What is a trade compliance risk assessment?

It is a structured review of your imports and exports that identifies where a violation is most likely, scores each risk by likelihood and impact, and ranks them so you can direct controls and budget to the highest-exposure areas first.

What framework should I follow?

OFAC’s 2019 Framework for OFAC Compliance Commitments is the most widely cited. It names five components of a risk-based program — management commitment, risk assessment, internal controls, testing and auditing, and training — and treats risk assessment as the basis for the rest.

How often should we redo it?

At least annually, and whenever something material changes — a new supplier or market, a new product line, an acquisition, or a significant change in the regulations. Risk assessments go out of date as your business and the rules evolve.

Does this apply to importers, or only exporters?

Both. Sanctions and export-control risk get the most attention, but importers face their own exposure in classification, valuation, origin, and special duties — all of which a sound assessment should cover. A risk assessment only pays off if it leads to the right controls, records, and training. Reidel Law Firm helps importers and exporters assess their exposure and build practical programs on flat-fee terms. Get an import/export compliance memo.

Trade Compliance Risk Assessment Cheat Sheet

A trade compliance risk assessment is a structured review of your import and export activity to find where you are most likely to break a rule — so you can fix it before a regulator does. It is the foundation of every credible compliance program: you cannot allocate limited time and budget sensibly until you know which transactions, products, and counterparties carry the most exposure. This cheat sheet explains the framework regulators expect, where the risk usually hides, and how to run the assessment.