Temporary Suspension of Section 338 Tariffs

On August 18, 2026, U.S. President Donald Trump temporarily suspended the implementation of the 50% Section 338 tariffs on certain Canadian goods. The action delays, for a period of three days, the additional ad valorem duties imposed under Proclamations 11046, 11047, and 11048.

The suspension follows ongoing negotiations between the United States and Canada as both countries work toward finalizing a trade agreement. The Section 338 tariffs are now scheduled to take effect at 12:01 a.m. Eastern Time on August 22, 2026, unless further action is taken by the Administration.

Key takeaway: The suspension does not eliminate the Section 338 tariffs. It provides a temporary three-day reprieve for affected Canadian goods while U.S. and Canadian officials continue trade negotiations.

https://www.whitehouse.gov/presidential-actions/2026/08/temporary-suspension-of-additional-duties-to-offset-canadian-discrimination-against-the-commerce-of-the-united-states-with-respect-to-alcoholic-beverages-dairy-and-motor-vehicles