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  • Product: ONESOURCE Global Trade

Updates - February 24, 2026

Customer notice: consolidated guidance for CSMS 67834313 and CSMS 67844987 – managing the transition from IEEPA to Section 122 duties

U.S. Customs and Border Protection (CBP) has issued two related Cargo Systems Messaging Service (CSMS) notices that together govern the transition from
IEEPA duties
 to
temporary Section 122 duties
:
  • CSMS # 67834313
    - Ending Collection of International Emergency Economic Powers Act Duties
     (published February 23, 2026) – provided initial guidance on the
    cessation of IEEPA tariff collection
  • CSMS # 67844987
    - Imposing Temporary Section 122 Duties
     (published February 24, 2026) – provides
    additional and detailed filing guidance
     for the new Section 122 duties, including applicable HTS numbers, exemptions, sequencing, and special scenarios
This update consolidates both CSMS notices and represents the
latest guidance
 on how these changes should be managed together and how they are reflected in the application.

Regulatory timeline at a glance

CBP’s guidance establishes the following sequence:
  1. End of IEEPA duties (CSMS 67834313)
    Per
    CSMS # 67834313
    , duties imposed under the International Emergency Economic Powers Act (IEEPA) are
    no longer effective
     for goods entered for consumption, or withdrawn from warehouse for consumption,
    on or after 12:01 a.m. Eastern Time on February 24, 2026
    .As of today, we are seeing entries reject if IEEPA duties are not properly filed under certain conditions. Current CBP processing behavior indicates:
    • IEEPA duties apply to entries dated
      up to and including February 23, 2026
    • IEEPA duties
      do not apply
       to entries dated
      February 24, 2026 or later
      (Important distinctions for Foreign Trade Zones are addressed further below)
    • All HTS numbers associated with IEEPA tariffs are
      inactive in ACE as of February 24, 2026
    This change applies
    only
     to IEEPA duties and does not impact duties imposed under other authorities, such as Section 301 or Section 232.
  2. Start of Section 122 duties (CSMS 67844987)
    Per
    CSMS # 67844987 – Imposing Temporary Section 122 Duties
    , a Presidential Proclamation issued February 20, 2026 imposes a
    temporary additional 10% ad valorem duty
     under Section 122 of the Trade Act of 1974.
    Key points from this notice include:
    • Section 122 duties apply to entries
      on or after 12:01 a.m. Eastern Time on February 24, 2026
    • The primary HTS for the additional duty is
      9903.03.01
    • Multiple exemption HTS numbers (
      9903.03.02 – 9903.03.11
      ) apply, including in‑transit goods, USMCA‑qualifying goods, certain product categories, donations, and informational materials
    • Section 122 duties are currently scheduled to remain in effect
      through 12:01 a.m. Eastern Time on July 24, 2026

Upcoming application updates for IEEPA and Section 122 rules

To support the transition described in
CSMS 67834313
 and
CSMS 67844987
, we are preparing
three separate user updates
.
These user updates are designed to give customers flexibility in how they transition their rules and receipts, and will provide the following options:
  1. User Update: Deactivate IEEPA IMCR rules only
     (See the guide in User updates for transition from IEEPA to Section 122)
    • A user update will deactivate
      all active IMCR rules that include IEEPA tariffs
    • The
      End Effective Date
       for these rules will be set to
      February 23, 2026
    This option is intended for customers who prefer to
    manually create and manage their own Section 122 IMCR rules
    .
  2. User Update: Deactivate and replace IEEPA IMCR rules with Section 122 rules
     (See the guide in User updates for transition from IEEPA to Section 122)
    • A user update will deactivate all existing, active IMCR rules that include IEEPA tariffs, with an
      End Effective Date of February 23, 2026
    • The system will
      clone these deactivated rules
       and create new rules that
      remove IEEPA
       and
      apply the appropriate Section 122 HTS
      • All match criteria will remain the same in the cloned rule
      • There may be instances where multiple tariffs apply for IEEPA-F and IEEPA-R, and those will be cloned into one section 122 tariff
      • All of the new Section 122 tariffs must exist in HTS Maintenance for the updates to work
    This option is intended for customers who want the
    system to perform the transition
     from IEEPA to Section 122 on their behalf.
    important
    Not all IEEPA tariffs map one‑to‑one to a specific Section 122 HTS. Where there is uncertainty regarding the correct Section 122 HTS, the system will default the new rule to
    HTS 9903.03.01
    .
    Customers must
    review all newly created rules
     after the update to confirm accuracy and make adjustments as needed.
    New Section 122 rules will be created
    only where an active IEEPA rule previously existed
    .
  3. User Update: Section 122 in‑transit rule update for USFTZ admissions processing
    • A separate user update will address
      Section 122 in‑transit scenarios
    • This update will replace receipt
      HTS 9903.03.01
       with
      HTS 9903.03.02
       where the in‑transit criteria are met
      important
      HTS 9903.03.01 and 9903.03.02 must exist in HTS Maintenance for the update to work properly.

Foreign Trade Zone (FTZ) considerations

While
CSMS 67834313
 does not provide explicit transition guidance for Foreign Trade Zones, we are currently seeing entry rejections where the following is not applied:
  • Privileged Foreign (PF) goods
     with an entry date
    before or after February 24, 2026
     and a
    privileged date prior to February 24, 2026
     continue to require
    IEEPA duties
    • Note, entries dated
      prior to
       February 24, 2026
      continue to require IEEPA duties
Until CBP issues further clarification, the application will continue to align with this behavior to ensure consistency with CBP processing.
important
During 7501 Generate, if Apply IMCR is checked and an IMCR for Section 122 is active, we will apply those tariffs to your unprinted entries.

What you need to do

At this time,
no immediate action is required
, unless you wish to begin preparing your own
Section 122 IMCR rules
 for upload. Customers who choose this approach may begin rule preparation while waiting for the deactivation user update to be made available.
We recognize that many customers are eagerly awaiting these user updates, and we are actively working to make them available as quickly as possible. You will be notified as each user update is deployed, and we will continue to provide updates as CBP releases additional guidance.
Please continue to monitor application messages and Help and Support content.
If you have questions about how this transition affects your entries or configuration, please contact your support team.