By the SEMA Businesswomen's Network

 

Women-owned businesses and companies that focus on advancing women don't want to miss this opportunity to partner with the SEMA Businesswomen's Network (SBN) to host an engaging activation in its 2026 SEMA Show booth.

 

2026 SBN Booth Experience
Who Can Apply: Women-owned businesses and brands in the automotive aftermarket
What Booth Partners Will Do: Host demonstrations, workshops or creative activations in the SBN SEMA Show Booth 
Where/When: 2026 SEMA Show, Las Vegas, November 3-6
Application Deadline: Sunday, May 10  

 

 

To help deliver an unforgettable SEMA Show experience for women in the automotive aftermarket, the SEMA Businesswomen's Network (SBN) is inviting companies, brands and women-owned businesses to apply to become booth partners for 2026.
 

Spanning 20x30 sq. ft., the SBN booth is a high-traffic hub designed to showcase innovation, educate and celebrate the contributions of women across every segment of the automotive industry. To accomplish this goal, SBN is seeking partner companies to host interactive programming, hands-on workshops, live demonstrations, creator-focused content and meaningful networking.
 

Partner companies benefit from:
 

• High visibility within a major Show hall
• Shared traffic and energy generated by multiple activations
• Hands-on engagement opportunities with attendees
• Support from the SBN volunteer and leadership team
• A collaborative environment that elevates all partners
• A chance to give back while growing your brand presence

 

Eligibility Requirements
 

To ensure the booth has a strong presence of women-led education initiatives and showcases the contributions of women in the automotive aftermarket, partnering organizations must be:
 

• An active SEMA member company
• Female-owned or -operated
• Dedicated to supporting women in the automotive aftermarket
• Available during all Show hours to represent your company/organization at the booth
   

Apply today to become an SBN booth partner and benefit from increased brand visibility, a collaborative activation space and the support of a vibrant network of industry women.
 

To learn more about SBN, visit sema.org/sbn.  

 

By SEMA News Editors

 

 

If it's been a few years since attending the SEMA Show––first off, you've been majorly missing out––but secondly, you can expect a different experience upon arrival.

 

The Las Vegas Convention Center (LVCC), home to the SEMA Show, November 3-6, 2026, has completed a transformative renovation––one that goes far beyond a typical venue upgrade. It is a direct investment in the future of the SEMA Show experience.

 

Spanning 3.2 million sq. ft. across the Central, North and South Halls, the renovation introduces modernized infrastructure, enhanced acoustics, upgraded technology and a new 100,000-sq.-ft. Grand Lobby designed to improve flow, navigation and overall attendee comfort. The result: a more efficient, more connected and more dynamic environment for doing business at SEMA.

 

A Better SEMA Show Floor for Business

 

With improved layouts, advanced digital wayfinding and upgraded building systems, navigating the Show––and connecting with the right people––becomes easier and more intuitive.

 

 

Exhibitors will benefit from better visibility and smoother traffic flow, while attendees can spend less time navigating and more time discovering products, meeting partners and closing deals.

 

The reimagined Las Vegas Convention Center campus introduces several standout upgrades, including a modernized Central Hall Grand Lobby filled with natural light, anchored by a massive 75-by-42-ft. digital screen and additional displays that create new branding opportunities.

 

A climate-controlled interior concourse now connects the North and South Halls for seamless indoor navigation, while the redesigned South Hall adds a new east entrance, a state-of-the-art boardroom and updated administrative spaces, all tied together by the extension of the West Hall's signature ribbon roof for a more cohesive look across the venue.

 

These upgrades, paired with existing infrastructure like the LVCC Loop passenger stations, help everyone focus on business.

 

See It for Yourself at the 2026 SEMA Show

 

 

The SEMA Show always delivers unmatched access to the automotive aftermarket, and this year will be no different, other than a fully reimagined LVCC as the backdrop.

 

Exhibitors looking to maximize visibility and connect with qualified buyers should secure booth space early for the 2026 SEMA Show.

 

Attendees planning their visit can also expect a smoother, more engaging experience––registration opens May 4th. Mark the calendar and prepare to experience the upgraded venue firsthand.

