Dec 15, 2025
Common Mistakes When Importing Goods to the USA and How to Avoid Them
When you realize that thousands of items cross the border every single second, it becomes clear that even a tiny mistake in your paperwork can balloon into a massive financial headache for your business.
In 2025, the world of international trade looks nothing like it did just twelve months ago. Since the January 2025 inauguration, the Trump administration has aggressively reshaped how goods enter the country. Between the sudden mid-2025 suspension of all de minimis exemptions for low-value imports and the record-breaking $32.95 billion in revenue recovered by customs through the first 11 months of the fiscal year, "business as usual" is a dangerous mindset.
For busy trade professionals, managing these changes is exhausting. This guide cuts through the noise to highlight the most common errors importers make and how you can sidestep them to keep your supply chain moving.
Misclassifying Products Under the Wrong HTS Code
An HTS (Harmonized Tariff Schedule) code is a specific 10-digit number used to label every physical item you import so the government knows exactly how much duty you owe. While it sounds simple, the difference between a 3% duty and a 25% tariff often comes down to the very last digit in that sequence.
Classification is not just about identifying what an object is; it is about its "essential character." Here are three common ways businesses get it wrong:
The "Set" Trap: If you import a tool kit containing a drill, a level, and a tape measure, you cannot just call it a "tool kit." You have to determine which item gives the set its primary character, or you might end up paying the highest duty rate applicable to any one component.
Smart vs. Basic: A standard toaster has a very low duty rate. However, if you import a "smart" toaster with integrated software and Wi-Fi, it might be classified as a piece of data-processing equipment, which could trigger heavy Section 301 tariffs.
The Textile Blend: A shirt made of 55% cotton and 45% polyester is treated much differently than a 100% cotton shirt. If your lab results don't match your paperwork, Customs and Border Protection (CBP) can seize the shipment for suspected "origin fraud".
Common misclassification scenario | Typical consequence (duty, delay, penalty) |
Using a "parts" code for a finished electronic device | 25% Section 301 duty surcharge plus a 10% penalty for misdeclaration |
Classifying synthetic fabric as a natural wool blend | Shipment detention for lab testing and potential multi-week delays |
Misidentifying the "essential character" of a gift basket | Overpayment of duties by 10% or more, with no automatic refund |
Missing a new June 2025 tariff code update for steel | Immediate rejection of your entry summary at the port |
Declaring "commercial samples" as having zero value | CBP seizure for valuation fraud and a permanent flag on your account |
Using an expired HTS code from 2024 | Liquidated damages for failing to file a proper entry summary |
To confirm you are using the right codes, you should always check the official Census Bureau Schedule B or the CBP CROSS database for past legal rulings. Because the tariff schedule changes so fast in 2025, many teams now rely on GAIA Tariff Discovery to get real-time classification alerts.
Ignoring US Import Regulations and Agency Requirements
Customs is not the only agency watching your shipment. Many importers forget that they also have to answer to "Partner Government Agencies" (PGAs) that have the power to stop your goods at the gate.
CBP (Customs & Border Protection): The primary agency that handles security and collects your money.
FDA (Food and Drug Administration): Regulates anything you eat, put on your skin, or use as a medical device (this includes some electronics with lasers).
USDA (Department of Agriculture): Watches for pests in wood packaging and regulates animal or plant-based imports.
EPA (Environmental Protection Agency): Ensures that vehicles, engines, and chemicals meet U.S. environmental standards.
DOC (Department of Commerce): Monitors "dumping," where foreign companies sell goods too cheaply to hurt U.S. businesses.
BIS (Bureau of Industry and Security): Regulates high-tech items like chips that could have military uses.
ATF (Alcohol, Tobacco, Firearms): Requires strict permits for controlled goods and weaponry.
Product type | Key agency to check | Typical additional requirement |
High-End Sneakers | CBP / IPR Branch | Trademark verification to prove they aren't counterfeit |
Baby Formula | FDA | Facility registration and strict ingredient labeling |
Electric Bike Batteries | DOT / EPA | Safety certifications for hazardous materials (HAZMAT) |
Organic Fertilizers | USDA | Phytosanitary certificates and detailed plant source info |
Jewelry with Gemstones | FWS (Fish & Wildlife) | Proof that stones were not sourced from protected areas |
High-Speed Servers | BIS | Export control classification (ECCN) for dual-use tech |
Hand Sanitizer | FDA | Drug listing and manufacturing facility numbers |
Wine and Spirits | ATF / TTB | Certificate of Label Approval (COLA) and tax stamps |
Enforcement is at an all-time high this December 2025. CBP recently announced that liquidated damage cases have more than doubled in the last year.
