Import Tariffs Now a Top Enforcement Priority in the U.S.

Import tariffs have moved from the margins of trade policy to the center of U.S. economic strategy—and now, to the heart of federal enforcement. For importers already grappling with supply chain disruption, rules-of-origin complexity, and volatile demand, the cost of getting tariffs wrong, even unintentionally, is no longer just financial—it’s increasingly legal.

Key Takeaways

• Import tariffs are now a top-tier enforcement priority for the U.S. Department of Justice (DOJ), alongside sanctions and export controls.
• A new cross-agency Trade Fraud Task Force (TFTF) is coordinating with DOJ, Homeland Security and other agencies to pursue tariff evasion, customs fraud and smuggling.
• Authorities are targeting classic tariff evasion schemes such as misclassification, undervaluation, false country-of-origin claims and transshipment through third countries.
• Civil and criminal exposure is growing, including use of the False Claims Act (FCA) with treble damages and parallel criminal prosecutions.
• Modern Harmonized Tariff Schedule (HTS) classification software and trade content platforms are becoming essential to manage classification, documentation and tariff mitigation strategies at scale.

Written by Jackson Wood

Director, Industry Strategy, Global Trade Intelligence, Descartes

How Import Tariffs Jumped into the Enforcement Spotlight

In a May 2025 memorandum, the Department of Justice (DOJ) Criminal Division formally designated “trade and customs fraud, including tariff evasion” as a high-impact enforcement priority and expanded its whistleblower pilot program to cover “trade, tariff, and customs fraud by corporations.” That shift was followed in August by the launch of a cross-agency Trade Fraud Task Force (TFTF) with the Department of Homeland Security, created specifically to target schemes that evade tariffs, duties and import restrictions.

At the same time, U.S. Customs and Border Protection (CBP) reported a surge in tips about Tariff Evasion. Between March and May 2025, complaints about suspected duty dodging jumped 160% year-over-year, as more companies allegedly resorted to mis-declaring value, origin or product type to minimize the impact of higher import tariffs. WIRED Industry analysis from logistics providers and trade publications reinforces the picture: a high-tariff environment where enforcement tools are sharper, inter-agency coordination is stronger, and tolerance for “creative” classification is low.

For importers, the implication is clear. Import tariff evasion is no longer a niche customs issue—it’s a board-level risk. Companies that rely on manual HTS code lookup, inconsistent HTS code software, or undocumented tariff mitigation strategies are now operating directly in the path of an enforcement wave.

U.S. Authorities More Closely Scrutinizing Import Shipments

Recent commentary from logistics providers, trade lawyers and global freight forwarders highlights a familiar set of tariff evasion schemes that are now squarely in DOJ’s sights.

Various reports, including this one from law firm Morgan Lewis, emphasize that U.S. authorities are increasingly using data analytics, inter-agency data sharing, and whistleblower tips to detect these anomalies and illicit schemes, covering HTS misclassification, undervaluation, false country of origin, transshipment via third country, and abuse of special programs/foreign trade agreements.

Manual workarounds—“creative” HTS choices, aggressive tariff mitigation strategies without strong documentation, or opaque supplier structures—are more likely than ever to be detected and challenged.

Rising Stakes: From Administrative Penalties to FCA and Criminal Charges

Historically, CBP relied heavily on administrative remedies (e.g., penalties, liquidated damages, prior disclosure negotiations). Today, DOJ is explicitly bringing tariff fraud into its civil and criminal arsenal:

• False Claims Act (FCA): DOJ guidance and law firm analysis indicate a growing willingness to treat underpaid import tariffs as “false claims,” exposing companies to treble damages and civil penalties.
• Parallel actions: The TFTF anticipates duty and penalty collection under the Tariff Act, FCA cases and, where appropriate, parallel criminal prosecutions and seizures under federal fraud and conspiracy statutes.
• Corporate and individual liability: Commentaries stress that both companies and responsible individuals—such as executives, compliance leaders and brokers—may find themselves under scrutiny where systemic tariff evasion is alleged.

In short: this is no longer just about CBP audits and penalty notices. It’s a cross-agency enforcement environment where a flawed HTS classification code lookup or poorly documented origin position can cascade into significant financial and reputational damages.

Recent Enforcement Actions: What the Crackdown Looks Like in Practice

Over the past 18–24 months, DOJ and CBP have produced a steady drumbeat of tariff-related cases that show exactly how authorities are using civil, criminal and False Claims Act (FCA) tools against importers.

