Section 232 Tariffs on Aluminum and Steel

I will be receiving some steel imported, some domestic.
(Yes, I use “Lot Tracking” to track the steels billet heat used.)
How are others tracking items that have a “Section 232 Tariff”?
I need to track it thru so when my end product ships to a customer I can pass it along as maybe a MISC Charge?

US Department of Homeland Security
US customs and Border Protection - Section 232 Tariffs

Easy work around, use American steel :stuck_out_tongue:

Seriously though, you could write a BPM against receipts, this could check the source vendor and create misc charges as needed.

Patrick,

We’re getting a lot of tariff steel as well. We’re trying to keep it simple with the hopes that this all goes away shortly. So far, we’re just absorbing it into raw materials inventory (not lot tracking but we’re thinking about it), and on the sames side, we’re adding an appropriate ‘markup’ based on the amount of steel in the finished product. We’re not doing a full markup on the price of the product (equal to the tariff) of course, because there is such a large labor component to the finished item. We just through a line of code into the configurator that says “if this material is tariff, then look up the adder for this product, and that to the price”.

HTH

Thanks Mike, we are also looking into just building in the cost.

Chris,

I don’t follow your BPM, raw material received to inventory, issued to job, job competed, job moved to inventory, inventory pulled/shipped/invoiced. My accounting dept wants an MISC charge on the customer invoice for the Tariff charged to the raw material.

I see, so you dont necessarily order steel to a job. One possibility is to add a field to PartLot (since you said you receive by lot) that stores the tariff amount.

Then as you issue out the lot, you can take the % of the tariff based on how much of that lot you use and apply to the job/invoice.

Yes, that would work, even if I just had a check box on the lot to flag it as a tariffed lot. I would be just a matter of calculations on how Accounting wants the MISC charge calculated.

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Another option for Tracking the Lots would be to enter the Import Number and Imported From fields on the Receipt Summary tab and that should copy down to each line and out to each Lot. Try it out in your Test Env.

However, isn’t this what the Landed Cost Module is for?
You setup and assign Commodity Codes to Parts.
Then in the Import Tariff maintenance you create the Tariff codes, rates, and other details and then select the Commodity Codes that fall under that Tariff Code.
Then during Receipt Entry you can key the Duties/Tariffs on each Lines Duties Tab.