 

The 2026 SEMA Show is set for November 3-6, in Las Vegas. Interested exhibitors can buy a booth and learn more at semashow.com/exhibitor. Attendee and buyer registration opens on May 4th; to sign up for notifications, visit here. For more information, visit semashow.com. SEMA Fest has been confirmed for Friday, November 6, 2026, and industry members will get the lowest rate on tickets when SEMA Show registration opens on May 4th. Sign up for updates.

 

By SEMA News Editors

 

 

If it's been a few years since attending the SEMA Show––first off, you've been majorly missing out––but secondly, you can expect a different experience upon arrival.

 

The Las Vegas Convention Center (LVCC), home to the SEMA Show, November 3-6, 2026, has completed a transformative renovation––one that goes far beyond a typical venue upgrade. It is a direct investment in the future of the SEMA Show experience.

 

Spanning 3.2 million sq. ft. across the Central, North and South Halls, the renovation introduces modernized infrastructure, enhanced acoustics, upgraded technology and a new 100,000-sq.-ft. Grand Lobby designed to improve flow, navigation and overall attendee comfort. The result: a more efficient, more connected and more dynamic environment for doing business at SEMA.

 

A Better SEMA Show Floor for Business

 

With improved layouts, advanced digital wayfinding and upgraded building systems, navigating the Show––and connecting with the right people––becomes easier and more intuitive.

 

 

Exhibitors will benefit from better visibility and smoother traffic flow, while attendees can spend less time navigating and more time discovering products, meeting partners and closing deals.

 

The reimagined Las Vegas Convention Center campus introduces several standout upgrades, including a modernized Central Hall Grand Lobby filled with natural light, anchored by a massive 75-by-42-ft. digital screen and additional displays that create new branding opportunities.

 

A climate-controlled interior concourse now connects the North and South Halls for seamless indoor navigation, while the redesigned South Hall adds a new east entrance, a state-of-the-art boardroom and updated administrative spaces, all tied together by the extension of the West Hall's signature ribbon roof for a more cohesive look across the venue.

 

These upgrades, paired with existing infrastructure like the LVCC Loop passenger stations, help everyone focus on business.

 

See It for Yourself at the 2026 SEMA Show

 

 

The SEMA Show always delivers unmatched access to the automotive aftermarket, and this year will be no different, other than a fully reimagined LVCC as the backdrop.

 

Exhibitors looking to maximize visibility and connect with qualified buyers should secure booth space early for the 2026 SEMA Show.

 

Attendees planning their visit can also expect a smoother, more engaging experience––registration opens May 4th. Mark the calendar and prepare to experience the upgraded venue firsthand.

 

The 2026 SEMA Show is set for November 3-6, in Las Vegas. Interested exhibitors can buy a booth and learn more at semashow.com/exhibitor. Attendee and buyer registration opens on May 4th; to sign up for notifications, visit here. For more information, visit semashow.com. SEMA Fest has been confirmed for Friday, November 6, 2026, and industry members will get the lowest rate on tickets when SEMA Show registration opens on May 4th. Sign up for updates.

 

By SEMA News Editors

 

 

The automotive aftermarket is entering a new phase––less volatile than the pandemic years, but no less complex.

 

The "2026 SEMA Future Trends and Industry Update" offers a clear-eyed look at what's changing across the economy, vehicle landscape and consumer behavior––and what it all means for automotive aftermarket businesses.

 

This article highlights some key takeaways, but it only scratches the surface. The full report dives deeper with data, forecasts and analysis designed to help businesses plan what's next.

 

 

A Return to "Normal"––But a Different Normal

 

After years of disruption, the specialty-equipment industry is stabilizing. Sales have reached $52.65 billion, with growth expected to settle into a more typical 3%–4% annual pace.

 

That doesn’t mean things are going back to the way they were.

 

Consumer demand remains strong, but it's navigating higher prices, elevated borrowing costs and ongoing uncertainty around tariffs and inflation. For aftermarket businesses, this creates a more balanced––but more competitive––environment.

 

What it means: Companies that focus on value, differentiation and service will be better positioned as the market normalizes.

 

The Consumer Balancing Act

 

Today's consumers are still spending––but not evenly.

 

On one end, affluent buyers continue to invest in premium upgrades and personalization. On the other, cost-conscious consumers are prioritizing essential maintenance and lower-cost improvements.

 

What it means: Successful businesses will need to serve both sides––offering premium innovation alongside practical, value-driven solutions.

