II
119THCONGRESS
1
STSESSION S. 1185
To amend section 321 of the Tariff Act of 1930 to enhance transparency
with respect to shipments seeking an administrative exemption from
duties for low-value entries, and for other purposes.
IN THE SENATE OF THE UNITED STATES
MARCH27, 2025
Mr. W
YDENintroduced the following bill; which was read twice and referred
to the Committee on Finance
A BILL
To amend section 321 of the Tariff Act of 1930 to enhance
transparency with respect to shipments seeking an ad-
ministrative exemption from duties for low-value entries,
and for other purposes.
Be it enacted by the Senate and House of Representa-1
tives of the United States of America in Congress assembled, 2
SECTION 1. SHORT TITLE. 3
This Act may be cited as the ‘‘Fighting Illicit Goods, 4
Helping Trustworthy Importers, and Netting Gains for 5
America Act of 2025’’ or the ‘‘FIGHTING for America 6
Act of 2025’’. 7
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SEC. 2. SENSE OF CONGRESS. 1
It is the sense of Congress that— 2
(1) driven by the COVID–19 pandemic and 3
other global factors, the volume of low-value imports 4
into the United States that are eligible for an ad-5
ministrative exemption from duties under section 6
321 of the Tariff Act of 1930 (19 U.S.C. 1321), 7
known as the ‘‘de minimis’’ exemption, has acceler-8
ated in recent years; 9
(2) as the patterns of trade change, it is nec-10
essary to periodically review customs procedures to 11
ensure that those procedures are sufficient to protect 12
the revenue of the United States, provide for the 13
interdiction of illicit goods, and otherwise facilitate 14
legitimate trade and the appropriate use of customs 15
resources; 16
(3) since the amendment to section 321 of the 17
Tariff Act of 1930 made by section 901 of the 18
Trade Facilitation and Trade Enforcement Act of 19
2015 (Public Law 114–125; 130 Stat. 223), growth 20
in the direct-to-consumer model of business has ac-21
celerated attempts to ship illicit drugs and other un-22
authorized products through low-value shipments 23
and tariff-based remedies seeking to ensure a level 24
playing field for United States workers have in-25
creased; and 26
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(4) as such, the conditions of trade require 1
Congress to reevaluate the purpose and intent of the 2
powers delegated to the Secretary of the Treasury 3
under section 321 of the Tariff Act of 1930, as so 4
amended, to both protect the revenue of the United 5
States and properly scrutinize shipments subject to 6
an administrative exemption established under that 7
section. 8
SEC. 3. DESIGNATION OF PRIORITY TRADE ISSUE. 9
Section 117(a) of the Trade Facilitation and Trade 10
Enforcement Act of 2015 (19 U.S.C. 4322(a)) is amended 11
by adding at the end the following: 12
‘‘(8) The smuggling of fentanyl, other illicit 13
drugs, and related material by abusing entry proce-14
dures for merchandise qualifying for an administra-15
tive exemption pursuant to section 321 of the Tariff 16
Act of 1930 (19 U.S.C. 1321).’’. 17
SEC. 4. ENHANCED TRANSPARENCY FOR SHIPMENTS. 18
Section 321 of the Tariff Act of 1930 (19 U.S.C. 19
1321) is amended by adding at the end the following: 20
‘‘(c) D
OCUMENTATION AND INFORMATION SUP-21
PORTINGELIGIBILITY FOREXEMPTION.— 22
‘‘(1) I
N GENERAL.—Not later than 180 days 23
after the date of the enactment of this subsection, 24
the Secretary of the Treasury, in consultation with 25
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the Postmaster General, shall prescribe regulations 1
to require the provision to U.S. Customs and Border 2
Protection, separate from any entry filing, of such 3
documentation or information with respect to an ar-4
ticle that may qualify for an administrative exemp-5
tion under subsection (a)(2)(C) as the Secretary de-6
termines is reasonably necessary for U.S. Customs 7
and Border Protection to determine the admissibility 8
of the article and the eligibility of the article for the 9
exemption when in a postal or other shipment. 10
‘‘(2) I
