Industry News
Importer Pleads Guilty to Smuggling Chinese-Origin Tires into the U.S.
TweetDec. 12, 2024
By:
Ashley J. Bodden

On December 6, 2024, Hector Samuel Esquijerosa, a Miami resident, pleaded guilty to conspiracy to smuggle merchandise into the United States by submitting falsified and fraudulent invoices to United States Customs and Border Protection. According to the United States Department of Justice, Mr. Esquijerosa owned and operated two Miami-based companies, Production Tire Company and Premier Trade Corporation, which specialized in importing tractor-trailer truck tires into the United States. Mr. Esquijerosa admitted that between September 2018 and January 2023, he conspired with brokers, suppliers, and wholesalers in China, Canada, and the United Kingdom to evade anti-dumping and countervailing duties on Chinese-made truck tires.
According to court documents, Mr. Esquijerosa and his co-conspirators concealed the true origin of the Chinese-origin truck tires by transshipping the merchandise through other countries such as Canada and Malaysia. In addition, Mr. Esquijerosa and his co-conspirators filed falsified and fraudulent documents to Customs to show that the Chinese-origin truck tires originated in countries other than China. The scheme also included the creation of invoices false invoices that undervalued the truck tires, which resulted in an excess of $1.9 million in loss of revenue to the United States. Mr. Esquijerosa now faces a maximum sentence of 5 years in prison and is set to be sentenced on February 24, 2025.
This highlights how serious the United States government takes the evasion of anti-dumping and countervailing duties. It goes without saying, importers, brokers, suppliers, and wholesalers should not falsify invoices or circumvent any anti-dumping or countervailing duty orders by transshipping the merchandise through a third country. It is important for companies as well as importers to know who they are working with and ensure that the information reported to Customs is accurate and supported by proper documentation. Customs fraud can, and will lead to prison time, don’t let it be you!
If you have any questions regarding import compliance, do not hesitate to contact any attorney at Barnes, Richardson & Colburn, LLP.