Section 122

Definition

Section 122 is a statutory tariff authority allowing the President to impose a temporary tariff of up to 15% on imports to address balance-of-payments deficits. It was activated in February 2026 by presidential proclamation, replacing the IEEPA-based reciprocal-tariff framework that the Supreme Court struck down. The Section 122 tariff sets a 10% global baseline that applies to imports from every country except those qualifying for USMCA preferential origin. It stacks additively with MFN, Section 232, Section 301, and AD/CVD. The Section 122 surcharge is codified under HTSUS Chapter 99 Heading 9903.01.x and is statutorily capped at 150 days unless extended by Congress.