On November 24, 2008, Customs published in the Federal Register a 64 page notification of the long awaited implementation of the 10+2 rule. This refers to the two items of information regarding the cargo that must be supplied by the carrier and the 10 items of information that must be supplied by the importer at least 24 hours before lading of goods bound for the US. The information must be supplied via a Customs' approved electronic data interchange system and this will generally involve your Customs broker, who has access to the computer program. (The currently approved system for importers is ABI; for vessels, it is AMS.) The security filing is mandatory on and after January 26, 2010.

Customs has delayed enforcement of the penalty provisions of the regulations through the end of the third quarter or 2010 and there is talk of a further extension to the end of 2010, but companies must be able show that they are actively getting systems in place to assure conformity to benefit from preferential treatment should deficiencies be found

Penalties are to be reduced for Tier II an Tier III members (see section on C-TPAT) in our home page.

More details follows:

Failure to file, or filing inaccurate information, will lead to enforcement action: the imposition of liquidated damages in the amount of $5,000.00 for each violation, penalties for untimely or inaccurate filings, and/or the issuance of "no load" orders to the carriers, meaning your cargo does not get shipped.

Information required of the carrier:

1. The vessel "stow plan," (to be received no later than 48 hours after the vessel's departure from the last foreign port, or before arrival, if the voyage takes less than 48 hours.) Seven items of detail, not only position of the container in or on the vessel, must be submitted under this heading.

2. A "Container Status Message" is to be transmitted to Customs when any of a number of things occurs, such as when a booking is confirmed, when a vessel is stopped for repair, and when a container is ordered stripped. It is likely that many carriers will transmit CSMs as standard operation procedure for all containers.

II. Information required from the importer:

An Importer Security Filing (ISF) is required for cargo (other than foreign cargo remaining on board, "FCRB".) Ths ISF must be electroinically filed 24 hours before the cargo is laden aboard a vessel destined for the US. Some of the information required will be relatively easy to obtain but some will certainly not be at hand under most importers' present procedures. As mentioned, the information is to be submitted 24 hours before cargo is laden aboard a vessel [with certain exceptions for FCRBs and goods intended to be transported as IE (immediate exportation) and T&E (transportation and exportation)]. The inmformation is to be updated or corrected as necessary. The data elements are:

a. Seller
b. Buyer
c. Importer of record number
d. Consignee number(s)
e. Manufacturer (or supplier)
f. "Ship to" party
g. Country of origin
h. HTSUS (US tariff item subheading, at least to six digits)
i. Container stuffing location
j. Consolidator (stuffer)

Because of the complexity of the requirements, this information is by necessity of a general nature and must be used as general background an an overview. It cannot serve as guidance for any specific import program.