Referred to the House Committee on Ways and Means.
This bill adds a new tax under the Internal Revenue Code imposing a 0.125% tax on the value of "United States-bound circumvented cargo" discharged from ocean-going vessels in Canada or Mexico and later entering the U.S. by land, air, or inland port. The importer pays the tax at time of U.S. entry; the Secretary of the Treasury must issue implementing regulations.
Progressives emphasize protecting U.S. ports, jobs, and funding infrastructure
Relative to its intended legislative type, this bill is a straightforward statutory insertion into the Internal Revenue Code that creates a new tax obligation with clear rate, base, payer, timing, and a defined target transaction, while delegating procedural and enforcement specifics to regulatory guidance.
This bill adds a new tax under the Internal Revenue Code imposing a 0.125% tax on the value of "United States-bound circumvented cargo" discharged from ocean-going vessels in Canada or Mexico and later entering the U.S. by land, air, or inland port.
The importer pays the tax at time of U.S. entry; the Secretary of the Treasury must issue implementing regulations.
The tax applies to cargo entering after December 31, 2025.
Technically narrow but politically sensitive; modest revenue but notable industry and international resistance and limited compromise features.
Relative to its intended legislative type, this bill is a straightforward statutory insertion into the Internal Revenue Code that creates a new tax obligation with clear rate, base, payer, timing, and a defined target transaction, while delegating procedural and enforcement specifics to regulatory guidance.
Progressives emphasize protecting U.S. ports, jobs, and funding infrastructure
These are examples from the analysis, not a ranked list of the most-affected groups.
Progressives emphasize protecting U.S. ports, jobs, and funding infrastructure
Likely cautiously supportive because the tax targets perceived circumvention of U.S. ports and could fund infrastructure or labor protections.
Concerns include pass-through costs to consumers and ensuring revenues are used for public benefit.
Implementation details and enforcement fairness are important to assess.
Moderately supportive if the tax is low-rate, administrable, and produces net public benefit.
Will want clear estimates of revenue, administrative costs, and trade-law risk before full endorsement.
Pragmatic about adjustments based on initial implementation.
Likely opposed because it creates a new tax and regulatory burden on importers and could harm commerce.
Concerns focus on competitiveness, added compliance costs, and potential trade retaliation.
Prefers market-based or state-level solutions instead of federal tax expansion.
Reached or meaningfully advanced
Reached or meaningfully advanced
Still ahead
Still ahead
Still ahead
Technically narrow but politically sensitive; modest revenue but notable industry and international resistance and limited compromise features.
The bill has not accumulated any surfaced votes yet.
Progressives emphasize protecting U.S. ports, jobs, and funding infrastructure
Technically narrow but politically sensitive; modest revenue but notable industry and international resistance and limited compromise featu…
Relative to its intended legislative type, this bill is a straightforward statutory insertion into the Internal Revenue Code that creates a new tax obligation with clear rate, base, payer, timing, and a defined target t…
Go beyond the headline summary with full stakeholder mapping, legislative design analysis, passage barriers, and lens-by-lens tradeoff breakdowns.