Duty drawback guide By tariff program
Check which duties qualify for drawback.
Eligibility now turns on the tariff program behind each duty; each row gives the answer and the law that decides it.
| Tariff program | Drawback? | The rule | Authority |
|---|---|---|---|
| Regular MFN duties, MPF and HMF | Yes | Fully eligible: up to 99 percent comes back on export or qualifying manufacture, MPF and HMF included. | 19 U.S.C. 1313; 19 CFR 190.3(a) |
| Section 301, China lists | Yes | CBP's published position: Section 301 duties are recoverable through drawback, up to 99 percent. No proclamation bars it. | CSMS #18-000419; 19 U.S.C. 1313 |
| Section 301 forced labor, 60 economies | Yes | CBP confirmed in August 2026 that these duties qualify for drawback, after an ACE update briefly rejected them. They apply to goods entered on or after July 24, 2026. | CSMS #69567203; 91 FR 47318 |
| Section 232: steel, aluminum, copper, autos | Mostly no | The proclamations bar drawback. Since April 2026, steel, aluminum and copper allow a narrow manufacturing drawback for clause-13 goods only; unused and substitution drawback stay barred. Autos: no drawback. | Proclamation 11021; CSMS #68253075 |
| Section 201 safeguards | Yes | CBP states that safeguard duties are drawback-eligible when the goods are exported or used in qualifying manufacture. | 19 U.S.C. 1313; CBP Trade Remedies FAQ |
| IEEPA tariffs, 2025 to 2026 | Use CAPE | Drawback is the wrong tool. The fentanyl and border orders barred it, and since the February 2026 Supreme Court ruling these duties come back through CBP's CAPE refund process. | EO 14193 sec. 3(g); CAPE guidance |
| Section 122 surcharge, February 24 to July 24, 2026 | Yes | CBP's implementing guidance confirms drawback on the surcharge under standard procedures, up to 99 percent. It expired on July 24, 2026, so claims cover duties paid while it ran. | CSMS #67844987; Proclamation 11012 |
| Antidumping and countervailing duties | No | Excluded from drawback since 1988, even when the goods are later exported. | 19 CFR 190.3(b); 19 U.S.C. 1677h |
Newest row: the Section 301 forced-labor duties. An ACE update on August 12, 2026 rejected drawback on them. CBP corrected that on August 18 and confirmed they qualify (CSMS #69567203). Check CSMS for later changes before you claim.
What is duty drawback?
The return of duties paid on imports that later leave the country, or go into goods that do, once the record ties the two together.
Duty drawback is the return of up to 99 percent of the duties, taxes and fees paid on imported goods that are later exported, destroyed under CBP supervision, or used to make goods that are exported (19 U.S.C. 1313). Claims are filed electronically with CBP within five years of import, and each one has to trace the export back to its import entry. Substitution matches goods in the same 8-digit HTS subheading (for manufacturing, the inputs), or 10-digit when the 8-digit line reads "Other". The record is what makes the claim.
- Law
- 19 U.S.C. 1313 and 19 CFR Part 190
- Cap
- Up to 99 percent of the duties, taxes and fees paid
- Deadline
- Within five years of the date of import, 19 U.S.C. 1313(r)
- Substitution
- Matches goods in the same 8-digit HTS subheading (for manufacturing, the inputs), or 10-digit when the 8-digit line reads "Other"
See how our duty drawback service estimates what qualifies and tracks each claim.
- Entry
- DMO-0412883-5
- Imported
- Mar 3, 2026
- Part
- HSG-2210 housing
- HTS
- 3926.90.9989
- Quantity
- 2,000
- Duties, taxes and fees paid
- $4,210.00
- Exported
- Jun 18, 2026
- Destination
- Germany
- Part
- HSG-2210 housing
- Quantity
- 2,000
- Proof of export
- Bill of lading BL-77812
- Same part and lot
- Not used in the U.S.