Underestimating Import Duties, Tariffs, and Taxes
It is easy to get confused by the different types of fees. A "duty" is usually a percentage based on the product value, while a "tariff" is an extra tax often used as a political tool. You might also face an Importer Security Filing (ISF) fee if you ship by sea, along with Harbor Maintenance Fees (HMF) for coastal ports.
Mistake | Typical cost/impact | How to avoid |
Miscalculating "Value" | Back-duties plus interest spanning 5 years of history | Ensure your invoice reflects the "Transaction Value" |
Missing Anti-Dumping Duty | Surprise bills of 100% or more of the shipment cost | Check the DOC ADD/CVD portal monthly |
Ignoring Section 301 | Paying a 25% "Trump Tariff" you could have avoided | Search for active exclusions on the USTR website |
Forgetting MPF Caps | Overpaying for merchandise processing fees | Ask your broker to confirm the current MPF limits |
Tariff policy in December 2025 changes almost weekly. For example, in July 2025, the administration implemented a new 25% tariff on Indian goods in response to energy trade disputes. If you aren't using a real-time tool like the Gaia Dynamics Tariff Discovery Engine, you might be quoting your customers prices that will bankrupt your company when the customs bill arrives.
Incomplete or Incorrect Import Documentation
If your paperwork is messy, your cargo will stay on the dock. Accuracy is the only way to avoid the "red lane" for physical inspections.
Every entry needs these core documents:
Commercial Invoice: This must show the actual price paid and a clear description.
Packing List: This tells the inspector exactly what is in each box.
Bill of Lading: This is your "title" to the goods while they are in transit.
Arrival Notice: A document from the carrier saying the goods are at the port.
Entry Summary: The official tax return for your shipment.
Country of Origin Proof: Necessary to claim lower rates under trade deals.
Agency Permits: Like an FDA Prior Notice for food items.
Document | Why it matters | Common errors | Quick fix |
Commercial Invoice | Used to set the duty amount | Using "Gift" or "Sample" for real sales | Always list the fair market value |
Packing List | Used for CBP spot checks | Box counts not matching the invoice | Re-count before the container is sealed |
Bill of Lading | Proves you own the goods | Typos in the importer's name | Double-check against your tax ID |
Entry Summary | Legal record of the import | Incorrect HTS code or math | Automate the math with trade software |
Origin Certificate | Saves you from high tariffs | Form not signed by the manufacturer | Get digital copies before the ship sails |
FDA Prior Notice | Mandatory for safety | Filing after the ship has arrived | File 24 hours before arrival |
The FDA Filer Evaluation Program tracks how accurate your paperwork is over time. If you have too many errors, you will be flagged as a "high-risk" importer, and every single box you ship will be opened and inspected, costing you thousands in storage fees.
Not Using a Licensed US Customs Broker When Required
Many small businesses think they can save money by doing their own customs filings, but this is often a recipe for disaster. A licensed US customs broker is a professional who acts as your agent with the government. They know the law, they have the special software to talk to CBP, and they carry the liability if things go wrong.
Using a licensed broker | Trying to handle filings yourself |
They find duty savings you might miss | You might overpay by 20% on every shipment |
Fast electronic clearance (often 1-2 hours) | Manual paperwork can take 5-10 days to clear |
Broker insurance covers many filing mistakes | You are 100% liable for all federal fines |
Direct help with complex PGA requirements | High risk of the FDA seizing your goods |
Access to formal "Binding Rulings" for HTS | You are guessing on the law, which is a gamble |
If you realize you made a mistake on a past shipment, you should not wait for the government to find it. You can file a Prior Disclosure to admit the error voluntarily. This often eliminates heavy fines and shows the government that you are trying to do the right thing.
FAQ
What is an HTS code and who assigns it?
The HTS is a 10-digit number that classifies your goods for taxes. As the Importer of Record, you are legally responsible for assigning it, though most people use tools like GAIA for help.
How do I correct an entry error after customs filing?
You can file a Post-Summary Correction (PSC) or a Prior Disclosure to CBP. These voluntary fixes can save you from huge penalties if you catch the mistake early.
Are there common products that trigger extra scrutiny?
Yes, electronics, textiles, and medical devices are always under the microscope. In late 2025, any items from the UFLPA ban list are guaranteed to be detained.
When should I file a prior disclosure?
You should file as soon as you find a mistake, but only if CBP hasn't started an investigation yet. This is the safest way to "self-correct" without losing your business.
How can small importers reduce compliance costs?
Small importers should use automated compliance tools to avoid the high hourly fees of lawyers. Staying informed on the latest December 2025 tariff changes prevents expensive surprise bills.






