ACRONYM/TERM

DEFINITION Automated Broker Interface - a part of Customs Automated Commercial System, permits transmission of data pertaining to merchandise being imported into the U.S. Qualified participants include brokers, importers, carriers, port authorities and independent data processing companies referred to as service centers. Automated Commercial Environment - Part of Customs Automated Commercial System which controls imported merchandise from the time a carriers cargo manifest is electronically transmitted to Customs until control is provided to another segment of the ACS. Automated Clearinghouse - The Automated Clearinghouse (ACH) is a feature of the Automated Broker Interface that is a part of Customs Automated Commercial System. The ACH combines elements of bank lock box arrangements with electronic funds transfer services to replace cash or check for payment of estimated duties, taxes and fees on imported merchandise. Automated Commercial System - The Customs Automated Commercial System, ACS, is a joint public-private sector computerized data processing and telecommunications system linking customhouses, members of the import trade community and other government agencies with the Customs computer. Trade users file import data electronically, receive needed information on cargo status and query Customs files to prepare submissions. Duties, taxes and fees may be paid by electronic statement through a Treasury-approved clearinghouse bank. ACS contains the import data used by Census to prepare U.S. foreign trade statistics. Duty imposed on imported merchandise based on a percentage of the value. Antidumping duty - A tariff imposed to discourage sale of foreign goods at less than a fair market price that would be detrimental to local manufacturers. See Dumping. A bill of lading that covers both domestic and international flights transporting goods to specified destination. Technically, the air waybill is a non-negotiable instrument of air transport that serves as a receipt for the shipper, indicating that the carrier has accepted the goods listed therein and obligates itself to carry the consignment to the airport of destination according to specified conditions. Extensive insurance coverage of cargo including coverage due to

ABI

ACE

ACH

ACS

Ad Valorem Duty

ADD

Air Waybill

All Risk

external causes such as fire, collision, pilferage, etc., but does not include special risks such as those resulting from acts of war. AMS APEC Automated Manifest System Asia Pacific Economic Cooperation A branch of the USDA, the Animal Plant Inspection Service provides leadership in ensuring the health and care of animals and plants, improving agricultural productivity and competitiveness and contributing to the national economy and the public health. The determination, by a proper Customs official, of the dutiable value of imported merchandise following procedures outlined in the Tariff Act of 1930, as amended. This notice, which advises the consignee that cargoes have arrived, is issued by steamship lines and can also serve as the freight bill. Association of Southeast Asian Nations Items furnished to the producer either free of charge or at a reduced amount or used in the production of merchandise that will be imported. Examples include tools, dies, and molds. Artwork performed in the U.S. is not considered an assist. The value of an assist Andean Trade Preferences Act Air Waybill Business Executives Enforcement Teams Bureau of Industry and Security Bill of Lading - A contract between the owner of the goods and the carrier. There are primarily two types of ladings. A straight bill of lading is nonnegotiable. A negotiable or shipper's order bill of lading can be bought, sold, or traded while goods are in transit and is used for letter of credit transactions. The customer usually needs the original or a copy as proof of ownership to take possession of the goods. A warehouse authorized by Customs authorities for storage or manufacture of goods on which payment of duties is deferred until the goods enter Customs territory. The goods are not subject to duties if reshipped to foreign points. In relationship to imports, the DOC has two primary interests. The first interest pertains to the Committee for Implementation of Textile Agreements (CITA) which regulates certain textile imports under

