Paying high import duties on goods you later export? The Duty Drawback Program lets U.S. businesses recover up to 99% of those costs-turning lost expenses into real savings. This program powerfully boosts profits and enhances competitiveness in global markets.
Whether you deal with raw materials or finished products, this program can make a real difference. Thousands of exporters already benefit-and your business could be next.
Read on to learn how it works, who qualifies, and how to claim your refund.
Who Can Benefit From Duty Drawback?
Businesses that bring goods into the U.S. and later export them-either as-is or used in making new products-can apply for duty drawback refunds.
These refunds help recover the import duties paid earlier. To qualify for refunds, goods must be exported within five years of their import date.
Clear proof of export is required to support the refund claim. Businesses must show how the exported product ties back to the original imported goods. This means keeping accurate records and matching data between shipments.
There are different types of duty drawback, including unused merchandise, manufacturing, substitution, and rejected goods.
Each type has specific conditions and paperwork requirements. Still, they all demand strong documentation to link imports to exports and support the refund process.
Filing a Duty Drawback Claim
To file a claim, businesses must submit key documents to U.S. Customs and Border Protection (CBP). These include proof of import and export, commercial invoices, bills of lading, and proof of duties paid. Accuracy is essential-small errors can delay your refund or cause denial.
Because the rules can be complex, many companies choose to work with licensed customs brokers or specialists.
These professionals understand CBP regulations and can guide you through the process. For help with filing or determining if your business qualifies, visit https://www.cittabrokerage.com.
CBP encourages electronic filing through its Automated Commercial Environment (ACE) system. This platform helps speed up processing and allows businesses to track their claims more easily.
First-time claimants may need to wait several months for approval, but experienced filers with proper records may qualify for faster turnaround.
When and How Refunds Are Paid
After a claim is submitted, CBP reviews the documents and verifies eligibility. If approved, a refund is issued-often within 3 to 12 months, depending on the complexity and completeness of the claim.
While there are accelerated payment programs for certain qualified filers, not all companies with high volumes of imports and exports can apply.
Refunds are typically paid by check or electronic funds transfer. Keeping records organized and responding quickly to CBP inquiries can help prevent delays.
Even partial refunds can add up to significant savings over time, especially for companies with large volumes of imports and exports.
Why This Matters to U.S. Exporters
Duty drawback refunds offer real savings for U.S. exporters by recovering up to 99% of import duties on exported goods.
This reduces overall costs and strengthens your financial position. The savings can support operations, fund expansion, or help you offer more competitive pricing.
In global trade, every dollar matters. The Duty Drawback Program gives businesses a cost-cutting advantage without sacrificing quality or compliance.
If you import and export regularly, it’s worth reviewing your eligibility and adding this program to your trade strategy.
