Press Release

U.S. Customs and Border Protection Announces Interim Measures to Combat Duty Evasion in Trade Case on Low-Speed Personal Transportation Vehicles from China

March 30, 2026

Washington, DC – U.S. Customs and Border Protection (CBP) announced today that it is implementing interim measures under the Enforce and Protect Act (EAPA) to address duty evasion by importers of Chinese golf carts, personal transportation vehicles, low-speed vehicles, and light utility vehicles (collectively, LSPTVs). CBP’s interim measures apply to many of the largest importers of Chinese LSPTVs, including ICON EV LLC, Denago EV Corporation, Marxon Energy Inc, HDK Plastic Factory, Ltd. (U.S.A.), Aero Import LLC, Tao Motor Inc, Transvolt Inc., Veloz Powersports Inc., No Speed Limit Inc., Baike Inc., Alltrack Trading Inc., and GoLabs Inc. These importers cover many of the largest U.S. brands of Chinese LSPTVs, including the Denago and Evolution brands.

As part of its determination, CBP finds that there is reasonable suspicion that these companies are unlawfully evading payment of significant antidumping duties (AD) and countervailing duties (CVD) through various evasion and circumvention schemes. As a result, CBP is implementing interim measures that will extend and suspend liquidation of unliquidated entries of LSPTVs entered by these companies. CBP will also reject entries made by these companies on or after December 30, 2025, and require them to refile those entries as subject to the AD/CVD duties. CBP will further require live entry of such imports going forward at the applicable AD/CVD rates.

These interim measures are critical steps in curbing rampant duty evasion by Chinese producers of LSTPVs. In June 2024, the American Personal Transportation Vehicle Manufacturers Coalition, which is comprised of the two leading U.S. manufacturers of LSPTVs – Club Car, LLC and Textron Specialized Vehicles Inc., which manufactures E-Z-GO® and Cushman® vehicles – filed AD/CVD petitions seeking trade relief from surging import volumes of unfairly traded Chinese LSPTVs. Throughout the pendency of that investigation, Chinese producers and their U.S. importers began flagrantly evading the preliminary trade relief imposed. And after the U.S. Department of Commerce published its AD/CVD orders in August 2025, the circumvention and evasion efforts of these same companies increased further. This has greatly limited the relief that should be afforded to the domestic industry by the AD/CVD orders

Under the orders, imports of LSPTVs from China are subject to significant AD/CVD duties. Antidumping duties range from 119% to 478%, and countervailing duties range between 31% and 679%. However, through the evasion and circumvention schemes that CBP is investigating, many Chinese LSPTVs have not been paying duties when they are entered into the United States.

CBP’s announcement comes after the Coalition submitted several EAPA allegations to CBP. EAPA is a key trade enforcement mechanism that allows domestic manufacturers and other interested parties to inform CBP when importers are evading duties, which robs the United States of tariff revenue and prevents the trade relief intended by AD/CVD orders from taking effect.

“We are grateful that CBP is imposing these interim measures and addressing the widespread duty evasion that remains ongoing regarding these AD/CVD orders,” said Robert E. DeFrancesco, counsel to the Coalition and a partner in the International Trade Practice at Wiley Rein LLP. “We hope that CBP continues to strongly enforce these much-needed orders, ensuring that members of the domestic industry receive the intended protection from unfair trade practices.”

“E Z GO believes fair competition only works when everyone plays by the same rules,” said Adam Harris, Senior Vice President and General Manager of E Z GO. “Today’s action addresses clear concerns that certain imported vehicles are avoiding duties required under U.S. law. That kind of behavior hurts customers and dealers and undermines American manufacturers who do the right thing by investing in safety, quality, and compliance. We support Customs and Border Protection’s enforcement efforts and expect a swift, transparent process that holds violators accountable and protects a fair marketplace.”

“Club Car supports U.S. Customs and Border Protection's decision to open an EAPA investigation into the evasion of imported cars and assemblies that have entered the U.S. marketplace,” said Craig Scanlon, Club Car’s Chief Executive Officer. “For too long, unfairly traded and unsafe cars and assemblies have undercut American manufacturers and threatened American jobs. We believe strong enforcement of U.S. trade laws is essential to protecting families, workers, and businesses. Club Car remains committed to U.S. manufacturing and fair competition.”

With interim measures in place, CBP will continue investigating duty evasion by Denago, Evolution, ICON, and the rest of the importers listed above. CBP will likely issue its final determination as to evasion for these companies near the end of 2026. The Coalition will continue to participate in these proceedings and looks forward to the results of CBP’s investigation. The Coalition will also continue to monitor foreign manufacturers and U.S. importers for evidence of illegal duty evasion, absorption, transshipment or circumvention, all of which are illegal under the U.S. trade laws.

For more information, please contact:

Robert E. DeFrancesco, III
RDeFrancesco@wiley.law
202-719-7473

Derick G. Holt
DHolt@wiley.law
202-719-7479

Read Time: 4 min

Contact

Sarah Richmond
Director of Communications
202.719.4423
srichmond@wiley.law 

Jump to top of page

Wiley Rein LLP Cookie Preference Center

Your Privacy

When you visit our website, we use cookies on your browser to collect information. The information collected might relate to you, your preferences, or your device, and is mostly used to make the site work as you expect it to and to provide a more personalized web experience. For more information about how we use Cookies, please see our Privacy Policy.

Strictly Necessary Cookies

Always Active

Necessary cookies enable core functionality such as security, network management, and accessibility. These cookies may only be disabled by changing your browser settings, but this may affect how the website functions.

Functional Cookies

Always Active

Some functions of the site require remembering user choices, for example your cookie preference, or keyword search highlighting. These do not store any personal information.

Form Submissions

Always Active

When submitting your data, for example on a contact form or event registration, a cookie might be used to monitor the state of your submission across pages.

Performance Cookies

Performance cookies help us improve our website by collecting and reporting information on its usage. We access and process information from these cookies at an aggregate level.

Powered by Firmseek