Importing paper bags from India into the US has become significantly more complex since 2024. Three separate trade-policy actions now stack on top of each other: the 2024 antidumping and countervailing duty orders on paper shopping bags, and a 10% Section 301 forced-labor tariff on all Indian goods that took effect July 24, 2026. This guide covers everything a US importer needs to know: HTS classification, the full current duty stack, the AD/CVD orders, FDA food-contact requirements, ISF filing, and a worked landed-cost example. Rates verified: October 2026. Always confirm current rates with a licensed customs broker before importing.
1. HTS Classification: which code applies to your bags
Most paper shopping bags from India fall under Chapter 48, heading 4819. The correct 10-digit code depends on the base width of the bag — not the handle type or the market it's sold into.
| HTS Code | Description | Base width | Typical bags |
|---|---|---|---|
| 4819.30.0040 | Sacks and bags, base width ≥ 40 cm, other | ≥ 40 cm (≥ 15.75″) | Large retail shopping bags, large twisted-handle carrier bags |
| 4819.40.0040 | Other sacks and bags, other | < 40 cm (< 15.75″) | Small and medium carry bags, boutique bags, luncheon bags, gift bags |
| 4819.40.0020 | Multiwall sacks and bags | Any | SOS / self-opening-sack grocery bags, multiwall industrial sacks |
The base-width split between 4819.30 and 4819.40 is well-established in CBP rulings. Measure the flat width of the bag's base panel (not the gusset). A typical medium retail bag — say, 10 × 4 × 13 inches — has a 10-inch (25 cm) base, placing it in 4819.40.0040. A large department-store bag with a 17-inch base would be 4819.30.0040.
SOS bags (self-opening sacks) generally classify under 4819.40.0020 (multiwall sacks) rather than 4819.40.0040, because they have no handle. This distinction matters: the 2024 AD/CVD orders cover bags with handles, so SOS bags are likely outside AD/CVD scope (see Section 3). SOS bags do still pay the 10% Section 301 duty. Confirm classification with your customs broker on the first shipment.
Verify the current HTS text and any amendments at hts.usitc.gov — the USITC updates the schedule annually. Your customs broker will file the 10-digit code on CBP Form 7501.
2. The Full Duty Stack on Indian Paper Bags (October 2026)
As of October 2026, a US importer of paper bags from India pays three separate charges on top of each other, all calculated on the FOB transaction value:
| Charge | Rate | Basis | Applies to |
|---|---|---|---|
| MFN / Column 1 duty | Free | HTSUS 4819.30.0040 / 4819.40.0040 | All Indian paper bags |
| Section 301 forced-labor tariff | 10% | HTSUS 9903.05.44; USTR 91 FR 47318, July 28, 2026 | All products of India, including paper bags (HTS 4819 is not in the exemption list) |
| AD cash deposit (A-533-917) | 1.20% all-others | 89 FR 58334; effective July 10, 2024 | Paper bags with handles only; SOS bags likely excluded |
| CVD cash deposit (C-533-918) | 3.39% country-wide | 89 FR 45834; effective May 24, 2024 | Paper bags with handles only; SOS bags likely excluded |
| Total (for in-scope handle bags, all-others) | ~14.59% | 10% + 1.20% + 3.39% | — |
| Total (SOS / handleless bags) | ~10% | Section 301 only; no AD/CVD | — |
The 10% Section 301 forced-labor duty is applied under HTSUS heading 9903.05.44 and stacks on top of AD/CVD — it is not alternative or conditional. Paper bags (HTS chapter 48) have no country-specific exemption for India, and are not in the general exemption list (which covers items such as tea, pharmaceuticals, and goods subject to Section 232 steel/ aluminum duties). Confirm with your broker on the day of entry that no new exemption notice has been published.
Note on IEEPA and Section 122 (history): Additional US tariffs on India under IEEPA (executive-order-based tariffs reaching 50% at their peak) ended February 24, 2026, after the Supreme Court struck them down. A 10% Section 122 surcharge applied from February 24 to July 24, 2026. Both have since expired; they are not part of the current duty stack.
3. Antidumping and Countervailing Duty Orders (2024)
The AD/CVD orders are product-specific (paper shopping bags with handles) and apply in addition to the 10% Section 301 tariff described above. They are enforced by CBP at the time of entry.
