CBP Lists Mid-Year Import Data for Safety and IPR Seizures, Penalties, Etc.
U.S. Customs and Border Protection has recently posted its mid-year fiscal year 2010 “Import Trade Trends” report. This report is an analysis of the import trade trends through mid-FY 2010 and includes projections of trade activity through the end of FY 2010.
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Highlights of Mid--Year FY 2010 Report
Highlights of CBP’s mid-year FY 2010 Import Trade Trends report include:
In FY 2010 CBP to randomly review 50,000 shipments under CM. One of the pillars of CBP’s risk management strategy is its compliance measurement program, where a random statistical sampling of imported goods is reviewed. In 2010, CBP will randomly review approximately 50,000 shipments of the total 27 million shipments that are expected to come in. This will enable CBP to focus its time and resources on additional targeting and reviews of high-risk and discrepant goods.
(Based on a random sampling, 98.6% of the FY 2010 imports were materially compliant with all U.S. trade laws and regulations. This compliance rate is slightly higher than recent years.)
Mid-year FY 2010 import levels have reached FY 2006 levels. During the first six months of FY 2009, U.S. imports rapidly declined. Seasonal patterns resumed by mid-year 2010, resulting in a moderate recovery in trade. Imports are now at levels last seen in fiscal year 2006. Continued stability and modest growth are projected for FY 2010. Entry volume at the mid-point of FY 2010 is 13 million. By year end, 27 million entries are expected, an increase of 5% from FY 2009.
Value of imports processed by CBP in FY 2009 decreased by 25%. The total value of imports processed by CBP was slightly more than $1.7 trillion in FY 2009, a 25% decrease from the previous year. By year end of FY 2010, it is projected that the value of imports will increase 6 percent, totaling $1.8 trillion.
Only 29% of imports were dutiable. Consistent with recent years, only 29% of imported goods were dutiable. The remaining goods were duty-free or free under tariff preference programs.
FY 2010 revenue collections projected to be $31 billion. During the first six months of FY 2010, CBP collected $15 billion in revenue for the U.S. government. It is projected that $31 billion will be collected by year end.
AD/CV duty collections down slightly in first half of FY 2010. A total of $130 million in antidumping/countervailing duties were collected during the first half of FY 2010, down slightly from the same period last year.
CBP revenue gap increased to FY 2007 levels. After the revenue gap declined for five, consecutive years, preliminary measurements indicate that the level of uncollected duties rose to 1.4%, which is roughly equivalent to levels reported in FY 2007.
China surpassed Canada as top source for U.S. imports. China surpassed Canada as the U.S.’ top source of imports in FY 2009, and is projected to maintain its lead through fiscal year 2011.
8,000 IPR seizures. At mid-year FY 2010, nearly 8,000 intellectual property rights seizures have been made.
1.400 import safety seizures. During the first six months of FY 2010, CBP conducted 1,400 import safety seizures.
Agriculture seizures will decline 20% in FY 2010. Between FYs 2008 and 2009, agriculture seizures increased 100%. Preliminary figures in FY 2010 indicate that seizures will decline by 20%.
$15 billion in duties to be collected. Within the first six months of FY 2010, approximately $15 billion in duties were collected.
$30 million in penalties assessed. During the first six months of FY 2010, approximately $30 million in penalties have been assessed.
Participation in ISA grew 4% in first half of FY 2010. Despite the downturn in the economy, the number of importers participating in the Importer Self-Assessment (ISA) partnership program increased in 2009 by 11% and again during the first six months of FY 2010 by 4%. The ISA program now has 203 participants.
In 2009, when Chrysler and General Motors filed for Chapter 11 bankruptcy protection, their import transactions were not held up at the border because they were both ISA participants. (Ordinarily, when a company goes through a restructuring, its freight would be delayed until a new importer record number, bond, and other paperwork are coordinated with CBP, which could take months.)