 

Trucks, CUVs and an Aging Fleet Drive Opportunity

 

The vehicles Americans drive continue to define the aftermarket.

 

• Light trucks and CUVs now account for more than 80% of new vehicle sales.
• The total vehicle on the road has surpassed 295 million vehicles––and continues to grow.
• Vehicles are staying on the road longer than ever.

 

That combination is powerful.

 

A larger, older fleet translates directly into increased demand for repair, maintenance and personalization––core strengths of the aftermarket.

 

What it means: Product development and fitment strategies that align with trucks, crossovers and aging vehicles will remain critical.

 

EVs Slow, Hybrids Surge, ICE Stays Relevant

 

Electrification is still evolving––but not as quickly or as predictably as once expected.

• Electric vehicle (EV) adoption is slowing amid cost concerns and infrastructure challenges.
• Automakers are recalibrating investments.
• Hybrids are gaining traction as a practical middle ground.

 

Meanwhile, internal combustion engine (ICE) vehicles will remain a dominant force for years to come.

 

What it means: The aftermarket doesn't need to pivot overnight. ICE products remain essential, hybrid opportunities are growing and EV strategies can be more measured.

 

Financing Is Changing Ownership Cycles

 

Higher interest rates are reshaping how––and whether––consumers buy vehicles.

• New-vehicle rates hover around 7.6%.
• Used-vehicle rates are even higher, around 11.4%.
• Monthly payments exceeding $1,000 are increasingly common.

 

At the same time, tighter lending standards are pushing more buyers out of the new-vehicle market.

 

What it means: Vehicle owners are holding onto vehicles longer—creating sustained demand for aftermarket parts, upgrades and services.

 

ADAS: Opportunity Meets Complexity

 

Advanced driver assistance systems (ADAS) are no longer optional––they’re becoming virtually standard.

 

From automatic emergency braking to lane-keeping systems, these technologies are rapidly expanding across the vehicle fleet, with additional regulations on the horizon.

 

But they also introduce new challenges.

Even small modifications––lift kits, bumpers, lighting––can affect sensor performance, and there's still no universal standard across OEMs.

 

What it means: Aftermarket companies must invest in understanding ADAS integration, calibration and testing. Resources like SEMA Garage in Diamond Bar and Detroit are becoming essential tools for navigating this complexity.

 

A Market Full of Opportunity––If You Know Where to Look

 

Despite economic pressures and industry shifts, the fundamentals remain strong. Key opportunities include:

• A growing truck and CUV market.
• An aging vehicle fleet.
• Continued enthusiast engagement––especially among younger consumers.
• Expanding hybrid adoption.
• New product categories shaped by ADAS.

 

At the same time, challenges––from tariffs to technician shortages––require strategic planning and adaptability.

 

Get the Full Picture

 

The "2026 SEMA Future Trends and Industry Update Report" delivers far more than high-level insights. Inside, you'll find:

• Detailed charts and forecasts.
• Consumer behavior analysis.
• Segment-specific data.
• Deeper dives into the trends shaping your business.

 

In a market defined by change, staying informed isn't optional––it's a competitive advantage.

 

Access the full report to see what's next for the automotive aftermarket––and how to prepare for it.

 

 

SEMA's Market Research team provides information and insight to help SEMA members and the specialty auto aftermarket industry make better business decisions. Its focus is on providing reports, data and consultation to help companies understand the current market and state of consumers. Learn more at sites.sema.org/market-research.

 

By Ashley Reyes

 

 

Hot-rod business owners and professionals have limited time left to register for the SEMA Hot Rod Industry Alliance (HRIA) General Membership Meeting and Panel Discussion on "Building Your Future Workforce: Practical Hiring Pathways for Automotive Businesses."

 

 

Taking place Tuesday, April 28, at 10:00 a.m. PDT/1:00 p.m. EDT, this session will help automotive businesses strengthen their future workforce by understanding proven talent pathways, including hands-on training, certified education, and institutional college programs, as well as helping students and parents see that there is more than one road to success.

 

Moderated by Kevin Webb, the owner at Hot Rod Custom Garage, the session will feature panelists George Arrants, vice president at ASE Education Foundation; Cindy Barlow, director of industry relations at Wyotech; and Aaron Valencia, executive director and founder at the Lost Angels Career Center.

 

Together, they will help shop owners understand what students value today, how to communicate career progression clearly and how to build a culture that supports long-term retention and growth.

