Printable Version New Guidelines cover enforcement of US Foreign Trade Regulations requirements

In June 2008 the US Census Bureau published the final rule amending the Foreign Trade Regulations (FTR) which sets out all the procedures and requirements related to the mandatory filing of Electronic Export Information (EEI) to the Automated Export System (AES). Although enforced compliance commenced on October 1st no penalties have yet been levied pending the publication of Customs and Border Protection (CBP) guidelines covering the mitigation of penalties.

These guidelines were finally published on January 2nd 2009 and all related FTR regulations will now start to be enforced with effect from February 1st 2009 for all violations occurring on or after that date. The relevant CBP fines and penalties can range from $250 to $10,000 per occurrence based on the severity of the offence, the number of offences committed by the shipper and any other aggravating factors.

According to this new regulation, importers of US goods based in the Bahrain could be called to file the Electronic Export Information (EEI):

• if they are the person who actually financially gains from the transaction - Foreign Principal Party in Interest (FPPI) –
• if the specific INCOTERM used for the transaction require this. For instance in the case the INCOTERM that was agreed upon between the buyer and seller was Ex Works (EXW), the buyer is responsible for clearing the goods for export which can mean filing the Electronic Export Information (EEI).
  
  

FedEx customers needing additional information regarding the required formatting of FTR exemption statements, AES proof of filing citations and any other issues related to FTR compliance should click here.

CBP EEI mitigation guidelines can also be reviewed on page 4 of the CBP Dec. 08–49. Please click here.