APHIS

Appraisement

Arrival Notice ASEAN

Assist

ATPA AWB BEET BIS

BL

Bonded Warehouse

Bureau of Census Department of Commerce

Section 204 of the Agricultural Adjustment Act. The second area of interest involves the collection of statistical data from import shipments. Buying Commission CACM A buying commission consists of any monies paid to the buyer's agent, who is controlled by or works on behalf of the buyer. Central American Common Market The Cargo Selectivity System, a part of Customs Automated Commercial System, specifies the type of examination (intensive or general) to be conducted for imported merchandise. The type of examination is based on database selectivity criteria such as assessments of risk by filer, consignee, tariff number, country of origin and manufacturer/shipper. Caribbean Common Market Customs documents permitting the holder to carry or send sample merchandise temporarily into certain foreign countries without paying duties or posting bonds. A carnet serves as both the entry document and a Customs bond. Movement of freight via trucking, draying or carting. Caribbean Basin Economic Recovery Act Caribbean Basin Initiative Commerce Control List Certain nations require a signed statement as to the origin of the export item. Such certificates are usually obtained through a semiofficial organization such as a local Chamber or Commerce. A certificate may be required even though the commercial invoice contains the information. All imported merchandise (other than merchandise admitted into a FTZ) must be released by U.S. Customs before it can be received by the importer/consignee. The CF 3461, Immediate Release, is the form used to obtain the proper release from Customs. Canada Free Trade Agreement Classification is the categorization of merchandise according to the Harmonized Tariff Schedules of the U.S. Classification affects the duty status of imported merchandise. Simplified, it is the process of finding the tariff classification which best describes the imported good. Contract Manufacturer

Cargo Selectivity System

CARICOM

Carnet

Cartage CBERA CBI CCL

Certificate of Origin

CF 3461 -Immediate Release CFTA

Classification

CM

CMC Compound Duty

Customs Management Center Tax imposed on imported merchandise based on a percentage of value and also on the net weight or number of pieces, etc. Delivery of merchandise from an exporter (the consignor) to an agent (the consignee) under agreement that the agent sell the merchandise for the account of the exporter. The consignor retains title to the goods until sold. The consignee sells the goods for commission and remits the net proceeds to the consignor. The person or company shown on the bill of lading as the shipper. The combination of many small shipments into one container, often with more than one destination/consignee. Required by U.S. Customs for goods entering the United States. Information on the form includes cargo origin and description and estimated duties, which must be paid at the time the document is filed. Single rigid, sealed, reusable metal box in which merchandise is shipped by vessel, truck or rail. Facility used by ocean carriers to load/unload cargo to and from containers. Most less-than-container-load lots of cargo are either packed into or de-vanned at the CFS. Country where merchandise was grown, mined or manufactured. Individual or firm licensed by Customs to enter and clear goods on behalf of others through Customs. Includes the States, the District of Columbia and Puerto Rico Countervailing Duty - A special duty imposed on imports to offset the benefits of subsidies paid to producers or exporters in the exporting country The actual date the merchandise leaves the country of exportation for the U.S. Destination Control Statement Excess time taken for loading or unloading a vessel. Demurrage refers only to situations in which the charter or shipper, rather than the vessel's operator, is at fault. Unloading of cargo from a container. Department of Commerce

Consignment

Consignor Consolidation

Consumption Entry

Container Container Freight Station (CFS) Country of Origin Customs Broker Customs Territory CVD

Date of Exportation DCS Demurrage Devanning DOC

Dock Receipt DOD DOE

A dock receipt is used to transfer accountability when the domestic carrier moves the export item to the port of embarkation and left with the international carrier for export. Department of Defense Department of Energy Domestic status material is Growth, product, or manufacture of the U.S. on which all IRS taxes have been paid. Previously imported and on which duty and tax have been paid. Previously entered free of duty and tax. Department of State Denied Persons List Refund of all or part of Customs duties paid on imported merchandise which was subsequently either manufactured into a different article or re-exported. Defense Threat Reduction Agency The sale of a commodity in a foreign market at less-than-fair value. Dumping is generally recognized as an unfair practice because the practice can disrupt markets and injure producers of competitive products in an importing country. Article VI of the GATT permits imposition of antidumping duties equal to the difference between the price sought in the importing country and the normal value of the product in the exporting country. Tax levied by the government on the import, export or consumption of goods and usually based on the value of the goods or some other factors such as weight or quantity or a combination of both. Export Administration Act Export Administration Regulations European Community/European Union Export Control Classification Number European Free Trade Association Entity List Export Management System Enhanced Proliferation Control Initiative

