The 10% across-the-board tariff imposed under Section 122 of the Trade Act of 1974 is set to expire at 12:01 AM EDT on July 24, 2026 — that's 24 days from today. Congressional extension is considered unlikely. But before you celebrate a cheaper grocery bill, there's something important to understand: the tariff hitting your household hardest may not be Section 122 at all.
Section 122 of the Trade Act of 1974 grants the President authority to impose temporary tariffs of up to 15% for up to 150 days to address a "large and serious" balance of payments deficit. The Trump administration used this authority to impose a 10% blanket tariff on most imports — effectively a floor rate that applied on top of existing tariffs on goods from electronics to clothing to household appliances.
The Section 122 authority has a hard statutory limit: it cannot be extended by executive action. Only Congress can extend it, and a clean Congressional extension is considered operationally possible but politically very difficult given the current legislative environment. Most trade analysts expect the 10% rate to simply lapse on July 24.
In May 2026, a divided three-judge panel of the US Court of International Trade ruled that the Section 122 tariffs exceeded the President's statutory authority — a significant legal development. However, the practical impact was limited: the injunction applies only to the three importer plaintiffs who brought the case. For every other importer — and therefore every other household buying imported goods — the Section 122 tariffs remain in force until July 24.
"The permanent injunction extends only to three importer plaintiffs, while all other importers remain subject to the Section 122 duties unless they bring their own action." — Skadden, Arps, 2026
Here's the part that surprises most households: even after Section 122 expires, the tariff burden on your family doesn't disappear. It shifts.
| Tariff Mechanism | Status After July 24 | Household Impact |
|---|---|---|
| Section 122 (10% blanket) | 🔴 Expires July 24 | Reduces or eliminates the baseline floor rate |
| Section 301 (China goods) | 🟢 Remains in force | 25–100%+ on electronics, clothing, household goods from China |
| Section 232 (steel/aluminium) | 🟢 Remains in force | 25% on steel, 10% on aluminium — affects autos, appliances |
| IEEPA country-specific rates | 🟢 Ongoing | Varies by country; 76 separate Section 301 determinations underway |
The Yale Budget Lab's April 2026 analysis estimated tariffs cost the average US household $760–$1,500 per year. A significant portion of that burden comes from Section 301 and Section 232 tariffs that are not affected by the July 24 deadline.
If Section 122 lapses on schedule, households will see a partial reduction in tariff costs on goods from countries other than China. But the Section 301 tariffs on Chinese goods — which represent a substantial portion of US consumer imports including electronics, clothing, furniture, and toys — remain unchanged.
The honest answer for most families: you'll likely pay less after July 24, but not zero. The exact difference depends on what your household buys and where those goods come from.
That's exactly what our calculator helps you figure out.
Several events between now and July 24 could affect your household tariff costs:
We'll update this page as each development breaks. Subscribe below to get a recalculated household tariff estimate every time the rate changes.
The most useful thing you can do before July 24 is know your baseline number — what tariffs are currently costing your household per year. Then, after July 24, recalculate to see how much (if anything) improved.
Our calculator does both. It takes about 30 seconds.
Sources: Skadden, Arps (May 2026); PwC Canada Tax Insights (May 2026); Holland & Knight (May 2026); Yale Budget Lab (April 2026); US Court of International Trade ruling, Case No. 25-cv-00066; Trade Act of 1974 Section 122 statutory text.