CBP Investigated Evasion of Fiber Product Duties
Importers of molded fiber goods should review supply chain documentation following a new duty evasion investigation.
Updated on Oct. 14, 2026 in International Trade
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On September 9, 2026, U.S. Customs and Border Protection initiated an investigation into alleged trade duty evasion involving thermoformed molded fiber products. The agency launched Case No. 8308 amid evidence that merchandise from China was transshipped through Malaysia to avoid U.S. import duties.
Why it matters
CBP is scrutinizing supply chains to prevent duty evasion through transshipment, impacting importers that rely on third-party manufacturing routes. This enforcement action highlights increased regulatory focus on verifying the true origin of goods to maintain compliance with established tariff structures.
CBP launched EAPA Consolidated Case No. 8308 to evaluate trade data and production records for imports involving three companies. The total value of goods subject to this probe is not yet publicly disclosed.
The players
Customs and Border Protection
The federal law enforcement agency responsible for regulating and facilitating international trade and enforcing U.S. import duties.
Teh Tung Corporation
An importer currently subject to interim measures under the ongoing duty evasion investigation.
Acadian Crossing Consumer Products
An importer named as a subject of the EAPA investigation regarding fiber product transshipment.
Verde Winsight Group, Inc.
A business entity identified by federal regulators as having merchandise under suspicion of duty evasion.
The details
The investigation centers on the transshipment of thermoformed molded fiber products, where goods originating in China are allegedly routed through Malaysia before entering the United States. CBP issued formal requests for documentation, including invoices, bills of lading, and production records, to determine the origin of the items. The agency has already imposed interim measures against Teh Tung Corporation, Acadian Crossing Consumer Products, and Verde Winsight Group, Inc. following a finding of reasonable suspicion.
Timeline
September 9, 2026: CBP initiated EAPA Consolidated Case No. 8308.
March 30, 2027: CBP is scheduled to make its final determinations.
Market Landscape
This investigation follows the standard enforcement patterns established by the Enforce and Protect Act to identify and penalize duty evasion. The probe reflects a broader, ongoing regulatory focus on transshipment tactics used to circumvent U.S. trade duties.
Importers handling molded fiber products should conduct internal audits of their supply chain documentation and country-of-origin verification processes. Businesses should prepare for potential requests for production records and invoices to ensure ongoing compliance with U.S. customs requirements.
The takeaway
Regulators are actively utilizing EAPA investigations to close loopholes related to the transshipment of goods through secondary nations. Operators should maintain clear, verifiable production records and original invoices to substantiate the country of origin for all imported goods.
What happens next
CBP is scheduled to issue final determinations regarding the evasion allegations by March 30, 2027.
Further reading
For more background on how regulatory updates affect global sourcing, visit International Trade.
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Should the government prioritize strict trade enforcement to protect domestic manufacturing from suspected duty evasion?
