What has changed

The US has announced tariffs on imports from Australia and trade partners globally.

On 23 July 2026 (Washington D.C. time) the United States Trade Representative (USTR) made a final determination regarding new tariffs on imports from 60 economies for allegedly failing to effectively ban the importation of goods made with forced labour. This follows an ‘unfair trade practices’ investigation under Section 301 of the Trade Act of 1974. Imports from Australia will be subject to a tariff of 12.5 per cent, along with 37 other economies. Seventeen economies will be subject to a 10 per cent rate on the basis that they have an import ban or partial regime in place and/or have undertaken to do so in a trade agreement with the US. Five specified economies have received a 10/12.5 per cent tariff rate ‘net’ of a product’s most-favoured-nation rate.

USTR has confirmed that these tariffs are in force from 24 July (12:01am Washington D.C. time). This means there will be no stacking ofSection 301 forced labour tariffs with the 10 per cent global Section 122 Temporary Import Surcharge (which expired at exactly the same time). The key product exemptions that existed under the Section 122 tariff regime continue to apply under the Section 301 tariffs.
Australia and nearly all other US trading partners also face a range of sectoral Section 232 ‘national security’ tariffs.

On 20 February 2026, the US confirmed an extension of the suspension of the de minimis exemption for all low-value imports to the US. As a result, all goods valued at US$800 or less are subject to specific tariff rates.
It is important for exporters to understand the changes already introduced and to stay up to date with new announcements. Exporters should seek independent advice on these updated requirements.

US imports from Australia subject to tariffs imposed under Section 232 of the Trade Expansion Act 1962

• 10 per cent: softwood timber, lumber, and buses
• 10 to 50 per cent: steel, aluminium and certain copper products and their derivatives
• 25 per cent: automobiles, trucks,truck parts, upholstered furniture, kitchen cabinets and vanities, semi-conductors, chips and related products

On 2 April 2026, the United States announced a 100 per cent Section 232 tariff on certain pharmaceuticals and pharmaceutical ingredients taking effect on 29 September 2026.

Ongoing investigations under Section 232 of the Trade Expansion Act 1962

The US has launched investigations under the Trade Expansion Act 1962 to assess the effect of the import of the following goods on US national security:

• aircraft, jet engines and parts
• polysilicon and derivatives
• unmanned aircraft systems and their parts and components
• wind turbines and their parts and components
• personal protective equipment, medical consumables and medical equipment, including devices
• robotics and industrial machinery
• Anthracite coal and metallurgical bituminous coal products.

Information on these investigations, including opportunities to make a submission, is available on the US Bureau of Industry and Security website.

Ongoing investigations under Section 301 of the Trade Act 1974

The US has launched Section 301 ‘unfair trade practices’ investigations under the Trade Act 1974 into a range of economies:

Investigations not including Australia:

• Germany’s underpayment for innovative pharmaceutical products
• Vietnam’s acts, policies, and practices related to intellectual property protection and enforcement

Structural excess capacity and production in manufacturing sectors (covers 16 economies). Information on these investigations is available on the website of the Office of the United States Trade Representative.

Implications for Australian exporters to the US

The Australian government is working to analyse the impacts of these announced US trade measures on Australian trade, in particular implications for Australian exporters to the US. The impacts are likely to vary by sector and will affect individual exporters in different ways.

Australian exporters should be aware that higher tariffs imposed on some countries may impact tariff rates for Australian businesses whose goods are manufactured elsewhere.

Exporters should stay up to date with new announcements, including official US Government statements on refunds in relation to reciprocal tariffs imposed under the International Emergency Economic Powers Act (IEEPA). US Customs and Border Protection commenced processing refunds for IEEPA tariffs from 20 April 2026.

The Australian Trade and Investment Commission (Austrade) provides more targeted information and advice to Australian businesses, via its Go Global Toolkit: US tariff changes – support for Australian businesses. This includes recordings of webinars held to explain the tariff changes.

Australian exporters are encouraged to seek independent advice. Exporters may need to engage with a licensed customs broker (see Brokerages list) or contact US Customs and Border Protection with specific questions.

Australia's economy is resilient and supported by a global framework of free-trade agreements with major Australian trading partners.

Australia has a Free Trade Agreement with the United States and continues to advocate for maintaining open trade. The US pays no tariffs for exports to Australia under the Australia-United States Free Trade Agreement (AUSFTA).

Help and resources

• Austrade provides assistance and information for businesses through its Go Global Toolkit: US tariff changes – support for Australian businesses
• DFAT country brief: United States of America country brief
• DFAT trade data: Trade and Investment data and publications
• US Customs: US Customs and Border Protection
• Licensed customs brokers: Brokerages list

Exporters are also encouraged to regularly check the US Federal Register and US Customs Systems Management Service for new notices regarding the application of US tariffs on imported goods.