The 10% temporary surcharge is in effect. The exception window is over. What matters now?

The limited ocean in-transit exception under Section 122 has officially closed. For many importers, the focus was on beating the February 24–28 deadline. Now the real risk begins.

The 10% temporary surcharge is in effect. The exception window is over. What matters now is compliance discipline.

Entry Timing Is Now an Audit Target

Customs and Border Protection is closely reviewing:

• Entry summary timestamps

• Arrival confirmations

• Bill of Lading load dates

• Proof of vessel departure

If documentation does not clearly support eligibility, the surcharge applies. There is little room for interpretation.

Importers should assume that entries filed during the transition window may be reviewed later.

Documentation Gaps Create Retroactive Exposure

Missing or incomplete documentation does not simply delay processing , it can create financial liability.

Key risk areas include:

• Incorrect Chapter 99 reporting

• Failure to properly stack duties (301 + 232 + 122)

• Late warehouse withdrawals

• In-bond misunderstandings

Post-summary corrections may not always cure a filing defect if eligibility was not met at the time of entry.

Tariff Stacking Is Compounding Duty Rates

Section 122 does not replace other trade remedies, It stacks.

For many importers, the effective rate now includes:

• Base MFN duty

• Section 301 tariffs

• Section 232 tariffs

• 10% Section 122 surcharge

This significantly increases landed cost exposure and raises the stakes for classification accuracy.

Audit Risk Is Increasing

Importers should proactively review:

• Entries filed between February 24–28

• HTS classifications tied to high duty exposure

• Whether exclusions were properly claimed

• Whether documentation supports exception eligibility

Waiting for a CF-28 or CF-29 request is no longer a sound strategy.

The Strategic Shift

The headline was the tariff rate.

The real story is the enforcement posture.

Section 122 may be temporary, but compliance exposure is not.

The exception window closed.

The compliance window just opened.