What is an unused merchandise drawback?

  1. Products subject to this drawback must be imported with duty and fees paid
  2. Products must be unused in the U.S.
  3. Products must be exported or destroyed within three years of the date of importation
  4. CBP must be given an opportunity to inspect merchandise prior to exportation, with certain exceptions permitted
  5. Documentary proof must be available to establish the items exported are identical to those imported (commercial invoices, Bills of Lading or Airway Bills and the inbound entry summary)
  6. Substitution of commercially interchangeable material with the imported merchandise permitted if the commercially interchangeable material is exported or destroyed within the three year period
  7. Drawback merchandise may have been acquired from the original importer or through a succession of prior owners if the chain of ownership and original payment of duty and fees are documented by normal business records
  8. Merchandise determined damaged or out of specification at the time of importation or merchandise received but not ordered will be treated as unused merchandise for purpose of drawback