In the past, Customs and Border Protection (CBP) used the audit process to evaluate an importer’s compliance program – a paper heavy, cumbersome process for both CBP and the importer.  One of the enhancements of ACE over ACS is the ability for CBP to manage data more effectively.  CBP uses data collected via ACE to identify key indicators that can increase the likelihood of your import program being identified for a Focused Assessment.  The Focused Assessment program encourages importers to be proactive in identifying and managing their risk.  In the process, the importer should identify areas of non-compliance and develop their internal controls.

The first step in a Focused Assessment is the ‘Pre-Assessment Survey Questionnaire’ which includes questions such as:

• Describe how the risk assessment is accomplished.
• Who is responsible for developing and maintaining the written policies and procedures used to ensure compliance with CBP laws and regulations?
• What basis of appraisement is used for the value of imported merchandise?
• What records and other information (product specifications, engineering drawings, physical items, laboratory analysis, etc.) are used to determine the classification of merchandise?
• Identify the name and MIDs for all foreign vendors from whom items are imported under GSP/FTA.
• Who decides or determines that items may be subject to AD/CVD?

Customs will evaluate your processes and controls along with your company’s risk of regulatory non-compliance, not just your historical paper trail. Importers have already begun to receive ‘courtesy’ notifications from CBP that they may be the subject of a focused assessment.  Evaluation of your import program is key to successfully navigating the focused assessment process.

Merit Trade Consulting Services has the experience and resources to help you evaluate your import program for CBP and other PGA compliance, develop a comprehensive Import Program Manual and identify best practices tailored to your company’s unique needs before you receive the letter from Customs and Border Protection (CBP).

When you receive the letter… will you be ready? Contact us at merit@merittradeservices.com