New import ban on specified Canadian whey, molasses, and non-alcoholic beer replaces prior 50% duty from Sept. 29, 2026.

1. What changed

The President issued a proclamation under section 338 of the Tariff Act of 1930 (19 U.S.C. 1338) and section 604 of the Trade Act of 1974 (19 U.S.C. 2483) that:

• Imposes an import ban (exclusion from importation) on certain products of Canada that were previously subject to a 50% ad valorem duty under Proclamation 11047.
• Directs that these products, as listed in Annex I, are no longer merely subject to additional duties but are prohibited from importation into the United States when of Canadian origin.
• Confirms that other Canadian products covered by Proclamation 11047 remain subject to the 50% additional duty and are not affected by this new ban.

2. Affected products and HTS codes

The import ban applies to products of Canada classified under the following HTSUS subheadings (as listed in Annex I):

Dairy-related (whey and modified whey – Chapter 4)

• 0404.10.05 – Whey protein concentrates
• 0404.10.08 – Modified whey (except protein concentrates), described in general note 15 of the HTSUS
• 0404.10.11 – Modified whey (except protein concentrates), whether or not concentrated or sweetened, described in additional U.S. note 10 to chapter 4 of the HTSUS
• 0404.10.15 – Modified whey (except protein concentrates), whether or not concentrated or sweetened, not described in general note 15 of the HTSUS
• 0404.10.20 – Fluid whey, whether or not concentrated or containing added sweeteners
• 0404.10.48 – Whey (except modified whey), dried, whether or not concentrated or sweetened, described in general note 15 of the HTSUS
• 0404.10.50 – Whey (except modified whey), dried, whether or not concentrated or sweetened, described in additional U.S. note 12 to chapter 4 of the HTSUS
• 0404.10.90 – Whey (except modified whey), dried, whether or not concentrated or sweetened, not described in general note 15 or additional U.S. note 12 to chapter 4 of the HTSUS

Sugars and molasses (Chapter 17)

• 1702.90.35 – Invert molasses
• 1703.10.30 – Cane molasses imported for the commercial extraction of sugar or for human consumption
• 1703.10.50 – Cane molasses, nesoi
• 1703.90.30 – Molasses, other than cane, imported for the commercial extraction of sugar or for human consumption
• 1703.90.50 – Molasses, nesoi

Beverages (Chapter 22)

• 2202.91.00 – Non-alcoholic beer

Scope notes:

• The Annex states that product descriptions are for informational purposes only and do not delimit the scope of the action; classification is governed by the HTSUS provisions themselves.
• The ban applies only to products of Canada under these HTSUS subheadings.

3. Rate changes and import treatment

Previous treatment (under Proclamation 11047):

• The listed Canadian-origin products were subject to an additional ad valorem duty of 50% (fifty percent) on top of the normal MFN/base rate.

New treatment under this proclamation:

• For goods of Canada classified in the HTSUS subheadings listed above and imported on or after 12:01 a.m. eastern time on September 29, 2026:
• Importation into the United States is prohibited (import ban / exclusion from importation).
• These goods are no longer subject to the 50% additional duty because they cannot be entered for consumption.

Transitional treatment:

• Products that will be subject to the import ban and that were:
• Imported (i.e., arrived in the customs territory of the U.S.) before September 29, 2026, but
• Not yet entered for consumption or withdrawn from warehouse for consumption before that date,

remain subject to the 50% ad valorem duty rate established by Proclamation 11047, rather than the import ban.

Severability / fallback duty:

• If the import ban is invalidated in whole or in part as to any import, the 50% ad valorem duty imposed in Proclamation 11047 will automatically apply to the affected imports.
• Other bans and duties under Proclamation 11047 or subsequent proclamations remain unaffected.

4. Key dates

• July 20, 2026: Proclamation 11047 issued, imposing additional 50% ad valorem duties on certain Canadian products.
• August 18, 2026: Proclamation 11056 temporarily suspends the effective date of those additional duties for 3 days.
• August 22, 2026, 12:01 a.m. ET: Suspension lapses; 50% additional duties under Proclamation 11047 become effective.
• September 8, 2026: Current proclamation signed, excluding certain Canadian products from importation.
• September 29, 2026, 12:01 a.m. ET: Effective time for the import ban on the listed Canadian-origin products.

5. Required actions for importers, brokers, and compliance teams

Classification and origin controls

• Confirm HTS classification: Review all products sourced from Canada to determine whether they fall under any of the listed HTSUS subheadings:
• 0404.10.05, 0404.10.08, 0404.10.11, 0404.10.15, 0404.10.20, 0404.10.48, 0404.10.50, 0404.10.90
• 1702.90.35, 1703.10.30, 1703.10.50, 1703.90.30, 1703.90.50
• 2202.91.00
• Verify country of origin: Ensure robust origin determination and documentation to confirm whether goods are “products of Canada.” The ban applies only to Canadian-origin goods under these HTS codes.

