Some Concern for CBP Trade Functions Due to Shifting Administration Priorities, COAC Says
CBP posted documents for the upcoming Commercial Customs Operations Advisory Committee (COAC) meeting on March 1 (here) in Washington. Among the posted items are draft recommendations from the Rulings and Decisions Improvement Working Group of the Trade Modernization Subcommittee (here) that suggest CBP work to ensure sufficient resources for the Office of Regulations and Rulings (R&R) "in light of the foreseeable, imminent shifts in U.S. trade and border policy." The agency must be able to maintain "trade and other critical subject matter priorities despite other issues that may become of significant concern," it said. "COAC also feels this is necessary due to the Administration’s mandate to eliminate two regulations for every one regulation that the Government issues."
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The subcommittee also suggested that CBP offer an option for expedited requests for further review "that would not result in a written published decision by R&R but would merely instruct the Center to grant or deny the protest." This would help relieve the backlog of rulings and it would be at the discretion of CBP for future and pending requests, the COAC said. Also recommended is that CBP develop "an automated process/system for the submission, processing and dissemination of all types of ruling requests and decisions," it said.
The agency should also consider allowing rulings contained on the Customs Rulings Online Search System (CROSS) to expire at some point. The number of rulings on CROSS and the revocations process prevents timely decisions on tariff classification rulings, it said. CBP should also look to enhance CROSS with updated search and notification features, the subcommittee recommended. CBP and the COAC Mitigation Guidelines Working Group should also discuss "whether the pendency of a response to a prospective ruling request affects a determination as to whether the submitter exercised reasonable care," it said.
The International Engagement and Trade Facilitation Working Group also released some draft recommendations related to NAFTA "in light of the Trade’s questions surrounding" the deal, the Trade Modernization Subcommittee said (here). CBP should work with the U.S. Trade Representative and industry to consider more modern provisions in other trade pacts for enforcement, importer self-certification and supply chain security, among other issues, it said. CBP should also collaborate with Canada and Mexico "on cross border data sharing and data harmonization, remove or modernize unnecessary regulatory barriers within the North American Region through the use of a single window."
The agency should also use discussions with Canada and Mexico to "simplify the border process for small and medium sized businesses" through updates to de minimis value thresholds, the working group said. The U.S. recently increased the de minimis threshold to $800, while Canada is at $20 and Mexico is $50. "COAC recommends that CBP work with Canada and Mexico to achieve a commercially significant de minimis level, which reflects inflation and the modern reality of online commerce."
CBP posted the below documents:
Trusted Trader
- Trusted Trader Program Subcommittee Executive Summary (here)
Trade Enforcement and Revenue
- CBP AD/CVD Issue Paper (here)
- Government Issue Paper: Intellectual Property Rights (here)
- TERC COAC Trade Executive Summary (here)
One U.S. Government at the Border
- 1USG Subcommittee -- Trade Executive Summary (here)
- Government Issue Paper: Fish and Wildlife Service (here)
- Government Issue Paper: ACE/Single Window Issue Paper (here)
Export
- Exports Post Departure Filing Update (here)
- Exports-Manifest Pilots Update (here)
- Draft Export Manifest Recommendations (here)
- Exports Subcommittee -- Trade Executive Summary (here)
Global Supply Chain
- Global Supply Chain Subcommittee -- Executive Summary (here)
Trade Modernization
- Trade Modernization Subcommittee -- Executive Summary (here)
- International Engagement and Trade Facilitation Working Group, NAFTA Team Recommendations (here)
- Government Issue Paper: International Engagement and Trade Facilitation (here)
- Rulings and Decisions Improvement Working Group Draft Recommendations (here)
- Government Issue Paper: Rulings & Decisions Improvement (here)
- Revenue Modernization Working Group Draft Recommendations (here)
- Government Issue Paper: E-Commerce (here).