The 10% global surcharge that has been added to nearly every import since February 2026 disappears on July 24 — and the importers who plan for that date will keep cash that everyone else leaves on the dock.
Section 122 of the Trade Act of 1974 lets the president impose a temporary, across-the-board surcharge to address a balance-of-payments issue, for up to 150 days without a new act of Congress. The current surcharge, invoked in late February 2026, hit the 150-day limit on July 24, 2026. After that, the rate reverts unless Congress extends it, which would require new legislation.
For a small importer — a retailer, a maker who imports components, or an e-commerce seller who lands two containers a month — the sunset is a cash flow and compliance event that lands mid-year, mid-inventory cycle, and mid-forecast.
What Expires and What Does Not
Expires July 24: The Section 122 global surcharge itself, typically 10% ad valorem on the entered value, applied broadly across chapters, with limited exclusions for certain humanitarian and pre-existing preference items.
Does not expire: Section 301 duties on China-origin goods, Section 232 duties on steel and aluminum, antidumping and countervailing duties, and any product-specific exclusions you already claim. The base tariff landscape after July 24 is the same as before February, not zero.
Before July 24: Accelerate or Hold?
Accelerate: If you can enter goods before July 24 and the surcharge is the marginal cost, earlier entry saves 10%. But don't pay more in air freight, demurrage, or warehouse to save 10% if the net cost is higher. Model landed cost both ways.
Hold: If your supplier can ship so arrival and entry fall after July 24, you avoid the surcharge without paying to accelerate. That works for replenishment stock, not for a stockout that costs a lost sale.
Document the entry date: CBP uses the entry date, not the bill of lading date. A shipment that sails July 18 and enters July 25 is not surcharged; one that enters July 23 is. Keep the 7501.
After July 24: Refunds and CAPE
If you believe you overpaid the Section 122 surcharge — for example, you claimed an exclusion that CBP did not apply — the mechanism is the CBP CAPE (Customs Automated Portal for Entry) protest and refund path. File a protest under 19 USC 1514 within 180 days of liquidation, with the HTS, value, and surcharge calculation.
Bookkeeping: Record the surcharge as part of inventory cost (landed cost), not as a period expense, until the goods are sold. If a refund is received later, it reduces inventory cost or creates a recovery gain depending on whether the inventory is still on hand or already sold.
Keep Your Finances Organized From Day One
Tariff sunsets move cash, not just policy. The importers who track entry dates, surcharge per entry, and refund claims as separate ledger legs will see the July 24 change as a report, not a scramble.
Beancount.io keeps each import as a transaction with value, duty, and surcharge legs, all version-controlled and tied to the 7501. Get started for free and make tariff timing a ledger, not a guess.
