9903.05.27 Brazil Section 301 Forced Labor: 12.5% Duty

Key Points

• HTS code 9903.05.27 imposes an additional 12.5 percent ad valorem duty on all products of Brazil (all chapters 1 through 97) under the Section 301 Forced Labor program.
• The 12.5 percent rate took effect on July 24, 2026, with no announced end date as of September 1, 2026.
• Legal authority rests on the USTR Section 301 Forced Labor Investigation and Penalty (FLIP) final action dated July 23, 2026, U.S. note 52, and CBP CSMS message 69326983.
• 9903.05.27 is a Chapter 99 overlay code and must be reported alongside the underlying chapters 1-97 HTS number on every covered entry.
• Do not confuse this code with the Section 301 Brazil trade-remedy codes 9903.05.01 through 9903.05.09, which belong to a separate program.

On this page

1. What this code covers and which program created it
2. The 12.5 percent rate and its effective window
3. Country and product scope
4. How 9903.05.27 stacks with other duties
5. How the code appears on a CBP entry
6. Avoiding confusion with nearby Brazil codes
7. What importers should do
8. Key references

HTS 9903.05.27 is a Chapter 99 tariff overlay that adds 12.5 percent ad valorem to the dutiable value of all products of Brazil across all chapters 1 through 97 of the Harmonized Tariff Schedule. It is part of the Section 301 Forced Labor program governed by U.S. note 52, and it became effective on July 24, 2026. Any importer bringing Brazilian-origin merchandise into U.S. commerce on or after that date must report this code and pay the additional duty. The links in this article go to the primary documents: the USTR final action, CBP CSMS guidance, and the official tariff schedule pages themselves. Read the source.

What this code covers and which program created it

The Section 301 Forced Labor program, administered by the Office of the United States Trade Representative, uses Section 301 authority to apply additional duties on goods from countries where forced labor practices have been identified. The program is distinct from the antidumping, countervailing duty, and Section 232 tariff regimes. Country-specific duties under this program run from heading 9903.05.20 through 9903.05.84 of the Harmonized Tariff Schedule, each heading corresponding to a specific country.

9903.05.27 is the Brazil-specific heading within that country range. It was created by the USTR Section 301 FLIP final action dated July 23, 2026, and administered under U.S. note 52 to Chapter 99 of the HTSUS. CBP published operational guidance in CSMS message 69326983.

The 12.5 percent rate and its effective window

The additional duty rate under 9903.05.27 is 12.5 percent ad valorem. This rate applies to the customs value of covered merchandise and is added on top of all other applicable duties (see the stacking section below).

The rate took effect on July 24, 2026, and as of September 1, 2026, no end date has been announced. Importers should monitor USTR and CBP publications for any modification, suspension, or termination. If a window closes in the future, entries liquidated under the wrong rate may be subject to supplemental bills or protests; confirm the current status before filing.

Country and product scope

Country of origin

9903.05.27 applies exclusively to products whose country of origin is Brazil (ISO country code BR). Country of origin is determined under the standard substantial-transformation rules applicable to the underlying merchandise. Goods that merely transit Brazil, or are processed there without meeting the substantial-transformation standard, are not Brazilian-origin for this purpose. Confirm origin determinations with a licensed broker or binding ruling if there is any ambiguity.

Product scope

Per U.S. note 52(a), all products classifiable in chapters 1 through 97 of the HTSUS that originate in Brazil are subject to 9903.05.27. There is no commodity carve-out or positive list: the scope is effectively everything. This is confirmed by the migration note migration_202607281700 in the facts underlying this code. Importers in every sector, from agricultural commodities to machinery to consumer goods, need to evaluate their Brazilian-origin supply chains.

How 9903.05.27 stacks with other duties

Chapter 99 overlay duties are additive. When 9903.05.27 applies, the total duty owed on a shipment is the sum of:

• The base Most-Favored-Nation (MFN) or column 2 rate from the chapters 1-97 classification
• Any applicable Section 232 steel or aluminum additional duties
• Any applicable antidumping or countervailing duty (AD/CVD) cash deposits
• The 12.5 percent Section 301 Forced Labor additional duty under 9903.05.27

Brazilian goods subject to existing AD/CVD orders, for example, carry all of those obligations simultaneously. There is no offset or credit between programs. For guidance on how sourcing changes interact with AD/CVD obligations, see our article on AD/CVD circumvention and legal sourcing shifts. Use the CustomsGenius duty calculator to model the combined duty burden on a line-by-line basis.

How the code appears on a CBP entry

9903.05.27 is a Chapter 99 overlay code. It does not replace the underlying chapters 1-97 classification; both codes must appear on the entry summary (CBP Form 7501) or the ACE electronic equivalent. A typical entry line for a Brazilian-origin product will show:

• Line 1: The chapters 1-97 HTS number with its standard MFN rate
• Line 2: 9903.05.27 with the 12.5 percent additional duty applied to the same dutiable value

Failure to report 9903.05.27 when it applies is an underpayment of duty and may result in a CBP penalty or audit finding. CBP's operational instructions for this program are in CSMS 69326983. Review that message carefully for any specific ACE filing mechanics. For a broader overview of 2026 tariff codes and Chapter 99 overlay mechanics, see our 2026 tariff code overview.

Avoiding confusion with nearby Brazil codes

The HTSUS contains two separate sets of Brazil-related codes in Chapter 99, and conflating them is a costly filing error.

Section 301 Brazil trade remedy: 9903.05.01 through 9903.05.09

These codes cover the older Section 301 trade-remedy actions against Brazil and are a completely different program from the forced labor action. They have different rates, different product scopes, and different legal authorities. 9903.05.27 does not replace or modify those codes.

Other Section 301 Forced Labor country headings

9903.05.27 is one of many country-specific headings running from 9903.05.20 through 9903.05.84. Each heading applies only to the country named in its official heading text. For comparison, see our articles on similar codes for other countries: 9903.05.25 (Bahrain, 12.5%), 9903.05.26 (Bangladesh, 10%), and 9903.05.20 (Algeria, 12.5%). Note that rates differ by country: Bangladesh carries 10 percent while Brazil carries 12.5 percent. Always verify the code against the country of origin on each shipment.

What importers should do

• Audit every active purchase order and open entry for Brazilian-origin goods and confirm that 9903.05.27 is being reported and the 12.5 percent additional duty is being deposited for entries filed on or after July 24, 2026.
• Review CSMS 69326983 and U.S. note 52 in the current HTSUS at hts.usitc.gov to confirm product scope and any ACE filing mechanics before your next Brazilian-origin entry.
• Recalculate landed costs for Brazilian-origin supply chains to account for the additive 12.5 percent, especially where AD/CVD or Section 232 duties already apply.
• Monitor USTR and Federal Register publications at federalregister.gov for any modification or termination of the forced labor action, as no end date has been announced.

Key references

• HTSUS, hts.usitc.gov: Official Harmonized Tariff Schedule of the United States, including Chapter 99 and U.S. note 52
• USTR.gov: USTR Section 301 FLIP final action, dated July 23, 2026, creating 9903.05.27
• CBP.gov, CSMS 69326983: CBP operational guidance and ACE filing instructions for the Section 301 Forced Labor program
• Federal Register, federalregister.gov: Federal Register notices related to the Section 301 Forced Labor program
• CustomsGenius 2026 Tariff Code Overview: Summary of new and modified Chapter 99 codes effective in 2026