Details on CBP's Interim Final Rule on 10+2 for Maritime Cargo (Part III - Importer SF Requirements)

This is Part III of a multi-part series of summaries of the details of the interim final rule and highlights the importer (or its agent) SF requirements in new 19 CFR Part 149. See future issues of ITT for additional summaries.

ISF Importer or Authorized Agent Must Submit ISF

For cargo arriving by vessel, with the exception of bulk cargo pursuant to 19 CFR 149.4(a), the ISF Importer² or authorized agent must submit in English the ISF data elements (described below) within the specified time via a CBP-approved electronic interchange system³.

(For bulk cargo that is exempt from 19 CFR 4.7(b)(2) (the 24 hour rule), ISF Importers are exempt from filing an ISF with respect to that cargo. (See 19 CFR 149.1 for definition of bulk cargo.))

ISF - 10 Data Elements for Shipments (Other Than Entirely FROB, IE, or T&E)

For shipments other than those consisting entirely of foreign cargo remaining on board (FROB) and shipments intended to be transported in-bond as an immediate exportation (IE) or transportation and exportation (T&E), the following data elements must be provided for each good listed at the six-digit Harmonized Tariff Schedule (HTS) number at the lowest bill of lading level (i.e., at the house bill of lading level, if applicable). The manufacturer (or supplier), country of origin, and commodity HTS number must be linked to one another at the entry line item level (and not at the invoice line item level).

1. Seller. Name and address of the last known entity by whom the goods are sold or agreed to be sold. If the goods are to be imported otherwise than in pursuance of a purchase, the name and address of the owner of the goods must be provided. A widely recognized commercially accepted identification number (such as the Dun and Bradstreet Data Universal Numbering System (DUNS) number) may be provided in lieu of the name and address.
2. Buyer. Name and address of the last known entity to whom the goods are sold or agreed to be sold. If the goods are to be imported otherwise than in pursuance of a purchase, the name and address of the owner of the goods must be provided. A widely recognized commercially accepted identification number (such as the DUNS number) for this party may be provided in lieu of the name and address.
3. Importer of record number/FTZ applicant identification number. Internal Revenue Service (IRS) number, Employer Identification Number (EIN), Social Security Number (SSN), or CBP assigned number of the entity liable for payment of all duties and responsible for meeting all statutory and regulatory requirements incurred as a result of importation. For goods intended to be delivered to a foreign trade zone, the IRS number, EIN, SSN, or CBP assigned number of the party filing the FTZ documentation with CBP must be provided.
4. Consignee number(s). IRS number, EIN, SSN, or CBP assigned number of the individual(s) or firm(s) in the U.S. on whose account the merchandise is shipped.
5. Manufacturer (or supplier). Name and address of the entity that last manufactures, assembles, produces, or grows the commodity or name and address of the party supplying the finished goods in the country from which the goods are leaving. In the alternative the name and address of the manufacturer (or supplier) that is currently required by the import laws, rules and regulations of the U.S. (i.e., entry procedures) may be provided (this is the information that is used to create the existing manufacturer identification (MID) number for entry purposes). A widely recognized commercially accepted identification number (such as the DUNS number) for this party may be provided in lieu of the name and address.

CBP states that it will not accept the current MID as an alternative to the complete name and address of the manufacturer.

1. Ship to party. Name and address of the first deliver-to party scheduled to physically receive the goods after the goods have been released from customs custody. A widely recognized commercially accepted identification number for this party (such as the DUNS number or Facilities Information and Resources Management System (FIRMS) code, when applicable) may be provided in lieu of the name and address.
2. Country of origin. Country of manufacture, production, or growth of the article, based upon the import laws, rules and regulations of the U.S.
3. Commodity HTS number. Duty/statistical reporting number under which the article is classified in the HTS. The HTS number must be provided to the six-digit level, but may be provided up to the 10-digit level. This data element can only be used for entry purposes if it is provided at the 10-digit level or greater by the importer of record or its licensed customs broker.
4. Container stuffing location. Name and address(es) of the physical location(s) where the goods were stuffed into the container. For break bulk shipments, as defined in 19 CFR 149.1, the name and address(es) of the physical location(s) where the goods were made ''ship ready'' must be provided. A widely recognized commercially accepted identification number (such as the DUNS number) for this element may be provided in lieu of the name and address.
5. Consolidator (stuffer). Name and address of the party who stuffed the container or arranged for the stuffing of the container. For break bulk shipments, as defined in 19 CFR 149.1, the name and address of the party who made the goods ''ship ready'' or the party who arranged for the goods to be made ''ship ready'' must be provided. A widely recognized commercially accepted identification number (such as the DUNS number) for this party may be provided in lieu of the name and address.

