What’s happening
Under the U.S. government’s 2024 Section 301 tariff modifications, permanent magnets of Chinese origin will carry an additional 25% duty starting January 1, 2026. This increase was finalized by the Office of the U.S. Trade Representative (USTR) and is part of a broader set of strategic-sector tariffs.
Government source: For the official explanation and tariff schedule, see the USTR Federal Register notice and determination: United States Trade Representative.
What products are affected
The tariff applies to permanent magnets imported from China, including:
- Neodymium-Iron-Boron (NdFeB / rare-earth magnets)
- Samarium Cobalt (SmCo)
- Alnico
- Ceramic (Ferrite)
- Magnet Assemblies
Coverage depends on the country of origin and the HTS classification at the time of import.
If you buy assemblies or finished products containing magnets, tariff exposure depends on the item’s composition and classification for import, not simply on whether it contains magnets.
What this means now
With current magnet lead times, many programs will feel this change quickly. The most practical near-term steps are:
- Identify tariff-exposed SKUs
Flag which parts are Chinese-origin magnets versus non-China sources or assemblies needing classification review. - Forecast stable runners
If your demand is predictable and we have inventory in Elmhurst, order bridge inventory to ship before year-end. - Check for fast, low-risk pivots
For some applications, a small change (grade, coating, geometry, or assembly approach) can improve availability or reduce magnet usage without redesigning the product. - Build tariff assumptions into your quotes and contracts now
Anything shipping after 1/1/26 should clearly state tariff increases to avoid surprises.
How Adams can help
Let Adams support you with:
- exposure reviews by part number
- alternate sourcing where feasible
- application engineering to evaluate limited pivots
If you want a tariff-exposure check or lead-time review, send your part list and forecast to your Adams contact.