U.S. Customs and Border Protection (USCBP) intends to make crucial changes to current border clearance procedures
aimed at improving security and enforcement for import shipments entering the U.S.
These changes take effect October 1, 2004.
The changes include:
1. The elimination of special procedures
for clearances at the Canada and Mexico borders, under which only invoice line items over $2,000 were required to be classified at the time of entry and release.
As of October 1, all line items on the invoice
must be properly classified in order to acquire release. This change is likely to result in delays in Customs clearance, and longer lines at the border.
Although carriers and couriers in particular will be
scrambling to satisfy these requirements by Oct 1, it's advised that in order to minimize delays, shippers should be advised to provide invoices and other required documentation with proper descriptions and if possible
the HS code by line item.
2. In addition to the HS requirements it is also a requirement to provide specific identification numbers in relation to shipments destined to individual consignees in the U.S.
What does this impact?
This affects consolidated shipments where it is common practice in the transportation industry to "drop ship" numerous shipments to the U.S. under one consignee/importer
distributing multiple individual shipments through the U.S. domestic network for delivery once Customs cleared.
US CBP has for many years allowed different parties to be identified as the Ultimate Consignee for
shipments of imported merchandise. As a result, the true consignee has not been identifiable on imported merchandise. In an effort to correct this situation, CBP has outlined new procedures and requirements to ensure
compliance with the required identification of the Ultimate Consignee on formal and informal entries (both electronic and manual), at the time of entry or release.
Definitions:
The appropriate
identification number for the consignee is defined by USCBP as an Internal Revenue Service employer identification number, or a Social Security number. Customs assigned numbers are for non-U.S. entities, and as such,
are not acceptable for use.
There are a number of distinctions between informal entries (valued under $2,000 USD) and formal (Goods valued over $2,000 USD) |
|
