Frontier Supply Chain Solutions

Duty Drawbacks

Don't Overpay

Get a Drawback on Duties Paid With Frontier's Help

Due to on several industry changes many imports, our team has been successful in discovering these duty drawbacks and other recovery opportunities based on various changing private rulings over recent years.

What's a Duty Drawback?

duty drawback is a refund of the duties paid on goods imported into the United States that are then exported.  The drawback claimant can be either an importer, manufacturer or exporter as long as the U.S. Customs Service is provided with the proper authorization.
 
All drawback claims must be filed electronically in ACE.
 

When is a Good Eligible for a Refund?

After you’ve imported from or exported goods to a country, if that good is destroyed or exported again you could be eligible for a duty drawback. This means that you would be refunded for the duties you were charged by the government. Contact our business development team to see if you are eligible.
There are two situations when a good is eligible for a duty drawback:

1. Manufacturing Drawback:

After duty paid imported material is used to manufacture a product, which is exported from the United States, the US import duty may be recovered. 

2. Unused Drawback:

An imported product that is duty paid and re-exported without any significant transformation may be recovered.  It is however necessary to trace the duty-paid imported material through to export.
 

Record Keeping

Accurate record keeping is required to apply for a duty drawback. The documentation needed is:
 
  • Customs Entry (7501) data, forms and commercial invoices, shipment receipts
  • Exports Bill of lading, exportation documents and export invoices
If you have never filed for a drawback, you can retroactively claim duty on exports shipped over the past three years.  This allows you to qualify for a substantial refund.

When do I quality for a Refund?

After a duty paid imported material is used to manufacture a product, which is exported from the United States, the US import duty may be recovered. 
Here are the questions to ask:
 
  • Do you import duty paid merchandise?
  • Do you purchase imported duty paid merchandise from a US Supplier?
  • Do you manufacture a product using raw materials that were imported duty paid?
  • Do you export merchandise that was imported duty paid?
  • Do you export product with materials that imported duty was paid? 

If you answered yes to any of the above questions, you could be eligible for a duty drawback. Contact Frontier’s Trade Compliance team to start your drawback discovery.