January 2026 | Customs & International Trade Law Blog

Compliance Mistakes Can Turn Criminal: Don’t Let This Happen to You

Many importers assume that customs compliance issues are purely administrative and can be easily resolved. In reality, customs law and criminal law intersect far more often than most companies realize. What begins as a civil customs matter can escalate quickly into a criminal investigation when regulators suspect fraud, evasion, or willful misconduct.

When Customs Issues Cross the Line

Most customs violations start as a civil enforcement matter. Errors involving classification, valuation, country of origin, or admissibility are often addressed through a request for information (CBP 28), notice of action (CBP 29), protest, prior disclosure, or penalty proceeding. However, when patterns emerge or when agencies believe false statements or deliberate schemes are involved, the enforcement posture can change dramatically.

Federal agencies, including U.S. Customs and Border Protection (CBP), Homeland Security Investigations (HSI), and the Department of Justice (DOJ), routinely collaborate to investigate potential criminal violations tied to import activity. These investigations may focus on:

Undervaluation or misclassification to avoid duties
False statements or omissions in entry documentation
Evasion of import restrictions or regulatory requirements
Coordinated schemes involving suppliers, brokers, or intermediaries

Once criminal intent is suspected, importers may face subpoenas, search warrants, asset seizures, or even criminal charges.

Increased Focus on Enforcement

The recent volatile tariff environment has created increased incentives to cheat the system. The U.S. government has made clear that it is

By Jennifer Diaz|2026-01-30T10:24:53-05:00January 30, 2026|Enforcement, Import, International Trade, U.S. Customs and Border Protection (CBP), U.S. Department of Justice (DOJ)|Comments Off

Breaking Trade News: New Tariffs on South Korea, 232 Lawsuit, FMC Investigation

Here is a recap of the latest customs and international trade news:

Administration

President Trump threatened, via Truth Social, that he is increasing South Korean tariffs from 15% to 25% because that country’s legislature has not approved the trade deal that was announced over the summer.
President Trump threatened Canada with 100% tariffs if Canada “makes a deal with China.”

Customs and Border Protection (CBP)

According to a new report from the Government Accountability Office (GAO), CBP did not fully follow through on addressing security incidents involving some participants in the agency’s Customs Trade Partnership Against Terrorism (CTPAT) program.
CBP published a quick reference guide on submitting withhold release order and finding modification requests to the new forced labor portal.
Upcoming CBP webinar: New World Screwworm (NWS) Impact to U.S. – February 3, 1:00 PM EST. Register here.

Court of International Trade

Importer Express Fasteners filed a lawsuit challenging the application of informal CBP guidance on Section 232 steel and aluminum content valuation, claiming CBP failed to follow required “notice and comment” rulemaking procedures.
The CIT ruled

By Jennifer Diaz|2026-01-30T10:11:23-05:00January 30, 2026|news, Snapshot|Comments Off

CBP Launches New Forced Labor Portal

On January 21, 2026, Customs and Border Protection (CBP) launched its new Forced Labor Portal. The Portal provides a central system for submitting review requests for shipments detained or excluded for forced labor enforcement.

Effective, January 21, 2026, importers MUST use the portal to submit the following for review:

Withhold Release Order/Finding admissibility reviews.
Uyghur Forced Labor Prevention Act applicability reviews.
Uyghur Forced Labor Prevention Act requests for exception; and
Countering America’s Adversaries Through Sanctions Act exception requests.

All detained or excluded shipments requiring review must be submitted through this Portal, and users must have a login.gov account to access it. Depending on the type of review submitted, submission will be reviewed by CBP personnel in Forced Labor Division, or Port of Entry, or the Center of Excellence and Expertise.

Diaz Trade Law has confirmed with CBP that responses to CBP Form 28 (Request for Information) and CBP Form 29 (Notice of Action) should not be submitted through the Forced Labor Portal.

The Portal is available at https://flportal.cbp.gov/s/login/ and CBP has provided an instructional video on how to submit a request here.

This change reflects another step forward in how CBP interacts with the trade community, transitioning from […]

By Jennifer Diaz|2026-01-29T08:26:07-05:00January 29, 2026|Enforcement, Forced Labor, Import, news, U.S. Customs and Border Protection (CBP)|Comments Off

Reminder: CBP Now Issues Refunds via ACH Through ACE

Effective February 6, 2026, CBP will process all refunds electronically. The agency will not issue any refunds by check unless a waiver has been approved.

Background

Historically, the majority of CBP refunds for the overpayment of duties, taxes, and fees were transmitted via paper checks issued by the U.S. Department of the Treasury. The issuance of electronic refunds via ACH has been available for some time, but opting-in for electronic refunds has been voluntary and limited in scope. In 2024 and 2025, approximately 30% of the refunds CBP issued annually were issued electronically.

