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Trade Remedies & Import Compliance

Tariff-Rate Quota

Also known as: TRQ, Import Quota, Quota

A tariff-rate quota is a two-tier duty mechanism that allows a set quantity of a product to enter at a low or zero 'in-quota' rate during a period, after which additional imports are charged a much higher 'over-quota' rate. Distinct from an absolute quota, which simply caps the quantity admitted, a TRQ never bars imports outright but makes them progressively expensive once the threshold fills. Common for agricultural goods such as sugar, dairy, and beef, TRQs require careful timing and monitoring of fill levels, since the same product can carry a very different landed cost depending on when in the quota period it arrives.

The JFS takeLicensed customs broker · Filer 82G

A TRQ is a race. The low in-quota rate applies until the quota fills, and then everyone pays the high rate — including the container that arrived an hour late. For quota-sensitive goods the arrival timing is a commercial decision, not a logistics detail, and it needs to be planned with the opening date in view.

Where it matters for compliance

  • Quota priority is set by the time of presentation, and popular quotas can fill within minutes of opening.
  • Entry summary timing and the readiness of the filing decide whether you make the quota.

Related terms

Tariff / DutyA tariff, or customs duty, is a tax levied by a government on goods as they are imported (and occasionally exported), calculated most commonly as a percentage of the customs value (an ad valorem duty), as a fixed charge per unit of quantity or weight (a specific duty), or as a combination of the two (a compound duty).Preferential TariffA preferential tariff is a reduced or zero duty rate that one country grants to goods originating in another under a free trade agreement or a unilateral preference program, in place of the standard rate applied to imports generally.

Reviewed by a licensed customs broker. Definitions are general information, not legal or customs advice for a particular shipment. Duty rates, tariff programs and agency requirements change frequently.