Announcing our $4.5M seed round to help importers get refunds when they pay tariffs. With technology-driven accessibility, we’re lowering the barrier for companies of all sizes to file claims. By partnering with brokers and tech providers, we streamline drawback processes for seamless collaboration. Our proprietary AI-powered refund maximization algorithm ensures no dollar is left behind. This comes at a critical time, as shifting trade policies under President Trump introduce new tariffs, making duty drawback more essential than ever.
Modernizing a Legacy Process with Technology
Duty drawback is a powerful way to reclaim tariffs you've already paid, but it’s been stuck in the past: slow, manual, and inaccessible to many businesses. With $4.5M in seed funding led by Initialized Capital, alongside Sancus, Basis Set, Soma Capital, General Catalyst, Transpose, ZVC1, and Flexport angels, Pax is rewriting the script. We’re building an AI-powered platform that lowers the barrier to entry and puts money back where it belongs—your pocket.
The Spark That Led Here
Penny Chen, Co-Founder and CEO, saw the problem up close at Flexport. We’ve spoken to countless companies that have tried to file refunds for years but were rejected by incumbents, deemed "too small" because duty drawback is a complex and resource-intensive process. Pax was born out of that frustration. By leveraging technology, we’ve not only lowered the barrier to entry, serving companies of all sizes, but also made it possible to process claims more efficiently. This same technology allows us to handle a high volume of claims for large companies, ensuring everyone—from startups to enterprises—gets the refunds they deserve.
What We’re Offering
- Frictionless Onboarding: Quickly check if you’re eligible—no cost, no strings.
- AI-Driven Refund Maximization: Powered by our in-house, state-of-the-art proprietary algorithm, Pax ensures no dollar is left behind, delivering an average of 15% more in refunds compared to traditional methods.
- Unified Data Integration: We process data from PDFs, ERPs, ACE systems, and more, so no manual reformatting.
- Platform for Brokers and Importers: In addition to serving importers directly, we partner with customs brokers and technology companies that serve importers. Our platform enables seamless collaboration between brokers and their clients to exchange data and file drawback claims efficiently—all in one place.
- Clear Dashboards & Insights: Track progress, see your estimated refunds in real-time, and make better decisions.
Why Now?
Trade policies are shifting rapidly again. President Trump has announced reciprocal tariffs, significantly escalating trade tensions. The latest measures include a substantial 34% tariff on goods imported from China, which are eligible for duty drawback. In this volatile trade environment, businesses face unprecedented urgency to recover costs and mitigate financial impacts.
Looking Ahead
This funding allows us to scale our team, enhance our platform, and make duty drawback a routine part of doing business—not a rare, complicated exception. If you’ve been ignoring duty drawback because it felt too complicated or too costly, it’s time to think again.
Ready to see if you qualify? Start with a zero-cost eligibility check and reclaim your money. Email us at founders@paxai.com or visit paxai.com to learn more.