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The Most Common Types of Customs Bonds (Activity Code 1) Activity CodeCustoms BondActivity Code 1 Activity Code 1aImport Bond Drawback BondActivity Code 2Custodian BondActivity Code 3 Activity Code 3aInternational Carrier Bond Instrument of International TrafficActivity Code 4Foreign Trade Zone Operator Bond12 more rows Jan 11, 2022
Basically the B-17 bond is an all purpose bond covering liabilities of the EOU both under Customs and Central Excise Acts.
What is a Customs Bond? A legal contract, usually issued through a licensed Customs broker, between an importer, a Surety company and US Customs and Border Protection (CBP) that guarantees that the importer complies with Customs regulations.
The Bond value is fixed at 25% of the duty amount foregone on both domestic procurement as well as imported capital goods and duty foregone on three months projected requirements of raw materials and consumables (both imported and domestically procured).
The B-17 Bond covers different types of activities that includes transshipment of import /export goods between port of import/export and units premises; duty-free import/procurement from the original sources as per relevant notification and warehousing/storage in the unit; movement of duty-free goods for job work and