Deal could exceed $100M as tariff changes increase entry volumes
U.S. Customs and Border Protection has processed over 63 million entry summaries so far in the current fiscal year, a volume already 27% higher than all of last year and up 65% from fiscal 2024. The increase reflects the impact of higher tariffs imposed over the past 18 months, stepped-up enforcement against tariff evasion, and the end of the de minimis provision that allowed duty-free entry of goods valued at or below $800 — all of which have increased the number of imports requiring additional documentation and processing.
More policy changes are approaching. Temporary U.S. tariffs implemented in February are due to expire Friday. The U.S. recently declined to extend its trade pact with Mexico and Canada, setting up a decadelong review that could bring new tariffs or trade regulations.
Cindy Allen, chief executive of Trade Force Multiplier, an international trade and customs consulting firm, said the volume of trade remedies and trade-related actions has sharply increased the workload for importers and customs brokers.
“The number of trade remedies and trade-related actions that have been implemented over the last 18 months has just quadrupled everyone’s work, and so companies are really struggling to keep up,” Allen said.
Altana, which uses AI to map supply chains and operates a digital trade network where importers, suppliers, logistics providers and customs agencies can track compliance requirements, said Tuesday it is acquiring Cervo AI to help manage that workload.
Cervo, founded in 2024, created a platform that uses agentic AI to draft customs entries by extracting information from documents about imported goods, automating what was a time-consuming manual task. The New York-based company raised $5 million in seed funding last year.
Altana Chief Executive Evan Smith said the volatility in trade policy is leading companies to look for ways to handle imports more efficiently.
“You have this explosion in complexity, and yet trade must move,” said Smith, who is also the company’s co-founder.
Altana said the deal includes a combination of cash and equity and could exceed $100 million if certain performance milestones are reached. The company declined to disclose those milestones. Cervo has 11 employees, who are joining Altana’s workforce of roughly 300.
Altana’s customers include logistics company A.P. Moller-Maersk, U.S. Customs and Border Protection, and importers such as Boston Scientific and L.L.Bean.
Logistics companies such as United Parcel Service, FedEx, DHL Group and Flexport have rolled out more AI in their customs brokerage operations to speed up the import entry process.
Altana, founded in 2019, most recently raised $200 million in a Series C round in 2024 that valued the company at $1 billion. The purchase of Cervo is Altana’s first acquisition. Smith said he is looking for more potential acquisitions that could add to Altana’s trade enforcement, facilitation and compliance offerings.