Importers into the United States are under more pressure than ever to ensure their data is verified. As of July 25, US Customs Border Protection (CBP) requires an estimated arrival date for all Entry Type 86 (ET 86) applications in the Automated Commercial Environment (ACE).
ET 86 submissions that do not include an EDA will result in an Input Rejected error.
This also paves the way for future development that will activate validation in ACE to ensure that the appropriate party does not obtain a Section 321 permit for more than $800 in total shipments on a given day. This is expected to be published by US Customs and Border Protection in September.
Entry Type 86 is a customs clearance procedure for goods imported into the United States. These are low-value shipments imported by one person in one day, and their value does not exceed $800.
The changes introduced by US Customs and Border Protection have significant implications for all registered importers – brokers, carriers, companies or individuals who are responsible for submitting entry through the US Customs ACE portal while ensuring that all relevant regulations are followed.
While the July 25 deadline focuses on the timeliness of data submission, the requirements that shipping data be complete and accurate are equally important. This requires asking “How is your data validated?” To be answered.
Incomplete or ambiguous descriptions, lack of HS codes and other data failures are monitored by U.S. Customs and Border Protection, and there are already cases — some sources cite more than 20 — in which filers’ licenses have been suspended.
“The number of businesses affected by the changes is growing,” said Lori Cicewicz, Director of Hurricane Commerce Partnerships – North America. “With the peak rapidly approaching, the best approach is to prepare and eliminate the risk of your business being impacted by the possibility of fines or license suspensions.”
“A lot of the data sets provided to brokers are of poor quality and they are not willing to take the risks. They push back and say the data provided to them needs to be cleaned. Entire shipments can be affected if there is evidence of poor data.”
Data submitted in ACE should be finalized rather than raw data.
One of the biggest problems U.S. Customs and Border Protection faces relates to the accuracy and completeness of product descriptions.
US Customs and Border Protection states: “The description must be in clear language and sufficiently detailed to allow US Customs and Border Protection to determine the size, shape, and characteristics of the item.”
Unacceptable descriptions can include “animals,” “appliances,” “auto parts,” “hats,” and “leather goods.”
Acceptable descriptions that replace the examples above could be “live horse,” “microwave oven,” “air filters,” “baseball hats,” and “leather handbags.”
Another area for scrutiny in ACE is invalid addressee names with well-known examples including “anyone” and “someone” as well as the more colorful “Donald Duck” and “Mickey Mouse.”
Maureen Currie, advisor to the Hurricane Trade Council, said: “Full and accurate product descriptions and other data sets are really important. The data provided should reflect what is in the box. Vague descriptions are closely monitored which has led to suspensions from some brokers and carriers which we have seen in weeks.” The last.
“While timely data is now a requirement, completeness and accuracy of data must also be good.
“Everyone in the supply chain has a responsibility to take responsibility for the quality of the data provided with the relationship between the provider and its customers being particularly important.”
Hurricane’s data solutions help enhance global trade for its customers including carriers, customs brokers, freight forwarders, retailers, air freight specialists and postal operators. The company has clients on six continents.
The global cross-border market is expected to reach $7.9 trillion by 2030.
Hurricane’s Kona API was created to handle the huge volumes involved in global trade where automation is key and where the technology must be highly scalable.
Customers rely on Kona’s speed in classifying data that matches the description. Status code reports are equally important, they help flag bad/unacceptable descriptions and save time searching and modifying the HS code before submission. Since most Type 86 entries are merges, a single error can affect the entire entry.
The data, including status code reports, provided by Hurricane, is also vital to our customers’ shipment due diligence and ensuring an auditable trail.
Kona is the only API of its kind that includes the four important areas of data validation, duty and tax calculation, prohibited and restricted goods screening and denied party screening in a single call. The modular nature of KONA allows customers to use some or all of its functions depending on business requirements.
