October 2026 · Newsletter · By CPI y Lic. Alejandro J. Corona Villarreal
Newsletter – October 2026
Key points: CBP is already voiding importer numbers with inaccurate Form 5106 data; a U.S. LLC with Mexican owners could still be considered a “foreign importer”; and CBP is accepting comments until December 1 on new supply chain disclosure requirements.
In our Trade and Cargo Security Summit newsletter (September 14), we shared that Executive Order 14411, “Strengthening Customs Enforcement,” requires foreign importers of record (IOR) to become CTPAT certified or work with a CTPAT-validated customs broker. Since then, CBP has taken concrete steps to implement it, and its quarterly brokers meeting on October 15 included “CTPAT for foreign importers” on the agenda. Here is what is new:
1. Form 5106: CBP Is Already Voiding Importer Numbers
Since September 18, 2026, CBP has been reviewing Form 5106 data and may void the importer number if the information is inaccurate or incomplete. A voided number cannot be used to import. Make sure that:
- The address is the company’s actual location, not that of the customs broker, forwarder, a P.O. box or a registered agent.
- The email and phone number belong to the company, not to third parties.
- The power of attorney (POA) to the customs broker is signed directly by the importer, not through the forwarder.
2. Is Setting Up a U.S. LLC Enough?
In the TCSS newsletter we anticipated that many foreign IORs would set up an LLC or corporation in the U.S. This calls for caution: the Order defines a U.S. IOR as a company organized and located in the U.S. whose controlling beneficial owners are U.S. citizens or lawful permanent residents, or that owns significant real property in the U.S. CBP will also issue criteria on what “located in the United States” means (principal place of business, physical presence with real activity and sufficient tangible assets) precisely to prevent shell companies. An LLC with Mexican owners and no U.S. assets could still be considered a foreign IOR.
3. CTPAT-Validated Customs Brokers
In August, CBP issued a CTPAT alert to customs brokers: before working with a foreign IOR, the validated broker must verify its legal identity, owners, affiliates, U.S. assets, compliance history and ability to pay, and keep that file. Expect your broker to request more information, or some brokers to stop serving foreign IORs.
4. More Supply Chain Information (Comments Due December 1)
On September 2, CBP published an advance notice of proposed rulemaking (ANPRM) proposing, among other things, to require the export documents filed with the customs authority of the country of origin (in Mexico, the export pedimento), to reform the manufacturer identification code (MID) and to expand CTPAT requirements. It is a proposal, not a current obligation.
What’s Next?
The Order gave CBP 180 days (until late November 2026) to propose the rules. There are no mandatory compliance dates yet, but we recommend starting now to:
- Confirm whether your company acts as IOR for its U.S. shipments and whether it would qualify as a U.S. or foreign IOR.
- Review and correct your Form 5106.
- Ask your customs broker in writing whether it is CTPAT validated.
- Gather documentation on owners, affiliates and U.S. assets, and review your bond.
In brief – CPSC: importers of consumer products must electronically file certificates of compliance when required (cpsc.gov/eFiling).
COVA Consulting can help you review your importer status, prepare your CTPAT certification or update your current program. Write to us at acorona@gcova.com.mx or on WhatsApp at +52 (686) 543 1017.
Sources: Executive Order 14411 · Federal Register, August 19, 2026 · CBP brokers meeting, October 2026
This newsletter is for information only and does not constitute legal advice.
