Import duty is charged for a handful of distinct reasons: to raise government revenue, to shield domestic producers from competition, to answer unfair trade practices, to protect supply chains seen as vital to national security, and to create leverage in negotiations. In the United States, the power to tax imports belongs to Congress, which has delegated parts of it to the President and to agencies under specific laws. Knowing which reason sits behind a duty tells you how long it is likely to last and how it can change.
Key Takeaways
- Duties raise revenue, protect industries, answer unfair practices and address security risks.
- In the US, Congress holds the tariff power and delegates parts of it by statute.
- Policy duties change faster than the general rate, so plan for movement.
- Facts are as of October 2026; confirm current notices before shipping.
Who Has the Power to Charge Import Duty
The US Constitution gives Congress the power to “lay and collect Taxes, Duties, Imposts and Excises” and to regulate foreign commerce. The Congressional Research Service explains that Congress has passed laws letting the President or an agency raise tariffs when set conditions are met, usually after an investigation. Its 2026 report on tariff authority also notes the Supreme Court’s February 2026 ruling that the International Emergency Economic Powers Act (IEEPA) does not authorize tariffs at all.
So every duty on an import traces back either to the tariff schedule Congress enacted or to one of those delegated laws. That origin decides the rules: some authorities have time limits, some have rate caps, and some have neither.
The Main Reasons Duties Exist
| Purpose | Typical US tool | Limits in the law | Relevance to EV charger buyers |
|---|---|---|---|
| Revenue and a baseline of protection | General (column 1) rates in the HTSUS | Changed by Congress or trade agreements | Every charger line has a general rate, sometimes free |
| Responding to unfair foreign practices | Section 301 (USTR) | No rate cap; ends after four years unless continuation is requested | The main extra layer on chargers made in China |
| National security | Section 232 (Commerce, then the President) | No rate or time cap | Can reach steel, aluminum or copper content such as cables and enclosures |
| Import surges hurting an industry | Section 201 safeguards | Up to 50 percentage points; four years, extendable to eight | Used on solar products, not chargers |
| Balance-of-payments problems | Section 122 | Up to 15% for 150 days | A 10% global surcharge ran February 24 to July 24, 2026 |
| Dumping or subsidies | Antidumping and countervailing duties | Order-specific | Only if an order covers the product |
Limits above follow the CRS comparison of statutory authorities. The Section 122 dates are from CRS’s Section 122 explainer and its October 2026 fact sheet.
Why the Reason Matters for Importers
A revenue duty in the tariff schedule tends to be stable for years. Policy duties move faster. A Section 301 action can be modified by notice, a Section 122 surcharge expires by law, and a Section 232 action can be widened to new derivative products. That is why the same charger can face very different landed costs from one year to the next, while its general rate never changes.
- Stable layer: the general rate tied to your HTS code.
- Policy layers: Section 301, Section 232 and similar, tied to origin and to notices that can change.
- Fees, not duties: processing and harbor fees pay for customs services rather than trade policy.
For the entry process itself, see our guide to importing EV chargers into the US. For how duty feeds into pricing, see what drives the unit cost of an OEM charger.
What This Means When You Source Chargers
You cannot control why a duty exists, but you can control how exposed you are to it. Know which layer applies to each product, price your line with some margin for policy change, and keep origin and value records accurate. Shortcuts such as misdeclaring origin or value are illegal and carry penalties. EVDANCE manufactures in its own Shenzhen factory, so origin and production documents come from the maker. Brands can start with our OEM and private-label program. All policy facts here are as of October 2026; confirm the current notice with a licensed customs broker before you ship.
Frequently Asked Questions
Is import duty a tax on the foreign seller?
No. In the US the importer of record pays it to Customs and Border Protection. Who bears the cost in the end depends on how prices are negotiated.
Why do some products pay no duty at all?
Many HTS lines have a free general rate, and trade agreements remove duty for qualifying goods. Policy layers can still apply on top.
Can the President set any tariff he wants?
Only within the laws Congress has passed. In February 2026 the Supreme Court ruled that IEEPA does not authorize tariffs.
Related Reading
- Importing EV Chargers Into the US: Customs, HTS and Section 301
- FOB vs DDP: How to Import EV Chargers From China Without Surprises
- What Drives the Unit Cost of an OEM EV Charger
- Canada EV Charger Import Guide: cUL, CSA and Duties
