CARMICHAEL COMPASS: ISSUE 26-020 – May 27, 2026

Section 232 Tariff Reduction for Select Taiwanese Goods

In a Federal Register notice set to be published on May 28, the Office of the United States Trade Representative has announced that it will be lowering the Section 232 tariffs on Taiwanese auto parts and some wood products, as well as eliminating tariffs on aerospace goods that were subject to Section 232 tariffs.

Furniture, cabinets, and auto parts of Taiwan will be reduced to a 15% all in duty rate for products with a column 1 most favored nation (MFN) rate of less than 15%. Products with a column 1 MFN rate of 15% or more will not be assessed additional duty. This reduction will be retroactive to May 1, and refunds will be available for duties paid on entries since May 1 pending instructions from Customs.

Gabon Restored to AGOA

On May 19, President Trump restored Gabon’s eligibility to the African Growth and Opportunity Act. Gabon’s eligibility was removed in 2024. The proclamation also includes the implementation of the recent extension of AGOA provisions like third party fabric allowances in exported apparel and the Haitian trade preferences.

FDA Launches Import Educational Resources Page

The U.S. Food and Drug Administration sent a bulletin on May 19 announcing the launch of their new Import Educational Resources page on FDA.gov. The new resource page creates a central access point for import education materials including videos, quick-reference guides, and a topical index of FDA Import Program resources by topic.

This resource is helpful for importers navigating FDA requirements, brokers managing FDA-regulated import entries, stakeholders seeking important information, and for FDA field staff in need of quick reference materials.

CIT Denies Stay in Section 122 Case

On May 20, the Court of International Trade denied the government’s motion for a stay of its ruling against the Section 122 tariffs and its order of an injunction against collecting Section 122 duties from the plaintiffs of the case.

Judges Barnett, Kelly, and Stanceu ruled that the government will not be irreparably harmed by an injunction of such limited nature, as it only applies to the three plaintiffs. The government’s worry over a potential flood of similar cases also seeking relief crippling CBP’s ability to function was deemed speculative. CIT also pointed out that their order only seeks injunction, not refund, within five days and that the agency’s ability to extend liquidation and collect duties, should the government prevail upon appeal, has not been constrained.

This case is still developing; we will provide updates as they become available.