On March 25, 2025, President Trump issued an Executive Order titled “Modernizing Payments To and From America’s Bank Account.” The order mandates the transition from paper checks to electronic payments for all Federal disbursements and receipts.

Electronic Refunds

To implement the electronic payments Executive Order, CBP published an Interim Final Rule on January 2, 2026, announcing that the agency will issue all refunds electronically (subject to certain exceptions under 31 CFR part 208) effective February 6, 2026. This rule applies to refunds issued to all importers, brokers, filers, sureties, service providers, facility operators, foreign trade zone operators, and carriers, and any designated third parties listed on CBP Form 4811. After this date, CBP will not issue any refunds by check, unless a waiver has been approved. Comments on the Interim Final Rule are due March […]

By Jennifer Diaz|2026-01-28T09:58:05-05:00January 28, 2026|Tariffs, U.S. Customs and Border Protection (CBP)|Comments Off

Breaking Trade News: Greenland Related Tariffs Withdrawn, CBP Rolls out Forced Labor Portal, New UFLPA Data

Here is a recap of the latest customs and international trade news:

Administration

President Trump withdrew his threat of tariffs on European allies over Greenland, citing a productive meeting with the Secretary General of NATO.
In his speech at Davos, President Trump briefly touched on trade, mentioning the tariffs he imposed on Switzerland.
In a speech at the White House, President Trump reiterated the Administration’s position that if the Supreme Court rules against them in the IEEPA case, they will use another tool to impose tariffs. The President suggested licenses as a possible alternative.
Speaking to reporters, President Trump threatened a 200% tariff on French goods if French President Macron does not join Trump’s Board of Peace. The Board is expected to oversee the withdrawal of Israeli troops from Gaza.

Customs and Border Protection (CBP)

CBP released new data on UFLPA enforcement. In FY26 Q1 (Oct – Dec 2025), CBP flagged 721 shipments, valued at $69.16 million, for potential violations.
CBP launched its new Forced Labor Portal. All review requests for shipments detained or excluded for forced labor enforcement must now be submitted through […]

By Jennifer Diaz|2026-01-23T08:07:46-05:00January 23, 2026|news, Snapshot, Uncategorized|Comments Off

FDA Takes Action to Improve Gluten Ingredient Disclosure in Foods

On January 22, 2026, the U.S. Food and Drug Administration (FDA) issued a Request for Information (RFI) regarding labeling and preventing cross-contact of gluten in packaged food.

Background

The FDA received a citizen petition requesting that the FDA act to protect consumers with celiac disease by better enabling them to identify, through labeling, whether a food includes gluten-containing grains (GCGs), and to address cross-contact with GCGs. FDA subsequently reviewed available data and reports, which indicated that serious data gaps are limiting the agency’s ability to fully evaluate the public health importance of these ingredients, including data on adverse reactions.

Request for Information

The FDA is taking this action as a first step to improve transparency in disclosures of ingredients that impact certain health conditions, such as gluten for those with celiac disease, and other established food allergens.

The agency is inviting comments concerning adverse reactions due to “ingredients of interest” ( i.e., non-wheat GCGs and oats) in the United States. The RFI also aims to collect data on labeling issues or concerns with identifying ingredients of interest on packaged food products in the United States.

The FDA is particularly interested in:

Data and information on IgE-mediated and non-IgE-mediated food allergies and adverse reactions to non-wheat GCGs (including prevalence, severity, and potency).
Data and information on gluten in oats (including frequency and amounts of gluten in […]

By Jennifer Diaz|2026-01-23T07:49:16-05:00January 23, 2026|Food, Gluten Free, news, U.S. Food and Drug Administration (FDA)|Comments Off

Trump Imposes 25% Tariff on Some Advanced Computing Chips

On January 14, 2026, President Trump signed a proclamation imposing a 25% tariff on certain semiconductors, semiconductor manufacturing equipment, and their derivatives. This tariff applies to goods entered for consumption, or withdrawn from a warehouse for consumption, on or after 12:01 a.m. EST on January 15, 2026, and will continue indefinitely. The Administration released a fact sheet in conjunction with the proclamation, available here.

Background – 232 Investigation

The proclamation follows a nine-month Section 232 investigation into the effects of imports of semiconductors on the national security of the United States. The investigation, conducted by the Department of Commerce, found that semiconductors, semiconductor manufacturing equipment, and their derivative products are being imported into the United States in such quantities and under such circumstances as to threaten to impair the national security of the United States.

