CBP expanded the Agricultural Marketing Service's Partner Government Agency message set ACE pilot (see 1508050019), CBP said in a CSMS message (here). "All customs broker and self-filers who submit AMS-regulated products at the Ports of L.A./Long Beach, Miami, and Philadelphia are now eligible to join the AMS pilot and begin submitting the AMS PGA message set through ACE/ITDS," CBP said.
A recent Federal Maritime Commission proposal to allow a grace period of 30 days after an agreement is reached before non-vessel operating common carriers (NVOCCs) have to file amendments to NVOCC service arrangements (NSAs) would provide “much needed flexibility,” the National Customs Brokers & Forwarders Association of America said in comments to the FMC (here). Currently, NVOCCs have to closely monitor vessel rate and surcharge changes so they can immediately file amendments that incorporate any changes, it said. The FMC proposed the change on Aug. 22 (see 1608220032). However, the NCBFAA “continues to believe that the NSA essential terms publication and filing requirements do not serve a legitimate purpose,” it said. “So, while allowing for the retroactive filing of amendments is certainly a step in the right direction; complete elimination of this requirement for NSAs is warranted," it said. The trade association also called on FMC to allow "NRAs to include non-rate economic terms, including but not limited [to] credit and payment terms, rate methodology, surcharges, minimum quantities, forum selection and arbitration clauses," it said. "Allowing for incorporation of these terms would enable NVOCCs to negotiate and memorialize a complete transaction in a convenient, rational and transparent manner."
International Trade Today is providing readers with some of the top stories for Sept.12-16 in case they were missed.
Livingston International purchased Affiliated Customs Brokers, a Canadian brokerage with 12 offices in the U.S., Livingston said (here). "The acquisition will strengthen Livingston's service offerings in both Canada and the U.S., adding particular strength in the Quebec marketplace," the purchaser said. "Affiliated brings particularly strong expertise in the energy, printing, pharmaceuticals, automotive, capital equipment and food industries." The purchase price wasn't disclosed.
CBP will not immediately reject export filings without data required by the National Marine Fisheries Service once NMFS ACE export requirements take effect Sept. 20 (see 1608150011), according to an update from the National Customs Brokers & Forwarders Association of America. Export filers that do not include the additional data elements will receive a “verify” or “warning” message at this time, although eventually the missing data will cause a fatal error, the update said. The Automated Export System is already programmed to accept the additional NMFS data elements, and by Oct. 1 will include Schedule B and Harmonized Tariff Schedule flags, it said. "If the exporter's commodities are subject to the NMFS regulation, they will have to provide you with the data elements and in turn, you will have to provide them with the ITN [(internal transaction number)] so that they can upload the necessary documents to NMFS,” the NCBFAA said. CBP did not immediately comment.
CBP posted a single-page fact sheet on supply chain due diligence for importers to help avoid involvement with goods made by forced labor (here). "To combat the risks of child and forced labor in your operations and global supply chains, you should have a comprehensive and transparent social compliance system in place," CBP said. Among resources listed by CBP are the Labor Department's guidance on setting up a social compliance system (here), CBP rulings and the use of supply chain audits. Importers also may "obtain advice from a customs expert," CBP said. "For example, a licensed customs broker, customs/international trade attorney, or customs consultant." The agency is in the process of writing regulations following the customs reauthorization law's forced labor provisions that repealed the "consumptive demand" considerations (see 1606170040), which is causing some industry anxiety (see 1605170017).
The Drug Enforcement Administration is proposing changes to its regulations that would require electronic filing of permit applications, import and export declarations, and other required filings and reports for the importation and exportation of controlled substances, listed chemicals, and tableting and encapsulating machines. The agency’s proposed rule (here) would eliminate paper filing of most DEA-required submissions entirely, instead requiring importers and exporters to file via the DEA Office of Diversion Control “secure network application,” DEA said. DEA would then provide information to CBP “to validate importations subject to DEA regulations,” it said.
CBP and the trade community may still not be ready for ACE drawback and reconciliation by Oct. 29, despite CBP’s recent delay of the deadline, customs lawyer Michael Cerny said during a panel discussion at a National Customs Brokers & Forwarders Association of America conference in Washington Sept. 12. Both systems have been “barely tested,” and software developers still aren’t ready with programming, said Cerny, who chairs the Trade Support Network’s drawback subcommittee. CBP’s CATAIR requirements and business rules still aren’t set with less than two months before the deadline, a situation reminiscent of the approach to CBP’s original November 2015 deadline for all of ACE, he said.
CBP faces a challenging budget environment for ACE as it works to find funding for improvements and new functionalities long desired by the trade community, said Cynthia Whittenburg, deputy executive assistant commissioner at CBP’s Office of Trade, at a National Customs Brokers & Forwarders Association of America conference in Washington Sept. 12. Following completion of “core” ACE in December, the “funding profile” will “adjust downward” as CBP will be legally required to use ACE operations and maintenance funding for operations and maintenance, and will not be able to use the funds for building new capabilities, including for partner government agencies (PGAs). “So when you see in our appropriations and funding, 'ACE,' those dollars are going strictly to fixing bugs and keeping the system running,” she said.
Beneficial cargo owners (BCOs) can't retrieve freight aboard Hanjin ships subject to third-party possessory liens without first paying marine terminal operators (MTOs) and other third parties, despite an interim order from a U.S. bankruptcy judge in New Jersey that grants Hanjin temporary Chapter 15 protection, said Ed Greenberg of GKG Law (see 1609090059). “The MTOs have liens, they’re going to assert those liens,” he said Sept. 12 during the National Customs Brokers & Forwarders Association of America Government Affairs Conference in Washington. “Until they get paid, you’re not getting the assets.” Although the order prevents any parties from moving to seize any Hanjin assets, the order doesn’t apply to any existing third-party possessory liens, Greenberg said. Furthermore, no party can terminate any Hanjin lease because of insolvency, but could for another reason, and Hanjin can’t refuse to make the containers available, he said. Also, the interim court order requires Hanjin to cooperate with BCOs, but doesn’t apply to non-vessel-operating common carriers (NVOCCs), as none has appeared before a U.S. bankruptcy court, Greenberg said.