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Executive Order Calls for Rulemaking on Importer of Record Status, Broker Responsibilities

President Donald Trump issued an executive order on Jan. 31 that mandates CBP work toward new criteria for obtaining importer of record numbers, and new consequences for customs brokers that help importers evade those criteria. The order directs the Department of Homeland Security to "issue a notice of proposed rulemaking to establish criteria importers must meet in order to obtain an importer of record number," and says one of those criteria must be that CBP debarment or suspension for reasons related to trade renders an importer ineligible.

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The executive order also says CBP must require that customs brokers report any attempts by importers that are ineligible to get an importer of record number "to re-establish business activity requiring an importer of record number through a different name or address associated with the debarred or suspended person." It directs CBP to punish customs brokers that help ineligible importers by limiting their participation in trusted trader programs or even revoke their broker licenses.

White House Adviser Peter Navarro, said during a Jan. 31 conference call with reporters that e-commerce platforms are "ripping people off." Navarro told reporters on a conference call that e-commerce platforms like Amazon and Walmart.com should "voluntarily assume more responsibility for the poisons they are purveying," and said if they don't, DHS "will take this on."