NCLUDED DOCUMENTATION OR INFORMA -11
TION.—Pursuant to paragraph (1), the Secretary 12
may require, with respect to an article that may 13
qualify for an administrative exemption under sub-14
section (a)(2)(C), documentation or information re-15
garding— 16
‘‘(A) the offer for sale or purchase, or the 17
subsequent sale, purchase, transportation, im-18
portation, or warehousing of, the article, includ-19
ing documentation or information related to the 20
offering of the article for sale or purchase with-21
in the United States through a commercial or 22
marketing platform, including an electronic 23
commerce platform or marketplace, if applica-24
ble; 25
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‘‘(B) the identity of the seller, the shipper, 1
the carrier, the final delivery party, or the pur-2
chaser of the article, as applicable; 3
‘‘(C) the fair retail value in the country of 4
shipment; and 5
‘‘(D) other information determined to be 6
necessary to protect the revenue and prevent 7
unlawful importations. 8
‘‘(3) I
DENTIFICATION OF HARMONIZED TARIFF 9
SCHEDULE CLASSIFICATION .—Notwithstanding any 10
other provision of law, the Secretary, in consultation 11
with the Postmaster General, shall require, with re-12
spect to an article claimed as qualifying for an ad-13
ministrative exemption under subsection (a)(2)(C), 14
the submission of the following information as part 15
of the entry filing: 16
‘‘(A) The identification of the 10-digit sta-17
tistical reporting number of the Harmonized 18
Tariff Schedule of the United States under 19
which the article is classifiable. 20
‘‘(B) A description of the article with suffi-21
cient specificity to allow U.S. Customs and Bor-22
der Protection to evaluate the correctness of the 23
statistical reporting number for the article iden-24
tified under subparagraph (A). 25
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‘‘(C) The country of origin of the article. 1
‘‘(4) P
ARTIES PROVIDING DOCUMENTATION 2
AND INFORMATION .—The documentation or infor-3
mation required pursuant to paragraph (1) with re-4
spect to an article that may qualify for an adminis-5
trative exemption under subsection (a)(2)(C) may be 6
provided by a party or parties other than one of the 7
parties qualifying to make entry, as specified by the 8
Secretary by regulations prescribed under section 9
498. 10
‘‘(5) V
ERACITY OF DOCUMENTATION AND IN -11
FORMATION.—A person providing documentation or 12
information to U.S. Customs and Border Protection 13
pursuant to paragraph (1) shall ensure that the doc-14
umentation or information is true and correct to the 15
best of the person’s knowledge and belief, subject to 16
any penalties authorized by law. 17
‘‘(6) U
SE OF INFORMATION .—U.S. Customs 18
and Border Protection may use documentation or in-19
formation provided pursuant to paragraph (1) for 20
any lawful purpose necessary to fulfill the mission of 21
U.S. Customs and Border Protection. 22
‘‘(7) P
ENALTIES.— 23
‘‘(A) V
IOLATION OF REGULATIONS .— 24
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‘‘(i) CIVIL PENALTY.—Any person 1
that violates the regulations prescribed 2
under this subsection is liable for a civil 3
penalty in an amount not to exceed— 4
‘‘(I) $1,000 for the first viola-5
tion; and 6
‘‘(II) $5,000 for each subsequent 7
violation. 8
‘‘(ii) A
DDITIONAL PENALTIES .—A 9
penalty imposed under this subparagraph 10
shall be in addition to any other penalty 11
provided by law. 12
‘‘(iii) R
EMISSION; MITIGATION.— 13
‘‘(I) I
N GENERAL.—Except as 14
provided by subclause (II), a penalty 15
imposed under this subparagraph may 16
be remitted or mitigated on a per 17
package or shipment basis, as appro-18
priate, under section 618. 19
‘‘(II) E
XCEPTION.—If a penalty 20
is being considered with respect to a 21
fourth or subsequent violation de-22
scribed in clause (i) by the same per-23
son, the maximum penalty under 24
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clause (i)(II) shall be imposed with re-1
spect to the violation. 2
‘‘(B) A
DDITIONAL VIOLATIONS.— 3
