US Customs Bonds for Sweater Importers: Single Entry vs Continuous

By YZR Sweaters · 2026-11

The customs bond is one of those costs that surprises first-time importers: the freight is booked, the goods are ready, and the broker asks about a bond you've never heard of — and the shipment doesn't move without one. It's not complicated, but the choice between single entry and continuous has real money attached, especially for knitwear, where duty rates are among the highest in the tariff schedule.

What a customs bond actually is

A customs bond is a three-party guarantee between you (the importer), a surety company, and US Customs and Border Protection. It guarantees that CBP will receive all duties, taxes and fees owed on your entries — and certain penalties — even if you fail to pay. It is not insurance for you; it protects the government. You arrange it through a licensed customs broker or directly from a surety, and it must be in place before goods clear.

When you need one

• Formal entries. Any commercial shipment valued over USD 2,500 clears as a formal entry and requires a bond. Given knitwear unit prices, that threshold is crossed by a carton, let alone an order.
• Regulated goods at any value. Goods subject to other agencies' rules can require a bond below the $2,500 line, though ordinary sweaters from a compliant factory rarely trigger this.
• Ocean shipments need an ISF on top. The Importer Security Filing is filed before loading; your continuous bond normally covers it, while single-entry importers may need a separate ISF bond. See our customs clearance guide for the entry process itself.
• Small parcels below the de minimis threshold clear informally without a bond — see de minimis rules — but any real bulk order is far above it.

Single entry bond: pay per shipment

A single entry bond (SEB) covers one entry. The bond amount is set at the shipment value plus duties and fees, and the premium typically runs at a per-entry charge with a minimum — commonly USD 50–100 per shipment for moderate values, more for high-value entries. It's the right tool if you import once or twice a year. Beyond that, the premiums stack up fast, and each entry involves paperwork at exactly the moment you want the goods to move.

Continuous bond: the default for regular importers

A continuous bond covers every entry you make for twelve months. The rules that matter:

• Amount: calculated as 10% of the duties, taxes and fees you paid in the previous twelve months, rounded up to the next USD 10,000 — with a floor of USD 50,000. New importers start at the floor.
• Cost: the annual premium on a USD 50,000 continuous bond is typically in the low hundreds of dollars — usually less than three single entry bonds, which is why the break-even arrives quickly.
• Knitwear catches importers out here. Sweaters carry some of the highest duty rates in the apparel schedule — often 16–32% depending on fibre and construction (see HS codes and duties) — so your annual duty bill, and therefore your required bond amount, grows faster than buyers used to low-duty categories expect.

The mistakes we see buyers make

• Assuming the factory or forwarder provides the bond. They don't. The bond must name you as importer of record; your broker arranges it, but it's yours.
• Letting the bond run short. If your import volume grows past what your bond covers, CBP can demand an increase — and can hold entries while it's resolved. Review the amount annually against your actual duty spend, alongside your landed cost planning.
• Buying a bond at the last minute. A surety can issue a bond in a day or two, but your first one involves underwriting. Set it up when you place the order, not when the vessel sails.
• Confusing the bond with duty. The premium is the cost of the guarantee; the duty is still due in full. Budget both.

YZR Sweaters ships to US importers every week, and while the bond is your side of the fence, we make our side easy: accurate commercial invoices, correct HS classification support, ISF-ready shipment data ahead of loading, and a team that answers your broker's questions in their timezone's working hours. Our Dongguan partner factories are BSCI, SEDEX and Oeko-Tex certified, so the paperwork behind your entry is as clean as the product inside it.

Frequently asked questions