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<title>Federal Register, Volume 91 Issue 111 (Wednesday, June 10, 2026)</title>
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[Federal Register Volume 91, Number 111 (Wednesday, June 10, 2026)]
[Presidential Documents]
[Pages 35125-35129]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2026-11595]
Presidential Documents
Federal Register / Vol. 91, No. 111 / Wednesday, June 10, 2026 /
Presidential Documents
[[Page 35125]]
Executive Order 14411 of June 3, 2026
Strengthening Customs Enforcement
By the authority vested in me as President by the
Constitution and the laws of the United States of
America, I hereby determine and order:
Section 1. Purpose. Customs enforcement is essential to
the national security, foreign policy, and economy of
the United States. Effective customs enforcement
prevents the importation of unlawful and dangerous
goods; ensures importers of record (IORs) are correctly
identified and accountable for duties owed; and
guarantees compliance with numerous Federal laws,
including laws governing forced labor, rules of origin,
origin marking, intellectual property, revenue
collection, and product safety.
Customs reform is long overdue. Systemic
inefficiencies, loopholes, insufficient enforcement
mechanisms, and outdated processes have created
opportunities for malign actors to evade Federal law.
Examples of noncompliance include undervaluing imports,
withholding critical information about IORs and the
goods being imported, and avoiding payment of duties
through various arrangements and schemes. These actions
threaten national security, undermine foreign
relations, disadvantage domestic businesses, and harm
Americans.
The United States must strengthen its customs
enforcement through comprehensive reform, including
through agency action and legislation. Such reform
should focus on protecting national security, promoting
lawful trade, ensuring the timely collection of duties,
modernizing systems and processes, bolstering
compliance mechanisms, increasing transparency, and
protecting Americans and the domestic economy.
Sec. 2. Importers of Record. (a) Within 180 days of the
date of this order, the Secretary of Homeland Security
(Secretary) shall, pursuant to 19 U.S.C. 66, 1484,
1498, 1623, 1624, and 4320, and any other applicable
law, take steps to revise importer eligibility
regulations, guidance, and policies consistent with the
policy of this order. These revisions shall include:
(i) requiring that an IOR maintain at all times a minimum level of tangible
domestic assets, bonding, or both, as determined by U.S. Customs and Border
Protection (CBP) to be necessary to ensure compliance with U.S. customs and
trade laws, and increasing the minimum required bond coverage for an IOR;
(ii) requiring that an IOR be designated and reported to CBP, and that a
bond, or sufficient tangible domestic assets, or both, be required, for all
formal entries under 19 U.S.C. 1484 and informal entries under regulations
promulgated pursuant to 19 U.S.C. 1498; and
(iii) requiring that an IOR provide to CBP additional data and
identification information, including anticipated import volumes, year
organized, ownership and beneficial ownership disclosures, business
affiliation disclosures, and domestic asset disclosures, and any other data
that CBP deems necessary.
(b)(i) Pursuant to 19 U.S.C. 66, 1484, 1498, 1623,
1624, and 4320, and any other applicable law, the
Secretary shall promptly issue, amend, modify, or
rescind any relevant regulation, policy, or guidance to
prohibit a foreign IOR from filing informal entry under
regulations promulgated pursuant to 19 U.S.C. 1498.
[[Page 35126]]
(ii) These prohibitions for informal entry are necessary for foreign IORs
importing low-value articles because such IORs are not similarly situated
to U.S. IORs. This is in part due to the substantially higher volumes of
low-value articles that are imported by foreign individuals and companies
that are less familiar with U.S. customs and trade laws and that face lower
penalty amounts and financial consequences for noncompliance where penalty
amounts are correlated to value. It is critically important that the United
States be able to counter these challenges through meaningful and effective
enforcement actions. The United States faces substantial barriers when
seeking to enforce U.S. customs and trade laws against foreign actors like
foreign IORs, particularly when assets, operations, and key individuals are
located overseas. Prohibiting the filing of informal entries for foreign
IORs puts all IORs on equal footing and is necessary to treat IORs equally
based on their individualized circumstances and in order to protect U.S.
revenue and domestic industry, protect American consumers, strengthen
national security, and maintain foreign relations. In any event, I
determine that it is not in the interests of national security or
practicable to treat foreign IORs equally to U.S. IORs in the informal
entry environment.
(c)(i) Pursuant to 19 U.S.C. 66, 1484, 1498, 1623,
1624, and 4320, and any other applicable law, the
Secretary shall promptly issue, amend, modify, or
rescind any relevant regulation, policy, or guidance to
require for formal entry under 19 U.S.C. 1484 that a
foreign IOR: (1) may not rely on a continuous bond to
meet the bond requirements for entry, except as
permitted by CBP when the foreign IOR has demonstrated
that the revenue would be fully protected and that
compliance with the laws, regulations, and instructions
enforced by CBP would be assured; and (2) be validated
in CBP's Customs Trade Partnership Against Terrorism
(CTPAT), if determined by CBP to be eligible, or use a
CTPAT validated and licensed customs broker to file
entries with CBP.