‘‘(i) I
N GENERAL.—A person commits 4
fraud if the person provides a false state-5
ment to U.S. Customs and Border Protec-6
tion with respect to an article and U.S. 7
Customs and Border Protection— 8
‘‘(I) permits the entry of that ar-9
ticle at less than the proper rate of 10
duty; or 11
‘‘(II) improperly treats that arti-12
cle as qualifying for an administrative 13
exemption under subsection (a)(2)(C). 14
‘‘(ii) C
IVIL PENALTY.—A person that 15
engages in conduct described in clause (i) 16
is liable for a civil penalty in an amount 17
not to exceed— 18
‘‘(I) $5,000 for the first instance 19
of such conduct; and 20
‘‘(II) $10,000 for each subse-21
quent instance of such conduct. 22
‘‘(iii) A
DDITIONAL PENALTIES .—A 23
penalty imposed under this subparagraph 24
shall be in addition to any other penalty 25
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provided by section 592 or any other provi-1
sion of law. 2
‘‘(iv) R
EMISSION; MITIGATION.— 3
‘‘(I) I
N GENERAL.—Except as 4
provided by subclause (II), a penalty 5
imposed under this subparagraph may 6
be remitted or mitigated on a per 7
package or shipment basis, as appro-8
priate, under section 618. 9
‘‘(II) E
XCEPTION.—If a penalty 10
is being considered with respect to a 11
fourth or subsequent violation de-12
scribed in clause (i) by the same per-13
son, the maximum penalty under 14
clause (ii)(II) shall be imposed with 15
respect to the violation. 16
‘‘(8) D
EFINITION.—In this subsection, the 17
terms ‘provide’, ‘providing’, and ‘provision’, with re-18
spect to documentation or information provided to 19
U.S. Customs and Border Protection, include the 20
submission, transmission, or otherwise making avail-21
able of the documentation or information to U.S. 22
Customs and Border Protection.’’. 23
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SEC. 5. LIMITATIONS ON EXEMPTION FROM DUTIES. 1
Section 321 of the Tariff Act of 1930 (19 U.S.C. 2
1321) is amended by striking ‘‘(b) The Secretary of the 3
Treasury’’ and inserting the following: 4
‘‘(b) E
XCEPTIONS.— 5
‘‘(1) I
N GENERAL.—The Secretary of the 6
Treasury may not exempt from duties and taxes 7
under subsection (a)(2)(C)— 8
‘‘(A) any article that is— 9
‘‘(i) subject to an antidumping or 10
countervailing duty determination, instruc-11
tion, or order under title VII of this Act; 12
‘‘(ii) subject to a tariff-rate quota or 13
other quota; 14
‘‘(iii) subject to a tax imposed under 15
the Internal Revenue Code of 1986 that is 16
collected by U.S. Customs and Border Pro-17
tection; 18
‘‘(iv) subject to an action taken 19
under— 20
‘‘(I) section 201(a) or 301(c) of 21
the Trade Act of 1974 (19 U.S.C. 22
2251(a) and 2411(c)); or 23
‘‘(II) section 232(c) of the Trade 24
Expansion Act of 1962 (19 U.S.C. 25
1862(c)); or 26
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‘‘(v) as of January 1, 2025, not des-1
ignated by the President under section 503 2
of the Trade Act of 1974 (19 U.S.C. 2463) 3
as an eligible article for purposes of the 4
Generalized System of Preferences under 5
title V of that Act (19 U.S.C. 2461 et 6
seq.), as reflected in the Harmonized Tar-7
iff Schedule of the United States, without 8
regard to whether the Generalized System 9
of Preferences otherwise applies to the ar-10
ticle, including for reasons of country of 11
origin of the article or expiration of the 12
Generalized System of Preferences; or 13
‘‘(B) any article of a type or class that the 14
Secretary determines is not able to be exempted 15
from duties and taxes under subsection (a) in 16
a manner that will protect the revenue and pre-17
vent unlawful importations because the type or 18
class is subject to— 19
‘‘(i) a significant increase in imports 20
over the trend for a recent representative 21
base period; or 22
‘‘(ii) persistent and significant evi-23
dence of hiding the shipment of illicit 24
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goods, fraud, counterfeiting, or other mal-1
feasance. 2
‘‘(2) L
IST OF ARTICLES DETERMINED UNABLE 3
TO BE EXEMPTED.—The Secretary shall identify any 4