Domestic Status

DOS DPL Drawback DTRA

Dumping

Duty EAA EAR EC/EU ECCN EFTA EL EMS EPCI

FACR FDA Form 2877 FDI FMS

Foreign Assets Control Regulations Declaration for Imported Electronic Products Subject to Radiation Control Foreign Direct Investment Foreign Military Sales

Foreign inland freight consists of the charges to move the freight from the foreign factory to the place of loading. Foreign inland freight Foreign Inland Freight charges are dutiable unless the terms of sale are ex-factory or the charges were incurred incident to the international shipment. An independent business which assembles, collects and consolidates less-than-truckload freight. Also, a person acting as an agent in the transshipping of freight to or from foreign countries and the clearing of freight through Customs for compensation. Free Trade Area of the Americas Foreign Trade Statistics Regulations General Agreement on Trade in Services General Agreement on Tariffs and Trade Gross Domestic Product Generalized System of Preferences The Harmonized Commodity Description & Coding System (or HTS) is a system for classifying goods in international trade, developed under the direction of the Customs Cooperation Council. Beginning on January 1, 1989, the new HS numbers replaced previously adhered-to schedules in over 50 countries, including the United States. For the United States, the HTS numbers are the numbers that are entered on the actual export and import documents. Any other commodity code classification number (SIC, SITC, end-use, etc.) is just rearrangements and transformations of the original HS numbers. Contains all the information of an air waybill but is not a financial document. This is a contract between the shipper and freight forwarder. All the shipments covered by the individual house air waybills are consolidated, and a single air waybill is issued to cover the consolidated shipment. Import Certificate

Freight Forwarder

FTAA FTSR GATS GATT GDP GSP

Harmonized Tariff System (HTS) *

House Air Waybill

IC

IEEPA

International Emergency Economic Powers Act Customs entry procedure that provides for immediate release of a shipment prior to the arrival of merchandise although the merchandise must arrive within the port limits for the release to take effect. The entry summary with duties must be filed within 10 working days after release. Identification number assigned by the Customs Service to track importers, usually IRS number for the company. Procedure under which goods are transported or warehoused under Customs supervision until they are either formally entered into Customs territory and duties paid or until they are exported. Maintained by the International Chamber of Commerce (ICC), this codification of terms is used in foreign trade contracts to define which parties incur the costs and at what specific point the costs are incurred. The informal entry is a simplified import entry procedure for most commercial shipments not over $2,000 in value. The statutory limit for informal entries is actually $2,500. This certificate is used to assure the consignee that insurance is provided to cover loss of or damage to the cargo while in transit. An intensive exam result means that Customs wants to physically examine the merchandise. Inspectors have the ability to override some intensive exams and convert them to general exams. Intellectual Property Rights Information Technology Agreement Individual Validated License Letter of Credit - A financial document issued by a bank at the request of the consignee guaranteeing payment to the shipper for cargo if certain terms and conditions are fulfilled. Normally, the letter of credit contains a brief description of the goods, documents required, a shipping date, and an expiration date after which payment will not longer be made. Less than container load The Liquidation System, a part of Customs Automated Commercial System, closes the file on each entry and establishes a batch filing number which is essential for recovering an entry for review or enforcement purposes. An entry liquidation is a final review of the

