Importer Security Filing

1. Importer Security Filing “10 + 2”

2. What is it? • Required electronic filing of certain data elements 24 hours prior to the vessel loading in the foreign port • Only for container, ocean cargo for now

3. Purpose • To help prevent terrorist weapons from being transported to the United States • Data necessary to identify high risk cargo

4. Who? • Importer will be held liable for the filing • Importer can appoint an agent such as the freight forwarder or customs broker

5. 10 data elements required from importer • Seller’s name & address • Buyer’s name & address • Importer’s IRS number • Consignee’s IRS number • Manufacturer’s name & address • Ship to party’s name & address • Country of origin • HTS # to the six digit (can file 10 digits) • Container stuffing location or number • Consolidator/stuffer’s name or number

6. 2 data elements required from carrier • Stow plan within 48 hours after departure (or prior to arrival for voyages less than 48 hours). • Container status messages (CSM’s) for any changes in location or status of containers, terminal gate inspections, intra-terminal movement, etc.

7. Flexibility • Container stuffing location & consolidator may be submitted as late as 24 hours prior to arrival of the vessel • Can submit the importer, consignee, or facility of unloading if the “ship to” party is unavailable. • Correct data must be transmitted 24 hours prior to the vessel’s arrival in the US port

8. Filing Requirements • Required for each shipment at the lowest bill of lading level (Master bill, house bill) • Manufacturer, origin, HTS must be linked at the line item level • Must be filed electronically via ABI or AMS

9. Details of required data • Seller, manufacturer, ship to party, stuffer, consolidator can submit the FIRMS code or DUNS number in lieu of name & address • MID are not acceptable for manufacturer • Corporate addresses acceptable for manufacturer or supplier; not acceptable for “ship to” party.

10. Details of required data • Ship to party is the first location where the container will be unloaded. • May be a container freight station • If filer can not reasonably verify information, CBP will allow the transfer based on what is believe to the best of their knowledge to be accurate • Updates are allowed if more accurate information is obtained (prior to arrival)

11. POA & Bond • Power of attorney is required for the agent to file • Does not have to be a US person filing • Bond is required (continuous bond will cover the ISF) • A new bond will be created just to cover ISF for importers without bonds • Can be filed under the agents bond

12. Enforcement Restraint • CBP will be lenient for the first 4 months but will review the importer’s attempts to correctly file and their progress

13. Penalties • Liquidated damages of $5,000 per violation for importers • Penalties for carriers are capped at $50,000 per vessel for stow plan violation and $100,000 per vessel for CSM violations

14. Legal Notice Copy of the Federal Register mandating 10 + 2 available at the website below: http://www.cbp.gov/xp/cgov/trade/legal/recent_federal_register_notices/ fed_regs_offsite_links_2008.xml