CBP Releases ISF Enforcement Details

TRADE ALERT=

CBP Releases ISF Enforcement Deta= ils

(January 25, 2010)

January 26, 2010, ma= rks the enforcement date for the importer security filing (ISF) rule (also called 1= 0+2), and US Customs and Border Protection (CBP) recently released details on its enforcement approach. CBP now= terms the enforcement approach as “graduated escalated”, which mirrors its “informed compliance” approach used in previously rolled out programs. This approach is mo= re lenient than previously communicated in CBP’s January 14^th announcement. Below are highlights of CBP’s enforcement approach:

CBP will not use data collected during the delayed enforcement period (over the past year) against the trade. After January 26, 2010, as CBP moves toward stricter enforcement, the data gathered will be used to enforce the filing requirements.

No liquidated damages will be issued durin= g the first quarter (until April or May 2010) instead CBP will issue warning letters. When importers = fail to file, CBP will send a letter notifying them they are required to fi= le an ISF and that failure to file will result in liquidated damages and oth= er cargo release delays. If importers are experiencing difficulty filing, CBP will help to resolve issues during the first quarter.

CBP will issue do not loads (DNLs) when it’s appropriate for national security purposes; however, it will not take action for shipment issues solely related to ISF.

During the second quarter, CBP will put shipments on hold if they are at risk, no ISF has been filed, and CBP = has informed the responsible party. If CBP sees repeated incidents of not filing and a response is = not received from the filer, CBP may issue liquidated damages.<= /span>

In the third and fourth quarters, CBP will= take a stronger enforcement approach—including liquidated damages and cargo holds—for members of the trade that fail to file ISFs or do not rectify ISF issues that CBP works= with them to correct.

Due to increased security precautions, shi= pments identified as high risk that do not include an ISF may experience dela= ys including request for documentation, non-intrusive inspections, and ca= rgo holds.

ISF bonds will be required beginning Janua= ry 26, 2010.

CBP stated that furt= her details regarding its “graduated escalated” approach will be available shortly. Deringer w= ill continue to provide information as it becomes available. For questions about ISF or informa= tion regarding Deringer’s ISF solutions, pleas= e send an email to 10plus2@anderinger.co= m.

About Deringer

A.N. Deringer, Inc. is a lead= ing provider of international logistics services including Freight Forwarding, Warehousing & Distribution, Customs Brokerage, Logistics Consulting, Ca= rgo Insurance, Duty Drawback, and Meat Inspection. Deringer combines over 30 US offices with a global agency network to facilitate the movement of cargo throughout the world.