New Bonds Needed for Importers of Products on the Section 301 List
With the Section 301 25% duties on imports of Chinese made products set to go into effect on July 6, 2018, importers should be aware that they may need to increase their bond amounts. Bonds are based on value and duty on imported goods. U.S. Customs and Border Protection (“CBP”) routinely reviews bond amounts for their sufficiency. After the Section 232 duties on imported steel and aluminum went into effect recently, CBP sent letters to certain importers giving them thirty days to increase their bonds to be commensurate with the new tariffs. While bonds are based on imports for the previous twelve months, the time period is rolling and we expect CBP to be aggressively reviewing imports from China beginning on July 6, 2018.