Enforcement of cross-border cargo regulations has significantly increased during the Trump administration, resulting in additional time and expenses for shippers and serving as a deterrent to trade, industry experts report. Alongside the growing tariff barrier along the 49th parallel, freight inspection and penalties have also surged, reflecting a stricter customs approach in a more protectionist United States.
Breanna Leininger, overseeing U.S. operations at Pacific Customs Brokers in Vancouver, described the shift as monumental. She noted a tenfold rise in the documentation required for shipped goods by border officials compared to previous years. The depth of customs scrutiny has notably increased, with Leininger handling 5,000 customers engaged in cross-border trade.
Importers are now asked for extended paperwork trails, including labor and manufacturing records, to demonstrate compliance with product classifications and trade agreements. The level of evidence requested and the specific tariffed items appear to change frequently, making compliance increasingly challenging.
Official statistics support reports of heightened enforcement measures. U.S. Customs and Border Protection data indicates a projected 26% increase in audits this year compared to 2024. Audits involve assessing importers’ records to verify adherence to tariff classifications, customs valuations, and free-trade agreements such as the Canada-United States-Mexico Agreement.
In the first half of this year, U.S. customs authorities collected $70.6 million US in trade penalties, marking a significant 169% surge from the entire year of 2024. This six-month total also represents a 53% rise from the entirety of 2025.
The intensified enforcement coincides with an escalating trade conflict between Canada and the U.S., characterized by recent tariff escalations on both sides. Delays at the border and increased time spent on sourcing product records contribute to rising costs and, in some cases, discourage cross-border trade.
Alan Dewar, the executive vice president at GHY, a customs brokerage in Winnipeg, highlighted the substantial financial implications of these changes. He emphasized the added expenses incurred due to delays, including warehouse costs, driver wait times, spoilage risks, and service charges for missed delivery deadlines.
While many businesses have managed to navigate the evolving landscape, some have found the challenges overwhelming and have considered withdrawing from cross-border trade. U.S. Customs and Border Protection stated that it continuously evaluates its trade enforcement strategies based on risk, trade patterns, and legal requirements, emphasizing importers’ responsibility to provide accurate and comprehensive information.
The evolving regulatory environment has prompted concerns within the industry, with stakeholders adapting to the changing landscape and navigating the complexities of cross-border trade.