Key Takeaways
- CBP describes a new ACE capability (CAPE) intended to process refund requests for IEEPA duties.
- CBP anticipates a phased rollout, with initial functionality excluding certain entry types and statuses.
- CBP estimated 45 days to stand up CAPE functionality but did not estimate how long CAPE will take to process submissions and issue refunds once operational.
- The described CAPE approach addresses unliquidated and liquidated entries that have not become final, but it does not address entries that are liquidated and final.
- Importers may need to consider existing administrative timelines, including the 180-day protest window, while CAPE is developed.
The Bottom Line
U.S. Customs and Border Protection (CBP) filed a status report1 in Atmus Filtration, Inc. v. United States,2 describing a new Automated Commercial Environment (ACE) capability, named “Consolidated Administration and Processing of Entries” (CAPE), that CBP is building to calculate and issue refunds for additional duties imposed under the International Emergency Economic Powers Act (IEEPA).
CBP describes CAPE as four integrated components:
- Claim Portal: a web-based portal where importers would upload a CSV list of entry summaries.
- Mass Processing: removes applicable IEEPA Chapter 99 numbers and rerun duty calculations.
- Review and Liquidation or Reliquidation: schedules and process liquidations or reliquidations and computes interest.
- Refund: consolidate refunds by liquidation or reliquidation date and importer of record (or a designated payee) and issue refunds electronically to a designated bank account.
CBP also provides development status estimates for each component and notes CAPE will be implemented in phases, with initial functionality intended to cover most entries but excluding certain scenarios, such as entries with specific liquidation statuses, and other complex entry types.
Action Items
- Electronic refund readiness: Confirm ACE Secure Data Portal access and ensure ACH refund authorization and bank information are on file. The CBP’s webpage provides information on the ACE Portal and ACH Refunds FAQs.
- Data readiness: Importers may want to begin compiling entry summary identifiers and coordinating with their custom brokers (if applicable) to ensure portal access to support potential CSV-based submissions once CBP provides user guidance.
- Scope check: Identify whether affected entries may be excluded from initial CAPE functionality (g., entries with specified liquidation statuses or other complex entry types).
- Monitor developments: Watch additional CBP and Court updates that clarify timing, eligibility, and user instructions for submitting refund requests through CAPE.