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Last Updated:|Reflects current CBP import bond requirements
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CBP Activity Code 1 - Standard Continuous Bond

Customs General Continuous Bond

The workhorse bond of international trade. If you import goods into the United States more than a couple of times a year, you need an Activity Code 1 continuous bond. It covers your duty obligations at every U.S. port of entry for 12 months.

Minimum Bond
$50,000
Or 10% of annual duties
Annual Premium
$250+
0.5-2% of bond amount

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Federal Bond Requirements Under 19 CFR

Official CBP Requirements

"Any person who is required to give a bond under any law or regulation administered by CBP may give a continuous bond that covers all transactions, including the importation of merchandise."
U.S. Customs and Border Protection • 19 CFR 113.12 - Continuous Bond

Official CBP Requirements

"The principal agrees to pay duties, taxes, and charges legally fixed by CBP, on any merchandise imported, entered, or withdrawn by the principal."
U.S. Customs and Border Protection • 19 CFR 113.62 - Basic Importation Bond Conditions

Every importer of record in the United States must either post a bond or deposit cash before CBP will release merchandise. For anyone importing regularly, a continuous bond is the standard approach. It was designed so that importers do not have to scramble for individual bonds every time a container hits the dock. Your customs broker files the bond electronically through the Automated Commercial Environment (ACE), and CBP approves it at the National Finance Center in Indianapolis.

Continuous Bond vs. Single Entry: Cost Analysis

Single Entry Bonds

$100-$500
Per Shipment
  • One import transaction only
  • New bond required for each entry
  • Can delay cargo release
12 Shipments/Year
$1,200-$6,000
BEST VALUE

Continuous Bond

$250-$1,000
Per Year (all shipments)
  • Unlimited entries at all ports
  • No per-shipment delays
  • Simplifies customs clearance
Break-even at 3-4 shipments
$250-$1,000

Who Needs a Continuous Customs Bond?

E-commerce Sellers

Importing products from overseas manufacturers for sale on Amazon, Shopify, or your own online store

Manufacturers

Bringing in raw materials, components, and subassemblies for domestic production

Wholesale Distributors

Importing finished goods from international suppliers for domestic distribution

Retailers

Direct import programs for store merchandise, seasonal goods, and private label products

Auto Parts Importers

Aftermarket parts, OEM components, and accessories from foreign manufacturers

Food and Beverage Importers

Specialty foods, ingredients, and beverages subject to FDA and CBP requirements

Frequently Asked Questions

How does a continuous bond differ from a single entry bond?
A continuous bond covers all your import transactions at all U.S. ports for a 12-month period with a single annual premium. A single entry bond covers one specific shipment and expires after that transaction clears. If you import more than twice a year, a continuous bond is almost always cheaper. At $250-$1,000 per year versus $100-$500 per shipment, the math is simple.
What is Activity Code 1 and why does it matter?
Activity Code 1 is the CBP designation for an importer or broker continuous bond. It is the most common type of customs bond and covers the basic obligation to pay duties, taxes, and fees, comply with customs laws, and present merchandise for examination. Your bond is filed electronically with CBP through the Automated Commercial Environment (ACE) system using this activity code.
Can CBP increase my bond amount after it is issued?
Yes. CBP monitors your import activity and can issue a bond insufficiency notice requiring you to increase your bond amount. This typically happens when your import volume or duty payments grow beyond what the current bond covers. You have 30 days to respond with a new or amended bond. Failing to comply can result in CBP holding your shipments until adequate bond coverage is in place.
What is the effective date and how does renewal work?
Your continuous bond is effective from the date CBP accepts it and runs continuously until terminated. Despite the term "annual," the bond does not automatically expire. Your surety company bills you an annual premium. If you do not pay the renewal premium, the surety can cancel the bond with 30 days written notice to CBP. During that 30-day window, the bond still covers your entries.
Do I need a bond if I use a customs broker?
Yes. Your customs broker has their own bond (Activity Code 2) that covers their brokerage obligations, but it does not cover your duty liability as the importer of record. You need your own Activity Code 1 continuous bond or single entry bonds for each shipment. Some importers mistakenly think their broker covers them, but this is not the case under 19 CFR 113.
What does the bond actually guarantee to CBP?
Under 19 CFR 113.62, the bond guarantees that you will: pay all duties, taxes, and fees when demanded by CBP; present merchandise for examination if requested; comply with all customs laws and regulations; maintain records and make them available to CBP; and report any act or omission constituting a breach of the bond conditions.

Related Customs Bonds

Customs Continuous Reconciliation Bond

For importers who flag entries for post-entry duty adjustments

Customs Single Entry Bond

Per-shipment bonds for occasional or one-time imports

Transportation Broker Bond

FMCSA freight broker authority bonds

Written by BuySuretyBonds.com
Surety bond specialists operating nationwide with direct integrations to Treasury-certified surety carriers. Our platform enables instant approval for license and notary bonds, with 24-48 hour underwriting for commercial bonds. All content is researched from official state and federal sources (.gov) and reviewed by bond industry experts.

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