U.S. Tariffs on Canadian-Origin Packaging
New U.S. Section 338 tariffs affecting selected Canadian-origin goods took effect August 22, 2026. Of particular relevance to rigid packaging buyers, the covered product list includes certain plastic bottles, containers, caps, closures and other packaging-related products imported from Canada.
Last Reviewed: September 3, 2026This page focuses on U.S. tariffs affecting Canadian-origin packaging entering the United States, with particular attention to rigid packaging products relevant to Empire EMCO customers. Canada has separately announced counter-tariffs on selected U.S.-origin goods entering Canada effective September 8, 2026. View the Canada Counter-Tariff Update →
Effective August 22, 2026, certain Canadian-origin rigid packaging imported into the United States is subject to an additional 50% Section 338 tariff. Of particular relevance to Empire EMCO customers, the official U.S. product list includes plastic bottles and similar containers under HTSUS 3923.30.00 and plastic stoppers, lids, caps and closures under HTSUS 3923.50.00. Product origin and classification should be confirmed for each item.
How Do I Know if My Canadian-Origin Rigid Packaging Is Affected by the U.S. Tariff?
Start by confirming the product's country of origin and U.S. HTSUS classification. Then determine whether that classification appears on the Section 338 product list.
For example, Canadian-origin plastic bottles and similar containers properly classified under HTSUS 3923.30.00, and plastic stoppers, lids, caps and other closures properly classified under HTSUS 3923.50.00, are included in the current action.
When Did the New U.S. Tariffs Take Effect?
The Section 338 tariffs were originally announced with an effective date of August 19, 2026.
On August 18, the U.S. government temporarily suspended implementation for three days. The additional duties subsequently took effect at 12:01 a.m. Eastern Time on August 22, 2026.
August 22 Effective Date
The original August 19 implementation date was moved three days to August 22, 2026.
Canadian Origin Matters
The Section 338 duties apply to qualifying products of Canada covered by the applicable HTSUS classifications.
Additional 50% Duty
The Section 338 tariff is an additional ad valorem duty on covered products, subject to applicable exclusions and customs requirements.
Which Canadian-Origin Rigid Packaging Products Are Included?
The official Section 338 annex contains many product classifications. The table below highlights classifications particularly relevant to Empire EMCO's rigid packaging and closure programs.
| Rigid Packaging / Component | U.S. HTSUS | Status | Additional Rate |
|---|---|---|---|
| Plastic carboys, bottles, flasks and similar articles for the conveyance or packing of goods | 3923.30.00 | Included | 50% |
| Plastic stoppers, lids, caps and other closures | 3923.50.00 | Included | 50% |
| Certain plastic boxes, cases, crates and similar rigid articles for the conveyance or packing of goods | 3923.10.90 | Included | 50% |
| Certain rubber caps, lids, seals, stoppers and other closures | 4016.99.15 | Included | 50% |
| Certain glass carboys, bottles, jars, pots, flasks and other containers for conveying or packing goods | 7010.90.50 | Included | 50% |
Important: This table highlights tariff classifications most relevant to Empire EMCO's rigid packaging business; it is not a complete reproduction of the Section 338 annex. The legal scope of the tariff is determined by the applicable HTSUS classification, country of origin and current customs guidance. Customers should confirm individual products with their customs broker or qualified trade professional.
Are Canadian-Origin Plastic Bottles Subject to the New U.S. Tariff?
Canadian-origin products properly classified under HTSUS 3923.30.00 are included on the Section 338 product list.
This classification covers carboys, bottles, flasks and similar plastic articles used for the conveyance or packing of goods.
For covered Canadian-origin products, the Section 338 action imposes an additional 50% ad valorem duty.
Does a 50% Tariff Mean the Customer Price Automatically Increases 50%?
Not necessarily. The Section 338 duty is an additional import duty. The practical landed cost impact can also depend on customs value, freight, current inventory, supplier arrangements and sourcing strategy.
The financial effect should therefore be evaluated for the specific product and import transaction.
Are Canadian-Origin Plastic Caps and Closures Included?
Yes. Canadian-origin products properly classified under HTSUS 3923.50.00 are included in the Section 338 product list.
This classification includes plastic stoppers, lids, caps and other closures and is subject to the additional 50% duty when the applicable requirements are met.
Does USMCA Qualification Automatically Exempt a Covered Product?
No. The White House has stated that the Section 338 tariffs apply to covered goods regardless of whether a good otherwise originates under the United States-Mexico-Canada Agreement.
USMCA qualification should not be assumed to eliminate the new Section 338 duty. Importers should confirm the current treatment of specific products with their customs broker or qualified trade professional.
Shipping From Canada Does Not Always Mean Canadian-Origin
A packaging component may ship from a Canadian distributor or warehouse while having been manufactured in another country.
Tariff exposure should therefore be reviewed based on the actual product, its country of origin and its applicable HTSUS classification—not simply the address from which the shipment departs.
Learn About Packaging Classification & Country of Origin →What Should Manufacturers Review?
If your packaging program includes Canadian-origin products, early planning may provide more flexibility than reacting once inventory becomes urgent.
