A company formed in the United States may still be treated as a foreign importer of record under CBP’s new interim final rule. Businesses with foreign ownership should review their status and entry arrangements before the January 5, 2027 effective date. [1]
Who qualifies as a U.S. importer?
Under new 19 CFR 110.2, an entity must be organized under U.S. law and located in the United States. It must also continuously meet one of two tests: at least 51% of its beneficial owners are U.S. citizens or lawful permanent residents who control it, or it directly owns significant unencumbered U.S. real property. Individuals qualify if they are U.S. citizens or lawful permanent residents. [1]
What does “significant” mean?
The regulation does not specify a dollar figure. According to Mayer Brown’s November 10 analysis reporting CBP’s subsequent FAQ guidance, the threshold is the greater of $20 million or 100% of the importer’s prior-year entered value. This is a property-value test — not an amount of duties, and not a customs bond requirement. [2]
For example, an importer with $8 million in prior-year entered value would need $20 million in qualifying unencumbered property value under that reported benchmark. With $35 million in prior-year entered value, the benchmark would be $35 million. These examples address only the property calculation, not overall eligibility.
What property counts?
CBP explains that property may carry some encumbrances, but its net unencumbered value must be significant. The rule requires direct ownership by the importing entity. [1]
As a practical matter, identify the legal titleholder and document mortgages, liens and other claims. Do not assume a leased facility, or property held by a parent, affiliate or shareholder, satisfies the importing entity’s direct-ownership requirement.
What changes for foreign importers?
For covered consumption entries, a foreign importer must be CTPAT validated or use a CTPAT-validated licensed customs broker. CBP’s implementation notice also announces new entry data fields and warns that noncompliant entries and entry summaries may be rejected beginning January 5, 2027. [3]
What should clients do now?
Page & Jones recommends beginning with the following review:
- Confirm the exact legal entity serving as importer of record, and map its ownership through to the individuals who ultimately own or control it.
- If relying on real property, assemble title records, valuation support, lien and mortgage information, and prior-year entered-value data for review.
- Confirm the applicable CTPAT validation status and filing arrangements with your broker before scheduling affected shipments.
- Notify your broker before ownership changes, property sales or refinancing, and reassess the property benchmark as annual import values change.
How Page & Jones can help
Contact your Page & Jones representative to review your importer structure, identify supporting documents and coordinate next steps for upcoming shipments. An early review will surface the questions that need resolving before entry filing.
This update reflects information available November 11, 2026 and provides general information, not legal advice. Qualification depends on the importer’s circumstances and CBP’s determination.
Sources
- CBP interim final rule, Heightened Requirements for Foreign Importers of Record, 91 FR 69977, November 6, 2026.
- Mayer Brown, CBP Issues Interim Final Rule Restricting Foreign Importers of Record and Expanding Customs Broker Liability, November 10, 2026 (reporting CBP FAQ guidance).
- CBP CSMS #70381183, November 6, 2026.
Contact your representativeEffective January 5, 2027. Information current as of November 11, 2026.
