A customs bond is a surety bond required by U.S. Customs and Border Control. There multiple classes of customs bonds however all classes provide financial assurance of a principal’s performance of the obligations that he or she assumes under a particular “Activity Code”. Those activities are, . . .
ACTIVITY 1 CUSTOMS BOND – IMPORTER OR BROKER
This bond is posted by an importer of merchandise to guarantee that the prevailing duties are paid, and that the goods imported are in compliance with federal law. The bond amount is usually equal to ten percent of duties and other import taxes paid in the previous year, in multiples of $10,000 if the duties are less than $1,000,000 or multiples of $100,000 if the duties are over $1,000,000. The minimum U.S. customs bond amount required by CBP is $50,000. We offer this bond on a continuous basis only, not for single entries.
ACTIVITY 1A CUSTOMS BOND – DRAWBACK PAYMENT REFUNDS
This bond provides financial assurance that a principal’s demand for a refund on duties previously paid on imported goods which have been exported will be reimbursed to CBP if the refund is later determined to be improper. An exporter may claim drawback under either exporter’s summary or accelerated payment regimes.
ACTIVITY 2 CUSTOMS BOND – CUSTODIAN OF BONDED MERCHANDISE
This bond covers businesses which warehouse merchandise that has not yet entered into U.S. Commerce. The goods can be for export or entry at a later date or port of entry. The goods are referred to as “Bonded Merchandise.” Bonded warehouses, cartmen, carriers, container stations are covered under this activity code. Importer carrying their own bonded merchandise would likewise be required to provide this customs bond.
ACTIVITY 3 CUSTOMS BOND – INTERNATIONAL CARRIER
The surety bond guarantees that operators of ships, airlines and other conveyors of international merchandise properly report the goods that they are carrying, pay for certain personnel services, and comply with other specific CBC regulations related to the clearance of the vessel.
ACTIVITY 3A CUSTOMS BOND – INSTRUMENTS OF INTERNATIONAL TRAFFIC
This surety bond covers the clearances of shipping containers which move internationally. Without the availability of this activity code each container coming in to a U.S. port of entry would necessarily require payment of an entry duty.
ACTIVITY 4 CUSTOMS BOND – FOREIGN TRADE ZONE
A “foreign trade zone”, or FTZ is considered non-U.S. territory for CBP purposes. Goods placed into the FTZ may be manufactured, manipulated, repacked or exported without paying duties. The continuous FTZ customs bond has been modified to secure Importer Security Filing.
ACTIVITY 11 CUSTOMS BOND – AIRPORT SECURITY BOND
This surety bond is required of companies to enter secured areas of airports (like cleaning services not employed by the airlines to clean planes or maintenance individuals not employed by the airlines to fix something) to provide professional services or operate concessionary businesses.
National surety leader, Surety One, Inc. is a specialist in providing for the bonding needs of companies involved in national and international commerce. We offer surety bonding for all activity codes. Visit SuretyOne.com, call (800) 373-2804, or email Underwriting@SuretyOne.com for a U.S. Customs surety bond application or information about any surety need.
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