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Freight Pulse & Law Update: Section 338 Canada Tariffs Delayed to Saturday, Transpacific Rates Keep Climbing

Writer: Lanta LLC
Lanta LLC
Aug 20
2 min read

What changed with the Section 338 Canada tariffs?

The White House temporarily suspended the first-ever 50% Section 338 tariffs on certain Canadian motor vehicles, dairy products, and alcoholic beverages. The duties now take effect at 12:01 a.m. ET on Saturday, August 22, 2026, rather than August 19.

The White House proclamation preserves key exclusions:

  • Goods already covered by Section 232

  • Energy products

  • Potash

  • Fish

  • Critical minerals

Importers should use the delay to confirm HTS classifications, entry timing, valuation, and documentation with their customs advisors.

Why are transpacific shipping costs rising?

Drewry’s World Container Index increased 4% to $4,526 per FEU. Shanghai-to-New York rates rose 9% to $9,507, while Shanghai-to-Los Angeles climbed 9% to $6,802.

Capacity is tightening as carriers manage schedules:

  • Seven blank sailings are planned next week.

  • Asia-to-U.S. East Coast capacity is down 9% month over month.

  • Panama Canal surcharges for Asia–USEC and Asia–Gulf Coast services are expected in September.

Lanta Logistics multimodal hub connecting port, highway, warehouse, and air freight

What compliance deadlines should shippers watch?

CBP extended enhanced Air Cargo Advance Screening enforcement through May 1, 2027. The data requirement remains active, so carriers and filers should continue correcting transmission errors and strengthening system integrations.

Prepare now for CVSA Brake Safety Week from August 23–29. Inspect brake drums, air-disc rotors, linings, hoses, slack adjusters, ABS indicators, and maintenance records before dispatch.

How can shippers reduce operational exposure?

Use third party logistics providers with measurable controls. Lanta Logistics combines 3PL fulfillment services, inventory management for ecommerce, a warehouse management system, and logistics software through FlowOps by Lanta.

From its Glen Burnie warehouse, Lanta supports 3PL Maryland, Mid-Atlantic fulfillment, food-grade warehouse operations, and Hazmat certified 3PL coordination for brands and enterprises.

Contact Lanta Logistics to protect service levels as tariffs, capacity, and compliance requirements shift.

 
 
 

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