 

Discussion topics include:

• Talent pipeline challenges and growth strategies.
• Multiple entry ways into the industry.
• The early engagement and mentorship model.
• Profession and retention strategies.
• Aligning shop culture with next-generation workforce expectations.
• Action steps for partnership and hiring within 90 days.
• Executing a long-term industry-to-education vision.

 

Whether you're looking to attract, develop or retain the next generation of talent at your business, this event will help you understand the training pathways available today, how to connect with emerging talent and actionable steps you can take immediately to begin building a stronger workforce pipeline.

 

Save your seat for the virtual session.

 

By Ashley Reyes

 

One week remains to secure your spot for the SEMA Future Leaders Network (FLN) virtual Lunch and Learn, "Inside the Shop: An Automotive Shop Ownership Panel" on Thursday, April 30, at 10:30 a.m. PDT/12:30 p.m. EDT.
 

Running an automotive shop today takes more than technical skill; it demands business strategy, customer insight and the ability to adapt to an ever-changing industry. During this session, three shop owners from different corners of the automotive world will share what it really takes to build, grow and sustain a successful shop.
 

Moderated by Aly Oakley, sales at BrakeQuip, the session will feature panelists Tara Demuth, co-owner/general manager of R&S Truck Caps, Zack Hampton, co-owner of Chromotize, and Sara Morosan, vice president of LGE-CTS Motorsports. Together, they will discuss the foundational business elements required to own and operate an automotive aftermarket shop and build a culture within a business.
 

Key takeaways include:
 

• How to transition from an employee to an owner.
• Strategies for culture building and leadership development in business.
• What all goes into business ownership.
• Unique challenges of owning a shop in the automotive aftermarket.
• How to navigate trends in the automotive aftermarket.

Whether your goal is to own an automotive shop one day or you are new to shop ownership, this event is your opportunity to learn from current shop owners who run a shop day-to-day.
 

🎁 Bonus incentive: The first 20 SEMA members to register for the session in advance and attend the full webinar will receive an Uber Eats voucher to be used after the webinar through the following day.
 

Register here.

 

By SEMA News Editors

 

The Members Lounge at the SEMA Show is the perfect spot for industry members to regroup away from the busy SEMA Show floor.

 

Industry professionals already recognize the energy, deal-making and connections that define the SEMA Show in Las Vegas. Still, the savviest of them also know to elevate their Show experience with SEMA membership.

 

 

 

Real SEMA Show Perks for SEMA Members

 

Active SEMA members receive exclusive access and perks at the SEMA Show, including:

• Member Lounges: Take a moment off the Show floor with light refreshments and a calm place to recharge your mind, body and devices.
• Private Meeting Rooms: Impress and connect with colleagues and business partners in a quiet, professional setting off the Show floor.
• Networking Opportunities: Meet industry leaders and peers away from the busy Show floor.

 

The result is a more efficient and productive Show experience, helping members make the most of their trip to Las Vegas.

 

SEMA Membership Has Year-Round Business Benefits, Too

 

SEMA membership also opens the doors for aftermarket businesses seeking to elevate their brand with exclusive, valuable benefits, like discounts and partner offers, reducing everyday business expenses on shipping, insurance, software and more.

 

In addition, SEMA members stay ahead of industry trends with access to live and recorded webinars and workshops, plus industry data (including the sought-after Market Research reports).

 

SEMA membership also allows members to showcase their brands and connect with the right partners.

 

Make the Move: Join SEMA Membership Today

 

If the SEMA Show is where business begins, then SEMA membership is how it continues to grow. For owners, executives and key decision-makers, this is more than a typical membership program––it is a strategic advantage designed to help companies grow.

 

Businesses can explore how SEMA membership not only enhances the SEMA Show experience but also supports businesses year-round.

 

 

To learn more about SEMA and the services and discounts available to help drive your business to success, contact your Membership Team at 909-610-2030.

 

By SEMA News Editors

 

SEMA, in collaboration with Acura, revealed a one-of-one '26 Acura MDX Type S Overland Concept, showcasing how modern OEM platforms can be thoughtfully reimagined through purposeful aftermarket upgrades to support off-road and overland adventure--without sacrificing daily comfort and refinement.
 

