AD/CVD Evasion Enforcement: Understanding EAPA Investigations in 2026

The Enforce and Protect Act (EAPA), enacted as part of the Trade Facilitation and Trade Enforcement Act of 2015, gave CBP a powerful new tool to investigate and combat the evasion of antidumping (AD) and countervailing duty (CVD) orders. Since its implementation, EAPA has transformed how the United States enforces its trade remedy laws, creating a formal investigation process with defined timelines and penalties that has resulted in billions of dollars in additional duty collections. For importers, understanding EAPA is essential whether you are a domestic producer seeking to level the playing field or an importer defending against an evasion allegation.

What Constitutes AD/CVD Evasion?

Under EAPA, evasion is defined as entering covered merchandise into the US customs territory by means of any document or electronically transmitted data or information, written or oral statement, or act that is material and false, or through material omission, and that results in the reduction or avoidance of applicable AD/CVD cash deposits or other security. Common evasion schemes include transshipment (routing goods through a third country to disguise their true origin), misclassification (classifying goods under an HTS number not covered by an AD/CVD order), undervaluation (declaring a lower value to reduce the AD/CVD deposit amount), and misrepresentation of the manufacturer or supplier to claim a lower or zero duty rate.

How EAPA Investigations Are Initiated

EAPA investigations can be initiated in two ways. First, any interested party, including domestic producers, trade associations, or even competing importers, can file an allegation of evasion with CBP using an EAPA e-allegation. The allegation must include reasonably available information supporting the claim, such as shipping records, production data, or market analysis suggesting that the goods are being transshipped or otherwise evading AD/CVD orders. Second, CBP can self-initiate investigations based on its own intelligence and data analysis, without an external allegation. Self-initiated investigations have become increasingly common as CBP has developed more sophisticated targeting capabilities.

The Investigation Process

1. Initiation: CBP reviews the allegation and decides within 15 business days whether to initiate a formal investigation
2. Interim measures decision: Within 90 days of initiation, CBP determines whether to impose interim measures requiring additional security deposits
3. Investigation period: CBP conducts a thorough investigation including document requests to the importer and foreign producers, analysis of shipping and production records, and potentially on-site verification visits
4. Preliminary determination: CBP issues a preliminary determination of evasion or no evasion, typically within 120 days of initiation (extendable to 210 days)
5. Administrative review: Parties can submit written arguments and rebuttal evidence in response to the preliminary determination
6. Final determination: CBP issues a final determination within 300 days of initiation, which can result in assessment of full AD/CVD rates, penalties, and referral for criminal prosecution in egregious cases

Consequences of an Evasion Finding

When CBP issues a final determination of evasion, the consequences are severe. All entries of the covered merchandise during the period of investigation are subject to the full applicable AD/CVD rates, which can range from single digits to over 400% ad valorem. The importer may also face civil penalties for negligence or fraud, criminal referral to US Immigration and Customs Enforcement (ICE) for potential prosecution, and suspension or revocation of their customs broker license if applicable. Additionally, CBP will extend the evasion finding to all future entries of the merchandise, and the importer may be placed on heightened scrutiny for all of their imports going forward.

Protecting Your Business

Legitimate importers can protect themselves from EAPA investigations by maintaining robust documentation of their supply chains and conducting thorough due diligence on their suppliers. This means verifying the actual country of origin of your merchandise, not just the country from which it is shipped. Request and maintain factory audit reports, production capacity documentation, and bills of materials from your suppliers. Be suspicious of suppliers who offer prices that are significantly below market rates, as this may indicate that the goods are actually produced in a country subject to AD/CVD orders and are being transshipped. If you discover that your supply chain has a connection to an AD/CVD-covered country, consult with a trade attorney immediately to evaluate your exposure and develop a remediation plan.

EAPA enforcement continues to intensify in 2026, with CBP devoting increasing resources to detecting and penalizing AD/CVD evasion. The best defense for importers is proactive compliance: know your supply chain, document your sourcing decisions, and stay current on the AD/CVD orders that apply to your product categories. By treating trade remedy compliance as a core business function rather than an afterthought, importers can avoid the devastating financial and operational consequences of an adverse EAPA determination.