Continuous Bond Type 1 covers customs duties and penalties for an annual period. Required for most active commercial importers. Standard sizing: 10% of expected annual duty. Surety company underwrites; importer pays premium (1-3% of bond amount per year).
This guide covers Continuous Bond Type 1. Importer education spans setup, ongoing operations, and compliance program design.
Practical implementation depends on company size, sector, and operational structure.
Coverage scope
Customs duties, taxes, fees, penalties for the annual period.
Standard sizing
10% of expected annual duty paid. Higher sizing for AD/CVD goods, prior compliance issues.
Surety underwriting
Surety reviews importer financials and compliance posture. Annual renewal. Premium typically 1-3% of bond amount.
When required
Most active commercial importers ($2,500+ entries per year typical threshold). Single-transaction bond is alternative for occasional importers.
Frequently asked questions
When does this apply?
Most relevant for SMB importers facing the named situation or considering the named strategy.
What documentation is needed?
Standard CBP forms plus topic-specific records.
What is the timeline?
Initial assessment 2-4 weeks; complex implementation 8-16 weeks.
What does this cost?
Project work typically $5,000-$25,000. Ongoing retainer for active operations.
How do I begin?
Book a 15-minute scoping call. We confirm fit before any engagement.
Get started
Engage on importer setup or compliance program design.