Immediate Delivery

Importer Number

In bond

Incoterms

Informal Entry

Insurance Certificate

Intensive Exam IPR ITA IVL

L/C -

LCL

Liquidation System

entry. The process of liquidation is currently under revision by the Customs Service. Broadly, insurance covering loss of, or damage to, goods at sea. Marine insurance typically compensates the owner of merchandise for losses in excess of those which can be legally recovered from the carrier. Losses may include fire, shipwreck, piracy, inclement weather and various other causes. Letters, numbers and other symbols placed on cargo packages to facilitate identification. The physical markings on a product that indicate the country of origin where the article was produced. Customs rules require marks of origin of most countries. Southern Common Market Manufacturing License Agreement The Customs Modernization Act is a comprehensive effort by the U.S. Customs Service to streamline and automate the commercial operations and improve compliance with Customs laws and regulations. Memorandum of Understanding Merchandise Processing Fee is a fee assessed for formal entries based on 0.21% of the invoice value, with a minimum of $25 per formal entry and a maximum of $485. North American Free Trade Agreement. A free trade agreement that comprises Canada, the U.S. and Mexico, exceeding 360 million consumers and a combined output of $6 trillion--20 % larger than the European Community. North Atlantic Treaty Organization Non-disclosure Agreement Weight of the goods alone without any immediate wrappings (e.g., the weight of the contents of a tin can without the weight of the can). Newly Independent States of the ex-Soviet Republic. Non-Vessel Operating Common Carrier: A cargo consolidator of small shipments in ocean trade, generally soliciting business and arranging for or performing containerization functions at the port.

Marine Cargo Insurance

Marking (or Marks)

Marks of Origin MERCOSUR MLA

Mod Act

MOU MPF

NAFTA

NATO NDA Net Weight (Actual Net Weight) NIS NVOCC

OAC

Office of Antiboycott Compliance A receipt for the cargo and a contract for transportation between a shipper and the ocean carrier. It may also be used as an instrument of ownership which can be bought, sold, or traded while the goods are in transit. To be used in this manner, it must be a negotiable "Order" Billof-Lading. A Clean Bill-of-Lading is issued when the shipment is received in good order. If damaged or a shortage is noted, a clean bill-of-lading will not be issued. An On Board Bill-of-Lading certifies that the cargo has been placed aboard the named vessel and is signed by the master of the vessel or his representative. On letter of credit transactions, an On Board Bill-of-Lading is usually necessary for the shipper to obtain payment from the bank. When all Bills-of Lading are processed, a ship's manifest is prepared by the steamship line. This summarizes all cargo aboard the vessel by port of loading and discharge. An Inland Bill-ofLading (a waybill on rail or the "pro forma" bill-of-lading in trucking) is used to document the transportation of the goods between the port and the point of origin or destination. It should contain information such as marks, numbers, steamship line, and similar information to match with a dock receipt. Organization for Economic Cooperation and Development Office of Foreign Assets Control A marine insurance policy that applies to all shipments made by an exporter over a period of time rather than to a single shipment. Packing costs are defined as the cost of all containers (except instruments of international trade) and coverings of whatever nature or materials used in placing merchandise in condition, packed and ready for shipment to the United States. A list showing the number and kinds of items being shipped, as well as other information needed for transportation purposes. A paperless result indicates that the merchandise is low risk from a compliant importer. The broker places a stamp on the CF3461 and signs the document; thus, the merchandise is released without a Customs official ever looking at the documents. Purchase Order A port at which foreign goods are admitted into the receiving country; port where the imported merchandise is entered for consumption. First port within the Customs territory where imported merchandise

