Automakers Battling Stricter Customs Regulations

by Paul - Export Logistics Guide on August 29, 2008

in Cargo Inspection,Customs,International Shipping

The Alliance of Automobile Manufacturers and the Association of International Automobile Manufacturers joined 40 other trade associations in efforts to stop the implementation of the “10+2″ rule. The rule requires the collection of 10 new categories of data 24 hours before cargo is loaded on U.S. bound ships in foreign countries, also required will be location information once on board and any movement of those containers during shipment.

The primary issue raised by automakers is how it would interfere with “just in time” parts shipments, potentially adding days to the process. Besides the delay and additional cost of providing the large amount of data, they argue it would do little to enhance security.

The government estimates the rules would apply to 11 million cargo containers shipped by 1,200 carrier companies that make 50,000 trips annually. …

The automakers say the proposal would require “the submission (and resubmission) of hundreds of millions of data elements at a tremendous cost to the government and trade community without offsetting benefits to security,” the joint letter said. The reality, the letter says, is “that millions of containers enter the United States annually without causing any harm, but it would result in assigning excessive resources to low-risk threats at the expense of high-risk ones.”

Though the rule has been in the works for nearly 6 years, the U.S. Customs and Border Protection Bureau wants a final regulation by November.

Link: Detroit News

Previous post:

Next post: