CASE STUDY / CONSUMER GOODS & RETAIL DISTRIBUTION
Cross-border duty optimization & tariff restructuring.
A North American CPG and retail distribution enterprise reduced annual duty and customs spend from $8.4M to $1.4M while improving the flow of goods through seven major ports of entry.
Led by Ricardo Osuna and Francisco García
Download the case study (PDF) ↓01 / THE PROBLEM
Margin pressure at every crossing.
Misaligned tariff classifications and underused trade preference programs contributed to more than $8.4M in annual import duties and customs fees. Inconsistent documentation and fragmented broker and 3PL workflows created border holds of 36 to 48 hours and an on-time delivery rate of 86%.
The enterprise also lacked standardized tariff controls and formal CTPAT/OEA supply chain security certifications, increasing its exposure to inspections and audits across US and Mexican trade corridors.
02 / THE APPROACH
Diagnose the trade flow. Rebuild the controls.
30-day rapid trade diagnostic
12-week implementation phase
Audit the classifications and gateways
The team reviewed tariff classifications across the SKU catalog, identified duty deferral and minimization opportunities, and evaluated broker performance, manifest accuracy, and clearance workflows across land, sea, and air gateways.
Restructure duties and documentation
Import classifications, USMCA preferences, and duty drawback programs were addressed alongside automated pre-manifest verification and customs broker KPIs. Documentation errors could be corrected before trailers arrived at the border.
Align security and cross-dock operations
Standard operating procedures were developed around CTPAT criteria for facilities, fleets, and cross-docks. More than 165,000 square feet of cross-dock capacity were re-engineered, supported by consignment inventory and safety stock models for continuous store replenishment.
03 / THE RESULTS
Lower cost. Faster clearance. Room to grow.
Annual duty and customs spend fell to $1.4M, delivering $7M in recurring annual savings. Average border clearance fell from 38 hours to under six, and on-time delivery increased to 98%.
The operation supported expansion from two to more than 350 retail locations as revenue scaled to $600M. Inventory record accuracy reached 100% across cross-dock facilities. The organization was prepared for CTPAT certification through stronger security procedures and controls.
FINANCIAL & OPERATIONAL RESULTS
Before and after.
| Metric | Before | After |
|---|---|---|
| Annual duty & customs spend | $8.4M USD | $1.4M USD |
| Average border clearance | 38 hours | Under 6 hours |
| On-time delivery | 86% | 98% |
| Inventory record accuracy | 92% | 100% |
| Retail footprint supported | 2 stores | 350+ stores |
Representative engagement from Crosslane leadership experience. Client identity is omitted. Figures are reported in the full case study (PDF).
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