What is covered
The scope covers paper shopping bags with handles of any type: twisted paper, flat paper, die-cut, yarn, ribbon, rope, string, or plastic handles — all in scope. Other parameters:
- Made from kraft paper or any cellulosic fiber, paperboard, or pressboard with basis weight under 300 GSM
- Minimum dimensions: base width ≥ 4.5 inches, depth ≥ 2.5 inches
- Applies regardless of color, printing, or finish
- Both HTS 4819.30.0040 and 4819.40.0040 are cited in the orders
What is excluded from AD/CVD
- Bags without handles — SOS bags and other handleless sacks are outside scope based on the scope definition (note: these still pay the 10% Section 301 duty)
- 1/6 or 1/7 barrel-size bags with flat paper or die-cut handles (standard grocery checkout "T-shirt equivalent" paper sacks)
- Bags with die-cut handles, paper weight under 86 GSM, and height under 11.5 inches
If you are uncertain whether a specific product falls within scope, you or your broker can request a scope ruling from the Department of Commerce (the authoritative path) or seek a binding ruling from CBP.
Cash deposit rates — India (handle bags)
| Order type | Case number | Federal Register | All-others cash deposit rate | Effective date |
|---|---|---|---|---|
| Antidumping (AD) | A-533-917 | 89 FR 58334, July 18, 2024 | 1.20% | July 10, 2024 |
| Countervailing duty (CVD) | C-533-918 | 89 FR 45834, May 24, 2024 | 3.39% | May 24, 2024 |
| Combined AD+CVD | — | — | ~4.59% | — |
2024–2025 administrative review (preliminary, October 2026): Commerce published preliminary results in the first administrative review of A-533-917 (91 FR 64140, October 7, 2026). The two individually examined companies — Ckaari Packaging (1.23%) and Velvin Paper Products (3.01%) — and non-individually examined companies (2.44%) all received preliminary margins above the original all-others 1.20% rate. Final results are expected mid-2027. If your supplier is under review, their cash deposit rate may change retroactively upon liquidation.
One notable exception: Aeroplast Packaging Solution Pvt. Ltd. and related companies were excluded from the India AD order per a correction notice (FR 2024-16236, July 24, 2024). This zero rate applies only when Aeroplast is both producer and exporter.
How to look up rates and verify your supplier
- ITA ACCESS database at
access.trade.gov— Commerce's case records, including company-specific rates from each review - Federal Register at
federalregister.gov— search "A-533-917" or "C-533-918" for all notices, preliminary results, and final rates - Your customs broker can pull the active cash deposit rates directly from CBP's ACE system for any specific exporter/producer combination
India versus other sourcing countries
The same 2024 investigation covered eight countries. The Section 301 forced-labor tariff also applies to Malaysia and Vietnam but not to China (China's Section 301 is the 2018–2019 tech-tariff action under 9903.88.xx, which is separate). The comparison below uses the AD/CVD orders only; add 10% Section 301 to all except China when comparing total duty burden (China carries its own 301 in a different bracket).
| Country | AD case / rate | CVD case / rate | AD+CVD only | Sec. 301 forced labor | Total approx. |
|---|---|---|---|---|---|
| India | A-533-917 / 1.20% | C-533-918 / 3.39% | ~4.59% | 10% (9903.05.44) | ~14.59% |
| Malaysia | A-557-825 / ~3.18% | None | ~3.18% | 10% (Malaysia is also covered) | ~13.18% |
| Vietnam | A-552-836 / 92.34% entity | None | 92.34% | 12.5% (Vietnam is in higher tier) | >100% |
| China | A-570-135 / high rates | C-570-136 | Very high | 2018–2019 301 (9903.88.xx, separate) | Very high |
With the 10% Section 301 applied equally to India and Malaysia, the relative competitive advantage of sourcing from India vs. Malaysia narrows to the AD/CVD differential. India's ~4.59% AD+CVD versus Malaysia's ~3.18% AD means India now carries roughly 1.4% more in total duty than Malaysian suppliers — but India has far more exporters at scale, deeper manufacturing capacity, and a well-established supply chain for US buyers. Vietnam and China remain effectively priced out of the US shopping bag market.
4. The China Section 301 Tariffs: Not Applicable to India
The Section 301 tariffs imposed on China in 2018–2019 (HTSUS Chapter 99, headings 9903.88.xx) are China-specific and do not apply to India. These are commonly called "the Section 301 tariffs" in trade press, but they are a separate action from the 2026 forced-labor tariffs described in Section 2.
