Import compliance is a major concern of businesses that import products into the United States. The U.S. Customs and Border Protection (CBP) scrutinizes all goods that enter the country. CBP makes sure the importer of record complies with the rules and regulations that govern the receipt of imported goods. If you are an importer, you need to follow the guidelines of the agency for import compliance. This allows you to secure a Clearit USA customs clearance and avoid penalties like goods seizure and hefty fines. Keep reading to know what constitutes import compliance for global trade:

Harmonized Tariff Schedule (HTS) Classification

HTS is used for identifying and classifying globally traded merchandise to evaluate applicable duties and tariffs that must be paid upon port arrival. Every good has a classification code, which is an important aspect of compliance. 

Goods Value and Quantity

Imported goods valuation includes the price that has been paid or to be paid for an item. Also, it includes indirect costs and rebates. The value of goods can be actual or estimated.  

Country of Origin

This element may seem like the simplest aspect of import compliance. But errors can happen here, depending on the merchandise’s class. For example, apparel and textiles may come from a country as finished goods. However, the materials they are made from could originate from a different country. For CBP, the true country of origin is the one the raw materials used for making the goods came from. The correct duty rate is determined by considering this. 

Mistakes in the country of origin can lead to harsh consequences like goods seizure and thousands of dollars in fines. Because of this, an important should consult a skilled customs broker instead of navigating the risks of importing by themselves. 

Product Regulations

The basic import compliance processes apply to nearly all imported goods. But a lot of products imported into the United States are subject to more regulations depending on what their classification is. This is particularly the case when it comes to pharmaceuticals and biological materials. These products are subject to serious scrutiny due to their possibly risky and addictive qualities. Importers who are not sure about certain regulations that apply to the goods they want to import into the U.S. should consult a broker. A good broker will help them make informed decisions and make sure they can proceed with the process with confidence.