SUPPLY CHAIN EFFICIENCY PAINTS A BRIGHTER FUTURE
GLOBAL SUPPLIER OF MATERIAL FOR INDUSTRIAL TIRES RESOLVES CRITICAL DISPUTE WITH CUSTOMS AND BORDER PROTECTION SAVING THOUSANDS
Stellana, a division of Hexpol, experienced challenges navigating the complex customs compliance laws that almost cost them thousands in back fees and future duties. Jarrett stepped in to assist using two decades of experience to achieve duty-free classification so Stellana could focus on growing their brand.
Download the case study to learn how Jarrett:
- Offered in-house expertise on customs brokerage
- Managed imports and cross-border transportation
- Leveraged it's global network of service providers to strengthen their case with CBP
- Provided insights and consultation with a dedicated support team
Customer
Stellana, a division of HEXPOL, is a top global supplier of polyurethane, rubber, and thermoplastic wheels and tires for the material handling industry. Jarrett Logistics handles Stellana’s international and domestic shipments, including less-than-truckload, truckload, expedited and cross-border transportation. Jarrett has worked with Stellana and HEXPOL for 10 years, managing $22 million in combined freight.
The Challenge
Customs compliance is complex and constantly changing, requiring expert attention. Stellana had been importing a forklift wheel under the same tariff classification for years when U.S.
Customs and Border Protection (CBP) informed them that the product was incorrectly labeled. Instead of being duty-free, it should have been classified as a “bearing” with a 25% duty.
This mistake could cost Stellana thousands in back fees and future duties. After their compliance partner’s dispute with CBP failed, Stellana turned to their long-time transportation partner, Jarrett, for help with the final appeal. According to Stellana’s U.S. Materials Manager, Juan Varela, their partnership with Jarrett is a strategic effort to enhance supply chain efficiency and overcome logistical challenges.