ISF - 5 Data Elements for Entirely FROB, IE, or T&E Shipments

For shipments consisting entirely of FROB and shipments intended to be transported in-bond as an IE or T&E, the following data elements must be provided for each good listed at the six-digit HTS number at the lowest bill of lading level (i.e., at the house bill of lading level, if applicable):

1. Booking party. Name and address of the party who initiates the reservation of the cargo space for the shipment. A widely recognized commercially accepted identification number for this party (such as the DUNS number) may be provided in lieu of the name and address.
2. Foreign port of unlading. Port code for the foreign port of unlading at the intended final destination.
3. Place of delivery. City code for the place of delivery.
4. Ship to party. Name and address of the first deliver-to party scheduled to physically receive the goods after the goods have been released from customs custody. A widely recognized commercially accepted identification number (such as the DUNS number or FIRMS code, when applicable) for this party may be provided in lieu of the name and address.
5. Commodity HTS number. Duty/statistical reporting number under which the article is classified in the HTS. The HTS number must be provided to the six-digit level, but may be provided to the 10-digit level.

Deadlines for Submitting ISF (Except Break Bulk Cargo)

CBP states that with the exception of any break bulk cargo pursuant to 19 CFR 149.4(b), an ISF Importer or authorized agent must submit:

24 hours prior to lading - Eight of the ISF-10 data elements (seller, buyer, importer of record number/FTZ applicant identification number, consignee number(s), manufacturer (or supplier), ship to party, country of origin, and commodity HTS number), and the ISF-5 data elements for IE and T&E shipments⁴, no later than 24 hours before the cargo is laden aboard the vessel at the foreign port.

However, for manufacturer (or supplier), ship to party, country of origin, and commodity HTS number, ISF Importers will be permitted to submit an initial response or responses based on the best available data available at the time. ISF Importers will be required to update as soon as more precise or more accurate information is available, in no event less than 24 hours prior to arrival at a U.S. port (or upon lading at a foreign port that is less than a 24 hour voyage to the closest U.S. port).

24 hours prior to arrival - Two of the ISF-10 data elements (container stuffing location and consolidator (stuffer)), no later than 24 hours prior to arrival in a U.S. port (or upon lading at a foreign port that is less than a 24 hour voyage to the closest U.S. port).

Prior to lading - Data elements required for FROB (ISF-5) under 19 CFR 149.3(b), prior to lading aboard the vessel at the foreign port.

(CBP states that because FROB is frequently laden based on a last-minute decision by the carrier, the ISF for FROB is required any time prior to lading.)

Deadline for Submitting ISF for Break Bulk Cargo

For break bulk cargo that is exempt from the requirements of 19 CFR 4.7(b)(2) (the 24 hour rule), ISF Importers are also exempt from the requirement set forth in 19 CFR 149.2 to file an ISF with CBP 24 hours before such cargo is laden aboard the vessel at the foreign port. (See 19 CFR 149.1 for definition of break bulk cargo.)

Importers of break bulk cargo that are exempt from the filing requirement of 19 CFR 149.2 must present the ISF to CBP 24 hours prior to the cargo's arrival in the U.S. ISF Importers must still report 24 hours in advance of loading any containerized or non-qualifying break bulk cargo they will be importing.

ISF Filer Must Update ISF if Information Changes or More Accurate Info Available

The party who submitted the ISF must update the filing if, after the filing is submitted and before the goods enter the limits of a port in the U.S., any of the information submitted changes or more accurate information becomes available.

CBP Will Take into Account Whether/How ISF Information Was Acquired/Verified

Where the party electronically presenting to CBP the required ISF receives any of this information from another party, CBP will take into consideration how, in accordance with ordinary commercial practices, the presenting party acquired such information, and whether and how the presenting party is able to verify this information.

Where the presenting party is not reasonably able to verify such information, CBP will permit the party to electronically present the information on the basis of what the party reasonably believes to be true.

ISF Must be Withdrawn if Goods No Longer Intended to be Imported

If, after an ISF is submitted, the goods associated with the ISF are no longer intended to be imported to the U.S., the party who submitted the ISF must withdraw the ISF and transmit to CBP the reason for such withdrawal.

