President Donald Trump has signed an executive order aimed at enhancing customs enforcement, imposing stricter regulations on foreign importers, and combating tariff evasion, forced labor imports, and supply-chain fraud. The order instructs federal agencies to revamp customs procedures, enhance importer disclosures, and tighten penalties to prevent companies from evading duties and bypassing US trade laws.
The order emphasizes the importance of customs enforcement for national security, foreign policy, and the US economy. It addresses systemic inefficiencies and loopholes that have allowed malicious actors to circumvent federal law. US Customs and Border Protection Commissioner Rodney Scott highlighted the administration’s commitment to applying border security principles to trade enforcement to safeguard American industries.
Under the executive order, the Department of Homeland Security is tasked with revising importer eligibility rules within 180 days. The changes include imposing stricter requirements on importers of record, enhancing ownership disclosures, and demanding additional information on import volumes, business affiliations, and domestic assets. The order also focuses on foreign importers, proposing measures to address enforcement challenges posed by their overseas operations and assets.
The initiative establishes a “good standing” prerequisite for importers, with penalties for companies involved in illegal imports of substances like fentanyl. It mandates enhanced vetting of importers, customs brokers, and freight forwarders, alongside the creation of risk-based compliance tiers based on enforcement history and audit outcomes. The order aims to boost revenue, reduce customs fraud, and enhance enforcement against imports linked to forced labor, transhipment, undervaluation, and misclassification of goods.
