Executive Summary
Caraway, a direct-to-consumer kitchenware brand importing tens of millions in product annually, recognized an opportunity most brands overlook: duty drawback recovery. Despite facing a 300% increase in their effective duty rate year-over-year and managing tens of millions in annual tariff payments, Caraway's lean logistics team knew there was unclaimed capital sitting in past transactions. They needed a partner who could deliver results without adding operational burden.
Within months of their strategic decision to work with Caspian, Caraway recovered substantial duty drawback through multiple successful claims while gaining ongoing customs intelligence capabilities that are transforming how leadership views tariff exposure and compliance strategy.
The Challenge
Caraway recognized a significant opportunity in duty drawback recovery, but also understood the technical complexity that makes execution challenging even for sophisticated operations teams.
Brian Feld, who manages customs and logistics for Caraway, watched the tariff landscape transform. With tens of millions in annual entry value and substantial tariff payments, even modest recovery percentages represented meaningful capital that could be reinvested in growth.
The economics were compelling. The technical execution was complex.
Caraway's product category—metal kitchenware—introduced unique classification challenges under Section 232 tariffs. Their goods contained mixed metals (steel, aluminum, and non-steel/aluminum alloys), requiring classification across multiple entry summary lines in non-conventional ways. This complexity multiplied across thousands of transactions.
The company's trade data existed entirely in document form: over 3,000 PDF commercial invoices and packing lists across multiple broker systems, including their primary logistics provider and customs broker. In traditional duty drawback programs, analysts must manually open each PDF, extract product SKUs, then match them to the corresponding entry summary lines in ACE data, a process that can take multiple weeks for this volume.
For Caraway's lean team focused on scaling high growth operations, building internal capability to handle this level of data complexity wasn't realistic. They needed technology infrastructure purpose-built for modern trade data challenges.
The team had evaluated other trade service providers but hadn't found an approach that felt right. Caraway's VP of Operations, Mark Riskowitz, made the strategic call to try Caspian. The decision came down to the tech-forward expertise, customer service quality, and fair pricing. "I was impressed," Mark noted of the initial conversations. "You guys had good customer service and the right skill set to handle it for us."
The Solution
Caspian's AI-native platform eliminated the traditional operational burden that makes duty drawback programs feel impossible for mid-market brands.
Caspian's system autonomously ingested over 3,000 PDF commercial invoices and packing lists, automatically extracting product-level data and achieving 95% accuracy in SKU matching between entry summary lines and invoice data. The platform integrated seamlessly with multiple broker systems, pulling structured data from ACE while processing unstructured documents from Caraway's logistics provider and customs broker.
The platform paired this automation with deep customs expertise. Caspian's specialists developed a strategic prioritization approach: tackle the highest-value claims first to establish credibility with Customs, then expand systematically. When technical challenges emerged around securing historical proof-of-delivery records, the team provided strategic guidance and handled vendor coordination. "You guys went into ACE, took a bunch of information, aggregated it, and handled the application process," Brian explained. "I can't even imagine the time it would have taken us to do that."
Caspian's technology processed in two days what would normally require months of manual work, identifying which commercial invoices corresponded to which entry summary lines, managing split entries where products appeared across multiple lines, and ensuring Section 232 tariff compliance across mixed-metal classifications.
The Results
Caraway's first duty drawback claim delivered immediate validation. The team's reaction captured the impact: "We were like, wow, we did that. That was what we hoped to do."
The second claim more than tripled the initial recovery. "That was freaking crazy nice. It was good feelings all around, for sure."
The program delivered six-figure recovery potential with zero additional headcount and minimal time investment from Caraway's operations team.
Beyond direct cash recovery, Caraway's strategic decision to partner with Caspian unlocked capabilities that strengthened their operations:
Customs Intelligence: Caspian's analytics platform gives Caraway leadership real-time visibility into tariff exposure by category, HTS code, and time period. Insights that previously required hours of manual ACE data extraction are now available on demand.
Systematic Documentation: The platform tracks proofs of delivery and maintains the documentation trail required for ongoing compliance, solving a major operational challenge for future claims.
Expert Advisory Access: When Caraway faced complex CBP audit requests, Caspian's team provided complimentary consulting support on customs compliance matters beyond duty drawback.
Strategic Partnership: Beyond transactional services, Caraway gained a partner who understands U.S. Customs complexity. "You are a great asset to have as people who are very savvy to U.S. Customs and all the changes going on right now."
When asked whether other companies should pursue duty drawback, Brian was direct: "Everyone would be stupid not to do it, honestly." On working with Caspian specifically: "Yes! I would want to work with them."
Looking Forward
Caraway continues to leverage their partnership with Caspian as tariff complexity escalates.
The team is implementing Caspian's analytics platform to give leadership self-service access to customs data, eliminating manual reporting workflows. "Having that ability to maneuver through ACE data is really great," Brian explained.
The financial recovery was immediate. The strategic advantage is ongoing.
