Becoming a Customs Broker

Customs brokers are private individuals, partnerships, associations and corporations licensed, regulated and empowered by U.S. Customs and Border Protection (CBP) to assist importers and exporters in meeting the federal requirements that govern imports and exports. Brokers submit the necessary information and the appropriate payments to CBP on behalf of their clients and charge a fee for the service.

For the apparel industry the work matters on almost every shipment: brokers need expertise in entry procedures, admissibility requirements, classification, valuation, and the rates of duty and applicable taxes and fees for imported merchandise — the difference between a garment clearing on time and a garment sitting at the port. There are approximately 11,000 active licensed customs brokers in the United States.

Requirements, examination dates and fees change over time. Treat this page as a map of the process and confirm the current details at CBP.gov before relying on any fee or date.

Who Is Eligible to Become a Customs Broker

To be eligible for a broker license you must be a United States citizen at least 21 years old, must not be a current federal government employee, and must possess good moral character. You do not need to be a U.S. citizen to sit the license examination itself — citizenship is required when you apply for the license.

Step One: Pass the Customs Broker License Examination

The Customs Broker License Examination is an open-book test of 80 multiple-choice questions, with four hours to complete it. Questions are based on designated editions of the Harmonized Tariff Schedule of the United States (HTSUS), Title 19 of the Code of Federal Regulations, specified Customs directives, and the Customs and Trade Automated Interface Requirements document (CATAIR).

The examination has traditionally been given at CBP service ports in April and October, with the examination application and fee due to the port director at least 30 days in advance; applicants bring proof of registration, picture identification and the recommended reference materials. A passing score is 75 percent or better. If you fail, you may retake the examination until you pass, and you may appeal your score to CBP under 19 CFR 111.13(f). Confirm the current exam schedule, registration method and fee at CBP.gov — the process has moved and changed since these details were first published.

Step Two: Apply for the License

After passing, apply to the CBP port director at the port where you want to transact customs business, within three years of the date of the letter notifying you that you passed. The application carries an application fee plus a fingerprint check and processing fee — confirm the current amounts with CBP, as fees are revised over time.

Step Three: The Application Review

There are three levels of review. First comes a multi-agency background investigation, which includes a fingerprint analysis and a review of character references, credit reports and any arrest record — arrests or convictions do not necessarily preclude the issuance of a license. Second, the CBP port director reviews the investigation and other pertinent information and forwards a recommendation to CBP Headquarters in Washington, D.C. Finally, CBP evaluates the application and the applicant is advised whether it is approved. The process can take from 8 to 12 months depending on the applicant's history and the investigating workload. If an application is denied, appeal procedures are outlined in 19 CFR 111.17.

Brokerages: Licensing the Business, Not Just the Person

Corporations, partnerships and associations must themselves hold a broker license to transact customs business. Each business must have at least one individually licensed officer, partner or associate to qualify the company's license — and failure to have a qualifying officer or member for more than 120 days will result in revocation of the broker license. A new broker joining the apparel trade therefore has two routes: qualify as an individual, or work under a licensed brokerage that already has its qualifying officer in place.