Imports

Importing goods from international suppliers involves specific regulatory and logistical requirements. These essential steps should be considered prior to initiating any import-related activity to ensure compliance with U.S. Customs regulations, manage costs, minimize risk, and avoid delays. Goods and equipment being shipped to the U.S. from another country are subject to a variety of federal laws and regulations governing imports. U.S. Customs and Border Protection (CBP)  is the primary agency responsible for regulating imports to the U.S. and requires importers to comply with documentation and record keeping procedures.

Mines urges our community to review applicable import laws and regulations to ensure that they understand the legal requirements. 

Tariff and Import Information

What is a Tariff?

A tariff, also known as an import tax, is a duty imposed by a national government, customs territory, or supranational body on the importation of goods. Tariffs impact the cost of international purchases and are critical considerations in procurement planning.

Departments should evaluate the total cost impact of tariffs and be prepared for possible cost increases related to import activities.

When Are Tariffs collected?

Tariffs are collected at the point of entry when imported goods enter a country. Here’s a detailed breakdown of when and how they are collected:

• When: Immediately upon entry into the country, before goods are released to the importer.
• Who Collects: Customs authorities (e.g., U.S. Customs and Border Protection in the U.S.).
• How:
• The importer (or customs broker on their behalf) files an entry declaration.
• Customs calculates the tariff based on the tariff classification, value, and quantity of goods.
• The importer must pay the tariff before the goods are released from customs custody.

Import Guidance

 1. When Selecting a Foreign Supplier, Plan for Duties, Taxes, and Fees

• Budget for import duties, brokerage fees, storage, and handling charges.
• Import guidance applies to all imports, whether a customs broker is used, or if goods are being imported via FedEx, UPS, or DHL.
• Duties may be refundable under certain conditions (e.g., tariff exclusions or appeals), but the process can be lengthy and there is no guarantee that a refund will be granted.
• Services are typically not subject to tariffs. If a supplier is providing services exclusively, any proposed tariff charges must be substantiated with clear justification. To prevent unnecessary or inflated fees, ensure your documentation clearly distinguishes between goods and services. 

To mitigate the impact of tariffs, assess your current and future procurement needs, explore domestic sources or countries not subject to high tariff rates, and stay informed of changes to policies. If importing goods from a country with high tariffs, consider using the following tactics to limit impact on the price of goods:

• Ask for a breakdown of components (for large/complex equipment)
• Ask for Proof of Origin documentation.  The following documents are acceptable in establishing origin.
  • Certificate of Origin (CoO)
  • Declaration of Origin
  • Tariff Schedule
  • Bill of Lading
• Negotiate with the supplier to share tariff costs (for single-source goods)
• Lock-in pricing or document price increase terms (for long-term relationships)
• Identify potential lead time challenges or product availability risks

2. Understand Shipping Terms (Incoterms)

Understanding how the costs associated with shipping, duties, and taxes will impact the amount paid for an item is an important consideration.  It is the responsibility of the individual initiating the order to confirm the Incoterms in the quote prior to placing an order for equipment. 

Incoterms:

Incoterms specify which party (i.e., buyer or seller) pays the shipping, insurance, duties/taxes, and other fees related to the importation of a product. There are multiple ways to structure a purchase using different Incoterms.  Below is a list of commonly used Incoterms and a description showing who is responsible for what activities.  

• EXW (Ex Works or Ex-Warehouse): The seller makes the goods available at their premises, and the buyer is responsible for arranging transportation, paying import taxes and other fees, etc.  EXW is most beneficial to the seller, as they relinquish all responsibility for the shipment when it is placed on their loading dock.
• FOB (Free On Board): The seller delivers the goods on board the ship at the named port of shipment, and the buyer is responsible for transportation from that point and all subsequent costs.
• CFR (Cost and Freight): The seller covers the cost of transporting the goods to the port of destination, but the buyer is responsible for transportation, insurance and all subsequent costs.
• DAP (Delivered At Place): The seller delivers the goods to the listed destination, but the buyer is responsible for unloading and all subsequent costs.
• DDP (Delivered Duty Paid): The seller delivers the goods to the listed destination and is responsible for all costs, including duties, taxes and other fees.

Note: DDP is the most beneficial term type for the buyer, and purchase orders issued in 2026 list DDP incoterms for international orders.  However, if you are ordering goods without a purchase order (i.e. <$5,000.00), be aware of the incoterms listed on the quote or proposal. 

Engaging a Customs Brokers

Consulting with the Mines preferred licensed Customs Broker will help determine whether their involvement on Mines’ behalf is required, even when shipping logistics are managed by the supplier or when a purchase order is not being issued for the order (i.e. <$5,000.00).

Contact the Customs Broker

• Using the customs broker is recommended for packages that are heavy/bulky, high-value/sensitive, or involve challenging locations. Customs brokers can assist in the following ways:
  • Reduction in time and costs of importing goods
  • Assistance navigating complex and dynamic trade regulations
  • Acting on behalf of the University for Customs Clearance support 
  • Guidance. Involving a customs broker prior to agreeing to purchase a good can help address some of these potential issues in advance 
• When importing goods, the Customs Broker engages with Customs authorities on behalf of the Mines, including paying all taxes and duties on behalf of the importer and then billing the importer for those charges.
• Prior to approving the shipment of the materials, confirm the customs broker is listed on the shipping documents as the party responsible for customs clearance (i.e., Notify Party).