Entry and logistics planning

• Stop new Canadian sourcing for covered HTS codes: Immediately halt new purchase orders and contracts for Canadian-origin whey, molasses, and non-alcoholic beer under the listed HTS codes for delivery on or after September 29, 2026.
• Manage shipments in transit:
• For Canadian-origin goods under the listed HTS codes that will arrive and be imported on or after 12:01 a.m. ET September 29, 2026, plan to divert, return, or otherwise avoid attempting U.S. entry, as they will be inadmissible.
• For goods that arrive before September 29, 2026, but are not yet entered for consumption, ensure timely entry or warehouse withdrawal decisions are made with full awareness that such entries will incur the 50% additional duty.

Customs entry and duty treatment

• For entries on or after September 29, 2026:
• Do not file entries for consumption for Canadian-origin goods under the listed HTS codes; CBP will be required to exclude these goods.
• Work with carriers and freight forwarders to avoid presenting such goods for U.S. import.
• For entries before September 29, 2026:
• Ensure that entries of covered Canadian-origin goods reflect the 50% additional ad valorem duty under Proclamation 11047.
• Review bonded warehouse and FTZ inventories for Canadian-origin goods under the listed HTS codes; any withdrawal for consumption after September 29, 2026, will be prohibited, so plan re-export or alternative disposition.

Contracting, pricing, and supply chain

• Renegotiate or terminate contracts: Review existing contracts with Canadian suppliers of whey, molasses, and non-alcoholic beer to address impossibility of performance for U.S. import after the effective date.
• Identify alternative suppliers: Source equivalent products from non-Canadian origins or substitute products not covered by the listed HTS codes.
• Update internal pricing and cost models: For any remaining pre-September 29 entries, incorporate the 50% additional duty into landed cost calculations.

Compliance and internal controls

• Update compliance manuals and SOPs: Reflect the new import ban and the continued 50% duty on other Canadian products still covered by Proclamation 11047.
• Train relevant staff: Ensure purchasing, logistics, and customs compliance teams understand that:
• The listed Canadian-origin products are banned from importation as of September 29, 2026.
• Pre-effective-date entries remain subject to a 50% additional duty.
• Monitor CBP guidance: CBP is authorized to issue rules, regulations, guidance, and instructions to implement this proclamation. Compliance teams should:
• Monitor the Federal Register and CBP’s website for implementing instructions and any HTSUS modifications.
• Adjust ACE programming, broker instructions, and screening tools once CBP publishes specific implementation guidance.

Risk management

• Screen for potential misclassification: Heighten review of entries where Canadian-origin dairy derivatives, molasses, or non-alcoholic beverages could be misclassified to avoid the ban.
• Prepare for enforcement: Expect increased CBP scrutiny of Canadian-origin dairy-related products and beverages; maintain complete documentation supporting classification and origin.

6. References

Primary documents:

• Proclamation: “Excluding Certain Canadian Products from Importation into the United States in Response to Continued Discrimination Against the Commerce of the United States With Respect to Dairy” (September 8, 2026) – available on the White House website.
• Annex I (HTS list):
• PDF: https://www.whitehouse.gov/wp-content/uploads/2026/09/ANNEX-I-DAIRY.pdf

Related prior actions:

• Proclamation 11047 (July 20, 2026): Imposing Additional Duties To Offset Canadian Discrimination Against the Commerce of the United States With Respect to Dairy.
• Proclamation 11056 (August 18, 2026): 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.
• Proclamation of September 8, 2026: Modifying the Scope of Products of Canada Subject to the Additional Duties Imposed To Offset Canadian Discrimination Against the Commerce of the United States With Respect to Dairy.

7. HTS metadata (for systems and screening)

Affected HTSUS subheadings (Canadian-origin only):

• 0404.10.05
• 0404.10.08
• 0404.10.11
• 0404.10.15
• 0404.10.20
• 0404.10.48
• 0404.10.50
• 0404.10.90
• 1702.90.35
• 1703.10.30
• 1703.10.50
• 1703.90.30
• 1703.90.50
• 2202.91.00

Actionable next steps summary:

• Immediately map all Canadian-origin imports against the above HTS codes.
• Cease planning U.S. imports of these Canadian-origin products for arrival on or after September 29, 2026.
• For pre-September 29 imports and withdrawals, apply the 50% additional duty and plan disposition of any bonded/FTZ inventory.
• Monitor CBP and Federal Register notices for implementing guidance and any HTSUS technical modifications.