The action is part of a broader Administration effort to create incentives for chipmakers to produce more semiconductors in the U.S. and decrease reliance on foreign chip manufacturers. The proclamation noted that the U.S. only manufactures 10% of the chips it requires and that reliance on foreign manufacturers poses a “significant economic and national ‌security risk.”

Scope – What’s Covered

“Semiconductor articles” covered by the proclamation are defined as imported products meeting certain technical parameters and that are classifiable under HTSUS 8471.50, 8471.80, or 8473.30. To be included within the definition of semiconductor articles, the imported products must be a logic integrated circuit, or an article that contains a logic integrated circuit, that meets certain technical parameters. […]

By Jennifer Diaz|2026-01-16T08:54:57-05:00January 16, 2026|Tariffs|Comments Off

Breaking Trade News: New 25% Tariff on Chips, Sanctions Against Iran, U.S. Trade Deficit Plummets

Here is a recap of the latest customs and international trade news:

Administration

President Trump issued a proclamation and fact sheet announcing a 25% tariff on certain semiconductors, semiconductor manufacturing equipment, and their derivatives.
President Trump said in a Truth Social post that he will immediately impose a 25% tariff on any Country doing business with Iran. The White House has not yet issued an executive order or proclamation imposing the tariffs.

Supreme Court

The Supreme Court scheduled an opinion release date on January 14, but did not release its ruling on the highly anticipated IEEPA tariffs case. The Court has not yet announced when the next opinion release date will be.
The Respondent merit briefs were filed in Montgomery v. Caribe Transport II, LLC, a case before the Supreme Court that will determine whether freight brokers may be held liable under varying state laws for accidents involving federally licensed motor carriers. Oral arguments will be held on March 4, 2026.

Customs and Border Protection (CBP)

CBP modified the Withhold Release Order on FGV Holdings Berhad in Malaysia. As of Jan. 15, 2026, the U.S. will no longer […]

By Jennifer Diaz|2026-01-16T08:45:06-05:00January 16, 2026|news, Snapshot|Comments Off

Breaking Trade News: Furniture & Cabinet Tariff Delay, No IEEPA Decision from SCOTUS

Here is a recap of the latest customs and international trade news:

Administration

The Trump Administration announced the postponement of the scheduled January 1st increase in the upholstered furniture, kitchen cabinets, and vanities 232 tariffs. They will remain at 25% (instead of 30% on furniture and 50% on kitchen cabinets and vanities) for an additional year.
The White House published a proclamation extending duty-free treatment of some agricultural products under quota from Israel through December 31, 2026.

Supreme Court

The Supreme Court did not release its much-anticipated decision on the fate of IEEPA tariffs on its opinion day, January 9. The Court said it may release additional opinions on January 14.

Industry News

The United States filed a customs penalty lawsuit against two importers and their owner, alleging that the defendants undervalued their entries to avoid hundreds of thousands of dollars in duties. The government is seeking a penalty of over $3.4 million.

Customs and Border Protection (CBP)

CBP published an Interim Final Rule regarding electronic refunds. Effective February 6, 2026, CBP will process all refunds electronically. The agency will not issue any refunds by check unless a waiver has been approved.
CBP will be […]

By Jennifer Diaz|2026-01-12T11:02:08-05:00January 12, 2026|news, Snapshot|Comments Off

IEEPA May Be on the Chopping Block, But Your Duty Exposure Isn’t

On November 5, 2025, the Supreme Court of the United States (SCOTUS) held oral arguments for Trump v. V.O.S. Selections, Inc., regarding the legality of the International Emergency Economic Powers Act (IEEPA). The case will ultimately decide whether the Trump Administration has the authority to impose tariffs under IEEPA. Importers and trade professionals are watching the case closely, but even if the IEEPA tariffs are thrown out, the new administration has made clear that it will pivot and use other legal avenues to impose tariffs. Since oral argument, multiple discussions have been held with the Department of Justice and the plaintiffs regarding any refund possibilities. Based on these discussions, it appears that the United States is anticipating losing this matter at the Supreme Court but wants to put barriers to recovery. The United States has also clearly stated that they intend to find other ways to impose similar duties.

The message is clear: even if the Supreme Court strikes down IEEPA tariffs, tariff exposure is here to stay. NOW is the time for importers to revisit their valuation practices, explore duty minimization strategies, and ensure they are taking every lawful step to minimize duty impact going forward.

Why Tariffs Will Stay Even if IEEPA Dies

Since the earliest days of the Trump Administration, the White House has made tariffs a cornerstone of their trade and “America First” policy. The President and Administration officials have repeatedly touted tariffs as one of the best tools available to level the international trade playing field, […]

By Jennifer Diaz|2026-01-09T17:05:29-05:00January 9, 2026|Import, Tariffs|Comments Off