Strengthening Customs Enforcement

[Federal Register Volume 91, Number 111 (Wednesday, June 10, 2026)]

[Presidential Documents]

[Pages 35125-35129]

From the Federal Register Online via the Government Publishing Office [www.gpo.gov]

[FR Doc No: 2026-11595]

Presidential Documents

Federal Register / Vol. 91, No. 111 / Wednesday, June 10, 2026 /

Presidential Documents

[[Page 35125]]

Executive Order 14411 of June 3, 2026

Strengthening Customs Enforcement

By the authority vested in me as President by the

Constitution and the laws of the United States of

America, I hereby determine and order:

Section 1. Purpose. Customs enforcement is essential to

the national security, foreign policy, and economy of

the United States. Effective customs enforcement

prevents the importation of unlawful and dangerous

goods; ensures importers of record (IORs) are correctly

identified and accountable for duties owed; and

guarantees compliance with numerous Federal laws,

including laws governing forced labor, rules of origin,

origin marking, intellectual property, revenue

collection, and product safety.

dangerous

goods; ensures importers of record (IORs) are correctly

identified and accountable for duties owed; and

guarantees compliance with numerous Federal laws,

including laws governing forced labor, rules of origin,

origin marking, intellectual property, revenue

collection, and product safety.

Customs reform is long overdue. Systemic

inefficiencies, loopholes, insufficient enforcement

mechanisms, and outdated processes have created

opportunities for malign actors to evade Federal law.

Examples of noncompliance include undervaluing imports,

withholding critical information about IORs and the

goods being imported, and avoiding payment of duties

through various arrangements and schemes. These actions

threaten national security, undermine foreign

relations, disadvantage domestic businesses, and harm

Americans.

The United States must strengthen its customs

enforcement through comprehensive reform, including

through agency action and legislation. Such reform

should focus on protecting national security, promoting

lawful trade, ensuring the timely collection of duties,

modernizing systems and processes, bolstering

compliance mechanisms, increasing transparency, and

protecting Americans and the domestic economy.

through agency action and legislation. Such reform

should focus on protecting national security, promoting

lawful trade, ensuring the timely collection of duties,

modernizing systems and processes, bolstering

compliance mechanisms, increasing transparency, and

protecting Americans and the domestic economy.

Sec. 2. Importers of Record. (a) Within 180 days of the

date of this order, the Secretary of Homeland Security

(Secretary) shall, pursuant to 19 U.S.C. 66, 1484,

1498, 1623, 1624, and 4320, and any other applicable

law, take steps to revise importer eligibility

regulations, guidance, and policies consistent with the

policy of this order. These revisions shall include:

(i) requiring that an IOR maintain at all times a minimum level of tangible

domestic assets, bonding, or both, as determined by U.S. Customs and Border

Protection (CBP) to be necessary to ensure compliance with U.S. customs and

trade laws, and increasing the minimum required bond coverage for an IOR;

(ii) requiring that an IOR be designated and reported to CBP, and that a

bond, or sufficient tangible domestic assets, or both, be required, for all

formal entries under 19 U.S.C. 1484 and informal entries under regulations

promulgated pursuant to 19 U.S.C. 1498; and

(iii) requiring that an IOR provide to CBP additional data and

identification information, including anticipated import volumes, year

organized, ownership and beneficial ownership disclosures, business

affiliation disclosures, and domestic asset disclosures, and any other data

that CBP deems necessary.

C. 1484 and informal entries under regulations

promulgated pursuant to 19 U.S.C. 1498; and

(iii) requiring that an IOR provide to CBP additional data and

identification information, including anticipated import volumes, year

organized, ownership and beneficial ownership disclosures, business

affiliation disclosures, and domestic asset disclosures, and any other data

that CBP deems necessary.

(b)(i) Pursuant to 19 U.S.C. 66, 1484, 1498, 1623,

1624, and 4320, and any other applicable law, the

Secretary shall promptly issue, amend, modify, or

rescind any relevant regulation, policy, or guidance to

prohibit a foreign IOR from filing informal entry under

regulations promulgated pursuant to 19 U.S.C. 1498.

