Global Trade and Freight Updates for July 2026
Global Freight Demand Is Rising but the Market Is Moving at Different Speeds
Recent market data shows international freight activity holding strong as the second half of the year gets underway. U.S. containerized imports in June were 8.2% higher than a year earlier, and the number of containerships heading toward Los Angeles and Long Beach also remained elevated. That points to steady import demand, even as businesses continue to adjust orders around tariffs, inventory needs, and changing trade rules. The market is not moving evenly, but the overall flow of goods into the United States remains active.
Ocean freight is where the biggest pressure is showing. Rates from the Far East to the U.S. West Coast rose again in mid-July and were sharply higher than the same time last year. Other routes were more mixed, with some lanes gaining and others falling, which means the cost of shipping still depends heavily on origin, destination, and timing. Importers should not assume that one global rate trend applies to every trade lane.
Airfreight is also giving shippers a mixed picture. Rates from China to the United States eased slightly for the week but remained well above last year, while U.S. to China rates increased. Vietnam to U.S. rates dropped more sharply, and Middle East and South Asia capacity improved, although the region was still below earlier levels and spot pricing remained high. Air remains a valuable option for urgent freight, but pricing can change quickly from one lane to the next.
For importers, the message is simple: plan early and look at each shipment on its own. Strong import volume, uneven capacity, and rising costs on key routes can affect transit time, equipment availability, and landed cost with little warning. A shipment that looks straightforward today may need a different port, carrier, or mode once the booking window opens. Staying flexible and reviewing ocean and air options before cargo is ready can help avoid delays and unnecessary costs.
New Aluminum Incentive Ties Lower Tariffs to U.S. Investment
President Trump announced a new Section 232 incentive program aimed at increasing primary aluminum production in the United States. Companies may submit plans to build, expand, or refurbish U.S. facilities and, if approved, could import an annual amount of primary aluminum tied to the project’s expected U.S. production at half of the Section 232 tariff rate otherwise in effect. The program is intended to encourage domestic investment and strengthen the U.S. aluminum supply chain. Construction under an approved plan must begin by January 20, 2029.
The Department of Commerce will develop the application process and review each proposal based on investment, production, timing, costs, and whether the commitments are commercially reasonable. Approved companies may be required to report on progress or complete audits, and the tariff benefit can be withdrawn if commitments are not met. For most importers, there is no immediate change to current entry procedures or tariff rates. Additional Commerce rules, HTSUS changes, and CBP filing guidance will still be needed.
Trade Fraud Enforcement Surpasses the $1 Billion Mark
Along with the announcement, the Justice Department and Homeland Security released a new guide that explains how trade fraud laws may be enforced and where businesses may face risk. For importers, this is a good reminder to review tariff classifications, declared values, country of origin decisions, importer of record responsibilities, antidumping and countervailing duties, forced labor requirements, and rules for regulated goods. The guide does not replace legal advice, but it gives businesses a clearer look at the areas federal agencies are reviewing and why accurate records should be in place before cargo moves. We have included a quick overview on the next page, along with a link to the full federal guide.
The Justice Department announced that its Trade Fraud Task Force has surpassed $1 billion in civil and criminal recoveries, penalties, forfeitures, and publicly charged losses since it launched with the Department of Homeland Security in August 2025. The task force is looking closely at false country of origin claims, incorrect product descriptions, illegal transshipment, unpaid tariffs, and other false information provided during the import process. Its work can reach beyond the importer to include customs brokers, distributors, commercial buyers, and other businesses that knowingly benefit from goods brought into the country illegally.
U.S. and Jordan Sign New Reciprocal Trade Agreement
The White House says the agreement is designed to expand market access for U.S. exporters and make trade between the two countries more efficient. For qualifying Jordanian goods, the United States will provide the applicable preferential or most-favored-nation tariff treatment listed in the agreement’s schedule. However, the agreement does not override Section 232 tariffs or other applicable trade remedies. Its provisions will become operative 60 days after both countries notify each other in writing that their required internal procedures are complete. Importers and exporters should watch for implementation guidance, tariff schedule updates, and any customs filing instructions before relying on the new provisions.
