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Breaking Trade News: CAPE Update, New Foreign IOR Guidance  

This week’s recap of the latest customs and international trade news:   

U.S. Customs and Border Protection (CBP) 

  • CBP submitted a CAPE update to the Court of International Trade (CIT) on November 10. Highlights: 
    • 321,021 CAPE declarations submitted 
    • $138B refunds accepted for processing 
    • 44M entries covered by CAPE declarations  
    • 18,072 refunds rejected due to incomplete ACH information 
  • CBP published several documents regarding the new foreign importer of record requirements on the ACE CATAIR webpage.  
  • CBP published a new FAQ stating that a significant amount of unencumbered real property in the United States meets CBP’s definition of U.S. importer of record in its recent interim final rule. 
  • CBP deactivated over 400,000 importer of record accounts between Sept. 11 and Oct. 16 due to inactivity – reporting by International Trade Today.  
  • CBP published a CSMS message explaining that new electronic validation checks may reject entries and entry summaries beginning January 5, 2027, when foreign […]
By |2026-11-13T18:00:24-05:00November 13, 2026|news, Snapshot|0 Comments

FDA Finalizes Guidance on Mandatory Cosmetics Recalls: What Importers and Manufacturers Need to Know

On October 23, 2026, the U.S. Food and Drug Administration (FDA) published a notice announcing the availability of its final guidance, Questions and Answers Regarding Mandatory Cosmetics Recalls: Guidance for Industry. The guidance explains how FDA intends to exercise its mandatory recall authority under the Modernization of Cosmetics Regulation Act of 2022 (MoCRA).

The guidance addresses when FDA may order a mandatory recall, the procedures the agency must follow, and what companies can expect if a recall is ordered. It finalizes a December 2025 draft without substantive changes.

For cosmetics importers, manufacturers, distributors, and brand owners, the guidance reinforces the importance of having procedures in place to identify potentially unsafe products, respond to FDA communications, and manage recalls when necessary.

Key Takeaways

  • FDA Clarifies Mandatory Recall Authority: The final guidance explains how FDA may require the recall of certain adulterated or misbranded cosmetic products that present a serious health risk.
  • Voluntary Recalls Remain the First Step: FDA generally must provide the responsible person an opportunity to voluntarily recall the affected product before ordering a mandatory recall.
  • Importers and Manufacturers Should Review Recall Procedures: Businesses should evaluate product traceability, supplier communications, distribution records, and recall response plans.
  • No New Recall Authority Created: The authority comes from MoCRA, enacted in 2022. The final guidance […]

CBP Releases Foreign IOR Overview, Reference Guide, and Broker Delayed Compliance Form 

U.S. Customs and Border Protection (CBP) has published three implementation documents for its Heightened Requirements for Foreign Importers of Record interim final rule: a one-page Overview, a three-page Reference Guide on U.S. importer of record (IOR) status, and a Broker Delayed Compliance Request Form.  

Together they set out which records CBP lists for verifying U.S. IOR status, the new entry data fields, and the steps a customs broker must take to request delayed compliance before January 5, 2027. Foreign IORs, U.S. companies that rely on them, and every licensed customs broker filing entries for clients that claim U.S. IOR status are affected. 

KEY TAKEAWAYS 

  • CBP issued a one-page Overview, a three-page Reference Guide, and a Broker Delayed Compliance Request Form alongside the Heightened Requirements for Foreign Importers of Record interim final rule (91 FR 69977, November 6, 2026).
  • CBP’s Overview notes that, currently, only Canadian foreign importers of record (IORs) are eligible for CTPAT validation. A foreign IOR that is not CTPAT validated must designate a CTPAT validated licensed customs broker to make entry. 
  • The Reference Guide lists the records brokers or CBP may use to verify U.S. IOR status, including passports, Secretary of State records, shareholder ledgers, and deeds, plus examples for verifying physical domestic assets.
  • Brokers seeking delayed compliance must email the completed form to […]

OFAC Extends Cuba Sector Sanctions Risk to Electronics, Manufacturing, Marine, and Technology 

On November 5, 2026, the Office of Foreign Assets Control (OFAC) determined that the sector-based sanctions authority in Executive Order (E.O.) 14404 applies to the electronics, manufacturing, marine, and technology sectors of the Cuban economy. Any foreign person that the State Department or Treasury determines operates, or has operated, in those sectors is now exposed to blocking sanctions. U.S. importers, exporters, carriers, and logistics providers are affected through their foreign suppliers, vessel operators, and customers, which is where screening and contract reviews should start. 

KEY TAKEAWAYS 

  • Effective November 5, 2026, OFAC determined that the sector-based sanctions authority in Section 2(a)(i)(A) of E.O. 14404 applies to the electronics, manufacturing, marine, and technology sectors of the Cuban economy. 
  • These four sectors join the five named in the Executive Order itself: energy, defense and related materiel, metals and mining, financial services, and security. 
  • Operating in a listed sector does not trigger sanctions automatically. Sanctions attach only when the State Department or Treasury makes a determination about a specific foreign person (OFAC FAQ 1256). 
  • The same day, the State Department designated Cuban and third-country companies, individuals, and tanker vessels under E.O. 14404, including two Chinese electronics companies. 
  • Importers, exporters, carriers, and logistics providers should […]
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