A historic high of companies exporting goods to the United States are failing to meet a federal requirement to provide financial assurances that they can fulfill the import trade duties imposed by President Donald Trump’s tariff policies. This situation is resulting in an unprecedented sum being disbursed to the U.S. to address the deficits. Data from U.S. Customs and Border Protection, as reported, indicates that customs bond “insufficiencies” amounted to 27,479 in fiscal 2025, with the total value escalating to nearly $3.6 billion. The current figures represent the peak in both the number of bond insufficiencies and the overall value associated with these insufficiencies, marking an unprecedented occurrence. Indeed, it represents a twofold increase compared to the 2019 level, a period during which tariffs imposed by Trump under Section 301 of the Trade Act of 1974 similarly contributed to bond shortfalls. “Bonds serve as the principal mechanism employed by U.S. Customs and Border Protection to protect the revenue of the United States and to guarantee adherence to relevant laws and regulations,” stated a spokesperson for U.S. Customs and Border Protection. According to CBP guidelines, the agency conducts ongoing assessments of bond adequacy. A bond is identified as insufficient when an importer’s duty or tax liability surpasses 100% of their existing bond capacity. The shortfall arises amidst unprecedented tariff revenue for the U.S. government, as tariff collections soared in January to $30 billion, culminating in a year-to-date total of $124 billion. That represents an increase of 304% compared to the same period in 2025.

“In totality, it makes sense that insufficiencies are more than double,” stated Jennifer Diaz. “Many companies assume that a $50,000 bond is sufficient for coverage over a one-year period,” she stated. “However, it is possible that it may not.” They are failing to employ established calculations and lack an advisor to inform them that their bond obligation is elevated. International trade experts indicated that with certain tariffs rising from 10% to 25% or more, importers are encountering customs bond amounts that now vary from the regulatory minimum of $50,000 to as much as $450 million. Importers acquire customs bonds, commonly referred to as surety bonds, via specialized insurance firms identified as surety companies. The bonds are issued roughly 30 days prior to the arrival of imports in the U.S., thereby guaranteeing that Customs can collect the necessary tariffs should an importer fail to meet their obligations. The bonds are retained for a duration of 314 days by CBP in accounts that do not accrue interest. During this period, the duties that have been paid are subject to review and will obtain final approval from the government.

U.S. importers incur additional costs to secure insurance for their bonds. The premium generally amounts to 1% of the bond limit, while the bond prices account for 10% of the duties and taxes incurred over a rolling 12-month timeframe. Should tariffs and taxes increase, the customs bond requirement will also rise correspondingly. Surety companies have reported that they have observed bond increases exceeding 200%. “In one unusual case, a large auto manufacturing client saw its custom bond amount increase by 550%,” Vincent Moy recently stated. Should the bond prove inadequate, the importer will be unable to obtain the freight, which will consequently be retained by CBP until the bond fulfills the necessary criteria. To rectify the shortfall, it is essential for importers to secure the issuance of an additional bond, a process that typically requires a minimum of 10 days. In addition to the bonds, firms depend on associated collateral to ensure coverage of trade duties. “If companies do not increase their collateral, the goods will be stopped at the port,” Moy stated. The collateral is retained by the insurance company that issues the bond for the 314-day duration specified by CBP. Companies have informed CNBC that the bond insufficiencies triggered by tariffs have imposed further strain on their relationships with customs brokers.

The Supreme Court is poised to make a determination regarding the legality of tariffs imposed under Trump’s International Emergency Economic Powers Act. On February 20, a significant decision may be forthcoming, potentially allowing U.S. importers to receive not only refunds on trade taxes but also reimbursement for customs bonds and associated collateral expenses. Should tariffs be refunded, the bond amounts linked to those imports may be utilized to lower them to levels adequate to offset the duties, taxes, and fees. Firms must seek a reduction of the bond and collateral from the insurer that issued the bond. Trade specialists advise that importers must prepare for potential developments in this scenario. Surety companies indicate that importers should anticipate a delay in the receipt of these funds, attributable to the necessary insurance documentation processes. The insurance company must conduct a thorough verification and audit of the documentation before proceeding with the release of any collateral.