(ii) These additional requirements for formal entry are necessary for
foreign IORs because such IORs are not similarly situated to U.S. IORs. The
United States faces substantial barriers when seeking to enforce U.S.
customs and trade laws against foreign actors like foreign IORs,
particularly when assets, operations, and key individuals are located
overseas. Principles such as the revenue rule reinforce why it is important
for the United States to impose heightened requirements against foreign
IORs, which can more easily evade payment of amounts owed and other
consequences for noncompliance with U.S. customs and trade laws. Foreign
IORs may exploit U.S. customs and trade laws and refuse to pay their
customs debts, knowing the challenges posed by international enforcement of
domestic customs laws and regulations. Because these challenges are not
present for U.S. IORs, the additional requirements for formal entry for
foreign IORs put all IORs on equal footing and are necessary to treat IORs
equally based on their individualized circumstances and in order to protect
U.S. revenue and domestic industry, protect American consumers, strengthen
national security, and maintain foreign relations. Moreover, I determine
the current conditions of entry produce, in practice, unequal treatment of
U.S. IORs when compared to foreign IORs. In any event, I determine that it
is not practicable to treat foreign IORs equally to U.S. IORs, at least not
in the respect detailed in subsection (b) of this section.
(d) Within 180 days of the date of this order, the
Secretary shall require all IORs to maintain ``good
standing'' with CBP, and CBP shall define ``good
standing'' based on the IOR's and its affiliates'
history of compliance with U.S. customs and trade laws
and regulations and payment of required customs
liabilities, among other relevant considerations. For
example, IORs that have been found by CBP to have
illegally imported fentanyl, nitazene, or other illicit
substances or contraband, including precursor chemicals
for the purposes of manufacturing illicit substances,
shall, consistent with applicable law, not be in ``good
standing'' with CBP. IORs not in ``good standing'' with
CBP shall not be allowed to import into the United
States or otherwise
[[Page 35127]]
conduct activities directly related to the importation
of goods, including designating a customs broker to act
as IOR on their behalf.
(e) Within 180 days of the date of this order, the
Secretary shall update the IOR registry consistent with
the policy of this order. These updates shall include
removing inactive IORs; confirming active IORs are
compliant with all applicable regulations and
disclosures; and creating risk-based tiers for IORs
based on compliance history, enforcement actions, and
audit results, among other things.
(f) Within 180 days of the date of this order, the
Secretary shall establish enhanced vetting procedures,
including recurrent vetting, for all individuals and
entities seeking to conduct activities directly related
to the importation of goods, including foreign IORs,
affiliates of IORs, customs brokers, custodians of
bonded merchandise, and freight forwarders.
Sec. 3. Import Disclosure and Certification
Requirements. (a) The Secretary shall take steps to
establish heightened import disclosure and
certification requirements consistent with the policy
of this order. These heightened requirements shall
include certifying compliance with critical supply
chain requirements like the Countering America's
Adversaries through Sanctions Act (Public Law 115-44),
18 U.S.C 545, and others to be determined by CBP, in
consultation with the heads of relevant executive
departments and agencies (agencies); disclosing certain
foreign tax and global business identifiers; and
providing detailed information about the imported
good's supply chain and production methods, such as the
manufacturer's product identifier (e.g., model or style
number) or key specifications (e.g., composition,
grade, or size). The Secretary shall enforce all
applicable criminal fines and civil penalties in the
event of noncompliance with these heightened
requirements.
(b) Within 90 days of the date of this order, the
Secretary shall take steps to establish a requirement
mandating the submission of any documentation or
information that the foreign exporter was required to
submit to the foreign customs administration prior to
exporting to the United States.
Sec. 4. Enforcement and Penalties. (a) The Secretary
shall, to the maximum extent permitted by applicable
law, take any action he deems necessary to bolster the
enforcement of customs laws, regulations, and other
mandates, including conditions necessary for
participation in the CTPAT program. These actions shall
include enforcing liquidated damages claims against
bonds for noncompliance; restricting in-bond
utilization; increasing audits; and imposing maximum
penalties for brokers who, for example, fail to conduct
due diligence, repeatedly represent noncompliant
clients, or fail to cooperate in a timely manner with
requests for information by CBP.
(b) The Secretary and the Attorney General shall
take all appropriate action to prioritize the
enforcement of Federal law relating to importations
involving products produced by forced labor, and
importations involving misclassification,
undervaluation, and illegal transshipment, including
investigations conducted pursuant to the Enforce and
Protect Act (Public Law 114-125).
(c) Within 90 days of the date of this order, the
Secretary shall take steps to revise all mitigation
standards consistent with the policy of this order.
These revisions shall include establishing a minimum
penalty floor of not less than 50 percent of the
assessed penalty, absent exceptional circumstances that
materially impact national security; establishing a
minimum liquidated damages floor; and eliminating
mitigation for repeat offenders.
