Caspian Weekly Digest - October 6, 2026

Weekly Digest

The U.S. Bans Certain Canadian Imports

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The Bottom Line

The U.S. ban on certain Canadian goods went live on September 29 at 12:01am ET, and CBP put out the guidance for it on the 28th. It covers packaged alcohol, some dairy and whey, molasses and the bigger motorcycles, and if you had an entry that wasn't released yet it gets cancelled in ACE.

There's no higher rate you can pay to get these goods in, but anything that got here before the 29th can still come in at the 50% duty, and USMCA doesn't change that.

Section 338

CBP Now Rejects Covered Canadian Goods

We wrote about this last month when it was proposed, and now it's in effect as of September 29, with CBP putting out guidance on the 28th on how to file.

Section 338 was only used for duties before this. Covered goods can't go into an FTZ or a bonded warehouse and they can't move in-bond either, and CBP will cancel the entry if it hasn't been released yet. There isn't a tariff heading you can use to get it in.

Goods that got here before September 29 can still be entered at 50%, and if they were in an FTZ or bonded warehouse before that you can withdraw them at 50%. If they show up after the 29th they'll be refused.

Why It Matters

The alcohol part only applies to packaged product, so bottles, cans, boxes and kegs are in. Bulk that's not in scope can still be imported at 50%. If you bring in any of these products you need to check scope first and then the import date.

Sources: CBP bulletin, ACE error codes

Graphite electrodes. There are preliminary antidumping duties now on large graphite electrodes from China and India, the kind steel mills use in electric-arc furnaces. In the India case Commerce also found critical circumstances, so it can go back to some earlier entries, and you'll be posting cash deposits until the cases are done. (Federal Register: China, India)

Truck bed covers. Commerce's preliminary finding is that truck bed covers from China are being sold below fair value, and it extended provisional measures so you keep posting cash deposits while the investigation goes on. (Federal Register)

Air compressors. Commerce put preliminary countervailing duties on stationary and portable air compressors from China, Malaysia and Vietnam, so you'll be posting cash deposits on those entries. (Federal Register: China, Malaysia, Vietnam)

U.S.-China summit. Xi was in Washington the last week of September. Bessent says the trade truce is extended to January 10, which buys two more months. They also want lower tariffs on about $30 billion of goods going each way, and for imports that's mostly consumer stuff like toys, small appliances, holiday decor and car seats for kids. It's only a recommendation right now and nothing's changed at the border yet. (White House)

What We're Watching

The next round of IEEPA refunds. Refunds for finally liquidated entries are next, and you have to have a case at the Court of International Trade and have filed your importer of record details on time to be part of it. We're still waiting on CBP for the filing instructions, so if you're a plaintiff just check that your importer number is active and wait for those.

Russia sanctions, October 18. The Graham sanctions bill became law on September 18, and the President has 30 days from then to put it in place. It lets him put tariffs as high as 500% on Russian goods. Countries buying a lot of Russian oil and gas can get hit with up to 100%, and the reporting so far points at China, India and Turkey. He can also waive all of it, so we don't really know what the rates will be till the list is out. If you're bringing in goods from those countries it's worth figuring out now which entries would be affected.

Diesel exports. Diesel's been over $6 a gallon and for about two weeks the White House was talking about banning exports of it. Trump shut that down on October 2 once the G7 said it would release emergency fuel stocks. They're still looking at other ways to bring prices down, and if you export diesel or ship by truck those could change what you pay.

Dates That Matter

Sep 29: Canada Section 338 import ban on certain alcohol, dairy, molasses and motorcycles took effect
Sep 30: Preliminary antidumping duties on graphite electrodes from China and India
Oct 1: Preliminary duties on air compressors from China, Malaysia and Vietnam; truck bed covers from China
Oct 18: Deadline to impose Russia sanctions and tariffs under the Graham law

What To Do Now

Screen Your Canadian-Origin Entries
Pull your Canadian shipments of alcohol, dairy, molasses and motorcycles and check them against the exclusion annexes before filing. If it's alcohol see if it's packaged. Bulk that's out of scope is still allowed at 50%. If the shipment came in near September 29 then the import date is what you need to look at.

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