[[Page 35126]]

(ii) These prohibitions for informal entry are necessary for foreign IORs

importing low-value articles because such IORs are not similarly situated

to U.S. IORs. This is in part due to the substantially higher volumes of

low-value articles that are imported by foreign individuals and companies

that are less familiar with U.S. customs and trade laws and that face lower

penalty amounts and financial consequences for noncompliance where penalty

amounts are correlated to value. It is critically important that the United

States be able to counter these challenges through meaningful and effective

enforcement actions. The United States faces substantial barriers when

seeking to enforce U.S. customs and trade laws against foreign actors like

foreign IORs, particularly when assets, operations, and key individuals are

located overseas. Prohibiting the filing of informal entries for foreign

IORs puts all IORs on equal footing and is necessary to treat IORs equally

based on their individualized circumstances and in order to protect U.S.

revenue and domestic industry, protect American consumers, strengthen

national security, and maintain foreign relations

larly when assets, operations, and key individuals are

located overseas. Prohibiting the filing of informal entries for foreign

IORs puts all IORs on equal footing and is necessary to treat IORs equally

based on their individualized circumstances and in order to protect U.S.

revenue and domestic industry, protect American consumers, strengthen

national security, and maintain foreign relations. In any event, I

determine that it is not in the interests of national security or

practicable to treat foreign IORs equally to U.S. IORs in the informal

entry environment.

(c)(i) Pursuant to 19 U.S.C. 66, 1484, 1498, 1623,

1624, and 4320, and any other applicable law, the

Secretary shall promptly issue, amend, modify, or

rescind any relevant regulation, policy, or guidance to

require for formal entry under 19 U.S.C. 1484 that a

foreign IOR: (1) may not rely on a continuous bond to

meet the bond requirements for entry, except as

permitted by CBP when the foreign IOR has demonstrated

that the revenue would be fully protected and that

compliance with the laws, regulations, and instructions

enforced by CBP would be assured; and (2) be validated

in CBP's Customs Trade Partnership Against Terrorism

(CTPAT), if determined by CBP to be eligible, or use a

CTPAT validated and licensed customs broker to file

entries with CBP.

and that

compliance with the laws, regulations, and instructions

enforced by CBP would be assured; and (2) be validated

in CBP's Customs Trade Partnership Against Terrorism

(CTPAT), if determined by CBP to be eligible, or use a

CTPAT validated and licensed customs broker to file

entries with CBP.

(ii) These additional requirements for formal entry are necessary for

foreign IORs because such IORs are not similarly situated to U.S. IORs. The

United States faces substantial barriers when seeking to enforce U.S.

customs and trade laws against foreign actors like foreign IORs,

particularly when assets, operations, and key individuals are located

overseas. Principles such as the revenue rule reinforce why it is important

for the United States to impose heightened requirements against foreign

IORs, which can more easily evade payment of amounts owed and other

consequences for noncompliance with U.S. customs and trade laws. Foreign

IORs may exploit U.S. customs and trade laws and refuse to pay their

customs debts, knowing the challenges posed by international enforcement of

domestic customs laws and regulations. Because these challenges are not

present for U.S. IORs, the additional requirements for formal entry for

foreign IORs put all IORs on equal footing and are necessary to treat IORs

equally based on their individualized circumstances and in order to protect

U.S. revenue and domestic industry, protect American consumers, strengthen

national security, and maintain foreign relations. Moreover, I determine

the current conditions of entry produce, in practice, unequal treatment of

U.S. IORs when compared to foreign IORs. In any event, I determine that it

is not practicable to treat foreign IORs equally to U.S. IORs, at least not

in the respect detailed in subsection (b) of this section.

rotect American consumers, strengthen

national security, and maintain foreign relations. Moreover, I determine

the current conditions of entry produce, in practice, unequal treatment of

U.S. IORs when compared to foreign IORs. In any event, I determine that it

is not practicable to treat foreign IORs equally to U.S. IORs, at least not

in the respect detailed in subsection (b) of this section.

(d) Within 180 days of the date of this order, the

Secretary shall require all IORs to maintain ``good

standing'' with CBP, and CBP shall define ``good

standing'' based on the IOR's and its affiliates'

history of compliance with U.S. customs and trade laws

and regulations and payment of required customs

liabilities, among other relevant considerations. For

example, IORs that have been found by CBP to have

illegally imported fentanyl, nitazene, or other illicit

substances or contraband, including precursor chemicals

for the purposes of manufacturing illicit substances,

shall, consistent with applicable law, not be in ``good

standing'' with CBP. IORs not in ``good standing'' with

CBP shall not be allowed to import into the United

States or otherwise

[[Page 35127]]

conduct activities directly related to the importation

of goods, including designating a customs broker to act

as IOR on their behalf.

t with

the policy of this order. These updates shall include

removing inactive IORs; confirming active IORs are

compliant with all applicable regulations and

disclosures; and creating risk-based tiers for IORs

based on compliance history, enforcement actions, and

audit results, among other things.

(f) Within 180 days of the date of this order, the

Secretary shall establish enhanced vetting procedures,

including recurrent vetting, for all individuals and

entities seeking to conduct activities directly related

to the importation of goods, including foreign IORs,

affiliates of IORs, customs brokers, custodians of

bonded merchandise, and freight forwarders.

