U.S. Customs and Border Protection has announced that starting Aug. 22 it will conduct an approximately one-year test under which additional data elements for Section 321 goods will be transmitted in advance of their arrival. CBP states that it is conducting this voluntary test to determine the feasibility of requiring advance data from different types of parties and requiring additional data that is generally not required under current regulations in order to effectively identify and target high-risk shipments in the e-commerce environment.
Section 321 of the Tariff Act of 1930 provides for an administrative exemption from duty and taxes for shipments of goods (other than bona-fide gifts and certain personal and household goods) imported by one person on one day having an aggregate fair retail value in the country of shipment of not more than $800.
CBP states that about 1.8 million shipments qualifying for the Section 321 exemption are currently arriving each day, primarily by air and truck, but that the agency is not receiving adequate advance information to assess the security risk of these shipments while still maintaining the clearance speeds the private sector has come to expect. This is particularly true in the e-commerce environment, where traditionally-regulated entities such as carriers are increasingly unlikely to possess all the information on a shipment’s supply chain.
© 2019, Sandler, Travis & Rosenberg, P.A. Originally published in the [July 23, 2019] issue of the Sandler, Travis & Rosenberg Trade Report. Reprinted by permission.
- Posted by Joe DeSilvetri
- On July 24, 2019
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