The United States and Jordan have signed a new reciprocal trade agreement that builds on the existing U.S.-Jordan Free Trade Agreement. Jordan will continue providing duty-free access for nearly all qualifying U.S. goods while taking additional steps to reduce barriers affecting agriculture, motor vehicles, medical devices, pharmaceuticals, remanufactured goods, and services. The agreement also includes commitments on customs modernization, electronic documents, pre-arrival processing, intellectual property protection, labor standards, and stronger enforcement against duty evasion and transshipment.
The White House has announced three new tariff actions affecting specified products from Canada. Beginning August 19, 2026, covered goods will face an additional 50% tariff under Section 338 of the Tariff Act of 1930. The actions respond to Canada’s treatment of U.S. exports involving motor vehicles, alcoholic beverages, and dairy. According to the Office of the U.S. Trade Representative, the tariffs cover nearly $20 billion in Canadian imports. This does not mean every product imported from Canada will be affected.
Hundreds of HTSUS classifications are included across the three proclamations, covering goods such as wine, spirits, dairy ingredients, sporting goods, cement, wood products, chemicals, machinery, electronics, and furniture. Covered goods remain subject to the tariff even when they qualify under USMCA, the United States-Mexico-Canada Agreement. Important exclusions include energy, potash, products already subject to Section 232 tariffs, and certain fish products and critical minerals. Importers should review the exact HTSUS classification, country of origin, and entry date before filing. Additional CBP guidance may be issued before the tariffs take effect.
A new 25% Section 301 tariff took effect on July 22, 2026, for covered products of Brazil entered for consumption or withdrawn from warehouse for consumption. The action applies to a broad range of Brazilian goods, but it does not apply to every import from Brazil. Importers should confirm the country of origin and full HTSUS classification before filing an entry.
CBP has now issued the filing instructions importers and customs brokers need to follow. Covered products must be reported under HTSUS 9903.05.01 and remain subject to any other duties, taxes, fees, antidumping duties, or countervailing duties that may apply. The correct Chapter 99 reporting order is also important when more than one trade remedy applies.
A limited in-transit exception is available, but both conditions must be met. The goods must have been loaded onto a vessel and already moving on their final mode of transportation before 12:01 a.m. Eastern Time on July 22. They must also be entered for consumption or withdrawn from warehouse before 12:01 a.m. Eastern Time on July 29.
The exemptions cover several groups of products, including goods listed by specific HTSUS classification, qualifying civil aircraft and parts, articles used in pharmaceutical applications, humanitarian donations, and informational materials. A separate exemption also covers specified aluminum, steel, copper, vehicles and vehicle parts, wood products, and semiconductor articles. Other listed exemptions include açaí, coconut water, certain tropical fruit and citrus juice, and specific goods used for religious purposes.
Importers should review any upcoming shipments from Brazil now and make sure supporting records are kept when an exemption depends on the product’s intended use. CBP also provided rules for Chapter 98 entries, foreign trade zone admissions, and the order for reporting Section 301 and other Chapter 99 tariff numbers. A careful review before filing can help avoid unexpected duty costs, entry errors, and delays. View the Official CBP Filing Guidance and HTSUS Exemption List
New Detroit-Windsor Bridge Set to Open July 27
The United States and Canada have reached an agreement allowing the Gordie Howe International Bridge to open on July 27, 2026. The new six-lane bridge connects Detroit, Michigan, with Windsor, Ontario, and includes modern border facilities on both sides. Officials also agreed to work together on certain toll changes and future investments that support the surrounding region. Although the planned joint opening celebration was canceled, the bridge remains scheduled to open to commercial and passenger traffic on July 27.
For shippers and carriers, the bridge will add another option along one of the busiest trade corridors in North America. Its direct connection between Interstate 75 and Highway 401 could help freight move more smoothly while adding capacity and another route for cross-border shipments. The bridge is also expected to support manufacturing, improve access between the two countries, and make the regional supply chain more flexible.