article of a type or class that the Secretary deter-5
mines under paragraph (1)(B) is not able to be ex-6
empted from duties and taxes under subsection (a) 7
on a list maintained on a publicly accessible website 8
and reviewed not less frequently than annually by 9
the Secretary. 10
‘‘(3) O
THER EXCEPTIONS.—The Secretary’’. 11
SEC. 6. DISPOSITION OF DETAINED MERCHANDISE. 12
Section 499 of the Tariff Act of 1930 (19 U.S.C. 13
1499) is amended— 14
(1) in subsection (c)— 15
(A) in paragraph (2)— 16
(i) by redesignating subparagraphs 17
(A) through (E) as clauses (i) through (v), 18
respectively, and by moving such clauses, 19
as so redesignated, 2 ems to the right; 20
(ii) by striking ‘‘The Customs Service 21
shall’’ and inserting the following: 22
‘‘(A) I
N GENERAL.—U.S. Customs and 23
Border Protection shall’’; and 24
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(iii) by adding at the end the fol-1
lowing: 2
‘‘(B) M
ERCHANDISE FOR WHICH ENTRY 3
SOUGHT UNDER ADMINISTRATIVE EXEMPTION 4
FROM DUTIES.—In the case of detained mer-5
chandise for which entry under an administra-6
tive exemption under section 321(a)(2)(C) is 7
claimed— 8
‘‘(i) U.S. Customs and Border Protec-9
tion shall provide the notice required by 10
subparagraph (A) to each party that ap-11
pears to have an interest in the merchan-12
dise, based on information reasonably 13
available to U.S. Customs and Border Pro-14
tection, in such form and manner as the 15
Secretary shall by regulation prescribe; 16
‘‘(ii) in addition to the matter re-17
quired by clauses (i) through (v) of sub-18
paragraph (A), the notice shall advise the 19
interested party that, instead of providing 20
information in response to subparagraph 21
(A)(v), the interested party may volun-22
tarily abandon the merchandise; and 23
‘‘(iii) if U.S. Customs and Border 24
Protection does not receive a response 25
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from an interested party by the date that 1
is 15 days after the date of the notice— 2
‘‘(I) the merchandise shall be 3
deemed abandoned; and 4
‘‘(II) title to the merchandise 5
shall be vested in the United States 6
and disposed of in accordance with 7
law.’’; and 8
(B) in paragraph (5), by adding at the end 9
the following: 10
‘‘(D) Subparagraphs (A), (B), and (C) do 11
not apply with respect to merchandise for which 12
entry under an administrative exemption under 13
section 321(a)(2)(C) is claimed.’’; 14
(2) by striking ‘‘The Customs Service’’ each 15
place it appears and inserting ‘‘U.S. Customs and 16
Border Protection’’; and 17
(3) by striking ‘‘the Customs Service’’ each 18
place it appears and inserting ‘‘U.S. Customs and 19
Border Protection’’. 20
SEC. 7. REPORT ON REVIEW OF MERCHANDISE BY PART-21
NER GOVERNMENT AGENCIES. 22
Not later than 270 days after the date of the enact-23
ment of this Act, the Secretary of the Treasury shall sub-24
mit to Congress a report on the engagement of partner 25
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government agencies of U.S. Customs and Border Protec-1
tion in the review and detention of merchandise for which 2
an administrative exemption under section 321 of the Tar-3
iff Act of 1930 (19 U.S.C. 1321) is claimed that includes 4
recommendations for improving such engagement and the 5
interdiction of merchandise inconsistent with the require-6
ments of such agencies. 7
SEC. 8. SUMMARY FORFEITURE OF CERTAIN MERCHAN-8
DISE IMPORTED CONTRARY TO LAW. 9
Section 596 of the Tariff Act of 1930 (19 U.S.C. 10
1595a) is amended by adding at the end the following: 11
‘‘(e) S
UMMARYFORFEITURE.— 12
‘‘(1) I
N GENERAL.—Merchandise described in 13
paragraph (2) may be summarily forfeited to the 14
United States and title shall vest immediately in the 15
United States. 16
‘‘(2) M
ERCHANDISE DESCRIBED .—Merchandise 17
described in this paragraph is merchandise being im-18
ported or attempted to be imported— 19
‘‘(A) for which an administrative exemp-20
tion under section 321(a)(2)(C) is claimed; and 21
‘‘(B) that is described in paragraph (1), 22
