Monday Morning eBriefing

This analysis regarding the May 12 U.S. Court of Appeals for the Federal Circuit’s stay on the U.S. Court of International Trade (CIT) ruling against the Section 122 tariffs is provided to our Regular Member customs brokers by NCBFAA Customs Counsel and Legislative Advisor of Sandler, Travis & Rosenberg, P.A.

Watch the Consumer Product Safety Commission (CPSC) May 6 webinar, "3...2...1...Go! EFiling is Only 2 Months Away!" The agency's virtual webinar highlighted the two-month mark for full implementation of eFiling of most CPSC-regulated products.

Customs and Border Protection (CBP) published a notice in the Federal Register which advises the industry that the quarterly Internal Revenue Service (IRS) interest rates used to calculate interest on overdue accounts (underpayments) and refunds (overpayments) of customs duties will decrease from the previous quarter, effective April 1.

With the recent activation of Consolidated Administration and Processing Portal (CAPE), Customs and Border Protection (CBP) has provided an array of useful tools and other resources for importers and authorized customs brokers in the ACE Secure Data Portal. CAPE is designed to consolidate refunds of IEEPA duties including interest rather than processing refunds on an entry-by-entry basis.

The U.S. Supreme Court on May 14 issued a decision in Montgomery v. Caribe Transport II, LLC, ruling that freight brokers can be held liable under negligent selection claims for the actions of carriers on the road. It remains unclear, so far, what the full impact of this court decision will be for the freight brokerage industry in terms of liability.

NOAA Fisheries published a May 12 Federal Register notice that it has granted comparability findings under the Marine Mammal Protection Act (MMPA) to swimming crab from fisheries in Vietnam, Indonesia, and Sri Lanka, continuing their access to the U.S. seafood market after a period of legal uncertainty. At the same time, NOAA denied the Philippines a comparability finding, which means a ban on swimming crabs from the Philippines will begin June 11.

Food and Drug Administration (FDA) Commissioner Dr. Martin “Marty” Makary resigned on May 12, ending a 13-month tenure marked by internal disruption and policy disputes. He took office shortly before major staffing cuts left the agency with hundreds of vacancies.

A summary of the latest legislative and regulatory transport, logistics and trade sector updates brought to you by our NCBFAA Transportation Counsel firm Venable.

The Commerce Department on May 11 published a Federal Register notice the procedures for pharmaceutical product manufacturing companies to apply for company-specific agreements with the department to onshore manufacturing of pharmaceutical products and their ingredients. Companies that enter into such agreements are eligible for a reduced Section 232 duty rate for imports of their pharmaceutical products and associated ingredients.

The Federal Maritime Commission (FMC) is seeking new member applications for the National Shipper Advisory Committee (NSAC). NCBFAA strongly encourages its freight forwarder and NVOCC members to apply for a seat on this important committee. Applications are due to the FMC by May 28.

On behalf of NCBFAA's Board of Directors, Leadership and Staff, we want to take a moment to acknowledge and welcome Intercargo Brokers, Interfracht, and TTM International, which have recently joined our association. We're so excited to have these firms join our organization and we are happy to assist in any way we can!

A bipartisan group of Congressional members is urging U.S. Trade Representative Jamieson Greer to open a broad Section 301 investigation into foreign trade practices affecting the U.S. seafood industry. In a May 11 letter spearheaded by Reps. Clay Higgins (R-LA) and Troy Carter (D-LA), the lawmakers said U.S. seafood producers are facing significant pressure from imported seafood and unfair foreign practices.

Former U.S. Customs Service Deputy Commissioner Samuel H. Banks, who was a longtime friend of the customs brokerage industry, passed away on April 30. He was 81. "We are all better customs practitioners having had the opportunity to work with him,” said NCBFAA General and Customs Counsel Lenny Feldman of Sandler, Travis & Rosenberg, P.A.

Customs and Border Protection (CBP) on May 12 told the trade that the Entry Summary Query has been updated to return a new Liquidation Reason Code. The Output JD-Record will return a new Liquidation Reason Code “CAPE” as code 36.

NCBFAA recently submitted questions to Customs and Border Protection (CBP) regarding Consolidated Administration and Processing of Entries (CAPE) filing issues and received responses from the agency. CBP also asked that NCBFAA continue to share questions that are coming up repeatedly for the customs broker community, and the agency will do its best to get responses back to the association. Note: Submit your questions regarding CAPE to NCBFAA at cape@ncbfaa.org.

Customs and Border Protection (CBP) Executive Director for the Trade Programs Directorate in the Office of Trade, Brandon Lord, on May 12 provided the U.S. Court of International Trade (CIT) with an update on Consolidated Administration and Processing of Entries (CAPE) Phase 1 declaration filings, as of May 11 at 7 a.m. ET.

Customs and Border Protection (CBP) released Harmonized System Update (HSU) 2610 on May 7 which contains two harmonized tariff records and four ABI records. Specifically, this HSU contains the Section 232 USMCA-Qualifying Medium-and Heavy-Duty Vehicles (MHDVs) HTS updates.

China’s General Administration of Customs is tightening its rules governing inspection and quarantine procedures for imported and exported cosmetics, with the new measures scheduled to take effect Dec. 1, 2026. The changes are intended to bring customs oversight more closely in line with China’s broader domestic cosmetics regulatory system and to create more standardized procedures at the border.

The U.S. Court of International Trade (CIT) on May 7 has ruled the Section 122 tariffs unlawful in a 2-1 split decision. NCBFAA Customs Counsel and Legislative Advisor of Sandler, Travis & Rosenberg, P.A. provides an analysis of this CIT decision and what to expect following the U.S. government's May 8 appeal for our customs broker members.

President Trump in a May 7 Truth Social post said tariffs on goods imported from the European Union “would immediately jump to much higher levels,” if the EU does not “cut their Tariffs to ZERO” by July 4. “I’ve been waiting patiently for the EU to fulfill their side of the Historic Trade Deal we agreed in Turnberry, Scotland, the largest Trade Deal, ever!” he added in the post, which followed a call with European Commission President Ursula von der Leyen.