Bonded Warehouse

Concept of Bonded Warehouse in Foreign Trade

A definition of Bonded Warehouse in relation with foreign trade is provided here: An approved private warehouse used for the storage of goods until duties or taxes are paid and the goods are properly released by CBP. Bonds must be posted by the warehouse proprietor and by the importer to indemnify the government if the goods are released improperly. Goods entering a bonded warehouse are included in General Imports but not Imports for Consumption. They are considered Imports for Consumption when they leave the bonded warehouse for domestic consumption.