From 5 January 2027, a foreign company can no longer clear goods into the United States under its own name unless it is validated under CBP’s CTPAT programme, or files through a customs broker that is. US Customs and Border Protection published the interim final rule, titled “Heightened Requirements for Foreign Importers of Record”, in the Federal Register on 6 November 2026. That leaves importers less than two months to sort out their filing arrangements, and the rule will catch goods that are already on the water.

Why CBP is doing this

The rule carries out Section 2 of Executive Order 14411, “Strengthening Customs Enforcement”. CBP’s reasoning is simple. When the importer of record sits overseas, its assets and staff are out of reach, so unpaid duties and penalties are hard to collect. CBP says its audits found $1.16 billion in revenue lost through foreign importers of record between January 2020 and August 2026, and it recovered only about $35.7 million of that.

Who counts as a US importer now

For the first time, CBP’s regulations define what a US importer of record is. A company has to pass all three parts of the test:

1. It is organised under US law.
2. It is located in the United States.
3. Either at least 51% of its beneficial owners are US citizens or lawful permanent residents who control the business, or it directly owns a significant amount of unencumbered US real property.

CBP can check. It may ask for evidence of your principal place of business, your physical presence in the US, any property you own, whether the business is adequately capitalised, and whether it is effectively an arm of a foreign manufacturer with no real US presence.

The third condition is the one that will catch small brands. A Delaware or Wyoming LLC with a registered agent address, owned by founders in the UK, Hong Kong or China, can pass the first test and still fail the other two. Being incorporated in the US is no longer enough on its own.

What changes for foreign importers

A company that doesn’t meet the US definition can still import, but it can only enter goods for consumption on its own behalf if it is CTPAT-validated. For almost everyone that route is closed: at present, Canada is the only country whose importers can get CTPAT validation. Everyone else has to file through a customs broker that is itself CTPAT-validated.

There is a further catch. If the foreign party isn’t the owner or purchaser of the goods, the validated broker must act as importer of record for that entry and take on the liability that goes with it. CBP also now requires every importer of record to report its beneficial owners.

Why brokers will get pickier

Brokers carry new duties under the rule. When they take on a client, they must keep a record showing whether that client meets the US importer definition, and CBP has revised its penalty guidelines so it can pursue brokers who get this wrong. Brokers can ask for more time on the verification requirement before 5 January, but must be fully compliant by 6 May 2027.

Expect more paperwork at onboarding, higher fees for foreign clients, and some brokers refusing to act as importer of record at all. CTPAT-validated brokers are a much smaller group than licensed brokers in general, and every foreign seller will be calling them in December.

The timing problem

Ocean freight from China or Vietnam to a US port takes roughly four to six weeks, plus inland rail if your warehouse isn’t on the coast. A container booked in late November will arrive after 5 January. Add the rush before Chinese New Year, when factories push orders out before they close, and many importers will meet the new rule with their biggest shipment of the quarter. Settle your filing route before the goods leave the factory, not when they are sitting at the port.

What to do this month

1. Work out which side of the line you fall on. Check where your company is organised, whether it has a real US address and staff, and who its beneficial owners are. If you’re unsure, ask a customs attorney or your broker to confirm it in writing.
2. Call your broker now. Ask whether they are CTPAT-validated, whether they will act as importer of record for you if needed, what that costs, and which documents they want.
3. Gather your documents: formation papers, ownership and beneficial owner details, proof of your US address and operations, and any property records.
4. Look at other structures. If you sell to US retailers or distributors, moving to terms where the buyer imports (FOB rather than DDP) puts the importer of record role with a US company. Some US fulfilment partners offer importer of record services, but check carefully who carries the liability.
5. Check your marketplace setup. Amazon does not act as importer of record for FBA shipments, so sellers need their own arrangement in place.
6. Comment if the rule hurts your business. Because this is an interim final rule, it takes effect before CBP has heard objections. Comments are due by 5 January 2027, and CBP says it will use them to decide whether to amend, confirm or withdraw the rule.

Talk to us before your next shipment

Bellson Global manages production and shipping for brands sourcing from Asia, including the hand-off to customs brokers at the US end. If you’re not sure how this rule affects your next order, get in touch before it leaves the factory, or see what we do.

Further reading: Thompson Hine’s summary of the rule and Flexport’s guide for importers.

Last updated 7 November 2026. This article is general information, not legal advice. Confirm your own position with a licensed customs broker or trade attorney.