The 2026 forced-labor Section 301 action (9903.05.44, 10%) is the relevant measure for India. It is not the same as the China tariffs, and it is confirmed active on Indian paper bags as of July 24, 2026.
US-India trade framework: The US and India announced a framework for an Interim Agreement on February 6, 2026, which would set an 18% reciprocal rate on most Indian goods. As of October 2026, this agreement is not yet in force; the 10% Section 301 rate applies in the meantime. Monitor USTR announcements for any changes.
5. FDA Food-Contact Requirements
Paper bags are not a regulated food product under the Federal Food, Drug, and Cosmetic Act — FDA prior notice (the Bioterrorism Act requirement) applies to food articles, not to packaging imported separately from food. No FDA import notification is required for paper bags.
However, paper bags that will contact food — SOS bags, deli bags, grease-resistant food bags — must comply with 21 CFR Part 176 (Indirect Food Additives: Paper and Paperboard Components). The key subparts:
- 21 CFR §176.170 — Components in contact with aqueous and fatty foods (most food-service bags). Requires compliance with extractives limits tested against food-simulating solvents.
- 21 CFR §176.180 — Components in contact with dry foods (standard kraft grocery bags). Simpler compliance path.
In practice: ask your Indian supplier for a food-contact compliance declaration stating that all paper, coatings, adhesives, and wet-strength agents used comply with 21 CFR Part 176. A reputable manufacturer will have this on file.
Grease-resistant bags: If the bags use PFAS (per- and polyfluoroalkyl substance) coatings for grease resistance, note that FDA voluntarily withdrew three PFAS compounds from food-contact use in 2020, and several US states (including California) have enacted PFAS-in-packaging laws. Confirm your supplier does not use PFAS-based coatings, or that they use an approved fluorine-free alternative.
CPSC: No Consumer Product Safety Commission certificate of conformity is required for paper bags. There are no applicable CPSC safety standards for paper shopping bags.
6. ISF and Entry Documents
All containerized ocean shipments entering the US require an Importer Security Filing (ISF, also called "10+2") under 19 CFR Part 149. The importer of record (or their licensed customs broker or freight forwarder acting as agent) must file the 10 data elements 24 hours before cargo loading at the foreign port — not 72 hours before vessel departure. Failure to file on time carries $5,000 in liquidated damages per violation.
The 10 importer elements are: seller, buyer, importer of record, consignee, manufacturer/supplier, ship-to party, country of origin, HTS number (6-digit minimum), container stuffing location, and consolidator. Container stuffing location and consolidator may be updated up to 24 hours before the vessel's first US port arrival.
Standard document set for a paper bag shipment
| Document | What it must include for paper bags |
|---|---|
| Commercial invoice | Seller and buyer, date, PO number, product description, country of origin (India), HTS code, quantity (units and kg), unit price, total value, Incoterms, manufacturer name and address (required for AD/CVD rate assignment) |
| Packing list | Cartons per SKU, units per carton, net and gross weights, carton dimensions |
| Bill of lading | Consignee, notify party, ports, container and seal numbers, cargo description |
| CBP Form 7501 (Entry Summary) | Filed by your broker within 10 working days of cargo release; AD/CVD cash deposits and Section 301 duty declared and paid here |
| Customs bond | A continuous bond ($50,000 minimum) or single-entry transaction bond; required for all commercial imports |
| AD/CVD declaration | Manufacturer and exporter must be declared to CBP so the correct rate (all-others or company-specific) is applied |
No additional certificates are required for standard paper bags: no FDA import alert, no phytosanitary certificate, no CPSC conformity certificate. For food-contact bags, have your supplier's 21 CFR Part 176 compliance declaration available in case CBP requests documentation.
