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President Trump signs order directing customs enforcement and reform

The directive outlines new bonding, vetting, and penalty requirements for importers.

june 4, 2026

President Trump on June 3, 2026, signed an executive order directing the Department of Homeland Security (DHS) and U.S. Customs and Border Protection (CBP) to implement comprehensive reforms aimed at strengthening the enforcement of U.S. customs laws.

According to a White House release, DHS and CBP are directed to strengthen several requirements for importers of record (IORs), including:

  • Increasing bonding requirements and requiring IORs to maintain minimum levels of tangible domestic assets
  • Subjecting foreign IORs to heightened formal entry requirements
  • Authorizing only U.S. IORs to file informal entry
  • Imposing a “good standing” requirement on all IORs
  • Increasing vetting procedures for all individuals and entities that conduct activities directly related to the importation of goods

In addition, the order directs the creation of disclosure and certification requirements and mandates a 50% minimum penalty floor, thereby limiting CBP’s discretion to reduce assessed penalties on noncompliant importers. Additionally, the directive seeks to enhance the seizure and disposal of noncompliant imports, reduce regulatory burdens to voluntary abandonment, authorize third-party disposal, and require DHS to publish annual transparency reports and propose new enforcement legislation.

The directed reforms will not take effect immediately. DHS and CBP will engage with relevant stakeholders through the standard rulemaking process to allow affected parties an opportunity to adjust their operations if needed.

For more information, contact a professional with KPMG Trade & Customs services:

 

Andrew Siciliano
Partner, U.S. & Global Practice Leader

E: asiciliano@kpmg.com

Doug Zuvich
Partner

E: dzuvich@kpmg.com

Irina Vaysfeld
Principal

E: ivaysfeld@kpmg.com

John L. McLoughlin
Principal

E: jlmcloughlin@kpmg.com

Luis (Lou) Abad
Principal

E: labad@kpmg.com

George Zaharatos
Principal

E: gzaharatos@kpmg.com

Christopher Young
Principal

E: christopheryoung@kpmg.com

Amie Ahanchian
Principal

E: aahanchian@kpmg.com

Gisele Belotto
Principal

E: gbelotto@kpmg.com

Steve Brotherton
Principal

E: sbrotherton@kpmg.com

Jessica Libby
Principal

E: jlibby@kpmg.com

Dawn Olesky
Principal

E: dolesky@kpmg.com

Frances Xing
Principal

E: francesxing@kpmg.com

 

 

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