(2), or (3) of section 596(c). 23
‘‘(3) N
OTICE.—In any case in which merchan-24
dise is summarily forfeited pursuant to this sub-25
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section, U.S. Customs and Border Protection shall 1
notify the carrier of the merchandise, and may no-2
tify a customs broker involved in the importation or 3
attempted importation of the merchandise, in such 4
form and manner as the Secretary shall prescribe by 5
regulation, which may include communication 6
through an authorized electronic data interchange 7
system.’’. 8
SEC. 9. MODIFICATION OF PENALTY FOR AIDING UNLAW-9
FUL IMPORTATION. 10
Section 596(b) of the Tariff Act of 1930 (19 U.S.C. 11
1595a(b)) is amended by striking ‘‘the preceding sub-12
section’’ and all that follows and inserting the following: 13
‘‘subsection (a) shall be liable, without regard to whether 14
the article or articles introduced or attempted to be intro-15
duced were seized, for a penalty equal to the greater of— 16
‘‘(1) the domestic value of the article or arti-17
cles; or 18
‘‘(2) $5,000.’’. 19
SEC. 10. SHARING OF INFORMATION WITH RESPECT TO 20
SUSPECTED VIOLATIONS OF INTELLECTUAL 21
PROPERTY RIGHTS. 22
Section 628A(a) of the Tariff Act of 1930 (19 U.S.C. 23
1628a(a)) is amended— 24
(1) in the matter preceding paragraph (1)— 25
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(A) by striking ‘‘suspects’’ and inserting 1
‘‘has a reasonable suspicion’’; and 2
(B) by striking ‘‘testing—’’ and inserting 3
‘‘testing, may—’’; 4
(2) in paragraph (1)— 5
(A) by striking ‘‘shall’’; and 6
(B) by striking ‘‘; and’’ and inserting a 7
semicolon; 8
(3) in paragraph (2)— 9
(A) by striking ‘‘may,’’; and 10
(B) by striking the period at the end and 11
inserting ‘‘; and’’; and 12
(4) by adding at the end the following: 13
‘‘(3) provide to the person nonpublic informa-14
tion about the merchandise that was— 15
‘‘(A) generated by an online marketplace 16
or other similar market platform, an express 17
consignment operator, a freight forwarder, or 18
any other entity that plays a role in the sale or 19
importation of merchandise into the United 20
States or the facilitation of such sale or impor-21
tation, including copies or images of packaging, 22
materials, labeling, or containers; and 23
‘‘(B) provided to, shared with, or obtained 24
by, U.S. Customs and Border Protection.’’. 25
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SEC. 11. CUSTOMS USER FEE FOR PROCESSING SHIP-1
MENTS. 2
(a) I
NGENERAL.—Section 13031(a)(10) of the Con-3
solidated Omnibus Budget Reconciliation Act of 1985 (19 4
U.S.C. 58c(a)(10)) is amended— 5
(1) in subparagraph (C)— 6
(A) in clause (ii), by striking ‘‘; or’’ and in-7
serting a semicolon; 8
(B) in clause (iii), by striking the period at 9
the end and inserting ‘‘; or’’; and 10
(C) by inserting after clause (iii) the fol-11
lowing: 12
‘‘(iv) $2 for each shipment, to be paid 13
by the party making entry, if the entry or 14
release of that shipment, whether auto-15
mated or manual, is made under section 16
321(a)(2)(C) of the Tariff Act of 1930 (19 17
U.S.C. 1321(a)(2)(C)).’’; and 18
(2) in the flush text at the end, by adding at 19
the end the following: ‘‘In the case of shipments the 20
entry or release of which is made under section 21
321(a)(2)(C) of the Tariff Act of 1930 (19 U.S.C. 22
1321(a)(2)(C)) that are sent to the United States 23
through the international postal network, the Sec-24
retary, in consultation with the Postmaster General, 25
shall determine whether it is appropriate to impose 26
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fees that are the same or similar as the fees applica-1
ble to shipments under subparagraph (C)(iv) on 2
shipments by the United States Postal Service. If 3
the Secretary determines that such requirements are 4
appropriate, such requirements shall be prescribed 5
by regulation.’’. 6
(b) P
AYMENT.—Section 13031(b)(8)(D)(i) of the 7
Consolidated Omnibus Budget Reconciliation Act of 1985 8
(19 U.S.C. 58c(b)(8)(D)(i)) is amended by inserting after 9
