AI duty drawback

Duty drawback for auto parts and aftermarket importers

Drawback may return up to 99% of the duty on parts that leave unused or are built into goods you export.⁠[1] The agent matches exports to imports; your broker files.⁠†

Estimate my refund

About 3 minutes on a sample file. Your email and name open it. We never ask for your ACE login or bank details.

  • Sealed on AMD SEV-SNP
  • Published fees
Your entries decide. Illustration: one part number, under tariff line 8708.99.81 at 2.5% ordinary (MFN) duty, traced from an import entry line, where duty was paid, to an export invoice line, matched by part number, and on to a claim line, where drawback can apply.

2026 duties

Which auto-parts duties can drawback return?

Drawback on Section 232 duties depends on the program. For auto parts, it allows manufacturing drawback only.

Status as of
DutyWhat to know for auto partsDrawback
Ordinary (MFN) dutyOften low, for example 2.5% on some parts (8708.99.81)⁠[2]Eligible⁠[3]
Section 301, China25% on Lists 1 to 3, which include many vehicle parts; 7.5% on List 4A⁠[4]⁠[5]Eligible⁠[6]⁠[7]
Section 301, forced labor10% or 12.5% on goods from 60 economies since July 24, 2026. Not on Section 232 goods or USMCA goods⁠[8]⁠[9]Eligiblewhere paid⁠[6]⁠[7]
Section 232, auto parts and medium- and heavy-duty truck partsCovered parts⁠[10]Manufacturing drawback onlysince November 1, 2025⁠[10]
Section 122 surchargeVehicles and parts were exempt⁠[11]Eligiblewhere paid on other goods⁠[12]
Merchandise processing fee, harbor maintenance taxMost entriesEligibleon the matched share⁠[3]
Antidumping and countervailing dutiesParts under an orderNot eligible⁠[3]⁠[13]
IEEPA dutiesReciprocal dutiesCAPE first⁠[14]

On a covered part you export unused, the Section 232 duty stays paid.⁠[10]

The ordinary and Section 301 duty on that same part may still come back.⁠[3]

See drawback by tariff program

Claim types

Which drawback fits your situation?

Exported outside Canada and Mexico

Unused-merchandise drawback, with no USMCA cap.⁠[1]

Exported to Canada or Mexico

Parts exported in the same condition get full drawback.⁠[1]⁠[15]

Built into goods you export

Manufacturing drawback, the only way to recover Section 232 auto-parts duty.⁠[10]⁠[16]

Defective or returned parts

Parts defective at import, or sold at retail and returned for any reason, can qualify when exported or destroyed.⁠[1]⁠[17]

The rules for each kind

Exported outside Canada and Mexico. File a notice of intent at least 5 working days before export, or hold a waiver of prior notice. Past exports made without one need a one-time retroactive approval.⁠[1]⁠[18]

Exported to Canada or Mexico. USMCA usually caps drawback at the lesser of the U.S. duty and the duty paid there. Testing, relabeling or repacking doesn't change their condition.⁠[1]⁠[15] They must be the parts you imported: substitution doesn't count for these exports, except for goods the statute lists.⁠[1]

Built into goods you export. You need a manufacturing ruling, a bill of materials and production records. You can file before the ruling arrives, but payment waits for it.⁠[16]

Defective or returned parts. Notice is due at least 5 working days before export and 7 before destruction.⁠[1]⁠[17]

Why part numbers matter

Direct identification traces each exported part number back to its import entry line.

Substitution lets one part stand in for another in the same 8-digit tariff subheading. Many parts sit in lines that begin with "Other." Those need the same 10-digit number, and if that line also begins with "Other," substitution isn't allowed. Then match by part number instead.⁠[1] GAO reported CBP's estimate that motor vehicle parts would be among the products this limit affects most.⁠[19]

Returned parts can be matched to an import from within 1 year before the export or destruction, with the same 8-digit tariff number and the same part number.⁠[1]⁠[17] That substitution isn't allowed for returns exported to Canada or Mexico.⁠[15]

The agent matches each export to its import by part number and tariff number, and shows the match on every claim line.

Example

What could that look like?

Illustration. Your entries decide.
StepAmount
Aftermarket parts imported$2,000,000
Ordinary duty2.5%
Section 301 duty25%
Parts outside the Section 232 auto-parts duties, exported unused to customers outside USMCA$300,000
Duty on the $300,000 of parts exported (27.5%)$82,500.00

Drawback at 99%

$81,675

Fee and what you keep, by mode
SealedStandard
The fee, charged after CBP pays$16,335.0020%$14,701.5018%
You keep$65,340.00$66,973.50
How we figured this

$300,000 × 27.5% = $82,500; × 99% = $81,675.

The parts went outside USMCA, so no lesser-of cap applies. Because they are outside Section 232, both the ordinary and the Section 301 duty can come back. Fees follow the published lookback schedule and apply to principal only.⁠[20] Merchandise processing fees and harbor maintenance tax, which drawback can also return, are left out to keep the arithmetic plain.

See the full fee schedule

What to upload

What do you upload?

One quarter of records is enough to start. The agent lists what is missing in plain words.