Confirm the Harmonized Tariff Schedule (HTS) Code

Work with your supplier and the Mines customs broker to verify the correct HTS code before shipment.

• The HTS code determines the duty rate. An incorrect code can lead to fines, penalties or excessive duties.
• If you believe the duty is too high, ask the broker about alternative classifications or appeal options.
• If proposing to use tariff exemption HTS code 9810.00.6000 rather than the standard HTS code, approval for use must first be received from the Department of Commerce. See “Requesting Duty-Free Entry” below.

Prepare and Review Documentation

Ensure the following documents are accurate and complete:

• Commercial Invoice (with HTS code, value, and Incoterms)
• Packing List
• Bill of Lading or Air Waybill
• Import Licenses or Permits (if applicable).  A permit might be required if you are importing samples of human pathogens, animal pathogens and biological material of animal origin, soils, or wildlife and animals. It is recommended that you contact our customs broker and EHS at least 60 days in advance if you will be importing sample material that requires a permit.

Customs Broker Information

Patrick Mulstay

• Office: 303.741.8996
• Mobile: 303.549.7626
• Aeronet.com
• pmulstay@aeronet.com

General Support

• minesedu@aeronet.com

Requesting Duty-free Entry

It may be possible to have duties waived on the purchase and import of goods.  The administrative requirements for this exemption are significant and include petitioning the Secretary of Commerce and publication in the Federal Register. Misuse of this exemption is subject to both civil and criminal penalties.

The Florence Agreement (also known as the Agreement on the Importation of Educational, Scientific and Cultural Materials) is a treaty whereby States agree to not impose customs duties on certain educational, scientific, and cultural materials that are imported by use of tariff exemption code HTS 9810.00.6000.

Eligibility Criteria

To qualify for consideration to use the tariff exemption under HTS 9810.00.6000, the item must be purchased and imported by Mines and the following conditions must be met:

1. Institution Type: The applicant, Mines, must be a public or private nonprofit institution established for educational or scientific purposes; the supplier/manufacturer cannot file the application on behalf of Mines.

2. Documentation Requirements: see Section 8 of ITA-338P Form, and Sections 301.5(d)(1) and (2) in Title 15 Part 301 of the Code of Federal Regulations. Below are some of the required items. 

• Proof that the item(s) being imported does not have a comparable domestic alternative available for purchase/manufacturing:
• • Detailed specifications of the foreign equipment (including guaranteed performance specs)
  • Comparison with domestic models, citing manufacturers and model numbers
  • Evidence of outreach to U.S. manufacturers (including requests for bids/quotes; responses from manufacturers; documentation showing inability or unwillingness to produce the equipment.
• Name or type of equipment being purchased (e.g., microscope, laser, etc.)
• Foreign manufacturer’s name and country
• Description of the equipment being purchased (e.g., manufacturer’s model number(s), design specifications, etc.)
• Copy of the Purchase Order (and corresponding contract, when applicable), if order has been placed or is pending purchase. Documentation must clearly distinguish between goods and services being provided by the supplier.
• Description of the research purpose for the equipment (e.g., objective of research studies/investigations)
• Description of the science-related educational purpose (e.g. course content). 

3.Order Requirement: Mines must issue a Purchase Order or have a firm intention to issue a Purchase Order within 60 days following a favorable decision on the application.

4. Importer of Record: Mines must be responsible for shipping and importation arrangements via the use of Mines’ customs brokers in order to file the application; the supplier/manufacturer cannot be responsible for making the shipping and importation arrangements on behalf of Mines.

5. Approval: Mines must obtain approval from the Department of Commerce to present it to Customs via the Mines customs brokers.

 Note: Before applying, please review the “Additional Information on CBP Tariff Waiver Consideration Factors.” 

Application Process

1. Timeline: Start the application process six (6) months prior to the intended importation date.

2. Initial Request: Contact your designated procurement agent

3. Due Diligence: Review the Eligibility Criteria. The requestor is responsible for ensuring proper use of tariff exemption code HTS 9810.00.6000 prior to submitting an application to the Department of Commerce.

4. Download the ITA-338p Form and complete. Respond to all questions asked in the form and include any necessary documentation. 

• This application cannot be submitted electronically and must be physically mailed to U.S. Customs and Border Protection for review by the Department of Commerce.
• Prepare five (5) copies – one with original signatures – and mail to:
  • US Customs and Border Protection
  • Attention: Entry Process and Duty Refunds Branch
  • 90 K Street, NE, 10th Floor
  • Washington, DC 20229

5. Public Notice: The application will be published in the Federal Register and open for public comments.

6. Decision: Expect a turnaround time of 60-90 days from the date of publication of the Public Notice in the Federal Register

7. Follow-up: If you do not receive a determination in 90 days, follow-up by calling the Department of Commerce at (202) 482-1661.  If denied, request an appeal under 15 CFR § 301.6. 

Announcements

General purchasing guidance, and thresholds are available on the Purchasing page.