March 23rd, 2012
CustomsNow recently attended and exhibited at the 2012 International Compliance Professionals Association (ICPA) conference in Atlanta. As usual, there was a terrific exchange of information among the attendees. Some key takeaways were:
ACE
Customs’ new system for the filing of entries, ACE, is on a fast track and CBP anticipates completely turning off the legacy system (ACS) in approximately 2 years. Before then, certain functionality within ACS will be turned off if no longer necessary. For instance, when the transition of Rail and Sea e-Manifest filings to ACE is completed by October of this year, AMS will be decommissioned in the Automated Commercial System (ACS).
Cindy Allen, who heads up the ACE project for Customs, explained that CBP is already working in ACE and it is their “system of record.” Even if you’re filing in ACS today, your entry summary data is transferred to ACE for processing by CBP. Cindy strongly encouraged brokers and self-filers to transition to ACE as soon as possible. Her favorite quote on this topic is “I’d rather be on the bus and not under it.”
Simplified Entry
This simplified entry pilot process is a game-changer and makes a lot of sense. Entry filers will be able to file their entries as soon as the bill of lading information is available and CBP will make their admissibility decision. (Currently they will only provide a release notification 5 days before ETA.)
While your shipment is en-route, you will be able to work with CBP or any Other Government Agencies (OGA) to resolve any issues or concerns they may have (Often the only “issue” is just that that CBP or an OGA must verify that the importer has the necessary permit/document that is required for importing their product) and obtain a full release before the cargo arrives in the US. This will provide more predictability and lead to less delays at the port. Simplified entry may eventually allow for the entry summary information to be filed on an aggregate basis, perhaps once a month.
Direct Filing
There was a presentation on direct filing entries versus using a broker. The pros and cons for each option were discussed in a fair and balanced way. In the end, the consensus seemed to be that direct filing is a compelling option, due to the savings and increased control that accrue to the importer, if the importers has a solid understanding of the entry process. Importers of complicated products (special trade programs, FDA-regulated, etc.) that are interested in direct filing should consider hiring at least one individual familiar with the entry process who can then document and train the entire department. In addition, self-filing entries remotely brings greater uniformity to the process and reduces the need for port-specific entry knowledge.
Thanks to all who stopped by our booth. We enjoyed meeting you and hearing your ideas.
CustomsNow's booth at ICPA 2012 in Atlanta - L to R: Nic Adams, VP - Client Services; Randy Green, VP - Operations & Support; Karin Smith, CEO
Posted in ACE (Automated Commercial Environment), Customs & Border Protection, Events, FDA, Simplified Entry, e-Manifest | 1 Comment »
March 20th, 2012
As reported in this blog last October, H.R. 2832, which extended the then-expired Generalized System of Preferences (GSP) through July 2013, became law.
Since that time, US Customs has been processing refunds of all duties paid on GSP-eligible merchandise that was entered from January 1 through November 5, 2011.
CBP has completed the automated GSP refunds, and ports of entry are currently processing the written requests for refunds (and those requests that failed the automated process).
Importers must be vigilant in determining whether their requested refunds have been processed. If no refund is received by March 30, 2012, they must notify the port of entry in writing. All refund requests must be made by April 18, 2012.
For more details on the specifics of the refund process, click here.
Posted in Customs & Border Protection | Add Comment »
March 13th, 2012
Save the date! US Customs will hold its West Coast Trade Symposium at the Long Beach (CA) Convention Center on May 10. Online registration will be available soon. Details can be found here.
Posted in Customs & Border Protection, Events | Add Comment »
March 9th, 2012
We’re excited to share our direct filing solutions with you in Atlanta!
We may be new to the neighborhood, but we’re not new to compliance. As long-time industry professionals, we know what it takes to design, implement and manage a world class direct filing program. We’ve done it for some of the largest importers in the country and we can do it for you.
CustomsNow is the leading provider of ABI & AMS software and is unique in that we are both an ACE Certified ABI vendor and a fully licensed Customs Broker. This combination allows us to support your import initiatives in a way that other software companies can’t.
Here’s what a few of our clients are saying…
“The added compliance, speed of filing and cost benefits has exceeded our expectations and we look forward to a continued partnership with CustomsNow.” – Anthony Melendez, Director of Imports and Customs Compliance, Wet Seal / Arden B.
“The knowledge and integrity of the CustomsNow team was a major factor in our decision to self-file. They made the system integration an easy process. Within two months of implementation we were self-filing even more entries than anticipated, thus further reducing our entry fee cost outlay.” – Larry Matthews, Director of International Trade and Customs Compliance, Medtronic.
CustomsNow – simply delivering you the best-in-class SaaS technology with real-world compliance experience, and the industry’s best support at a cost you’d be very happy with.
See you in Atlanta – booth 129!
