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In 1977, at the request of the federal government, a report on the problem of cigarette smuggling was drawn up by the Advisory Commission on Intergovernmental Relations, an independent federal agency established to study challenges faced by multiple levels of government

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Minors are generally not permitted to carry tobacco products across borders, even if the items were purchased legally elsewhere

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Accessed March 10, 2020

This is known as the in-bond system. The United States Government Accountability Office produced in 2017 a lengthy report of illicit cigarette trafficking at the border and zeroed in on duty-free and bonded warehouses as sources of traffic.[34] Eighty-eight such stores and warehouses dotted the Southwestern border across Texas, California, Arizona and New Mexico.[35] Federal agencies had long recognized that duty-free stores along or near the border may be a source of legal purchases that may get illegally diverted to avoid duty and tax payments.[*] Duty-free stores in Texas were the dominant sellers of cigarettes