A Continuous Customs Bond, also known as an Annual Bond or a Continuous Transaction Bond, is a type of customs bond that is valid for a period of one year from the date of issuance. Unlike a single transaction bond that covers only one specific shipment, a continuous bond covers all of an importer’s shipments during that one-year period.
This type of bond simplifies the import process by eliminating the need for importers to purchase separate bonds for each shipment. It also offers more flexibility since it automatically renews annually unless canceled by the importer, the surety, or U.S. Customs and Border Protection (CBP).
A continuous customs bond ensures that the importer fulfills their obligations with CBP regarding the payment of duties, taxes, and fees as well as adherence to applicable laws and regulations. It consists of a legal agreement between the importer (principal), the surety company (guarantor), and CBP (obligee). If an importer fails to meet their obligations, the surety company is liable for the outstanding duties, taxes, fees, or penalties.

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