HS Code:
The goods provided for in subheadings 0406.10.08, 0406.10.88, 0406.20.91, 0406.30.91, and 0406.90.97 of the Harmonized Tariff Schedule (HTS) of the United States pertain to specific categories of cheese and curd. These subheadings cover fresh (unripened or uncured) cheese, grated or powdered cheese, processed cheese, and other cheeses subject to quantitative limits as specified in U.S. note 11 to this subchapter. These products are subject to import quotas and tariff-rate quotas (TRQs) under U.S. trade agreements and regulations, often linked to dairy import licenses and country-specific allocations. The trade of these products is heavily influenced by global dairy production capacities, consumer demand for specialty cheeses, and trade agreements like the USMCA (United States-Mexico-Canada Agreement).
Total Trade Volume
Approximately 150,000 metric tons
Data from 2022
Source
United States International Trade Commission (USITC) and U.S. Customs and Border Protection data
45,000 metric tons
30% of total trade of total trade
Increasing
30,000 metric tons
20% of total trade of total trade
Stable
25,000 metric tons
16.7% of total trade of total trade
Increasing
15,000 metric tons
10% of total trade of total trade
Decreasing
10,000 metric tons
6.7% of total trade of total trade
Stable
Average Rate
10% ad valorem (within quota limits); over-quota rates can exceed 35% or be subject to specific rates per kilogram
Highest Rate
Over-quota rate of $2.14 per kg plus additional duties for certain cheeses
Lowest Rate
0% under specific free trade agreements (e.g., USMCA for qualifying Canadian cheese)
Growing demand for specialty and artisanal cheeses in the U.S.
Increased imports from European countries like Italy and France, despite quota restrictions, due to consumer preference for high-quality products
2021-2022
Impact of trade agreements like USMCA
Expanded access for Canadian cheese imports within quota limits, affecting competition with European suppliers
2020-2022
Rising production costs globally
Higher export prices for cheese from key suppliers like New Zealand, leading to reduced trade volumes
2022
The U.S. agreed to increase tariff-rate quota allocations for Canadian dairy products, including cheese, as part of USMCA implementation.
January 2022
Moderate increase in Canadian cheese imports, potentially reducing market share for other countries like New Zealand.
Ongoing discussions between the EU and U.S. to address over-quota tariffs on European cheeses, aiming to ease trade barriers.
Mid-2023
Potential for increased imports from Italy and France if agreements are reached, benefiting U.S. consumers with more variety.
Stricter enforcement of pasteurization and labeling requirements for imported cheeses by the FDA, causing delays for some shipments.
Late 2022
Temporary disruptions in supply chains, particularly for smaller exporters unfamiliar with updated compliance rules.