Sec. 5. Streamlined Disposal. Within 90 days of the
date of this order, the Secretary shall, to the maximum
extent permitted by applicable law, take actions to
expedite and enhance the seizure and disposal of non-
compliant imports. These actions shall include reducing
or eliminating regulatory burdens to voluntary
abandonment, increasing bond requirements for high-risk
shipments, authorizing third-party disposal, and
utilizing authorities under 19 U.S.C. 1612.
[[Page 35128]]
Sec. 6. Transparency. Within 90 days of the date of
this order, and in consultation with the heads of
relevant agencies, the Secretary shall enhance
transparency in customs by taking steps to establish
various requirements, standards, and practices
consistent with the policy of this order. These
measures shall include requiring periodic review and
expiration of confidentiality requests, as appropriate;
and publishing annual enforcement transparency reports.
Each measure established under this section shall be
consistent with applicable law, national security, and
any other applicable limit on the disclosure of
sensitive information.
Sec. 7. Consideration of Relevant Issues. In making the
judgments in this order, I have considered all relevant
alternatives including less restrictive alternatives,
all legitimate reliance interests, and all other
relevant issues and factors and determine that the
action and policy judgments in this order are the
reasonable result. For example, in ordering the action
specified in section 2(b) and section 2(c) of this
order, I have considered all relevant alternatives
including less restrictive alternatives, all legitimate
reliance interests, and all other relevant issues and
factors, and I determine that prohibiting foreign IORs
from filing informal entry pursuant to regulations
promulgated under 19 U.S.C. 1498 and increasing the
requirements for foreign IORs to use formal entry are
reasonable policy judgments.
Sec. 8. Legislation. Within 45 days of the date of this
order, the Secretary, in consultation with the Director
of the Office of Management and Budget and the heads of
any other relevant agencies, shall submit to the
President, through the Senior Counselor for Trade and
Manufacturing, recommendations for legislation to
strengthen customs enforcement.
Sec. 9. Reporting. Within 1 year of the date of this
order, the Secretary shall submit a report to the
President, through the United States Trade
Representative, the Assistant to the President for
Economic Policy, and the Senior Counselor for Trade and
Manufacturing, on the effectiveness of the matters set
forth in this order.
Sec. 10. Definitions. For purposes of this order:
(a) The term ``U.S. IOR'' means an IOR that, in the
case of an individual, is a United States citizen or a
lawful permanent resident, and in the case of an
entity, is organized under the laws of the United
States, is located in the United States, and has at all
times controlling beneficial owner(s) who are United
States citizens or lawful permanent residents; or, in
the case of an entity, owns a significant amount of
real property in the United States, as determined by
the Secretary.
(b) The term ``foreign IOR'' means an IOR that does
not meet the definition of ``U.S. IOR''--in the case of
an individual, is not a United States citizen or a
lawful permanent resident, and in the case of an
entity, is not organized under the laws of the United
States, not located in the United States, does not have
at all times controlling beneficial owner(s) who are
United States citizens or lawful permanent residents,
or does not own a significant amount of real property
in the United States, as determined by the Secretary.
(c) For purposes of the definitions of ``U.S. IOR''
and ``foreign IOR,'' the Secretary shall provide
further guidance concerning the meaning of the term
``located in the United States,'' and such guidance
shall prioritize preventing entities from using shell
companies, sham transactions, or artificial corporate
or organizational structuring in an attempt to qualify
as a U.S. IOR. At a minimum, to be ``located in the
United States'' an entity must have:
(i) its principal place of business in the United States;
(ii) a physical presence where significant business activity is conducted
in the United States; and
(iii) sufficient tangible assets located in the United States, taking into
account the size and scale of the overall operations of the company and
whether the entity is an instrumentality of a foreign manufacturer without
a substantial United States presence.
[[Page 35129]]
Sec. 11. Severability. If any provision of this order,
or the application of any provision of this order to
any individual or circumstance, is held to be invalid,
the remainder of this order and the application of its
provisions to any other individuals or circumstances
shall not be affected.
Sec. 12. General Provisions. (a) Nothing in this order
shall be construed to impair or otherwise affect:
(i) the authority granted by law to an executive department or agency, or
the head thereof; or
(ii) the functions of the Director of the Office of Management and Budget
relating to budgetary, administrative, or legislative proposals.
(b) This order shall be implemented consistent with
applicable law, including the Administrative Procedure
Act, and subject to the availability of appropriations.
(c) This order is not intended to, and does not,
create any right or benefit, substantive or procedural,
enforceable at law or in equity by any party against
the United States, its departments, agencies, or
entities, its officers, employees, or agents, or any
other person.
(d) The costs for publication of this order shall
be borne by the Department of Homeland Security.
<GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT>
(Presidential Sig.)
THE WHITE HOUSE,
June 3, 2026.
[FR Doc. 2026-11595
Filed 6-9-26; 8:45 am]
Billing code 9110-9M-P
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