Customer Advisory: U.S. Compliance Update

USTR Report on Nicaragua Reveals Labor & Human Rights Abuses, Leading to Restrictions and Burdensome U.S. Commerce – The Office of the U.S. Trade Representative (USTR) issued a report on October 20^th, 2025, revealing that Nicaragua’s dismantling of labor law, labor right abuses, confiscation of property interests, creation of a high-risk environment for U.S. companies to conduct business, etc. has led USTR, under Section 301, to recommend termination of Dominican Republic–Central America Free Trade Agreement (CAFTA-DR) benefits to Nicaragua, application of 100% tariffs phased in for one year, etc. Steps to be taken will depend on the Trade Representative, who may seek public comment as well as direction from U.S. President Trump.

U.S. Customs and Border Protection (CBP) Announces Supplemental Duty Bills May No Longer be Paid by Check. Periodic Monthly Statement (PMS) participants must transmit payment of supplemental duty bills resulting from an underpayment of estimated duties, taxes, and fees electronically via Automated Clearinghouse (ACH). Also refer to this Federal Register Notice.

Ministry of Commerce of the People’s Republic of China (MOFCOM) on China’s Recent Economic and Trade Policies and Measures China announced export control measures on rare earths and related items: “Going forward, the Chinese government will conduct reviews in accordance with laws and regulations, grant licenses to eligible applications, as well as actively considering the applicability of facilitation measures such as general licenses and license exemptions to effectively promote legitimate trade.”

Importers Facing Challenges on Many Fronts – not the least of which is rising surety bond costs! So what is a Surety Bond? Quite simply, it is a promise by one party to take the responsibility of another party defaulting on a payment they owe. CBP regulations require a Customs Bond to be filed for commercial imports worth more than $2,500 or a commodity subject to other federal agencies requirements (i.e., firearms, food, etc.). See: A Guide for the Public: How CBP Sets Bond Amounts

STAY AHEAD – ONE FORWARDER, ONE BROKER, OVERALL COMPLIANCE

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