In the first eight months of 2025, DOJ announced significant FCA settlements, as reported by law firm DLA Piper, tied to underpaid customs duties on imports. These are not “rounding-error” cases—they involve deliberate misclassification, undervaluation and false origin claims, often over many years.

Table 1: Recent, Major FCA Settlements

Other cases being pursued by U.S. authorities include a European infant formula maker (attempting to pass false customs documents), an Indonesian jewelry company (transshipment and false country of origin reporting), and two Denver-area companies (selling Chinese-origin forklifts as “Made in America”).

What This Means for Your Trade Compliance Program

Against this backdrop, importers and logistics-intensive businesses need to treat import tariffs as a core compliance risk, not just a finance issue.

Table 2: Priority Compliance Action Items to Reduce Tariff Risk

Why Manual HTS Code Lookup Is No Longer Enough

In a world of static tariffs and slow policy change, spreadsheets and ad hoc HTS code lookup might have been “good enough.” That world is gone.

Today’s environment is defined by:

• Fast-changing Trade Tariffs: Shifts in country-specific, sector-specific and retaliatory Import Tariffs can reshape cost structures overnight.
• Complex, multi-jurisdictional rules: Modern supply chains span multiple production steps and countries, each with its own tariff schedules, exemptions and rules of origin.
• Growing scrutiny of “duty engineering”: Legitimate tariff mitigation strategies (such as lawful use of FTAs or tariff reclassification via product redesign) are acceptable—if they are well-documented, transparent and supported by robust legal and technical analysis.

To manage this, leading importers are moving toward:

• Centralized tariff content platforms rather than scattered PDFs, web bookmarks and spreadsheets.
• Integrated HTS classification code software that connects to Enterprise Resource Planning (ERP), Global Trade Management System (GTM) and customs filing systems to keep classification decisions consistent and current.
• Analytics and reporting to detect anomalies in classifications, values, origins and duty spend over time.

This is where global trade compliance technology providers, like Descartes, become a critical part of the compliance stack.

How Descartes Can Help Mitigate Import Tariff Volatility

As DOJ, CBP and the Trade Fraud Task Force intensify their focus on tariff evasion, importers need tools that combine authoritative trade content with automation and auditability.

Navigating the challenges posed by fluctuating import tariffs remains a critical concern for businesses engaged in cross-border trade. Descartes offers robust solutions designed to help your organization assess shipping costs with precision through comprehensive HTS code searches and accurate landed cost calculations.

Descartes provides access to an extensive, up-to-date database comprising more than 6 million regulatory sources from over 160 countries, that easily integrates with ERP, GTM and customs filing systems. Featuring an intuitive single-screen interface, it delivers advanced global tariff code lookup and HS/HTS code search capabilities. This empowers import compliance professionals, legal advisors, consultants, and other stakeholders to make more informed classification decisions, optimize duty expenditures, and ensure accurate classifications for audit readiness. (See also Descartes CustomsInfo).

Additionally, Descartes offers solutions for effective management of Free Trade Agreements (FTAs) and Foreign Trade Zones (FTZs). Our high-quality global trade content supports businesses in executing trade-related processes with greater efficiency and accuracy within their global trade management systems—reducing the risk of non-compliance and enabling seamless international trade operations.

Descartes also helps brokers use analytics and exception monitoring to spot compliance risks early, simplify audits and corrections, strengthen alignment with importers, and operate as trusted compliance partners in a heightened enforcement environment. This data-driven approach supports stronger SLA alignment with importers, positions brokers as trusted compliance partners rather than transactional filers.

If you’d like to know more about how Descartes can help, you can contact us or register for a free trial of our HS/HTS code search solution.

For more information on the strategies being used by industry leaders around the world to mitigate the impact of tariffs on their business, you can download our White Paper: What Companies are Doing to Tackle Escalating Global Supply Chain Challenges.

Final Thoughts

The U.S. crackdown on import tariff evasion isn’t a short-term campaign; it reflects a strategic shift in how trade enforcement is resourced and executed. Between the Trade Fraud Task Force, heightened DOJ scrutiny and growing reliance on FCA and criminal tools, importers are firmly on notice.

Organizations that invest now in modern trade content, HTS Classification Software and data-driven controls will be far better positioned to:

• Protect themselves from enforcement actions;
• Defend their classification, valuation and origin decisions; and
• Unlock compliant, sustainable tariff savings.