CBP's FAQ on Mandatory Advance Electronic Cargo Information Requirements

(Although this FAQ states that it covers all modes of cargo transportation, both inbound and outbound, CBP sources note that most of the questions and answers in this first version only pertain to inbound cargo. The final rule's requirements for all modes of outbound cargo are still expected be implemented concurrent with the completion of the redesign of the Automated Export System (AES) commodity module and the effective date of the Census Bureau's upcoming rulemaking to make AES filing mandatory for all exports.)

This is Part V of a multi-part series of summaries of the February 12, 2004 FAQ, and covers FAQs on AMS participants, liability, a paper cargo declaration on board, and equipment change. See future issues of ITT for additional summaries.

FAQ 11 - AMS Participants

Public lists. CBP states that it posts and periodically updates a list of AMS carriers on its Web site at http://www.cbp.gov/xp/cgov/import/carriers/ams_ports/.

CBP also states that it posts and periodically updates a list of third-party service providers for Sea AMS on its Web site. (See ITT's Online Archives or 02/23/04 news, 04022340, for most recent BP summary of this list of companies/persons offering Sea AMS data processing services, etc.)

Manifest data may be submitted via third-party or directly to CBP. CBP explains that manifest data can be electronically submitted to CBP by either utilizing a service center or port authority to transmit data on one's behalf, or a company may elect to develop a direct interface with CBP.

Those companies electing to establish a direct interface must develop all the necessary records required by the module. AMS recognizes transmission of data in either the ANSI X12 (version 4010) format or the CBP Automated Manifest Interface Requirements (CAMIR) format. In addition, those users electing to develop a direct interface or purchasing a vendor's software package must successfully complete a 4-step test phase.

Overseas parties. According to CBP, those parties located overseas looking to interface with CBP may choose to utilize frame relay/MQ access via an affiliate within the continental U.S., a Value Added Network (VAN) with a global service, or utilize a service center/port authority. CBP notes that many service centers can receive a user's data via the Internet and then pass it to CBP.

Authorized transmitting party's AMS capabilities. CBP states that authorized transmitting parties are afforded the same AMS features as an automated carrier, such as auto arrival of the vessel, electronic request for permit to transfers (PTT), Second Notify Party designation and participation in the Paperless Master In-bond Program (AMS/MIB).

FAQ 12 - Liability for Penalties or Liquidated Damages

CBP states that if a shipment is examined by CBP, either in the U.S. or at a foreign port, and the manifest description of the contents is, in CBP's opinion, inaccurate, the carrier can be held liable for penalties and authorized transmitting parties can be held liable for liquidated damages. CBP recommends that carriers establish business relationships with shippers to ensure accurate information is provided.

FAQ 13 - Whether to Retain a Paper Cargo Declaration on Board Conveyance

In response to a request that CBP clarify which carriers participating in AMS will be required to retain a paper copy of the cargo declaration on board the conveyance in contrast to being able to provide one upon request, CBP states that it decided not to enforce the paper cargo declaration if a carrier or authorized transmitting party has successfully automated.

However, where the cargo declaration has been filed in advance electronically, and a paper copy is not on board, the carrier will be afforded a reasonable time within which to generate a paper cargo declaration, should a paper copy be requested by CBP. As integration of legacy agencies' automated systems progresses, requests for paper copies of cargo declarations will be eliminated. CBP states that it will periodically assess this policy to ensure that it is not having an adverse effect on operations.

FAQ 14 - Equipment Failure Before Loading But After Cargo Declaration

One questioner asked if a refrigerated (reefer) container's cooling system fails after the cargo declaration has been accepted by CBP, but prior to loading, can the carrier reload the perishables into a new reefer container, affix a new seal, load the container aboard the vessel, and correct the manifest information.

CBP responds that it will allow for changing of equipment due to failure. The carrier must transmit a Manifest Discrepancy Report to correct the container/seal number. Once the carrier has notified CBP, the exact procedures will be determined on a case-by-case basis.

(See ITT's Online Archives or 02/19/04, 02/20/04, 02/24/04, and 02/25/04 news, 04021905, 04022010, 04022410, and 04022510, for Parts I-IV of this multi-part series of summaries.

See ITT's Online Archives or 01/20/04 news, 04012035, for final installment of BP's summary of CBP's response to comments received on the proposed version of this final rule, with links to earlier installments. See ITT's Online Archives or 12/16/03 news, 03121610, for final installment of BP's summary of the final rule's regulations, with links to earlier installments.)

CBP states that interested parties with additional questions that are not included in this FAQ document should write to Manifest.Branch@dhs.gov.

CBP FAQ Document (dated 02/12/04) available at http://www.cbp.gov/ImageCache/cgov/content/import/communications_5fto_5ftrade/mandatory_5fadvanced_5felectronics/tpa_5ffaqs_2edoc/v1/tpa_5ffaqs.doc