
WASHINGTON, May 21, 2026 /PRNewswire/ -- In a victory for U.S. freight rail coupler (FRC) manufacturers, U.S. Customs and Border Protection (CBP) has determined that an importer of FRCs evaded payment of tariffs in violation of existing antidumping orders.
Brought under the Enforce and Protect Act (EAPA), the allegation asserted that The Greenbrier Companies, Inc. (Greenbrier) was entering FRCs into the United States by means of evasion, in effect without paying the lawfully required duties pursuant to the antidumping orders. After reviewing the record, CBP's Trade Remedy Law Enforcement Directorate (TRLED) determined that Greenbrier evaded the orders by failing to properly enter and pay duties, finding that "there is substantial evidence of evasion by Greenbrier."
Greenbrier was improperly claiming that the FRCs and the railcars to which they are attached qualify for exemption from duties as "instruments of international traffic" (IIT). CBP determined that "the railcars entered into the United States for purposes of sale to U.S. consumers do not qualify as an IIT; therefore, neither the railcars themselves, nor any affixed FRCs, qualify for this exception from entry as IITs."
"This is a significant victory for the domestic freight rail coupler industry. Importers that have been misusing the instrument of international traffic (IIT) exemption are being held accountable." said Daniel B. Pickard, lead counsel for the U.S. industry at Buchanan Ingersoll & Rooney. "It is clear that freight rail cars entering from Mexico must pay antidumping and countervailing duties on Chinese and Mexican couplers. In addition, these companies cannot use the IIT exemption to avoid paying Section 232 duties on all non-U.S. couplers. In fact, many of these very rail cars are also subject to Section 232 duties themselves. We will continue to make sure that importers do not engage in evasion of these duties that are required under U.S. law."
As a result of this affirmative final determination of evasion, Greenbrier will be accountable for unpaid duties on all imports of FRCs imported in violation of the antidumping order. Additionally, CBP determined that Greenbrier is required to rectify any non-compliance with admission of railcars to the United States that had FRCs attached and entered the United States during the period investigated. Greenbrier is also now required to file formal entries for FRCs attached to its rail cars and to make payment of all appropriate duties.
Violations of U.S. customs laws can result in significant penalties, both for an individual and any organization involved in the violation. Customs penalties vary depending on the particulars of the violation but may include civil or criminal penalties. Civil or criminal fines for customs violations can be significant. In fact, CBP has explicitly stated that none of the actions in the EAPA case "preclude CBP or other agencies from pursuing additional enforcement actions or penalties."
Buchanan's team of international trade and national security attorneys, has decades of experience supporting clients to ensure that the U.S. market is operating under fair and equal conditions through various trade remedies, including through the Enforce and Protect Act.
About Buchanan Ingersoll & Rooney
Buchanan Ingersoll & Rooney is a national law firm with a proven reputation for providing progressive, industry-leading legal, business, regulatory and government relations advice to regional, national and international clients. We service a wide range of businesses, but have especially deep experience in the finance, energy, healthcare and life sciences industries. Our 475 attorneys and government relations professionals across our current 17 offices proudly represent some of the highest profile and innovative companies in the nation, including 40% of the Fortune 500. We bring to clients intimate knowledge of the players, market forces and political and regulatory landscape, and use our full-service capabilities to protect, defend and advance our clients' businesses.
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SOURCE Buchanan Ingersoll & Rooney PC
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