Containers, lift vans, cargo vans, shipping tanks, pallets and similar equipment cross the border constantly. Without special treatment, each one would have to be formally entered and duty paid every trip. Activity Code 3A bonds the release and control of these instruments of international traffic so that they can move in and out of the United States without entry.
The conditions are at 19 CFR § 113.66 (control of containers and instruments of international traffic bond conditions).
Who must post it
- Container owners and lessors.
- Carriers operating their own container or chassis fleets.
- Manufacturers and shippers using returnable racks, tanks or specialized reusable packaging in cross-border supply chains.
What the bond guarantees
- That instruments admitted under the bond will be used only in international traffic and not diverted to domestic use without entry and payment of duty.
- Accounting for and, on demand, redelivery or export of the instruments.
- Payment of duties and liquidated damages on any instrument diverted or unaccounted for.
How CBP sizes it
- Sized under CBP's bond-amount guide according to the number and value of instruments in service.
- Carriers most often file Activity Codes 3 and 3A together on one continuous bond.
Practitioner notes
- On CBP Form 301, Activity Code 3A is the only code that may be checked either alone or jointly with Activity Code 3.
- Returnable packaging programs (racks, totes, tanks) frequently qualify for IIT treatment and are a common reason a non-carrier files this bond.
Frequently asked questions
Do I need a separate 3A bond if I already have a carrier bond?
Not necessarily. The two codes can be combined on a single instrument.
What counts as an instrument of international traffic?
Containers, lift vans, cargo vans, shipping tanks, pallets and similar reusable equipment CBP designates as IIT.
What if an instrument is diverted to domestic use?
It must be entered and duty paid. Failure to do so exposes the principal to liquidated damages under the bond.
Primary sources
