What is Section 337?

Section 337 of the Tariff Act of 1930 prohibits unfair methods of competition and unfair acts in the importation of goods, most commonly patent infringement, trademark counterfeiting, and trade secret misappropriation. The International Trade Commission (ITC) investigates Section 337 complaints and can issue exclusion orders (banning infringing imports), cease and desist orders, and other relief. Section 337 investigations move faster than federal court patent litigation and have the advantage of applying at the border — CBP enforces exclusion orders by preventing infringing goods from entering the country.

Section 337 deals with intellectual property enforcement, not tariff rates. It does not directly affect CAPE refund eligibility. However, goods subject to a Section 337 exclusion order are banned from import entirely, which is a much more severe consequence than a tariff surcharge.