Bond and Power of Attorney Requirements

The ISF Importer must possess a basic importation and entry bond containing all the necessary provisions of 19 CFR 113.62, a basic custodial bond containing all the necessary provisions of 19 CFR 113.63, an international carrier bond containing all the necessary provisions of 19 CFR 113.64, a FTZ operator bond containing all the necessary provisions of 19 CFR 113.73, or an ISF bond as provided in new Appendix D to 19 CFR 113.

If an ISF Importer does not have a required bond, the agent submitting the ISF on behalf of the ISF Importer may post the agent's bond.

Authorized agents must retain powers of attorney in English until revoked. Revoked powers of attorney and letters of revocation must be retained for five years after the date of revocation. Authorized agents must make powers of attorney and letters of revocation available to CBP representatives upon request.

See future issue of ITT for additional details on bonding, including new Appendix D to 19 CFR Part 113.

Eligibility to File an ISF

To be qualified to file ISF information electronically, a party must establish the communication protocol required by CBP for properly presenting the ISF through the approved data interchange system³.

If the ISF and entry or entry summary are provided via a single electronic transmission to CBP pursuant to 19 CFR 149.6(b), the party making the transmission must be an importer acting on its own behalf or a licensed customs broker.

Entry and Entry Summary and ISF Submitted Via Single Electronic Transmission

If the ISF is filed pursuant to 19 CFR 149.2 via the same electronic transmission as entry or entry/entry summary documentation pursuant to 19 CFR 142.3, the importer or broker is only required to provide the following fields once to be used for ISF, entry, or entry/entry summary purposes, as applicable:

(a) Importer of record number;

(b) Consignee number;

(c) Country of origin; and

(d) Commodity HTS number, if this number is provided at the 10-digit level.

¹The interim final rule is intended to fulfill the requirements of Section 203 of the Security and Accountability for Every (SAFE) Port Act of 2006 and Section 343(a) of the Trade Act of 2002, as amended by the Maritime Transportation Security Act of 2002.

²ISF Importer means the party causing goods to arrive within the limits of a port in the U.S. by vessel. For shipments other than FROB, IE, and T&E inbond shipments, and goods to be delivered to a FTZ, the ISF Importer will be the goods' owner, purchaser, consignee, or agent such as a licensed customs broker. For FROB cargo, the ISF Importer will be the carrier. For IE and T&E in-bond shipments, and goods to be delivered to an FTZ, the ISF Importer will be the party filing the IE, T&E, or FTZ documentation.

³The current approved electronic data interchange systems for the ISF are the Automated Broker Interface (ABI) and vessel Automated Manifest System (AMS). If CBP approves a different or additional electronic data interchange system in the future, it will publish a notice in the Federal Register.

⁴A Department of Homeland Security (DHS) press release states that ISFs for IE and T&E shipments must also be submitted no later than 24 hours before the cargo is laden aboard a vessel at the foreign port. However, the interim final rule's regulatory text on the time of transmission (19 CFR 149.2(f) does not appear to explicitly provide such deadline. BP is checking with CBP regarding this issue.

(See ITT's Online Archives or 12/02/08 news, 08120230, for BP summary of a CBP CSMS message on the availability of CBP's IT systems for security filings as of December 3, 2008.

See ITT's Online Archives or 11/25/08 and 11/26/08 news, 08112505 and 08112605, for Parts I and II of BP's series of summaries on the details of CBP's 10+2 interim final rule.

See ITT's Online Archives or 11/24/08 news, 08112400, for BP summary announcing the publication of CBP's 10+2 interim final rule, with links to other recent BP summaries on 10+2).

CBP contact - Richard Di Nucci (202) 344-2513

Interim final rule (D/N USCBP-2007-0077, CBP Dec. 08-46, FR Pub 11/25/08) available at http://edocket.access.gpo.gov/2008/pdf/E8-27048.pdf.

DHS fact sheet on interim final rule (dated 11/24/08) available at http://www.dhs.gov/xnews/releases/pr_1227548591399.shtm.

DHS press release on interim final rule (dated 11/24/08) available at http://www.dhs.gov/xnews/releases/pr_1227546762516.shtm.

DHS frequently asked questions on 10+2 interim final rule available at http://www.cbp.gov/linkhandler/cgov/trade/cargo_security/carriers/security_filing/import_faq.ctt/import_faq.pdf.