How Can Empire EMCO Help Manage Tariff Exposure?
Tariffs are part of a larger packaging sourcing and supply-chain challenge. Empire EMCO works with manufacturers to evaluate the complete packaging program.
Review Current Supply
Evaluate packaging sources, country of origin, lead times, inventory and supplier dependencies.
Evaluate Alternate Sources
Explore qualified U.S., North American and global manufacturing alternatives where appropriate.
Inventory Planning
Evaluate forecasts, safety stock, warehousing and scheduled releases around production needs.
Packaging Engineering
Review materials, designs, molds and technical alternatives where a sourcing change is necessary.
Total Cost Evaluation
Review component price, tariffs, freight, tooling, inventory and other landed-cost considerations together.
Supply Continuity
Coordinate sourcing, inventory and logistics strategies to help reduce disruption.
Canada Has Announced Separate Counter-Tariffs
Canada's September 8, 2026 counter-tariffs are a separate trade action involving selected U.S.-origin goods entering Canada.
Those Canadian measures should not be confused with the August U.S. Section 338 tariffs described on this page.
Where Can I Verify the U.S. Section 338 Tariff Information?
Three separate government sources support different parts of this tariff update: the underlying Section 338 action, the product classifications covered by the action, and the revised August 22 effective date.
U.S. Section 338 Proclamation
Review the underlying presidential action establishing additional duties on selected products of Canada.
Official Product Annex
Review the official U.S. annex containing the covered tariff classifications, including the rigid packaging codes discussed on this page.
August 22 Effective-Date Update
This subsequent White House action changed the effective date of the additional duties from August 19 to August 22, 2026.
Why are there three sources? The August 18 White House action is not specifically a rigid-packaging proclamation. It is the official source establishing the revised August 22 effective date for the covered Section 338 duties. The product annex is the source identifying the individual rigid-packaging tariff classifications included in the action.
Frequently Asked Questions
These answers address the August 2026 U.S. Section 338 tariffs and their potential effect on Canadian-origin rigid packaging.
When did the new U.S. tariffs on Canadian goods take effect?
The additional Section 338 duties took effect at 12:01 a.m. Eastern Time on August 22, 2026. They were originally scheduled for August 19, but implementation was suspended for three days.
How do I know if my Canadian-origin rigid packaging is affected?
Confirm the product's country of origin and U.S. HTSUS classification, then determine whether that classification appears on the Section 338 product list. Formal import treatment should be confirmed with a customs broker or qualified trade professional.
Are Canadian-origin plastic bottles subject to the new tariff?
Canadian-origin products properly classified under HTSUS 3923.30.00 are included on the Section 338 product list and are subject to an additional 50% duty when the measure applies.
Are Canadian-origin plastic caps and closures affected?
Yes. HTSUS 3923.50.00, covering plastic stoppers, lids, caps and other closures, is included on the Section 338 product list.
Are rubber caps and closures also included?
Certain rubber caps, lids, seals, stoppers and other closures classified under HTSUS 4016.99.15 also appear on the official product annex. The classification of the specific component should be confirmed.
Are Canadian glass bottles also included?
Certain Canadian-origin glass bottles, jars and other qualifying glass packaging under HTSUS 7010.90.50 are included on the Section 338 product list. Classification should be confirmed for the specific container.
Does USMCA qualification automatically eliminate the tariff?
No. The White House has stated that the Section 338 tariffs apply to covered goods regardless of whether the good otherwise originates under USMCA. Specific import treatment should be verified with a customs broker.
Does shipping from Canada mean the packaging is Canadian-origin?
Not necessarily. A product may ship from a Canadian warehouse while having been manufactured elsewhere. Country of origin should be confirmed separately from the physical shipping location.
Is the 50% tariff the same as a 50% increase in customer price?
Not necessarily. The Section 338 tariff is an additional import duty. The ultimate effect on packaging cost can depend on customs value, freight, inventory, supplier arrangements, sourcing and other factors.
How can manufacturers reduce packaging tariff exposure?
Options may include confirming product origin and classification, evaluating alternate domestic or global suppliers, reviewing inventory requirements, planning future purchases and considering alternate packaging solutions.
Can Empire EMCO help identify alternate packaging sources?
Yes. Empire EMCO can help evaluate qualified domestic and global packaging alternatives based on manufacturing capability, quality, tooling, cost, logistics, lead time, inventory and supply requirements.
Continue Your Packaging Tariff & Supply Chain Review
Are U.S. Tariffs Affecting Your Canadian Packaging Supply?
Talk with Empire EMCO about your current rigid packaging sources, production requirements, inventory and potential alternate supply strategies.
Discuss Your Packaging Tariff ExposureDisclaimer: This information is provided for general informational purposes and reflects publicly available information reviewed as of September 3, 2026. Tariff classifications, rates, effective dates, exclusions, country-of-origin requirements and implementation guidance may change. Applicability depends on the specific product, HTSUS classification, origin and circumstances of importation. Product descriptions in government annexes are informational and do not replace formal tariff classification. This information should not be considered legal, tax or customs advice. Customers should consult their customs broker or other qualified trade professional regarding specific import transactions.