US Customs has launched a test of its Trusted Trader initiative, “a new program that will streamline the process through which importers can establish to CBP that they strive to secure their supply chains and strengthen their internal controls for compliance with … existing [customs] laws.”
Working in conjunction with the CPSC and FDA, CBP plans to use the Trusted Trader program to unify the current C-TPAT and ISA programs. (Non-participating companies will still have the option to participate exclusively in C-TPAT and apply to the ISA program). In addition, the Trusted Trader program will leverage the expertise of Customs’s CEEs “to manage trusted trader accounts from an industry perspective.”
CBP lists numerous benefits of the Trusted Trader program, including:
- All the incentives provided by the C-TPAT and ISA programs
- Reduced FDA targeting/examination risk score
- Potential for penalty offsets in penalty mitigation decisions
- Additional benefits if participating in Reconciliation Prototype program
- Exemptions from on-site visits from Drawback Specialists
- And much more
The Trusted Trader test is expected to last for 18 months, and the application process is now open.
See last week’s Federal Register announcement for more details.