The following was taken in part from the NCBFAA:
In a September 1st advance notice of proposed rulemaking published in the Federal Register, Customs and Border Protection (CBP) requests comments from the trade to develop new requirements for enhancing visibility into all parties involved in U.S. imports.
In addition, CBP asks the trade to provide input regarding the integration of innovative technical solutions for the tracing of supply chains involved with imported goods and enhanced collection of export documentation that foreign exporters are required to submit to overseas customs authorities prior to exporting their goods to the U.S.
With these proposals, CBP said it seeks to “more effectively detect and interdict illicit importations, especially those that are illegally transshipped to evade compliance with U.S. customs and trade laws.”
On June 3rd, President Trump signed Executive Order (E.O.) 14411, “Strengthening Customs Enforcement.” The E.O. calls for customs reform to “remedy systemic inefficiencies, loopholes, insufficient enforcement mechanisms, and outdated processes that have created opportunities for malign actors to evade Federal law.”
For each proposal in the Federal Register notice, CBP asks the trade to consider whether the new requirements should be phased in by entry type, commodity (including whether special consideration is warranted for critical medical products and their key inputs), country, or mode of transportation; whether different implementation timelines should apply to small entities, foreign importers, CTPAT participants, or high-volume filers; whether any of the proposals are suited to voluntary test programs; and what implementation period would be necessary for affected parties to comply with the proposal.
CBP is seeking input on the scope of foreign export documentation and when and how it should be submitted. Potential documentation includes foreign export declarations, commercial invoices, packing lists, certificates of origin, export licenses or permits, and transportation documents. They are also considering whether such documentation could help verify and reconcile entry and entry summary information, identify discrepancies, and detect potential violations of U.S. customs and trade laws, including dual invoicing.
Areas covered by the Federal Register notice include foreign export documentation used for U.S. imports; parties involved in the manufacture, production, movement and/or export of goods to the U.S. which includes the Manufacturer Identification Code (MID) and Global Business Identifier (GBI); and innovative technical approaches to supply chain tracing, such as expanding the CTPAT program requirements and benefits.
See the full text of CBP’s advanced notice of proposed rulemaking along with their list of questions on each topic here. Comments are due to the agency within the next 90 days.
RIM logistics, ltd. will continue to closely monitor this evolving situation and provide updates as necessary. Please reach out to your RIM representative if you have any questions.