Here we go again with another potential government shutdown as political leaders stake their positions on the debt ceiling debate with threats of a government shutdown. Shippers should adapt their shipping processes to the USA to better manage their import processes during a government slowdown.
Parcel importers should ensure access to Express Consignment Clearance Facilities (ECCF's) to minimize the potential for customs delays during a government shutdown.
Funding for the U.S. federal government expired on September 30 and, without agreement, a government to shutdown is again being discussed. Should a political agreement not be made, the US customs will likely experience a slowdown.
U.S. Customs and Border Protection: Protect from Shutdowns
During past government shutdowns, US Customs and Border Protection advised customs brokers and forwarders that all ports of entry operations, security and revenue functions would remain operational. We believe this would be the case this time around (if indeed the government actually shuts down).
US Customs and Border Protection is deemed law enforcement that is necessary for the safety of life and protection of property and thus largely unaffected by government slowdowns.
Other Government/ Partner Agencies: Slowed Down from a Shut Down
Government services linked to import clearances like to see services closed, suspended or otherwise impacted include: U.S. Food and Drug Administration (FDA), U.S.Department of Agriculture and U.S. Environmental Protection Agency.
Section 321: Express Protection Option
Have access to and express consignment clearance is a critical element of securing ecommerce parcel import supply chains. Express consignments fall under a specific category (Part 128 of the Code of Federal Regulations) and benefit from faster clearance. The cost of faster clearance is passed to the importer via a per shipment (or house air waybill) fee. This fee is known the a reimbursable fee.
Alternating via Express and Cargo on the fly:
The goods news is the express clearance processes are virtually the same as cargo processes and switching between the two can be done per flight (master air waybill). In fact, virtually all express consignment facilities include a cargo (Container freight station or CFS) option which is the preferred option during normal times.
Multiple Ports of Entry: More Ports , More Certainty
Although usually not an official edict from the government, it often happens that some ports experience more delays than others. It is best to use multiple ports of entry - including via the Canadian US border - to help minimize delays and for more efficient routings.
Growth of e-commerce imports demands more secure processes
The exponential growth of commerce Sec 321/ De Minimis imports to the USA - with or without a government slowdown - continue to have challenges. US-CBP is doing all it can to keep pace with the volume of eCommerce parcels being imported across the USA.
In Los Angeles for example, US CBP announced the opening of a new facility to consolidate their processes and manage year over year growth that have exceeded 500%!
Securing Imports by Securing Section 321 Data
All stakeholders, from forwarders , online Platforms , ecommerce sellers, and importers should do all they can to ensure a secure data feed. US Customs messaging around your shipments starts immediately following the upload of manifest data which is used as the basis for the section 321 informal entry. Shipment descriptions and values are two data elements that often create issues but, in fact, all data is important.
Contact our team for information on setting up duty free CBP section 321 entries and informal entries via ECCF's. Being proactive!
