percent stacks on Section 232 where that applies, and USMCA origin does not offset it.
6. Inventory bonded-warehouse and zone stock against the withdrawal-date reading and CBP's zone rule above.
7. Review Chapter 98 and drawback flows if you send goods out for repair or assembly, or re-export.

Not on the text of the proclamation, which applies to goods entered for consumption, or withdrawn from warehouse for consumption, on or after 12:01 a.m. eastern time on October 30, 2026. It states no in-transit exception, and CSMS #70314289 does not address in-transit goods.

Does a USMCA certificate of origin exempt Part B products?
No. The White House fact sheet of October 23, 2026 states that Section 338 tariffs apply to covered goods regardless of whether they originate under USMCA.

My product came off the list. Can I recover the 50 percent I paid earlier this year?
Proclamation 11076 does not provide for that, and neither the fact sheet nor CBP's message creates a refund for earlier entries. Removal applies to entries made on or after October 30, 2026. If an entry filed on or after the effective time carried the duty line in error, a PSC is the mechanism for correcting your filing, and CBP decides the outcome. Drawback is a separate process with its own requirements.

Which Chapter 99 heading do I use for the new lines?
9903.03.14. CSMS #70314289 says the 100 additional classifications are subject to that heading, at 50 percent, and that 9903.03.12 and 9903.03.13 did not change.

How we help

We can clear your Canadian-origin entries with the Section 338 lines matched to CBP's October 30 list. We can consult on how Part A, Part B, Section 232 stacking, Chapter 98 and the General Note 6 aircraft carve-out apply to your 8-digit codes. We can comply by auditing entries filed since the effective time and filing PSCs where a line went out wrong in either direction. And we can automate the product-record and template changes so a removed duty line stops riding on your entries and a new one does not get missed. Self-filing runs $30 per entry, brokerage $100–$250 per entry, and PSCs $150 per entry for up to 10 lines. CBP decides rates, claims and corrections; we handle the filing.

If you import Canadian carpets, cocoa powder, wood or paper products, packaging, valves or any line on either annex, talk to our team. If you file your own entries, see self-filing. If you would rather have a licensed broker on the entry, start at brokerage.

This article states the position as of November 7, 2026. Verify against the Federal Register text, Annex II and any later CBP message before acting.