Designed and built at the SEMA Garage in Los Angeles, the MDX Type S Overland Concept showcases the innovation and technical expertise of SEMA-member companies. By pairing Acura's high-performance SUV architecture with cutting-edge aftermarket components, the build demonstrates a growing shift in the enthusiast market: the desire for "go anywhere" capability without sacrificing refined "daily driver" performance.
 

"This project is a perfect example of SEMA's mission in action--bringing OEMs and the aftermarket together to explore what's possible," said SEMA Director of Vehicle Technology & Product Development Luis Morales. "The 2026 Acura MDX Type S Overland Concept shows how the aftermarket can responsibly and creatively expand vehicle capability while retaining the refinement and performance consumers expect from a premium OEM."
 

Redefining the Modern Adventure Vehicle

Built on the performance-focused foundation of the '26 Acura MDX Type S, the vehicle was transformed into an adventure-ready, overland-capable concept through the integration of off-road wheels and tires, functional lighting, cargo solutions and camping equipment. The build is intended as a design and engineering exercise--not a production vehicle--to inspire enthusiasts and demonstrate fitment, function and integration across a modern OEM platform.

 

Multiple SEMA-member aftermarket brands contributed components to the project, including:
 

• Baja Designs – XL Linkable Light Bar and Squadron Pro Ditch Lights
• Black Rhino – Voll Wheels (18x8.5 ET25)
• Falken – WildPeak A/T4W Tires (275/65R18)
• Inspired Overland – Overland Stargazer Duo Rooftop Tent
• NoLo Designs – Ditch Light Brackets
• Prinsu – Roof Rack
• RiG'd – UltraSwing Spare Tire Carrier

Each component was selected to support off-road durability, overland utility and cohesive visual integration--illustrating how aftermarket innovation can extend vehicle capability beyond its original design intent.
 

Built at the SEMA Garage

The vehicle was assembled at the SEMA Garage–Los Angeles, SEMA's OEM-agnostic facility dedicated to aftermarket testing, product development and advanced vehicle technology. The Garage provided the tools, expertise and environment necessary to develop and validate aftermarket solutions on the MDX Type S platform.
 

"Builds like this help SEMA and our members better understand new vehicle platforms and develop real-world solutions," said Morales. "It benefits the aftermarket, OEMs, and ultimately the enthusiast."
 

Public Debut at California's 2026 Acura Grand Prix of Long Beach

The 2026 Acura MDX Type S Overland Concept will made its public debut in the Acura display at the 2026 Acura Grand Prix of Long Beach, where attendees had the opportunity to see the one-off build up close. 
 

The SEMA Show: Where Aftermarket Trends Take Shape

At the 2025 SEMA Show, one standout trend was the growing number of performance-focused vehicles being outfitted for off-road and adventure use — a signal that enthusiasts increasingly want builds that don't fit neatly into a single category. While the MDX Type S isn't a supercar, this concept reflects the same go-anywhere mindset, translated into a premium SUV platform that many enthusiasts can realistically picture using every day.
 

Registration for the 2026 SEMA Show opens May 4, 2026. The Show remains the place where the industry gathers to spot what's next across trucks, SUVs, off-road, performance and lifestyle-driven builds.
 

For more information on SEMA, the SEMA Garage and OEM partnership programs, visit www.sema.org. For more information on the SEMA Show, visit www.semashow.com.

From the SEMA Washington, D.C., office

 

The U.S. Customs and Border Protection (CBP) has announced Phase 1 of its Consolidated Administration and Processing of Entries (CAPE) process for refunding International Emergency Economic Powers Act (IEEPA) tariffs. 
 

This first phase is narrow in scope: CBP will only accept CAPE declarations for entries that were liquidated within the preceding 80 days to ensure compliance with CBP's 90-day voluntary reliquidation period. 
 

• Through the CAPE Claim Portal, only the importer of record or its authorized broker(s) will be able to submit refund requests by uploading a CSV file listing eligible entries as described below.  Click here to read for information on the CAPE process.

Refund submissions will be subjected to a validation process and once validated, CAPE will remove IEEPA HTS numbers from covered entries, recalculate duties and support liquidation or reliquidation without the IEEPA duties, routing the refunds into CBP's Automated Commercial Environment (ACE) collections module for delivery with potential interest (if applicable). ACE is the United States's centralized digital system for processing imports and exports: cbp.gov/trade/automated.
 

