Duty drawback
Duty drawback is a refund of customs duties paid on imported goods, or on materials used to make goods, that are later exported or destroyed. In the U.S., it can return up to 99 percent of eligible duties, with narrower rules for exports to Mexico and Canada under USMCA.
U.S. drawback (19 U.S.C. 1313) lets a claimant recover most duties paid on imports that are exported, either unchanged or after being used in manufacturing. Claims are filed electronically with CBP and must be supported by records that trace the import to the export.
Exports to Mexico and Canada are a special case. USMCA limits drawback on goods shipped within the region, generally to the lesser of the duties paid on import and the duties owed in the destination country, so cross-border manufacturers often recover less than on exports elsewhere. The limit applies mainly to goods used in manufacturing; goods re-exported in the same condition are generally exempt from it.
What this means when you move freight
Drawback is the shipper's and customs broker's business, but it depends on paperwork brokers touch: export records, bills of lading and proof that the goods actually left the country. Keep delivery documents for cross-border loads, because a shipper claiming drawback may need them years later.
Put the vocabulary to work
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