Commerce Hikes Civil Monetary Penalties by 6.2%

Trade Update • JANUARY 14, 2021

In a recently published final rule, the U.S. Department of Commerce announced that it will be increasing the civil monetary penalties within its jurisdiction for 2022 by 6.2%. The increases will take effect on January 15, 2022.

Note: The 2022 adjustments will apply to any civil penalties assessed after the effective date, including those whose associated violation occurred prior to Jan. 15, 2022.

The adjustments are required by various acts of legislation that call for penalties to be increased on an annual basis in accordance with the prevailing cost-of-living adjustment; specifically, the percentage by which the Consumer Price Index for the month of October 2021 exceeds that of the prior year.

Penalty increases related to international trade activities include the following:

Bureau of Industry and Security

• 50 U.S.C. 1705(b), International Emergency Economic Powers Act (2007), per violation maximum from $311,562 to $330,947
• 50 U.S.C. 4819, Export Controls Act of 2018 (2018), per violation maximum from $308,901 to $328,121
• 15 USC 5408(b)(1), Fastener Quality Act, per violation maximum increased from $48,762 to $51,796

Bureau of Economic Analysis

• 22 U.S.C. 3105(a), International Investment and Trade in Services Act (1990); failure to furnish information, minimum from $4,876 to $5,179; maximum from $48,762 to $51,796

Census Bureau

• 13 U.S.C. 304, Collection of Foreign Trade Statistics (2002); each day’s delinquency of a violation: not-to-exceed maximum per violation from $1,436 to $1,525; maximum per violation, from $14,362 to $15,256
• 13 U.S.C. 305(b), Collection of Foreign Trade Statistics (2002), per violation maximum from $14,362 to $15,256
  International Trade Administration
• 19 U.S.C. 81s, Foreign Trade Zone (1934), per violation maximum from $3,011 to $3,198
• 19 U.S.C. 1677f(f)(4), U.S.-Canada Free Trade Agreement Protective Order (1988), per violation maximum from $216,628 to $230,107

Need More Information?

Click here for a complete list of all civil monetary penalty adjustments.

For any questions about Commerce’s adjustments to civil penalties, don’t hesitate to contact our Global Trade Services team.