Freight glossaryCustomsInternational ShippingFreight Documentation
Customs Broker
Definition
A customs broker is a person or company licensed by U.S. Customs and Border Protection to conduct customs business, such as filing entries and paying duties, on behalf of importers.
What it means
By statute, "no person may conduct customs business (other than solely on behalf of that person) unless that person holds a valid customs broker's license."[1] An importer can file its own entries; a broker is the licensed agent when someone else does it.
Using a broker does not move the legal responsibility. CBP reminds importers that "even when using a broker, you, the importer of record, are ultimately responsible for the correctness of the entry documentation presented to CBP and all applicable duties, taxes and fees."[2] A customs broker is also a different role from a freight broker, who arranges truck transportation; see freight broker.
Example
An importer hires a licensed customs broker to clear a container arriving at Port Newark. The broker files the entry and entry summary, answers CBP's questions and tells the importer when the box is released, while the importer remains liable for the duties.
Related
Related terms
- Importer of RecordThe importer of record (IOR) is the party responsible for an import entry: making sure it is correct and that...Glossary
- Freight BrokerA freight broker arranges truck transportation for compensation, for shippers or carriers, without being the...Glossary
- Freight ForwarderA freight forwarder arranges the transportation of other people's shipments, often consolidating them; U.S....Glossary
- Customs BondA customs bond is a financial guarantee filed with CBP that the importer will pay duties, taxes and charges...Glossary
- Commercial InvoiceA commercial invoice is the seller's invoice for imported goods; U.S. Customs uses it to identify, value and...Glossary
- Importer Security FilingThe Importer Security Filing (ISF, often called 10+2) is advance shipment data that must be filed...Glossary
Related questions
- Do I Need a Customs Broker to Import Goods?Not legally. U.S. law requires a customs broker's license only for conducting customs business on behalf of...Answer
- Freight Broker vs. Freight Forwarder: What Is the Difference?A freight broker arranges truck transportation between shippers and motor carriers for a fee and must be...Answer
- What Are the Different Types of Container Holds?A container can be held for unrelated reasons, each cleared by a different party. A customs hold is placed by...Answer
- What Documents Are Needed to Import a Container into the U.S.?For a typical ocean import: an Importer Security Filing made before the container is loaded abroad, the bill...Answer
Sources
- Legal Information Institute, Cornell Law School, “19 U.S. Code § 1641, Customs brokers,” Federal statute. Accessed September 30, 2026.
- U.S. Customs and Border Protection, “Tips for New Importers and Exporters,” Government guidance. Accessed September 30, 2026.
General operational information, not legal, customs or regulatory advice. Rules and rates change; confirm current requirements with the agency, carrier or contract that governs your shipment.
