Customs Law

With one of the largest international trade and regulatory compliance practices in South America, Estoup Lawyers and Accountants is noted for our ability to develop and implement strategies that take advantage of opportunities and minimize risks that arise in today’s ever-changing global marketplace. Drawing on the strength and breadth of our practice, Estoup is able to provide our clients with an integrated approach to their strategic customs planning and compliance.

This includes analysis of all the matters that make up an import or export declaration including valuation, classification, country of origin, marking and labeling, qualification for Mercosur or other free trade program, import bond, and foreign trade zone issues. We help clients respond to Brazil and Argentina notices of action and enforcement, (including forfeiture cases), conduct internal compliance reviews, and pursue Customs rulings and advisory opinions. The firm recognizes Brazilian, Chilean,Uruguian and Argentinean export and import compliance requires a balance between detailed involvement by the importing company and the burdens on finite company resources. 

Custom Brokers  We regularly advises clients on how best to manage their relationship with their licensed Customs brokers, when to issue powers of attorney, and what terms should be contained.  We work with clients frequently to achieve the correct balance between supervising the brokers and minimizing administrative burden.

Forwarders.We have an important experience on maritime and trade law and regularly counsel on forwarding questions that involves any conflict on freights and carriages. 

Protests and appeals. We prepare and file challenges to Argentinean, Brazilian and any south american Customs decisions at single or multiple ports of entry. These challenges may take the form of protests, request for reliquidation and any supplemental information letters , or requests for further review at Customs Headquarters. 

Duty reduction programs. We regularly advises clients on the use of duty reduction programs and other free trade eligible regions. From the perspective of Mercosur´s and Andean Community law, all imported merchandise  is presumptively subject to duty. It is the responsibility of the importer to correctly analyze and declare the merchandise subject to duty free treatment, and to keep the records necessary to support such a claim. 

Country of origin and marking requirements. Country of origin determinations for imported goods grow increasingly complex as the long-standing substantial transformation rule now applies only to certain goods from certain countries. More detailed “tariff shift” rules often apply for merchandise from free trade partner countries or for certain goods. We frequently advises clients on how to determine the correct country of origin rules. Also, we work regularly with clients to design required country of origin labels that will have the content and size necessary for commercial needs. We also assist companies in designing markings that will not only comport with the requirements of  Customs.

Penalties and prior disclosures. The most effective method of minimizing a company’s exposure to Customs penalties in connection with a particular error is to remove the authority or incentive to assess the penalty. When an importer finds an inadvertent error, a brief, properly designed prior disclosure letter can insulate an importer from potentially significant penalty exposure. Steptoe regularly counsels importers on internal reviews to find errors and strategies for prior disclosures to drastically reduce potential penalty liability. Where a prior disclosure has not been filed, and Customs claims a penalty, Steptoe regularly prepares petitions to mitigate or even cancel those penalties, depending on the circumstances, to the maximum extent permitted by the Customs Regulations.

Valuation. Properly reporting the value of imported merchandise is one of the most important aspects of any Customs declaration. An importer not properly valuing merchandise may be overpaying duties if it has not correctly analyzed its transaction for (1) the correct valuation methodology to be used, (2) when to apply assists, (3) non-dutiable charges (such as freight costs), and (4) other valuation issues. Even where the applicable duty rate is zero, an incorrect value is one of the easiest ways for local Customs officials to impose penalties. Steptoe regularly works with clients to analyze the specific facts of a transaction and ensure that the most advantageous valuation, consistent with the requirements of US Customs law, is identified and supported in the importers’ commercial documents.

Classification. The tariff classification number declared can be a trigger or flag for higher or lower duty rates, antidumping or countervailing duties, quotas, or several types of heightened scrutiny from Customs and other federal agencies. Steptoe regularly assists clients in working through the harmonized tariff system to declare the number or numbers that best fit the product and will be recognized as compliant by local Customs port officials.

Binding rulings. On all questions of Customs compliance, it is the responsibility of the importer to exercise reasonable care and to make the best efforts to reach a correct analysis supported by the law and regulations, past Customs cases, and the specific facts. In some instances, even after consulting these sources, the correct answer may nonetheless remain unclear. In other cases, the company may have a strong commercial interest in having certainty and confirmation before beginning a new venture.

WTO and Mercosur´s Disputes Our team works with WTO and Mercosur´s Member governments and private sector interests to develop case strategies, participate in the consultations process, assist in panel composition, prepare written submissions, and present arguments before panels and the Appellate Body.  We are also actively involved in issues concerning the implementation of Dispute Settlement Body (DSB), The Olivos Protocol recommendations and potential retaliation.

Antidumping and countervailing duty investigations If the authorities finds that an imported product is dumped or subsidized, and the local industry producing a like product is materially injured or threatened with material injury, antidumping or countervailing duty orders are imposed.We provide expert economic and financial analyses to assist clients who are involved in any international trade authority in South America and  investigations of potentially dumped and subsidized imports. We present our analyses in clearly-written studies and related oral testimony in those proceedings.The causation and injury assessments we prepare are based on detailed analysis of relevant economic data, and they include sophisticated simulation and econometric modeling of the impact of imports on the domestic industry.

 Transfer pricing services to financial institutions Estoup Lawyers & Accountants provides financial institutions extensive capabilities in planning, compliance documentation, and audit controversy to help them address the full range of cross-border transfer pricing issues. Our international team of economists, finance specialists, and accountants develop analytical approaches and modeling solutions that are difficult, if not impossible, for other transfer pricing practitioners to match. We are knowledgeable about all aspects of transfer pricing for the entire spectrum of the financial services industry, including:

• Income and revenue splits
• Compensation for routine and non-routine services
• Cost allocations
• Fees for intangibles
• Loan and company guarantees
• Interest rates for loans
• Captive insurance premium calculations
• Valuations 

Our clients include banks, securities and insurance brokers, finance companies, asset managers, REITs, insurers and reinsurers, and other financial service-providers.

 See Estoup´s Professional Training Courses in São Paulo

1.Antidumping & Subsidies Law: Cases and WTO legal system (see schedule and program)