Limited Start for Applying for IEEPA Refunds
 

Phase 1 of the IEEPA refund process only focuses on basic transactions and will not cover all entries on which IEEPA tariffs were paid. CBP will only accept CAPE declarations for entries that were liquidated within the preceding 80 days. The language from CBP suggests that importers will not be permitted to include "finally liquidated" entries in their Phase I refund declarations and will need to wait for a subsequent phase. 
 

In addition, CBP clarified certain other categories of entries that will not be accepted on a CAPE declaration during Phase 1:
 

• Entries flagged for reconciliation and Entry Type 09 – Reconciliation Summary entries
• Entries designated for drawback claims
• Entries covered by a protest
• Entries not filed in ACE and without a liquidation status in ACE
• Entries subject to antidumping and countervailing duties that have liquidation instructions

Following acceptance of a complete, validated CAPE refund declaration, and assuming no complicating issues, CBP still estimates there will be a 60 to 90‑day review period for even the most straightforward transactions. Subsequent phases of refund submissions are in process, but CBP has not released details on the next phases.
 

Preparing CAPE Refund Claims
 

To participate in the CAPE refund process, importers of record and their authorized customs brokers must have an ACE Secure Data Portal account and must ensure that bank account information for refund recipients is up to date in ACE. CAPE refund declarations must be filed in the ACE Portal by the importer or by the broker who originally filed the underlying entries, and refunds will be issued electronically.
 

Because CAPE is designed to handle refund requests in consolidated batches, importers should expect that refunds will not be immediate even once Phase 1 goes live and that CBP will likely prioritize submissions that pass automated validations and do not raise compliance concerns. The staged nature of CAPE means that importers may need to sequence their claims and maintain detailed tracking of which entries are included in each CAPE declaration, especially where multiple brokers or related entities are involved.
 

Compliance Risks When Filing CAPE Refund Claims
 

Each CAPE refund claim will require a certification by the importer that the entry summaries in the CAPE declaration comply with all applicable laws.  Importers, in advance, should identify risks posed by any historically non‑compliant entries before including those entries in a CAPE declaration, particularly where prior disclosures or internal reviews have not yet been completed. Companies with IEEPA-related supply chains may find that CAPE creates both an opportunity to recover material refunds and an obligation to reconcile past compliance gaps.
 

How to Prepare for IEEPA Refunds

Importers who paid IEEPA tariffs should consider the following measures:
 

1. Ensure that they have an account in CBP's ACE system
2. Establish an Automated Clearing House (ACH) link in ACE
3. Conduct a refund analysis and risk assessment.
4. Obtain import records/reports from ACE or your customs broker. Monitor United States imports for which IEEPA tariffs were paid and their liquidation status (e.g., unliquidated, liquidated but not yet final entries, and "finally liquidated" entries) and:
    

• Separate liquidated entries into two groups: (i) liquidated but not "final" entries that are within 80 days after liquidation (i.e., eligible for Phase 1) and (ii) entries more than 80 days past liquidation (which likely will need to be filed during a subsequent phase).
• Stay vigilant to preserve your right to refunds for IEEPA duties. For entries liquidated more than 90 days but less than 180 days, consider filing a protest with CBP. It is not clear, however, how such entries will be treated by subsequent CAPE phases. According to CBP's messaging, entries subject to a protest will not be eligible for Phase 1.
• For finally liquidated entries that are beyond the 180-day protest period, consider filing an appeal with the CIT before the end of the two-year statute of limitations from the date of entry. However, according to the Court's order on March 27, such entries are eligible for refund by CBP and will likely be included in a subsequent phase of CAPE.
   

For more information, contact SEMA Senior Director of Federal Government Affairs Eric Snyder at erics@sema.org.

 

Image courtesy of Shutterstock | Robert V Schwemmer

From the SEMA Washington, D.C., office

 

The U.S. Customs and Border Protection (CBP) has announced Phase 1 of its Consolidated Administration and Processing of Entries (CAPE) process for refunding International Emergency Economic Powers Act (IEEPA) tariffs. 
 

This first phase is narrow in scope: CBP will only accept CAPE declarations for entries that were liquidated within the preceding 80 days to ensure compliance with CBP's 90-day voluntary reliquidation period. 
 

