CBP is looking at allowing extensions for duty payments in light of the ongoing COVID-19 pandemic, The National Customs Brokers and Forwarders Association of America said in a March 19 email following an industry update call with CBP. The NCBFAA and other industry members recently suggested in a letter that CBP consider such extensions, it said. "CBP understands the major impact this could have and is currently researching to see if the plan is feasible," said the NCBFAA. "In the meantime, CBP is considering case-by-case deferrals."
As more local shelter-in-place orders are issued in response to the COVID-19 pandemic, brokers and forwarders should examine each order to determine whether their services are exempt, the National Customs Brokers & Forwarders Association of America said in an email. “However, based upon the Order to Shelter in Place issued by the Public Health Officer of Alameda County, California two days ago, it would seem that the activities of forwarders and customs brokers would fall within the exemption provided, as those activities are essential to keep goods moving in commerce,” it said. Exempted services include “shipping services, companies that supply other essential businesses with supplies necessary to operate or that ship goods or services to residences, and companies that are engaged in public transportation,” it said.
As more local shelter-in-place orders are issued in response to the COVID-19 pandemic, brokers and forwarders should examine each order to determine whether their services are exempt, the National Customs Brokers & Forwarders Association of America said in an email. “However, based upon the Order to Shelter in Place issued by the Public Health Officer of Alameda County, California two days ago, it would seem that the activities of forwarders and customs brokers would fall within the exemption provided, as those activities are essential to keep goods moving in commerce,” it said. Exempted services include “shipping services, companies that supply other essential businesses with supplies necessary to operate or that ship goods or services to residences, and companies that are engaged in public transportation,” it said.
Claims that NAFTA was ripped up or that it was just a rebranding are wrong and paying attention to the changes could mean big savings for businesses, said Dickinson Wright Cross-Border Practice Chair Dan Ujczo during a March 17 Global Chamber webinar. Ujczo said that one polymer and chemicals company he talked to saw that changes from NAFTA to the U.S.-Mexico-Canada Agreement “are going to save us $17 million.” He urged businesses that use NAFTA to convene their purchasing, accounting and either in-house customs teams or customs brokers to investigate their supply chains, because he predicted that CBP will pay closer attention to rules of origin, and he said many companies are relying on slapdash rules of origin certificates from suppliers (see 2002190028).
The National Customs Brokers & Forwarders Association of America is canceling its upcoming annual conference, the trade group said by email. “The NCBFAA is still working with the hotel to finalize this matter, but at this time, we will not be holding our Annual Conference in Las Vegas next month,” it said. “We will be refunding all registrants over the upcoming week, and we thank you all for your patience as we work to unravel this event on our back end.” The conference had been scheduled for April 19-22. The Centers for Disease Control recently recommended against any gatherings of more than 50 people until mid-May on account of the COVID-19 pandemic. The NCBFAA said in its message that it is in discussions to hold the annual conference alongside its NCBFAA Educational Institute conference in August in Chicago.
CBP is postponing the customs broker license exam that had been scheduled for April 1, it said in a CSMS message. CBP made the decision “due to the unprecedented situation related to coronavirus (COVID-19) across the country, and the closure of our testing centers,” it said. “CBP will provide additional information in the coming days, so please check cbp.gov website for updates. For immediate concerns regarding the broker exam, you may email Broker Management Branch at brokermanagement@cbp.dhs.gov,” the agency said.
A proposal by the administration to change the standard of liability for companies that have a role in importing, but are not the importer of record, has been met with some support and some wariness by Congress members who focus on trade. The idea, which was in the Department of Homeland Security report on combating the sale of counterfeits through e-commerce platforms (see 2001240043) and the executive order that swiftly followed (see 2002100042), would require a change in law. According to a recent analysis from Crowell Moring, “the initiative seeks to extend liability beyond the importer of record for gross negligent actions by a service provider that 'facilitated' the import of such goods, an effort that likely would require additional statutory authority.”
CBP’s cargo operations remain mostly unaffected by the COVID-19 pandemic, CBP said on a call held March 13, according to an emailed update from the National Customs Brokers & Forwarders Association of America. There are no additional screening requirements for cargo because medical professionals have advised that COVID-19 is transmitted by people not cargo, CBP said on the call, according to the American Association of Exporters and Importers. “If CBP receives different guidance, they will relay that information immediately,” CBP said, as relayed by the NCBFAA.
Nuvocargo, a startup freight forwarder and customs brokerage, acquired Atlanta brokerage Oncarriage, the company said in a news release. Nuvocargo, which launched publicly on March 12, described itself as “the first digital freight forwarder and customs broker for U.S./Mexico trade.” The purchase allowed Nuvocargo to enter the market faster than expected, it said. Oncarriage is “a traditional freight forwarder and customs broker that already held key government licenses in USA that Nuvocargo required -- including one that normally takes up to three years to obtain,” Nuvocargo said. The acquisition allows Nuvocargo “to save years of regulatory hurdles to launch and begin serving shippers,” it said.
The government of Canada issued the following trade-related notices as of March 11 (note that some may also be given separate headlines):