Ocean Bill of Lading

OECD OFAC Open Insurance

Packing Costs

Packing List

Paperless

PO Port of Entry Port of Import

arrives. Pro Forma Invoice An invoice provided by a supplier prior to the shipment of merchandise informing the buyer of the kinds and quantities of goods to be sent, their value, and important specifications (weight, size, etc.). A protest is the method primarily used by importers to take issue with Customs decisions with which they disagree. A protest is normally utilized as an opportunity to provide evidence that will result in the refund of duties and other charges that were erroneously paid. That degree of care which a person of ordinary prudence would exercise in the same or similar circumstances. Due care under all circumstances. Failure to exercise such care is ordinary negligence. - Members of the same family, spouse, and lineal descendants - Officers or directors if each individual is also an officer or director of the other organization - Partners - Person owning, controlling or holding with power to vote 5% or more of outstanding stock - Person who is an officer or director in both organizations Southern African Customs Union Southern African Development Community Specially Designated Nationals Shipper's Export Declaration Shipping weight represents the gross weight in kilograms of shipments, including the weight of moisture content, wrappings, crates, boxes and containers (other than cargo vans and similar substantial outer containers). A list, signed by the captain of a ship, of the individual shipments constituting the ship's cargo. Shippers Letter of Instruction Sales Order A surety bond is a promise or guarantee of payment to U.S. Customs in the event of a default in any terms of the importation laws. If the importer does not comply, Customs will look to the surety for payment and compliance. The weight of a container and/or packing materials without the weight

Protest

Reasonable Care

Related Parties

SACU SADC SDN SED

Shipping Weight

Ships Manifest SLI SO

Surety Bond

Tare Weight

of the goods it contains. Tariff List or schedule of merchandise with applicable rates to be paid or charged for each listed article. A schedule of duties or taxes assessed by a government on goods as they enter or leave a country. Permits a specified quantity of merchandise to be entered at a reduced rate during a specified period. A change in tariff classification may be from one heading in a chapter to another heading in the same chapter. Some changes must be from one chapter to another chapter. Table of Denial Orders In addition to the original textile visa, shipments containing textiles must be accompanied by either a single or multiple country declaration which provides certification as to the article and country of origin.

Tariff Rate Quota

Tariff Shift TDO Textile Declaration

A single bill of lading covering receipt of the cargo at the point of origin Through Bill of Lading for delivery to the ultimate consignee, using two or more modes of transportation. The Temporary Importation Bond (TIB) procedures allow importers to enter merchandise that will be exported within one year from importation for temporary use without paying duties. Merchandise entered under a TIB cannot be sold but can be repaired, altered or processed. Name by which a commodity is commonly known in a trade; a name used as a trademark. A symbol, design, word, letter, etc., used by a manufacturer or dealer to distinguish his products from those of competitors and usually registered and protected by law. Vehicle without motor power designed to be drawn by another vehicle and so constructed that no part of its weight rests upon the towing vehicle. Transaction Value is the price actually paid or payable for the imported goods, with additions made for any dutiable items not included, or deductions made for any non-dutiable items included. Overpricing of imports and/or under-pricing of exports between affiliated companies in different countries for the purpose of transferring profits, revenues or monies out of a country in order to evade taxes.

TIB

Trade Name

Trademark

Trailer

Transaction Value

Transfer Pricing

Transship

Cargo which is transferred from one vessel to another. The Toxic Substances Control Act is intended to protect human health and the environment from unreasonable risks of certain chemicals. The EPA and U.S. Customs Service are responsible for keeping chemicals that have not undergone risk screening out of the United States. Trading with the Enemy Act Uniform Customs and Practice for Documentary Credits The ultimate consignee is the person located abroad who is the true party in interest, receiving the export for the designated end-use. The ultimate purchaser is generally the last person in the United States who will receive the article in the form in which it was imported. Uruguay Round Agreements Act U.S. International Trade Commission United States Trade Representative This method of pricing offers a base entry fee with extra charges for additional classifications, additional invoices, issuance of delivery orders, freight tracking, phone and fax charges and other miscellaneous services. A visa is an endorsement in the form of a stamp on an invoice and consists of a stamped authorization that is usually circular, square, or rectangular in shape. The visa number normally consists of a standard nine digit number. * Click here for more on a textile visa. Insurance coverage for loss of goods resulting from any act of war. A charge assessed by a pier or dock owner for handling incoming or outgoing cargo. World Trade Organization

TSCA

TWEA UCP 500 Ultimate Consignee Ultimate Purchaser URAA USITC USTR

Value Added Fee

Visa **

War Risk Wharfage WTO