One billion dollars. CBP just set the largest customs bond in history.

Meanwhile, Section 232 tariffs are expanding, Indian exports face new duties, and the ripple effects of high tariffs are shaking trade worldwide.

In today’s email:

One billion dollars, with a capital B.

U.S. Customs and Border Protection (CBP) has just set a new record by requiring the largest customs bond ever: an astonishing $1 billion.

Each month, CBP reviews bonds to make sure they are large enough to cover duties, taxes, and penalties. So far this year, the number of bonds found too small has already doubled compared to last year.

In the past, only about 40 bonds were over $30 million, but that number has now doubled and continues to rise. The reason? Higher tariffs and bigger shipments mean importers face greater financial risks.

The $1 billion bond, announced at a recent Roanoke trade event, highlights the growing importance of customs bonds in global trade.

For importers, the wake-up call is to:

Treat your customs bond strategy as a core compliance and not an “I’ll worry about it later” task.

🔍 Section 232 Tariffs Expanded

Effective August 18, 2025, the U.S. expanded Section 232 tariffs to include 407 new steel and aluminum products, including key auto parts, with a 50% duty and no exceptions for goods already in transit. Exclusions and quotas remain, with more inclusion rounds planned.

Learn more ➡️ 232 Tariffs on 407 Steel & Aluminum Items Effective Aug 18

🇮🇳 US Adds 25% Tariffs on Indian Exports

The U.S. will impose an additional 25% tariff on key Indian exports starting August 27, pushing some duties to nearly 50%. Key industries such as textiles, gems, seafood, and auto parts will be affected. Exports may fall by 30%, risking jobs and income. Investors should focus on stronger, less US-dependent sectors.

Learn more ➡️ Trump Imposes Extra 25% Tariff on Indian goods

📣 Nvidia and AMD Agree to U.S. 15% Fee on China Chip Sales

Nvidia and AMD agreed to pay the US government 15% of revenue from sales of Nvidia’s H20 and AMD’s MI308 chips in China. This deal secures export licenses amid US restrictions on advanced AI chips. The arrangement raises legal and national security concerns as US-China tech tensions grow.

Learn more ➡️ Nvidia and AMD to Pay 15% of China Chip Sales to U.S.

📦 Don’t wait until August 29 to rework supplier terms. Every day, CBP processes around 4 million low-value packages, and once de minimis ends, each one will require duties and formal entry.

Ask overseas suppliers to ship in bulk to U.S. distribution hubs instead of small parcels, then break down orders domestically. This cuts per-unit fees and keeps delivery times predictable.

Trump: Let’s keep everyone guessing! 🤣🤣🤣

What’s India’s next move after Trump’s new tariff?

How are tariffs changing global trade?

“I don’t think that putting sand in the wheels of trade is good for anyone.”

Professor Ian Goldin, a renowned global economist, shares his expert insights on how higher tariffs are shaking things up and what it means for businesses and countries everywhere. Watch the full video.