CBP Reports More Than $1 Billion in Duties Owed Under EAPA

U.S. Customs and Border Protection recently announced that it has uncovered more than $1 billion in additional duties owed under the Enforce and Protect Act, which aims to prevent importers from evading antidumping and countervailing duties on imported goods. Though CBP did not specify the associated time frame, it appears to be within the last year, as an agency press release said the $1 billion figure is “a first in the program’s 10-year history” and “300% above the program’s annual average.”

Under CBP regulations implementing the EAPA, any interested party, including competing importers and federal government agencies, may submit allegations that AD/CVD duties are being evaded; e.g., by misrepresenting the goods’ true country of origin, submitting false or incorrect shipping and entry documentation, or misreporting the goods’ physical characteristics. CBP has broad authority to investigate these claims and can impose initial remedial measures that can interrupt a supply chain in as little as 90 days. Any final determination of evasion may be met with not only AD/CVD duties but also other enforcement measures such as civil or criminal investigations.

CBP said that so far this year it has issued 14 notices of determination involving a variety of products, including solar cells, tow0behind lawn groomers, lumber, pipes, xanthan gum, metal lockers, and wooden furniture, imported from countries across the globe. CBP investigators have traveled to Mexico, Thailand, India, New Zealand, and the United Kingdom to inspect production facilities and verify that importers are importing from legitimate businesses.