When duty depends on weight, volume, gauge or composition — petroleum, vegetable oils, chemicals, grain and other bulk commodities — CBP relies on measurements and laboratory results produced by private, CBP-accredited gaugers and laboratories. Activity Code 5 bonds the integrity of that work.
The conditions are at 19 CFR § 113.67 (commercial gauger and commercial laboratory bond conditions).
Who must post it
- Public gaugers accredited by CBP to measure and sample imported merchandise.
- Commercial laboratories accredited by CBP to test and analyze imported merchandise.
What the bond guarantees
- Accurate, impartial gauging, sampling, measurement and testing in accordance with CBP standards.
- Retention of records and samples and their production on CBP demand.
- Payment of liquidated damages for breaches of the accreditation conditions.
How CBP sizes it
- Continuous only.
- Minimum and sizing follow CBP's bond-amount guide and the scope of the accreditation.
Practitioner notes
- Accreditation and the bond travel together; a lapse in the bond jeopardizes the accreditation.
- Laboratories serving multiple ports should confirm the bond is filed to cover every port at which they are accredited.
Frequently asked questions
Who needs an Activity Code 5 bond?
Any gauger or laboratory holding CBP accreditation under 19 CFR Part 151.
Is it continuous?
Yes. Activity Code 5 is filed only as a continuous bond.
What does the bond actually protect?
The accuracy of the measurements and results on which CBP assesses duty.
Primary sources
