Fact Sheet: President Donald J. Trump Strengthens Customs Enforcement

President Donald J. Trump has signed a sweeping Executive Order to fundamentally overhaul United States customs enforcement. The order is designed to close long-standing loopholes exploited by foreign entities, ensure the collection of all owed duties, and dismantle the logistical networks used to funnel illicit goods—such as fentanyl—into the American market.The administration frames this as a "long overdue" modernization of the nation’s trade infrastructure, aligning U.S. practices with those of major global trading partners who already restrict the activities of foreign importers.The order introduces strict new standards for those authorized to bring goods into the United States, focusing on accountability and domestic presence:Asset and Bonding Requirements: IORs must now maintain a minimum level of tangible domestic assets or higher-value bonds to ensure the U.S. government can collect penalties and duties.Restricting Foreign Importers: In a major shift, only U.S.-based Importers of Record will be authorized to file "informal entries" (typically used for lower-value shipments). Foreign IORs will be subject to heightened requirements for formal entry."Good Standing" Mandate: All importers must maintain a "good standing" status with U.S. Customs and Border Protection (CBP). Failure to comply with laws or involvement in illicit trafficking will result in immediate disqualification from importing.Enhanced Vetting: The order mandates increased background checks and vetting procedures for all entities involved in the importation process.To eliminate the "bureaucratic leniency" that the administration argues has encouraged noncompliance, the order mandates:50% Penalty Floor: A new mandatory minimum penalty is established, limiting the discretion of CBP officials to reduce or waive fines for importers who violate customs laws.Streamlined Seizure and Disposal: The order reduces the "regulatory burden" required to abandon non-compliant imports and authorizes the use of third-party disposal services to quickly clear illegal goods from U.S. ports.Transparency Reports: DHS is directed to publish annual reports detailing enforcement actions and transparency metrics to keep the public informed of trade integrity efforts.The administration identified several systemic failures that the order intends to rectify:Combatting the Fentanyl Crisis: By tightening IOR requirements and increasing vetting, the President aims to sever the supply chains used by cartels to smuggle synthetic opioids.Protecting Domestic Industry: The reforms ensure that domestic businesses are not disadvantaged by "malign actors" who undervalue imports or evade duties through complex corporate schemes.International Alignment: The administration noted that most other developed nations already require foreign importers to partner with verified domestic parties, a practice the U.S. is now adopting to reduce barriers to enforcement.Today’s order is the latest action in a comprehensive "America First" trade strategy:Ending the De Minimis Loophole: The President highlighted his previous suspension of the de minimis rule, which allowed duty-free, low-value shipments to bypass scrutiny.The 2027 Repeal: Under the One Big Beautiful Bill Act, the statutory basis for the de minimis exemption will be permanently repealed worldwide effective July 1, 2027.Conclusion:President Trump characterized the order as a restoration of "sovereignty and integrity" to the American border. By forcing foreign importers to play by the same rules as American companies and establishing strict penalty floors, the administration intends to reclaim national revenue and safeguard the domestic economy for the next 250 years.