June 4th, 2026 – The White House has issued a sweeping executive order aimed at modernizing and strengthening U.S. customs enforcement. The order seeks to close long-standing loopholes in import procedures, improve accountability among importers, enhance supply chain transparency, and increase penalties for customs violations in an effort to protect national security, domestic industries, and government revenue.
Key Takeaways
Stricter Importer of Record (IOR) Requirements
- Importers will be required to maintain sufficient U.S.-based assets, bonds, or both to ensure compliance with customs laws.
- Additional registration and disclosure requirements will include ownership information, beneficial ownership, business affiliations, anticipated import volumes, and domestic asset disclosures.
New Restrictions on Foreign Importers
- Foreign IORs will no longer be permitted to use informal entry procedures for imports.
- Foreign importers using formal entry may face additional requirements, including enhanced bonding obligations and participation in the Customs Trade Partnership Against Terrorism (CTPAT) program or use of a CTPAT-validated customs broker.
“Good Standing” Requirement
- All importers will be required to maintain “good standing” with U.S. Customs and Border Protection (CBP).
- Companies with significant customs violations, including involvement in importing illicit substances, could be barred from importing goods into the United States.
Enhanced Vetting and Compliance Oversight
- CBP will implement stronger vetting procedures for importers, customs brokers, freight forwarders, and other parties involved in import transactions.
- The importer registry will be updated to remove inactive entities and establish risk-based compliance tiers.
Expanded Supply Chain Disclosure Requirements
- Importers will be required to provide more detailed information about products, manufacturers, production methods, and supply chains.
- New certifications will focus on compliance with sanctions laws, forced labor regulations, and other trade requirements.
Increased Enforcement and Higher Penalties
- CBP will expand audits, strengthen bond enforcement, and impose stricter penalties on noncompliant importers and customs brokers.
- The order calls for tougher action against forced labor imports, undervaluation schemes, misclassification of goods, and illegal transshipment practices.
Faster Seizure and Disposal of Non-Compliant Goods
- DHS will streamline procedures for seizing and disposing of imports that violate customs laws, including greater use of third-party disposal options.
Greater Transparency
- CBP will publish annual enforcement transparency reports and review confidentiality practices to improve visibility into customs enforcement activities.
Potential Legislative Changes Ahead
- The Department of Homeland Security must provide recommendations for additional customs enforcement legislation within 45 days and report on implementation effectiveness within one year.
Industry Impact
The order signals a significant shift toward stricter customs compliance and enforcement. Importers, customs brokers, freight forwarders, and foreign suppliers should prepare for increased scrutiny, enhanced documentation requirements, higher bonding obligations, and stronger enforcement measures as federal agencies begin implementing the new rules.
Read the full Executive Order here: Strengthening Customs Enforcement – The White House
Should you have any questions or concerns, please contact our Import Compliance team or give us a call at 518-785-6000.
