The U.S. Department of Commerce is increasing each civil monetary penalty under Commerce’s jurisdiction for 2022 by 6.2%. The increases come into effect on January 15, 2022.1 Please note that the 2022 adjustments will apply to all civil penalties imposed after the effective date, including those whose associated violation occurred before January 15, 2022.
The adjustments are required by the Federal Civil Sanctions Inflation Adjustment Act 1990, as amended by the Debt Collection Improvement Act 1996 and amended by the Federal Civil Penalty Adjustment Act ‘civil sanctions inflation of 2015. Sanctions are increased based on cost- life adjustment, which is the percentage by which the Consumer Price Index (CPI) for the month of October 2021 exceeds the CPI for the month of October 2020.
International trade penalty increases include the following:
Bureau of Industry and Safety
- 50 USC 1705 (b), International Emergency Economic Powers Act (2007), maximum per violation from $ 311,562 to $ 330,947
- 50 USC 4819, Export Controls Act of 2018 (2018), maximum per violation of $ 308,901 to $ 328,121
Economic Analysis Office
- 22 USC 3105 (a), International Investment and Trade in Services Act (1990); failure to provide information, minimum of $ 4,876 to $ 5,179; maximum of $ 48,762 to $ 51,796
- 13 USC 304, Foreign Trade Statistics Collection (2002); each day of delinquency of an offense: maximum per offense not to be exceeded from $ 1,436 to $ 1,525; maximum per offense, from $ 14,362 to $ 15,256
- 13 USC 305 (b), Collection of Foreign Trade Statistics (2002), maximum per violation from $ 14,362 to $ 15,256
International trade administration
- 19 USC 81s, Foreign Trade Zone (1934), per violation maximum of $ 3,011 to $ 3,198
- 19 USC 1677f (f) (4), US-Canada Free Trade Agreement Protective Order (1988), maximum per violation of $ 216,628 to $ 230,107
National Technical Information Service
- 42 USC 1306c (c), Biparty Budget Act of 2013, minimum violation of $ 1,012 to $ 1,075; maximum total penalty for any person for any calendar year, excluding willful or intentional violations, from $ 252,955 to $ 268,694
1 Civilian Inflation Penalty Adjustments, 87 Fed. Reg. 157 (January 4, 2022).