Home / Business and Economy / Wanxiang Settles Tariff Dispute for $30M+ Penalties
Wanxiang Settles Tariff Dispute for $30M+ Penalties
19 Dec, 2025
Summary
- Wanxiang America agreed to a settlement with the Justice Department.
- The settlement concludes nearly 10 years of litigation.
- The U.S. government recovered all sought revenue plus $30 million.
The U.S. Justice Department has finalized a settlement with Wanxiang America, the American division of a Chinese auto parts manufacturer. This agreement resolves a nearly ten-year legal battle concerning unpaid import tariffs on wheel hub assemblies and other components shipped from China.
This resolution ensures the U.S. government will recover the full amount of lost revenue it sought. In addition to the recovered duties, Wanxiang America will pay over $30 million in civil penalties. The company has not admitted to any wrongdoing in connection with the case.
Allegations stated that Wanxiang America falsely classified its imported wheel hub assemblies and neglected to declare that these parts were subject to antidumping tariff orders. This led to the company significantly underpaying the customs and antidumping tariffs owed on its merchandise over a five-year span.