• Through the CAPE Claim Portal, only the importer of record or its authorized broker(s) will be able to submit refund requests by uploading a CSV file listing eligible entries as described below.  Click here to read for information on the CAPE process.

Refund submissions will be subjected to a validation process and once validated, CAPE will remove IEEPA HTS numbers from covered entries, recalculate duties and support liquidation or reliquidation without the IEEPA duties, routing the refunds into CBP's Automated Commercial Environment (ACE) collections module for delivery with potential interest (if applicable). ACE is the United States's centralized digital system for processing imports and exports: cbp.gov/trade/automated.
 

Limited Start for Applying for IEEPA Refunds
 

Phase 1 of the IEEPA refund process only focuses on basic transactions and will not cover all entries on which IEEPA tariffs were paid. CBP will only accept CAPE declarations for entries that were liquidated within the preceding 80 days. The language from CBP suggests that importers will not be permitted to include "finally liquidated" entries in their Phase I refund declarations and will need to wait for a subsequent phase. 
 

In addition, CBP clarified certain other categories of entries that will not be accepted on a CAPE declaration during Phase 1:
 

• Entries flagged for reconciliation and Entry Type 09 – Reconciliation Summary entries
• Entries designated for drawback claims
• Entries covered by a protest
• Entries not filed in ACE and without a liquidation status in ACE
• Entries subject to antidumping and countervailing duties that have liquidation instructions

Following acceptance of a complete, validated CAPE refund declaration, and assuming no complicating issues, CBP still estimates there will be a 60 to 90‑day review period for even the most straightforward transactions. Subsequent phases of refund submissions are in process, but CBP has not released details on the next phases.
 

Preparing CAPE Refund Claims
 

To participate in the CAPE refund process, importers of record and their authorized customs brokers must have an ACE Secure Data Portal account and must ensure that bank account information for refund recipients is up to date in ACE. CAPE refund declarations must be filed in the ACE Portal by the importer or by the broker who originally filed the underlying entries, and refunds will be issued electronically.
 

Because CAPE is designed to handle refund requests in consolidated batches, importers should expect that refunds will not be immediate even once Phase 1 goes live and that CBP will likely prioritize submissions that pass automated validations and do not raise compliance concerns. The staged nature of CAPE means that importers may need to sequence their claims and maintain detailed tracking of which entries are included in each CAPE declaration, especially where multiple brokers or related entities are involved.
 

Compliance Risks When Filing CAPE Refund Claims
 

Each CAPE refund claim will require a certification by the importer that the entry summaries in the CAPE declaration comply with all applicable laws.  Importers, in advance, should identify risks posed by any historically non‑compliant entries before including those entries in a CAPE declaration, particularly where prior disclosures or internal reviews have not yet been completed. Companies with IEEPA-related supply chains may find that CAPE creates both an opportunity to recover material refunds and an obligation to reconcile past compliance gaps.
 

How to Prepare for IEEPA Refunds

Importers who paid IEEPA tariffs should consider the following measures:
 

1. Ensure that they have an account in CBP's ACE system
2. Establish an Automated Clearing House (ACH) link in ACE
3. Conduct a refund analysis and risk assessment.
4. Obtain import records/reports from ACE or your customs broker. Monitor United States imports for which IEEPA tariffs were paid and their liquidation status (e.g., unliquidated, liquidated but not yet final entries, and "finally liquidated" entries) and:
    

• Separate liquidated entries into two groups: (i) liquidated but not "final" entries that are within 80 days after liquidation (i.e., eligible for Phase 1) and (ii) entries more than 80 days past liquidation (which likely will need to be filed during a subsequent phase).
• Stay vigilant to preserve your right to refunds for IEEPA duties. For entries liquidated more than 90 days but less than 180 days, consider filing a protest with CBP. It is not clear, however, how such entries will be treated by subsequent CAPE phases. According to CBP's messaging, entries subject to a protest will not be eligible for Phase 1.
• For finally liquidated entries that are beyond the 180-day protest period, consider filing an appeal with the CIT before the end of the two-year statute of limitations from the date of entry. However, according to the Court's order on March 27, such entries are eligible for refund by CBP and will likely be included in a subsequent phase of CAPE.
   

For more information, contact SEMA Senior Director of Federal Government Affairs Eric Snyder at erics@sema.org.

 

Image courtesy of Shutterstock | Robert V Schwemmer