TRADE REMEDIES | 2026-09-29
Section 232 Tariff Exclusions: How California Importers Seek Relief From Steel and Aluminum Duties
When a Section 232 national-security tariff hits a product you cannot source domestically, an exclusion request can be the path to relief. Here is how the process works and why objections matter.
Section 232 of the Trade Expansion Act lets the President impose tariffs on imports found to threaten national security — most prominently the tariffs on steel and aluminum (and their derivatives). For a California importer that depends on a product not available from U.S. producers in sufficient qu
Section 232 tariffs can add 25% or more to the cost of covered steel, aluminum, and derivative products. For importers with no domestic alternative, the exclusion process is the main avenue for relief.
What Section 232 Is
Section 232 of the Trade Expansion Act of 1962 authorizes the President, following a Commerce Department investigation, to adjust imports — including by imposing tariffs — that are found to threaten to impair national security. It has been used to impose tariffs on steel and aluminum and, over time, on various derivative products. The tariffs apply on top of ordinary duties and are calculated on the customs value.
The Exclusion Concept
Recognizing that some covered products are not produced domestically in sufficient quantity or quality, the program allows interested parties to request product exclusions. If granted, an exclusion allows the specific product, as described, to be imported without the Section 232 tariff for a defined period. Exclusions are generally product- and requester-specific (though approved exclusions can benefit any importer of the identical product, depending on the program’s terms in effect).
How the Process Works
- Filing. A requester submits an exclusion request through the Commerce Department’s portal, precisely describing the product (including technical specifications and the relevant tariff classification) and the basis for exclusion — typically that the product is not produced in the United States in a sufficient and reasonably available amount or of a satisfactory quality.
- Objections. U.S. producers may file objections asserting that they can supply the product domestically. A well-founded objection is often fatal to a request, so the requester must be prepared to rebut — showing the domestic product does not actually meet the specifications, quantities, or timelines needed.
- Decision. Commerce evaluates the request, the objections, and any rebuttals and issues a decision. Approved exclusions are effective for a set period and must be properly claimed on entries.
What Makes a Strong Request
Success usually turns on specificity and evidence: a precise technical product description, accurate classification, documented efforts to source domestically, and a factual record showing the domestic supply gap. When domestic producers object, the requester’s ability to demonstrate — with specifications and evidence — that the domestic alternative is not truly available in the required quantity, quality, or time frame is decisive.
While You Wait — and If Denied
Exclusion decisions take time, and the tariffs apply in the meantime. Importers should manage classification and sourcing, preserve the ability to obtain refunds on entries covered by a later-granted exclusion (by properly flagging entries as the program requires), and consider alternative strategies (such as tariff engineering or sourcing shifts) if an exclusion is denied. The program’s specific rules and portals evolve, so importers should confirm current procedures before filing.
Frequently Asked Questions
What is a Section 232 exclusion?
A grant allowing a specific product to be imported without the Section 232 tariff for a period, based on a showing that it is not available domestically in sufficient quantity or quality.
Why do objections matter so much?
A U.S. producer’s objection asserting it can supply the product can defeat a request unless the requester rebuts it with specifications and evidence showing the domestic product is not truly available.
Can I get refunds if my exclusion is approved?
Often yes for covered entries — if you properly flagged/preserved the entries as the program requires while the request was pending.
What products are covered?
Steel and aluminum and various derivative products subject to Section 232 tariffs; the exclusion process applies to those covered products.
Related Customs & Trade Guides
Talk to a Trade Attorney About Section 232 Exclusions
If Section 232 tariffs are hitting a product you can’t source domestically, an exclusion request may provide relief. Trembach Law Firm helps California importers pursue Section 232 exclusions. Call (818) 514-7680.
Contact Trembach Law Firm at (818) 514-7680 for a confidential consultation.
Trembach Law Firm | 27001 Agoura Road, Suite 350, Calabasas, CA 91301