- Within five years of import
- Claim type
- Unused merchandise, direct identification, 19 U.S.C. 1313(j)(1)
- Claimable at 99%
- $4,167.90
A sample drawback record with demo data: 2,000 plastic housings imported in March 2026 and exported to Germany in June 2026, linked by part and lot, with three passed checks and 99 percent of the $4,210 paid shown as claimable under 19 U.S.C. 1313(j)(1).
Which drawback guide fits my case?
Eleven guides, grouped by the question they answer.
Drawback fundamentals
What drawback is, who qualifies, and how much comes back after the 99 percent cap and the lesser-of-two rule.
- Duty Drawback: What It Is & How to Claim a 99% Refund (2026)Learn how duty drawback works, which duties qualify for 99% refunds, and how to file claims with CBP. Covers manufacturing, substitution, and Section 301 drawback.16 min
- Duty Drawback for Exporters: Who Qualifies and How to Claim ItGingerControl breaks down duty drawback for exporters: who qualifies, manufacturing vs unused-merchandise drawback, and records that unlock 99% recovery.12 min
- Duty Drawback Recovery Percentage: How Much Can You Recover?U.S. duty drawback recovers up to 99% of import duties. Here is what affects the actual recovery percentage and how to estimate your refund opportunity.7 min
- Your Substitution Drawback Is Capped and Finance Never Modeled It: Applying the 'Lesser of Two' Rule Across a High-Volume Drawback ProgramGingerControl breaks down the duty drawback lesser of two rule: the TFTEA substitution cap that under-recovers duty, and how to model it per lane.19 min
Recovery by tariff program
Where the table meets real claims: Section 301 China duties and the Section 232 carve-out.
- Section 301 China Tariff Drawback Recovery in 2026Section 301 China tariffs are fully drawback-eligible. How to recover the 7.5%-25% duties paid on Chinese-origin imports through the 5-year drawback window.8 min
- Substitution Drawback for Chinese-Origin Imports: How Do You Recover Up to 99% of Section 301 Duties?How do Chinese-origin importers recover up to 99% of Section 301 duties through substitution drawback? Eligibility, mechanics, Mandarin support for claim filing.10 min
- Manufacturing Drawback for Section 301 and Section 232 in 2026U.S. manufacturers can recover Section 301 duties through manufacturing drawback. Section 232 drawback opened April 6, 2026 for Trade Agreement Partner imports.8 min
Running a drawback program
Drawback as an ongoing program next to FTZ and first sale, and choosing who files.
- Unused Merchandise Drawback for E-commerce and 3PLs in 2026How e-commerce sellers and 3PLs recover up to 99% of import duties on returned, re-exported, or destroyed merchandise through unused merchandise drawback.7 min
- The Manufacturer's Duty-Optimization Program: Sequencing FTZ, Drawback, First Sale, and MPFGingerControl maps the manufacturer's duty-optimization program: sequence FTZ, drawback, first sale, and MPF into one portfolio, not isolated levers.18 min
- How to Choose a Duty Drawback Service Provider in 2026How to choose a duty drawback service provider in 2026: contingency fee transparency, processing speed, ABI filing authority, and recovery optimization.8 min
- Tariff Audit Software vs Duty Drawback: Which Recovers More?GingerControl compares tariff audit software and duty drawback recovery services for exporters: what each recovers, windows, who files, how to check drawback.10 min
A list of eleven GingerControl duty drawback guides in three groups: drawback fundamentals, recovery by tariff program, and running drawback as a program, each with its reading time.
Questions about duty drawback
Are Section 301 duties eligible for duty drawback?
Yes. CBP's published position in CSMS #18-000419 and its Section 301 FAQ is that Section 301 duties are eligible under 19 U.S.C. 1313, up to 99 percent, when the goods are exported or used in qualifying manufacturing. On August 18, 2026, CSMS #69567203 confirmed that this includes the forced-labor duties in force since July 24, 2026 (HTS 9903.05.20 to 9903.05.84) and the Brazil duties under 9903.05.01. Report the Chapter 99 line and the underlying HTS code in the same order as the import entry.