Sec. 3. Import Disclosure and Certification

Requirements. (a) The Secretary shall take steps to

establish heightened import disclosure and

certification requirements consistent with the policy

of this order. These heightened requirements shall

include certifying compliance with critical supply

chain requirements like the Countering America's

Adversaries through Sanctions Act (Public Law 115-44),

18 U.S.C 545, and others to be determined by CBP, in

consultation with the heads of relevant executive

departments and agencies (agencies); disclosing certain

foreign tax and global business identifiers; and

providing detailed information about the imported

good's supply chain and production methods, such as the

manufacturer's product identifier (e.g., model or style

number) or key specifications (e.g., composition,

grade, or size)

iliates of IORs, customs brokers, custodians of

bonded merchandise, and freight forwarders.

Sec. 3. Import Disclosure and Certification

Requirements. (a) The Secretary shall take steps to

establish heightened import disclosure and

certification requirements consistent with the policy

of this order. These heightened requirements shall

include certifying compliance with critical supply

chain requirements like the Countering America's

Adversaries through Sanctions Act (Public Law 115-44),

18 U.S.C 545, and others to be determined by CBP, in

consultation with the heads of relevant executive

departments and agencies (agencies); disclosing certain

foreign tax and global business identifiers; and

providing detailed information about the imported

good's supply chain and production methods, such as the

manufacturer's product identifier (e.g., model or style

number) or key specifications (e.g., composition,

grade, or size). The Secretary shall enforce all

applicable criminal fines and civil penalties in the

event of noncompliance with these heightened

requirements.

(b) Within 90 days of the date of this order, the

Secretary shall take steps to establish a requirement

mandating the submission of any documentation or

information that the foreign exporter was required to

submit to the foreign customs administration prior to

exporting to the United States.

.

(b) Within 90 days of the date of this order, the

Secretary shall take steps to establish a requirement

mandating the submission of any documentation or

information that the foreign exporter was required to

submit to the foreign customs administration prior to

exporting to the United States.

Sec. 4. Enforcement and Penalties. (a) The Secretary

shall, to the maximum extent permitted by applicable

law, take any action he deems necessary to bolster the

enforcement of customs laws, regulations, and other

mandates, including conditions necessary for

participation in the CTPAT program. These actions shall

include enforcing liquidated damages claims against

bonds for noncompliance; restricting in-bond

utilization; increasing audits; and imposing maximum

penalties for brokers who, for example, fail to conduct

due diligence, repeatedly represent noncompliant

clients, or fail to cooperate in a timely manner with

requests for information by CBP.

(b) The Secretary and the Attorney General shall

take all appropriate action to prioritize the

enforcement of Federal law relating to importations

involving products produced by forced labor, and

importations involving misclassification,

undervaluation, and illegal transshipment, including

investigations conducted pursuant to the Enforce and

Protect Act (Public Law 114-125).

rder.

These revisions shall include establishing a minimum

penalty floor of not less than 50 percent of the

assessed penalty, absent exceptional circumstances that

materially impact national security; establishing a

minimum liquidated damages floor; and eliminating

mitigation for repeat offenders.

Sec. 5. Streamlined Disposal. Within 90 days of the

date of this order, the Secretary shall, to the maximum

extent permitted by applicable law, take actions to

expedite and enhance the seizure and disposal of non-

compliant imports. These actions shall include reducing

or eliminating regulatory burdens to voluntary

abandonment, increasing bond requirements for high-risk

shipments, authorizing third-party disposal, and

utilizing authorities under 19 U.S.C. 1612.

[[Page 35128]]

Sec. 6. Transparency. Within 90 days of the date of

this order, and in consultation with the heads of

relevant agencies, the Secretary shall enhance

transparency in customs by taking steps to establish

various requirements, standards, and practices

consistent with the policy of this order. These

measures shall include requiring periodic review and

expiration of confidentiality requests, as appropriate;

and publishing annual enforcement transparency reports.

Each measure established under this section shall be

consistent with applicable law, national security, and

any other applicable limit on the disclosure of

sensitive information.

ite and enhance the seizure and disposal of non-

compliant imports. These actions shall include reducing

or eliminating regulatory burdens to voluntary

abandonment, increasing bond requirements for high-risk

shipments, authorizing third-party disposal, and

utilizing authorities under 19 U.S.C. 1612.

[[Page 35128]]

Sec. 6. Transparency. Within 90 days of the date of

this order, and in consultation with the heads of

relevant agencies, the Secretary shall enhance

transparency in customs by taking steps to establish

various requirements, standards, and practices

consistent with the policy of this order. These

measures shall include requiring periodic review and

expiration of confidentiality requests, as appropriate;

and publishing annual enforcement transparency reports.

