Too often seen as merely an administrative formality, customs management is actually a key element in the strategy of companies operating internationally. Anticipating regulatory constraints, optimizing costs associated with customs duties, and securing the flow of goods are major challenges to avoid unexpected setbacks and boost competitiveness: this is where customs engineering comes into play. Moreover, the rise of artificial intelligence technologies is now opening up new perspectives to automate and refine this management, transforming customs into a genuine lever for performance.

Customs engineering is based on a proactive approach that aims to structure a company’s customs management right from the design of its supply chain. Rather than considering customs as an administrative burden at the end of the process, it must be integrated from the very early stages in order to anticipate the regulatory and fiscal impacts of international flows.

This involves several key levers :

The selection of appropriate Incoterms, an optimized tariff classification, and the judicious use of customs regimes and free trade agreements.

Anticipating these elements not only helps reduce costs by avoiding unnecessary customs duties but also secures the flow of goods by minimizing border delays.
A well-thought-out strategy also ensures better regulatory compliance, thereby reducing the risk of penalties or costly delays.

Some companies use customs engineering to bypass certain regulations, but at what cost?

Focus on the company Nvedia…

Nvidia, a global leader in GPU design, sees its business model challenged by customs practices that involve recording a significant portion of its sales through financial hubs, particularly in Singapore. This method allows the company to bypass U.S. restrictions—especially by supplying customers in China despite an embargo on advanced technologies—but exposes it to significant regulatory and financial risks.

According to an investigation, approximately 28% of Nvidia’s revenue is accounted for through Singapore. This mechanism enables the company to invoice components, including next-generation GPUs (graphics processing units), leveraging its local infrastructure while shipping products to China.
Although this practice is common in international trade, it raises questions about its compliance with U.S. export regulations.

This strategy is not merely a loophole to evade sanctions.
Several factors indicate that Nvidia is now particularly vulnerable:

According to Reuters, the new U.S. export regulations pose a direct threat to Nvidia’s revenue, especially since 56% of its turnover comes from international markets, with China accounting for approximately 17%. Maintaining these practices could lead to sanctions, legal disputes, and a loss of trust from investors and business partners.

In the short term, this approach allows Nvidia to sustain sales in strategic regions despite restrictions. However, it raises concerns about the long-term viability of this model in an environment where export controls are tightening. The risks involved could force the tech giant to rethink its strategy to avoid sanctions that might jeopardize its dominant position.