  • Imports: entry summaries (CBP 7501), commercial invoices and packing lists with part numbers, or your ACE report exports.
  • Exports: sales invoices and shipping records by part number, plus your EEI records where you have them.⁠[21]
  • Proof of export: a transport or postal record of each export.
  • Your part cross-reference, so supplier part numbers map to your own.
  • Returns: return authorizations (RMA), warranty records and the part numbers returned.⁠[17]
  • Manufacturing claims: your ruling, bill of materials and production records.⁠[16]
  • Notices of intent or your waiver, if you have them.⁠[18]
What counts as proof

A bill of lading, air waybill, freight waybill, Canadian customs manifest or cargo manifest; official postal records for mail; or records from an electronic export system CBP has approved.

Copies and records kept in the normal course of business are accepted. The proof must show the date and fact of export and the identity of the exporter.⁠[1]⁠[22] Exports to Canada usually have no EEI filing, so the shipping record is your proof.⁠[23]

Once your document set is complete, the claim package follows within 24 hours.⁠*

See a sample claim package in the demo

*24 hours from a complete package: entry summaries (CBP 7501), commercial invoices, packing lists, transport documents and export records for the period, plus the bill of materials and production records for manufacturing claims. We tell you the moment your package is complete, and the clock starts then. CBP rulings, waivers and approvals are separate from this clock.

Get started

See it on records like yours.

Run the demo on a sample file. About three minutes.

  1. 01

    Upload one quarter.

    Entry summaries, invoices and export records.

    WhoYou

  2. 02

    AI drafts your claim.

    It ties each export to its import, to the cent.

    WhoThe agent

  3. 03

    Your broker files. CBP pays you.

    The refund goes directly to your bank account.

    WhoA licensed broker

Your email and name open the demo. We never ask for your ACE login or bank details.

Book a discovery call
Ready now? Start a claim

Sealed or Standard

What in your file is sensitive?

An auto-parts file holds your part cross-references, what you pay each supplier, and the distributors you sell to abroad.⁠[21]⁠[24]

What changesSealedPrivate by default. Provable on request.StandardMay use outside AI. Staff access logged.
Who can read your documentsOnly the people you approve, such as your brokerNamed NexQloud staff, with every access logged
Outside AINone. The model runs inside the sealed machineMay be used, on terms that bar training
Used to train any modelNeverNever
What your broker seesThe claim lines it files, and a document only if you release itThe claim lines and the documents behind them
After the runWorking copy erased, with a signed receiptDeleted on schedule after the engagement

Your fee at your size

If CBP pays you

If CBP pays you $1,000,000: Sealed fee $175,000, Standard fee $155,000.

Sealed Private by default. Provable on request.

$175,000

Effective rate
17.5%
You keep
$825,000
Standard: 2 points less May use outside AI. Staff access logged.

$155,000

Effective rate
15.5%
You keep
$845,000

Sealed fits records that must stay private: trade secrets, such as cross-references, supplier prices or distributor lists you protect, or a customer contract that requires confidential processing.

Standard is enough when your records hold nothing you would mind a named, logged NexQloud specialist seeing, or an outside AI provider processing. It costs 2 points less.

Show the math
Sealed
20% × 500,000 + 15% × 500,000 = $175,000 (17.5%)
Standard
18% × 500,000 + 13% × 500,000 = $155,000 (15.5%)
What is already public

Shipment manifests are public; your prices are not.⁠[25]

What each mode protects

Same checks, same licensed broker.

Sealed. No outside AI provider ever receives your documents, and nothing trains on them. No one sees them without your consent, and a receipt proves it.

Standard. An outside AI provider may process your documents, only on terms that bar training. Nothing trains on them. Only named NexQloud staff can open them, to fix an exception or answer a support request, and every access is logged.

A trade secret stays protected only while you take "reasonable measures" to keep it secret.⁠[26] Sealed gives you a receipt you can keep, showing the run was sealed.

You can change modes for later uploads.

What Sealed does not cover

Commitments

What we never do

  • We never take a fee up front. The fee applies to principal only and is charged after CBP pays.

    Your broker invoices you then. If your own broker files, it sets its own fee.

  • We never skip the broker. A licensed customs broker, ours or yours, reviews every line and files.

    Ours is one we name before you sign. Your power of attorney stays directly with your broker.⁠[27]

  • We never let drawback get ahead of CAPE. We check every entry for CAPE first.⁠[14]

Questions

Questions parts importers ask

Can we get Section 232 duty back on parts we export unused?

No. Section 232 duty on auto and truck parts comes back only through manufacturing drawback, when the parts go into goods you export. Other duties on the same parts may still qualify, and your broker checks each line.

Proclamation 10984; 19 U.S.C. 1313(a), (b)⁠[10]⁠[1]

We ship parts to dealers in Canada. Is drawback capped?

Often, yes. USMCA caps drawback at the lesser of the U.S. duty and the duty paid in Canada. Parts exported in the same condition get full drawback.

19 U.S.C. 1313(n); 19 CFR 182.44, 182.45(b)⁠[1]⁠[15]

Do warranty returns count?

They can. Parts sold at retail and returned for any reason, or defective at import, can qualify when exported or destroyed under CBP's rules.

19 U.S.C. 1313(c); 19 CFR Part 190, Subpart D⁠[1]⁠[17]

Demo

Run the demo

Watch the agent turn a sample file into a claim folder. About 3 minutes.

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