‘‘merchandise’’ the following: ‘‘, except in the case of fees 10
charged under subsection (a)(10)(C)(iv), in which case 11
such fees shall be paid by the party making entry’’. 12
SEC. 12. REPORT ON USE OF ADMINISTRATIVE EXEMP-13
TIONS AND ENFORCEMENT ACTIONS. 14
(a) I
NGENERAL.—Not later than one year after the 15
date of the enactment of this Act, and annually thereafter, 16
the Secretary of the Treasury, in consultation with the 17
Commissioner of U.S. Customs and Border Protection, 18
shall submit to the Committee on Finance of the Senate 19
and the Committee on Ways and Means of the House of 20
Representatives a report, followed by a briefing, on the 21
use of administrative exemptions under section 321 of the 22
Tariff Act of 1930 (19 U.S.C. 1321). 23
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(b) ELEMENTS.—Each report required by subsection 1
(a) shall include, for the year preceding submission of the 2
report, the following: 3
(1) An assessment of the volume of imports 4
claiming an administrative exemption under section 5
321(a)(2)(C) of the Tariff Act of 1930 (19 U.S.C. 6
1321(a)(2)(C)), including— 7
(A) the total number of shipments of im-8
ports claiming such an exemption; and 9
(B) the volume of merchandise claiming 10
such an exemption, identified by— 11
(i) the 4-digit heading of the Har-12
monized Tariff Schedule of the United 13
States under which the merchandise was 14
classified; and 15
(ii) the country of origin of the mer-16
chandise. 17
(2) An assessment of the total revenue forgone 18
by the United States Government as a result of per-19
mitting the entry of merchandise free of duty pursu-20
ant to that section. 21
(3) The number and a description of the type 22
of violations of the regulations prescribed under sub-23
section (c) of section 321 of the Tariff Act of 1930, 24
as added by section 4, identified in shipments claim-25
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•S 1185 IS
ing an administrative exemption under that section, 1
and penalties applied to such shipments, including a 2
description of the type and frequency of mitigation 3
actions applicable to such shipments. 4
(4) A detailed description of shipments, 5
disaggregated by port of entry, for which an admin-6
istrative exemption under section 321(a)(2)(C) of 7
the Tariff Act of 1930 (19 U.S.C. 1321(a)(2)(C)) 8
was claimed that were subject to detention or for-9
feiture and the reasons for the detention or for-10
feiture. 11
(5) A description of any merchandise or ship-12
ments under evaluation as ineligible, under sub-13
section (b)(1)(B) of section 321 of the Tariff Act of 14
1930, as amended by section 5, for such an adminis-15
trative exemption. 16
(6) The average number of referrals of criminal 17
matters to the Department of Justice or Homeland 18
Security Investigations made on a monthly basis for 19
merchandise for which such an administrative ex-20
emption was claimed. 21
(7) A description of the use of administrative 22
exemptions under section 321 of the Tariff Act of 23
1930 (19 U.S.C. 1321) for merchandise shipped 24
from Mexico or Canada to the United States, includ-25
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•S 1185 IS
ing the volume and type of such merchandise for 1
which such an exemption was claimed, and any 2
trends in the use of such exemptions. 3
(8) A description of current staffing, risk miti-4
gation, and other actions to ensure that administra-5
tive exemptions under section 321 of the Tariff Act 6
of 1930 (19 U.S.C. 1321) are used in compliance 7
with United States law. 8
SEC. 13. EFFECTIVE DATE; APPLICABILITY. 9
The amendments made by this Act shall— 10
(1) take effect on the date that is 60 days after 11
the date of the enactment of this Act; and 12
(2) apply with respect to articles entered on or 13
after the date that is 30 days after the effective date 14
of the regulations prescribed under subsection (c) of 15
section 321 of the Tariff Act of 1930, as added by 16
section 4. 17
Æ
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