Since April, the customs inspection rate across the United States has soared sharply, and this change has not only shocked the industry, but also caused widespread concern and speculation. With the passage of time, this serious phenomenon has spread from the United States to Canada, resulting in North American goods after the port are subject to strict inspection, the industry is currently the most concerned issue.
As for the reasons for the short-term spike in inspection rates in the United States and Canada, the industry has given many guesses. Some people think it is to strictly inspect the infringement of intellectual property rights and prevent counterfeit and shoddy products from entering the market; Others believe that it is a strict review of the minimum value of goods to ensure the fairness and legality of trade; There are also views that this may be related to factors such as T86 customs clearance.
U. S. Customs checks for noncompliant goods
According to well-known US customs clearance companies, an important trigger for the phenomenon of strict inspections is the crackdown on vague and non-compliant cargo descriptions.
U.S. Customs and Border Protection (CBP) sent out an official alert in early April, issuing a notice about goods with vague commodity descriptions in cargo information. As of April 1, 2024, CBP will work with all ports in the United States to implement cargo information and communicate and investigate with entry filers about goods with vague and noncompliant cargo descriptions.
Under the regulations, carriers and other parties that choose to submit electronic cargo information data to CBP must provide a specific and accurate description of the cargo. This means that some common vague, non-compliant descriptions of goods will no longer be accepted. Items affected include gifts, daily necessities, accessories, parts, LCL, etc. The use of "consolidated" is only acceptable at the master bill of Lading level.
The release and implementation of this announcement further demonstrates the US Customs' strict requirements for cargo description and determination to combat non-compliance, which is also an important reason for the recent surge in customs inspection rates.
In most cases, U.S. Customs and Border Protection (CBP) will use the ACE Cargo Release system to send a message to the customs broker after the shipment has been released, requesting that issues related to the description of the shipment be addressed. Importers and customs brokers need to work with consignors and bill of lading issuers to ensure that future descriptions of goods comply.
CBP has given examples of small cargo messages with vague cargo descriptions, making it clear that cargo descriptions need to be precise and not overly vague. The agency stressed that customs brokers and freight forwarders should adhere to the same standards as carriers and screen data to ensure compliance with cargo declaration regulations. Once a problem is found, the cargo information should be reviewed for compliance and the necessary corrective action should be taken. If CBP finds any non-compliance, further action may be taken.
In addition, it is understood that vague product names can easily lead to AMS feedback code 6H(Do Not Load), which means that goods will not be allowed to ship. Only when the product name is modified and compliant, the customs is re-contacted and the 6I(Hold Removed) code is obtained, the goods can be shipped.
American customs scrutinized textiles
In addition to the intense scrutiny of vague, noncompliant commodity descriptions, another focus of U.S. Customs and Border Protection (CBP) inspections is textiles. The U.S. Department of Homeland Security (DHS) has released an announcement indicating that they are developing an enhanced strategy to level the playing field for the more than 500,000 workers in the U.S. textile industry by cracking down on illegal trade.
The plan will serve as a blueprint for enhanced enforcement efforts in the future, including intensifying crackdowns on small-pack goods, conducting joint trade special operations, strengthening customs audits and foreign verification, and expanding the Uyghur Forced Labor Prevention Act entity list
This indicates that the United States will take a series of measures to strengthen cargo oversight, ensure that textiles entering the U.S. market comply with regulations, and crack down on any violations. These include strengthening the screening of specific types of offending packages, conducting joint trade special operations, expanding customs audits and foreign verification, conducting educational campaigns to raise stakeholder awareness, using industry partnerships to improve legitimate trade facilitation, and expanding the list of offending entities.
Through these measures, CBP aims to combat the entry of illegal goods into the U.S. market, ensure that goods comply with the requirements of U.S. law, and maintain the fairness and legality of trade. At the same time, CBP is also promoting the development of legitimate trade by expanding verification visits abroad and raising stakeholder awareness, strengthening cooperation with foreign factories and trading partners.
Sunny Worldwide Logistics has more than 20 years of freight forwarding history,and over half of staffs working in Sunny about 5-13years.Emergency solutions must be offered with 30 minutes if any. You may not find other companies like us in Shenzhen.
During the Biden administration, the Department of Homeland Security has completed a number of efforts aimed at strengthening trade oversight and ensuring compliance with imported goods. Specifically, 15 trade special actions were launched, focusing on physical inspections of small shipments and goods, as well as post-release reviews; Extensive physical inspections and documentation of textile imports; Initiated trade audits of more than $10.5 billion of textile imports; Completed textile production verification visits to plants in Mexico and Honduras; It also added 10 textile industry entities to the UFLPA entity list, resulting in the suspension of related transportation.