Posted in Events, General | Add Comment »
March 7th, 2012
At a recent meeting of the Advisory Committee on Commercial Operations of CBP (COAC), members expressed concern about a potential shortfall of funding for ACE. According to the Journal of Commerce, US Customs “has $140 million to operate and maintain a commercial trade processing system, but there’s no money in the 2012 budget to further develop the program,” quoting Cynthia Allen, executive director of the Customs’ ACE program.
This troubles COAC member George Weise, who is concerned about the viability of ACE modernization projects currently in the hopper, such as simplified entry. ”You can’t really have a simplified entry process that’s going to lower transaction costs without ACE,” said Mr. Weise, who as former commissioner as CBP’s legacy agency (the US Customs Service) and as a COAC member, has been working on ACE rollout for two decades. He believes that the funding issue has reached “crisis” proportions, and exhorted fellow COAC members: ”We need to have our voices heard on [Capitol] Hill. We’ve got to get the funds. We’ve got to get this moving forward. It’s 20 years overdue.”
See CBP’s full recap of the COAC meeting here.
Posted in ACE (Automated Commercial Environment), In-bond, News, Simplified Entry | Add Comment »
March 1st, 2012
Last week, US Customs proposed significant changes to the agency’s current regulations relating to the in-bond process for imports.
The in-bond process allows imported merchandise to enter a US port without the importer being required to immediately pay duties; the goods are transported by bonded carrier to another US port, at which point duties are paid. Alternatively, the cargo is exported without the need to pay duties. CBP estimates that in-bond shipments represent 30-60% of all imports that move through US ports.
The most notable proposed changes include:
- The elimination of the paper in-bond application (CBP Form 7512) and the new requirement to file the in-bond application electronically.
- The establishment of a 30-day maximum time to transport in-bond merchandise between US ports for all modes of transport (90-day maximum for product moved by pipeline).
- The requirement that carriers electronically request permission before diverting in-bond cargo from its originally intended destination port.
(CustomsNow already offers the ability to file in-bond movements electronically with Customs. A Filer or SCAC code is required and we assist our clients in understanding the process to obtain these codes.)
The agency is accepting public comments to the proposed changes through April 23. The full text of the proposed rule, as well as CBP’s commentary, can be found here.
Posted in ABI (Automated Brokerage Interface), Customs & Border Protection, Direct Filing | Add Comment »
February 24th, 2012
US Customs has just issued a newly updated user guide for e-Manifest: Trucks, a capability that enables carriers to submit electronic truck manifests to CBP prior to a truck’s arrival at a US land border crossing. The program offers the trade increased efficiency by saving valuable time at the border, reducing processing time, and offering online status tracking of trips.
The updated user guide now provides step-by-step instructions on how to create and submit an electronic manifest. Other topics in the guide include:
- Adding drivers, shippers, equipment to an account
- In-bond shipment information
- Creating unassociated shipments
- And much more
The user guide is available here.
Posted in ABI (Automated Brokerage Interface), Bonds, e-Manifest | Add Comment »
February 14th, 2012
Nic Adams and Randy Green, two executives with CustomsNow, will present an all-day seminar, “Import Basic Operations,” for the Midwest Global Trade Association on February 16.
This seminar will provide a basic overview of import operations including: requirements for documentation, compliance, recordkeeping, customs brokerage and classification/valuation.
The event will be held at King Solutions in Dayton, MN.
For more information, and to register, please click here.
Posted in Events | Add Comment »
February 13th, 2012
US Customs continues to make good on its promise to focus resources on ACE improvements. According to the ACE Trade Account Owner January 2012 update, here’s what’s in store for this year:
e-Manifest: Rail and Sea (M1)
- M1 pilot is underway, with full implementation expected in March
- Rail and sea manifest processing in AMS expected to cease in September
Simplified Entry
- Testing to begin in late January and pilot to launch in March
Document Image System
- EPA and Marine Fisheries Service will join in CBP pilot test later this year
Participating Government Agency (PGA) Message Set
- Full integration with Trade and other system components should occur as part of cargo release
- Scheduled to be integrated with Simplified Entry Initiative later this year
Exports
- In early 2012, CBP will kick off requirements gathering process
Posted in ACE (Automated Commercial Environment), Customs & Border Protection, News, Simplified Entry, e-Manifest | 1 Comment »
February 10th, 2012
On February 6, US Customs published an updated version of its Bonded Warehouse Manual for Customs and Border Patrol Officers and Bonded Warehouse Proprietors.
The document, last updated in 1990, provides guidance to all interested parties with a stake in bonded warehouses. Unfortunately, Customs has not yet provided guidance on which provisions have changed in the manual, which is nearly 200 pages long.
The complete manual is available here.
Posted in Customs & Border Protection, News, Ports | Add Comment »
