Please read: this guide is general information, not legal or customs advice, and rates and examples are illustrative. Drawback claims must be completed within 5 years of the date of importation (19 U.S.C. 1313(r)). Destruction claims require destruction under CBP supervision with advance notice, and DrawbackIQ currently prepares unused-merchandise export claims only. Your licensed customs broker decides what can be filed.
Yes. Amazon sellers importing apparel into the US and selling internationally (or destroying returns) are among the most eligible candidates for duty drawback. Given that apparel duty rates are among the highest in US customs (14 to 18 percent base, plus Section 301), the refund amounts are substantial. Yet most Amazon apparel sellers have never pursued this claim.
Unlike footwear or consumer goods, apparel carries notably higher duty rates. This means higher refund amounts on the same import volume. An Amazon apparel seller with $1.5 million in annual imports and 40 percent international export has an estimated 5-year refund of approximately $475,200. This is found money most sellers are not aware exists.
An Amazon FBA seller imports $1.2 million in apparel annually at an average 16 percent duty. Forty-five percent of sales are through Amazon international fulfillment centers. The 5-year estimated refund is approximately $427,680 in refundable duties, assuming consistent patterns and eligible duty types.
Section 301 tariffs on Chinese apparel are typically 7.5 percent to 25 percent on top of base duties, depending on the product list. If you source apparel from China, Section 301 comprises a significant portion of your total duties. These are refundable at 99 percent when your apparel is exported or destroyed.
Apparel has high return rates on Amazon. Returned apparel that Amazon destroys as waste (rather than returns to you or allows resale) qualifies for destroyed merchandise drawback. Amazon will provide destruction records if requested. This is a hidden lever for many apparel sellers: the return rate is high, and destruction records exist; you just need to connect them to your import entries.
Your customs broker will need: (1) import entry numbers and duty amounts from CBP; (2) evidence of international sales (Amazon fulfillment center shipment records for international FBA, or international order data); (3) destruction records (Amazon waste reports if applicable); and (4) SKU or invoice matching. All of this is generated during your normal FBA operations.
Estimate your apparel seller refund.
Free EstimatorDrawbackIQ prepares claim packages for a licensed customs broker to file. DrawbackIQ is not a customs broker. This page is informational only.