Is Section 232 drawback-eligible in 2026?
Mostly no. Every Section 232 proclamation carries a no-drawback clause. The exception arrived in April 2026: Proclamation 11021 and CBP's CSMS #68253075 allow manufacturing drawback under 19 U.S.C. 1313(a) and (b) for steel, aluminum and copper articles that meet the proclamation's clause-13 conditions. Unused and substitution drawback stay barred, and the automotive Section 232 duties allow no drawback.
Can I recover IEEPA tariffs through duty drawback?
No. The February 2025 fentanyl and border orders expressly barred drawback on those duties. Since the Supreme Court struck down the IEEPA tariffs in February 2026, the recovery channel is CBP's CAPE process, not a drawback claim.
Are antidumping and countervailing duties drawback-eligible?
No. 19 CFR 190.3(b) excludes AD/CVD from drawback outright, a bar in place since August 1988. Even when the merchandise is later exported or destroyed, duties assessed under an antidumping or countervailing duty order cannot be recovered through 19 U.S.C. 1313.
Is the Section 122 surcharge drawback-eligible?
Yes, for duties paid while it was in force. CBP's implementing guidance, CSMS #67844987, states that drawback is available on the Section 122 surcharge under standard 19 U.S.C. 1313 procedures and the 99 percent cap. The surcharge ran from February 24 to July 24, 2026, so claims cover only duties paid in that window.
How is duty drawback calculated?
Take the duties, taxes and fees paid per unit on the import entry line, MPF and HMF included, multiply by the units exported, destroyed or used in the exported goods, and claim 99 percent of that: in the sample record on this page, $4,210 paid comes back as $4,167.90. The statute caps drawback at 99 percent, so at least one percent stays with the government. Substitution claims are also limited by the lesser-of-two rule: 99 percent of the lower of the duty paid on the import or the duty the substituted goods would owe if imported (19 U.S.C. 1313).
How does duty drawback work, step by step?
First, for unused goods, file a Notice of Intent to Export before they leave. Line up five years of import entry summaries next to your export or destruction records, and for manufacturing claims, your bills of materials. Then match each export to the entry that paid the duty, by lot or serial number or by substitution on the same 8-digit HTS subheading (the 10-digit number when the 8-digit line reads "Other"). Finally, file the claim in ACE within five years of import (19 U.S.C. 1313); CBP reviews it and refunds up to 99 percent of the duties, taxes and fees paid.
Who is eligible to claim duty drawback?
A company whose imported goods, or goods made from them, leave the U.S. or are destroyed under CBP supervision. The right to claim belongs to the exporter, or to whoever destroys the goods. The exporter can waive it to the importer, the manufacturer or another company in the chain with a signed certification filed with each claim. When goods change hands, ordinary business records of the transfer carry the drawback right along (19 CFR 190.10, 190.28, 190.33, 190.82).
What are the requirements for a duty drawback claim?
The rules are in 19 U.S.C. 1313 and 19 CFR Part 190. A complete claim has to reach CBP electronically in ACE within five years of the date of import, name the drawback provision, and link every export or destruction to the import entry line it draws on. For unused or rejected goods, CBP must get a Notice of Intent to Export at least five working days before the goods leave, unless it has waived that. Manufacturing claims need a manufacturing drawback ruling, general or specific, and the records behind a claim must be kept for three years after CBP liquidates it.
Does duty drawback depend on the HS code?
For substitution claims, yes. In manufacturing substitution, the input you used must share the imported input's 8-digit HTS subheading (19 U.S.C. 1313(b)). In unused-goods substitution, the exported goods must share the import's 8-digit subheading; when that subheading's description begins with "Other", they must share the 10-digit number, and its description must not begin with "Other" either (19 U.S.C. 1313(j)(5)). Direct identification claims follow the actual goods instead, by part and lot.
Does GingerControl file drawback claims?
Not by ourselves. Our duty drawback service estimates what qualifies and tracks each claim, and a partner drawback provider files it. No one can promise a claim amount before CBP reviews it.
