Industry News
Trump Implements Section 232 Duties Against Drones and Drone Parts
TweetAug. 14, 2026
By:
Hannah B. Kreinik
The United States has implemented yet another round of Section 232 duties, this time against unmanned aircraft systems (UAS), otherwise known as drones, and UAS components. As the trade community has become accustomed to, there are several caveats and conditions for various covered products included in the Presidential Proclamation. The proclamation sets different effective dates based on the Annex lists. Annexes I and II will be effective starting September 3, 2026, while Annex III will be effective as of February 9, 2027.
The proclamation states that Annex I items will be subject to a 100% duty, while Annexes II and III covered products will be subject to a 25% tariff rate. The proclamation, however, asserts various caveats for potential lower rates. The proclamation states that covered products from Japan, Korea, the EU, Taiwan, Liechtenstein, Switzerland, and the UK will be subject to a lower 15% or 10% rate based on the respected tariff deals with those countries. In addition, although not yet an option, the proclamation says that the Secretary of Commerce shall implement an incentive program for U.S. production on covered products resulting in an exception to the current Section 232 duties. The incentive program’s conditions require an approved onshoring plan and a construction start date prior to January 20, 2029. The proclamation also lays out various points for the Secretary to consider when approving onshoring plans. The proclamation also mentions that the Secretary should consult with the Department of War for the incentive program. Companies that receive approval under the new incentive program by September 2, 2026, will have a delayed effective date for Annex I and II products of 180 days from the date of the proclamation.
Finally, the proclamation provided a very limited manufacturing drawback option (only permitted under 19 U.S.C. 1313(a) and (b)) for articles covered under the proclamation. The already narrow drawback clause also comes with conditions. First, the articles cannot be subject to AD/CVD duties. Second, the articles must come from a trade deal country, like the UK or Japan. Third, the articles must be made of at least 85% content from the trade deal nation. Also, to no one’s surprise, the proclamation does not define “content.”
Barnes, Richardson & Colburn attorneys are committed to keeping importers up-to-date on the latest Trump administration tariff regime, roadblocks, conditions, caveats, and all.
