Importing and exporting carries risks, but who bears those risks depends on the chosen Incoterm.
US businesses that actively source raw materials, components, or finished goods from other countries must understand—and adhere to—the trade regulations for every country involved in their supply chain. Failure to do so can lead to fines and severe penalties.
Correctly classifying merchandise or products for import involves a sea of rules that govern import classifications.
These rules are often confusing and unclear, and doing this incorrectly can come at a hefty price. Binding rulings help clear up any confusion by providing classification and duty rates in advance.