Importer Security Filing and U.S. Customs Bonds

Importer Security Filing is fast approaching. By now you should be familiar with 10+2 filing requirements and have a plan in place to comply with U.S. Customs this coming January. Beyond the filing requirements what does this mean for U.S. Customs bonds?After the one year informed compliance period of importer security filing ends, Customs and Border Protection will begin enforcing compliance in the form of liquidated damages. These damages will be $5,000 for each ISF violation. Importer Security Filings will be secured with a continuous bond. The following bonds have been amended to cover these requirements. For the first year of implementation fines and penalties will not be assessed to the bond. An increase in the Customs bond is not required at this time. After CBP´s structured review of importer security filing bonding requirements may be amended.Import bondsCustodial bonds International Carrier bondsFTZ Operator bonds CBP has also issued a new bond referred to as the Importer Security Filing bond. This continuous bond will cover all ISF entries. You can purchase any of the above U.S. Customs bonds directly from a Surety agent. Many companies purchase their bonds through a Customs broker. This is not the most cost effective way. A U.S. Customs bond is a universal product. Single entry bonds are only good for one transaction with U.S. Customs and are good at one port. Continuous bonds are good at any port. As an importer you own your bond and may purchase it any way you choose.TRG has created a presentation outlining 10+2 Importer Security Filing. This presentation takes a more in depth look at the ruling.

Get Your C-TPAT on the Back From US Customs with help from TRG

Founding members of TRG Direct and experts in supply chain security, Mike Laden and Kelby Woodard, joined Custom’s team to develop C-TPAT.

Uphold the integrity of global supply chain security. In a post 9/11 world the trade community has been witness to numerous hurdles affecting the import processes made known by Customs and Border Protection. Constant implementation and modification of import compliance laws such as the Mod Act and the possible implementation of 10+2 has left importers searching for ways to offset the costs associated with these hurdles. C-TPAT is a voluntary initiative creating cooperative relationships between all links of the international supply chain and improving the security of our U.S. Borders. Through this initiative importers are asked to communicate and verify their supply chain practices with Customs (as well as their business partners) in exchange for benefits.

Are you recveiving these benefits?

• A reduced number of CBP inspections resulting in less border delay times
• Front of the line priority processing when possible on CBP inspections
• Assignment of a C-TPAT Supply Chain Security Specialist who will work with the company to validateand enhance security throughout the company’s international supply chain
• Potential eligibility for ISA-Importer Self Assessment
• Eligibility to attend C-TPAT supply chain security training seminars
• A better understanding of and a more secure supply chain

CBP plans to validate all C-TPAT members. This is not an audit, it is merely a formal review of the importer’s supply chain security. The validation process should be complete by the third year of participation in the program if not sooner. It may take up to 2 weeks to complete the review so validations are initiated based on the importer’s level of risk. In order to retain your membership you must demonstrate a commitment to enhancing supply chain security through both procedural and physical security requirements. Once the validation process is complete, CBP will provide a report with their findings. If weaknesses are found the company’s benefits may be suspended or removed. Importers with the highest commitment to the integrity of their supply chains may receive an increase in benefits.

For more information visit: www.traderiskguaranty.com

10+2 ISF: Are you ready?

10+2 Importer Security Filing is a proposed rule by Customs and Border Protection which requires that importers or their agents and carriers transmit additional data elements to CBP for non-bulk cargo 24 hours prior to vessel lading; 10 from the importers and 2 from the carriers. 10+2 Importer Security Filing is proposed to have its final ruling in the coming months. Below is a best guess estimated timeline based on information provided by CBP as well as a list of the additional data elements Customs will require the importer to file. Until the final ruling is passed, there are many unknowns and speculations as to how the ISF will catapult changes to many of the other areas in the trade community.
The approval and implementation of 10+2 is just around the corner, but we are going to make this easy for you! TRG Direct is YOUR solution. Brokers will be increasing their fees with the new data element requirements even though you will still be the one providing them with the information. Since you (the importer of record) are ultimately responsible, NOW is the time to take control of your import compliance.
YOU are ultimately liable for the accuracy of the data transmitted to customs
YOU provide your broker with the information to file the entry
YOU have the legal right to file your entries without the added cost of a customs broker
YOU need to take control of your import integrity
Contact us for more information!

www.TradeRiskGuaranty.com