7. Landed Cost: Worked Example
The example below uses a 40-foot high-cube container of medium twisted-handle kraft bags (approx. 200,000 units) shipped from Nhava Sheva to the Port of New York/Newark. This reflects the current October 2026 duty stack including the 10% Section 301 forced-labor tariff. Adjust the FOB price and freight for your actual specification and routing.
| Cost component | Estimate | Notes |
|---|---|---|
| FOB India (200,000 bags) | $20,000–$40,000 | ~$0.10–$0.20/bag; varies with GSM, size, printing, and volume |
| Ocean freight (40′HC, India → US East Coast) | $3,500–$6,000 | 2026 market estimate; rates vary with season and carrier |
| Marine insurance (~0.5% of cargo value) | $100–$200 | |
| CBP duty basis (transaction value ≈ FOB) | $20,000–$40,000 | CBP uses FOB-equivalent transaction value, not CIF |
| MFN duty (Free) | $0 | India NTR/MFN; base rate is Free for 4819.30 / 4819.40 |
| Section 301 forced-labor tariff (10% × FOB) | $2,000–$4,000 | HTSUS 9903.05.44; all products of India since July 24, 2026; paper bags not exempt |
| AD cash deposit (1.20% × FOB) | $240–$480 | A-533-917 all-others rate; 2024–2025 review preliminary at 2.44% — verify current rate |
| CVD cash deposit (3.39% × FOB) | $678–$1,356 | C-533-918 country-wide rate; verify current rate |
| ISF filing fee | $50–$75 | Standard broker charge |
| Customs broker entry fee | $250–$500 | Typical formal entry |
| Merchandise processing fee (~0.35% × FOB) | $70–$140 | CBP MPF; minimum $34.58, max $670.86 per entry (FY2027 limits) |
| Harbor maintenance fee (0.125% × cargo value) | $25–$50 | Ocean shipments to US ports |
| Port / terminal handling, drayage | $500–$1,500 | Port of NY/NJ charges vary significantly |
| Total estimated landed cost | $27,000–$54,000 | For a $30,000 FOB shipment: roughly $39,000–$41,000 (vs. ~$37,000 pre-July 2026) |
| Per-bag landed cost | $0.14–$0.22 | On 200,000 bags at mid-range |
AD and CVD cash deposits are paid upfront but are not final — Commerce adjusts them in annual administrative reviews. Importers may receive refunds or additional bills after liquidation, which can occur months or years after entry. The Section 301 duty is not subject to administrative review; it is collected as a fixed additional duty and is not refunded unless USTR removes or exempts the product.
IEEPA refunds: If your company imported Indian goods between August 2025 and February 2026 and paid IEEPA tariffs (up to 50% at peak), those are being refunded through CBP's CAPE process. Only the importer of record can claim. Ask your customs broker whether you have pending refunds.
8. Getting the Import Right: Practical Checklist
- Classify your bags before ordering. Confirm the 10-digit HTS with your broker. The base-width split (4819.30 vs 4819.40) matters for both the AD/CVD scope and statistical reporting.
- Budget for the full 14.59% duty stack on handle bags. The 10% Section 301 + 4.59% AD/CVD add up. For SOS bags and handleless formats, budget 10% Section 301 only.
- Identify your supplier's AD/CVD rate. Ask the manufacturer whether they have been individually reviewed by Commerce (A-533-917 / C-533-918). The 2024–2025 review preliminary placed non-selected companies at 2.44%; final rates come mid-2027. Check
access.trade.govor ask your broker. - Include manufacturer and exporter on the commercial invoice. CBP needs both to assign the correct AD/CVD rate. A generic "J K Industries, India" is sufficient for an unreviewed exporter.
- File ISF 24 hours before cargo loading. Your freight forwarder should handle this; confirm they have the manufacturer name, HTS code, and country of origin ready.
- For food-contact bags, get a 21 CFR Part 176 declaration. Request this from the manufacturer at the quotation stage.
- Engage a licensed customs broker. AD/CVD entries with stacked Section 301 duties are complex. A broker with experience in textile/packaging AD/CVD is worth the fee.
Want FOB pricing on a specific specification? Send your bag format, dimensions, GSM, and quantity through our quote form — you'll receive FOB pricing, carton dimensions, and container utilization within 24 hours on business days. For the general import process (sampling, payment, timeline), see our complete importing guide.
Sources and further reading
- USITC Harmonized Tariff Schedule — current HTS text and rates
- Federal Register — search "A-533-917", "C-533-918", or "2026-15181" for all AD/CVD and Section 301 notices
- ITA ACCESS (access.trade.gov) — company-specific AD/CVD rates and administrative records
- USTR Section 301 forced-labor action (July 2026) — source for India 10% rate
- 21 CFR Part 176 (eCFR) — FDA indirect food additives: paper and paperboard
- CBP ISF guidance — Importer Security Filing (10+2)