Each measure established under this section shall be

consistent with applicable law, national security, and

any other applicable limit on the disclosure of

sensitive information.

Sec. 7. Consideration of Relevant Issues. In making the

judgments in this order, I have considered all relevant

alternatives including less restrictive alternatives,

all legitimate reliance interests, and all other

relevant issues and factors and determine that the

action and policy judgments in this order are the

reasonable result

ssues. In making the

judgments in this order, I have considered all relevant

alternatives including less restrictive alternatives,

all legitimate reliance interests, and all other

relevant issues and factors and determine that the

action and policy judgments in this order are the

reasonable result. For example, in ordering the action

specified in section 2(b) and section 2(c) of this

order, I have considered all relevant alternatives

including less restrictive alternatives, all legitimate

reliance interests, and all other relevant issues and

factors, and I determine that prohibiting foreign IORs

from filing informal entry pursuant to regulations

promulgated under 19 U.S.C. 1498 and increasing the

requirements for foreign IORs to use formal entry are

reasonable policy judgments.

Sec. 8. Legislation. Within 45 days of the date of this

order, the Secretary, in consultation with the Director

of the Office of Management and Budget and the heads of

any other relevant agencies, shall submit to the

President, through the Senior Counselor for Trade and

Manufacturing, recommendations for legislation to

strengthen customs enforcement.

Sec. 9. Reporting. Within 1 year of the date of this

order, the Secretary shall submit a report to the

President, through the United States Trade

Representative, the Assistant to the President for

Economic Policy, and the Senior Counselor for Trade and

Manufacturing, on the effectiveness of the matters set

forth in this order.

Sec. 10. Definitions. For purposes of this order:

submit a report to the

President, through the United States Trade

Representative, the Assistant to the President for

Economic Policy, and the Senior Counselor for Trade and

Manufacturing, on the effectiveness of the matters set

forth in this order.

Sec. 10. Definitions. For purposes of this order:

(a) The term ``U.S. IOR'' means an IOR that, in the

case of an individual, is a United States citizen or a

lawful permanent resident, and in the case of an

entity, is organized under the laws of the United

States, is located in the United States, and has at all

times controlling beneficial owner(s) who are United

States citizens or lawful permanent residents; or, in

the case of an entity, owns a significant amount of

real property in the United States, as determined by

the Secretary.

(b) The term ``foreign IOR'' means an IOR that does

not meet the definition of ``U.S. IOR''--in the case of

an individual, is not a United States citizen or a

lawful permanent resident, and in the case of an

entity, is not organized under the laws of the United

States, not located in the United States, does not have

at all times controlling beneficial owner(s) who are

United States citizens or lawful permanent residents,

or does not own a significant amount of real property

in the United States, as determined by the Secretary.

s not organized under the laws of the United

States, not located in the United States, does not have

at all times controlling beneficial owner(s) who are

United States citizens or lawful permanent residents,

or does not own a significant amount of real property

in the United States, as determined by the Secretary.

(c) For purposes of the definitions of ``U.S. IOR''

and ``foreign IOR,'' the Secretary shall provide

further guidance concerning the meaning of the term

``located in the United States,'' and such guidance

shall prioritize preventing entities from using shell

companies, sham transactions, or artificial corporate

or organizational structuring in an attempt to qualify

as a U.S. IOR. At a minimum, to be ``located in the

United States'' an entity must have:

(i) its principal place of business in the United States;

(ii) a physical presence where significant business activity is conducted

in the United States; and

(iii) sufficient tangible assets located in the United States, taking into

account the size and scale of the overall operations of the company and

whether the entity is an instrumentality of a foreign manufacturer without

a substantial United States presence.

[[Page 35129]]

Sec. 11. Severability. If any provision of this order,

or the application of any provision of this order to

any individual or circumstance, is held to be invalid,

the remainder of this order and the application of its

provisions to any other individuals or circumstances

shall not be affected.

Sec. 12. General Provisions. (a) Nothing in this order

shall be construed to impair or otherwise affect:

tment or agency, or

the head thereof; or

(ii) the functions of the Director of the Office of Management and Budget

relating to budgetary, administrative, or legislative proposals.

(b) This order shall be implemented consistent with

applicable law, including the Administrative Procedure

Act, and subject to the availability of appropriations.

(c) This order is not intended to, and does not,

create any right or benefit, substantive or procedural,

enforceable at law or in equity by any party against

the United States, its departments, agencies, or

entities, its officers, employees, or agents, or any

other person.

(d) The costs for publication of this order shall

be borne by the Department of Homeland Security.

(Presidential Sig.)

THE WHITE HOUSE,

June 3, 2026.

[FR Doc. 2026-11595

Filed 6-9-26; 8:45 am]

Billing code 9110-9M-P