National Customs Brokers and Forwarders Association of America President J.D. Gonzalez said the trade group thinks the Customs Modernization Act is heavily focused on enforcement, and the group is "a little disappointed" that some of the items that NCBFAA talked about with Sen. Bill Cassidy, R-La., didn't find their way into this bill.
21st Century Customs Framework
The 21st Century Customs Framework is a CBP initiative that seeks to modernize the flow of goods into the United States. The goals of the initiative are to enhance facilitation and security, ensure seamless data sharing, increase visibility into modern supply chains, provide enforcement flexibility and streamline processes to deter bad actors and protect U.S. consumers and businesses from unfair competition, and secure additional funding. CBP created a task force representing U.S. businesses which recommended a series of legislative proposals eventually codified into law in the Customs Modernization Act of 2023.
The director of CBP's trade modernization office said CBP is packaging up the discussion drafts of what it would like to see in a 21st Century Customs Framework law, and sending them to the Office of Management and Budget so that the OMB can coordinate interagency comments and clearance of the language.
ACE 2.0 and the 21st Century Customs Framework are "absolutely key" to moving forward with CBP's Green Trade Strategy "with the urgency that is required as we globally fight climate change," CBP Executive Assistant Commissioner AnnMarie Highsmith said at a July 12 press conference. Highsmith said both initiatives will allow for improved traceability to aid sustainability efforts and, alongside improved CBP cargo processing at ports, help move goods more quickly across the border.
CBP posted to its website June 12 the latest version of the E-Merchants Trade Council’s “redline” of proposed changes to the customs laws under the 21st Century Customs Framework. Changes are minor from a previous version released by the trade group in November (see 2211290058), including a clarification that use of “an electronic system interpreting the customs laws and regulations by deploying methods such as natural language processing, knowledge representation, image-based analysis, algorithmic decision-making, and machine learning” to “assess the admissibility, tariff classification. value and origin of merchandise” would not be considered customs business.
Reaching the end of its work with CBP on legislative drafts under the 21st Century Customs Framework, the Commercial Customs Operations Advisory Committee remains at loggerheads with CBP on five remaining enforcement proposals from the agency, including one on penalties that the COAC completely rejected, according to a white paper released June 5.
CBP's Commercial Customs Operations Advisory Committee (COAC) will next meet June 14 in Arlington, Virginia, CBP said in a notice. Comments are due in writing by June 9.
NEW ORLEANS -- Much-anticipated customs modernization legislation likely won’t be introduced for at least another few months, but the National Customs Brokers & Forwarders Association of America’s legislative adviser isn’t worried about running out of time for Congress to pass it into law before the presidential election cycle, she said during a panel discussion April 26.
Changes to the de minimis statute, whether excluding China or changing the threshold, have gotten the most attention in Congress of any possible customs legislative change, but CBP says its 21st Century Customs Framework will not touch the issue.
With a short window for passing customs modernization legislation this year and uncertain prospects after that, it’s important that CBP and the trade community “stick the landing” of the 21st Century Customs Framework initiative and present a united front to Congress when a legislative proposal is submitted by CBP later this year, said John Drake, vice president-supply chain policy at the U.S. Chamber of Commerce.
The Commercial Customs Operations Advisory Committee intends to finalize its input on CBP’s 21st Century Customs Framework legislative initiative at an upcoming COAC meeting in June, CBP said in a document released ahead of the March 29 meeting of the advisory committee.