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August 17, 2001

X3 Customs Clearance System Kicks Off Today

Hi-tech and electronic components operators will be the chief beneficiaries of this new system

TAIPEI, August 17, 2000 -The Taipei Customs Bureau, Ministry of Finance has been cooperating with Federal Express Corporation Taiwan Office, the world's largest express transportation company, to develop and reform the Customs Import Simplified Declaration System Phase II (known as X3). With its outstanding results after one-month testing program, this system will be officially launched on August 15. Not only is FedEx the first express operator to complete the establishment of this system, but is also the one who will be directly supporting customs and indirectly aiding other express operators to implement the X3 system. It is expected that the X3 system will be able to achieve the overall goal of customs clearance automation and step up the efficiency of export and import customs clearance in Taiwan. In addition, it will improve efficiency through a reduction in excessive resources and manpower. High-tech and electronic components suppliers will benefit greatly from the revolutionary system.

The results of the X3 system are very impressive. It only takes around 10 minutes, one hour less than was previously required to complete the clearance procedure. With its unique customs clearance characteristics, the X3 system can run independently of the regular air cargo customs clearance system. Moreover, the processing time will be reduced significantly providing improved service for customers.

TEB (Taiwan Express Broker System), software specially designed by FedEx, plays a vital role in facilitating the X3 system's development and reformation. TEB, as the standard of establishing the X3 system, will be perfectly comparable with the operational mode of the X3 system. The design of TEB enables the co-existence of the automation and customization process. Several million clients' records have been established within the TEB customized database. The FedEx created flexible database means that customs clearance can proceed to accommodate the various clients' demands from the very start of the process. Using "database marketing", the goal of customization can be achieved which well ensure we meet and exceed customers expectations.

The implementation of TEB enables us to visualize the relevant materials such as air waybills, invoices and warrants to proceed through the clearance procedures prior to the arrival of cargo. Intra-linkage between the digitalized airway bills and electronic data will further expand the limits of visualization, digitalization and paperless processes. Concurrently, automated technology is enabling information sharing between multiple departments within a company, reducing unnecessary manpower and avoiding the repetition of paperwork. This move not only boosts the productivity and work efficiency of customs, but also provides speedy and high-quality customs clearance services. In addition, the system is equipped with a RF wireless high-speed cargo scanning facility; therefore, it only takes one to two seconds to scan a single item and print out the necessary labels. Besides speeding up classification, it also speeds up cargo delivery time.

In addition, this system can integrate the function of declaration and warehousing, meaning imported cargo will arrive together with all of the clearance documents. Meanwhile, the whole system will be ready for the clearance procedure. Thus, customs clearance and warehousing are completed at the same time further reducing clearance times.

The TEB system can effectively upgrade the service quality of FedEx Taiwan while also supporting the Taipei Customs Bureau through implementing the X3 system. FedEx has not only fully financed the clearance automation but also uses the TEB system as an example for the establishment of the X3 system. All cargo can complete clearance procedures with high-efficiency, high-quality, paperless process and customized solutions. FedEx's devotion to customs automation has enabled Taiwan to take one critical step forward in its customs procedures, starting from August 15.

FedEx, a US$15 billion subsidiary of Federal Express Corporation., connects areas that generate 90% of the world's gross domestic product in 24-48 hours with door-to-door, customs-cleared service and a money-back guarantee*. The company's unmatched air route authorities and infrastructure make it one of the world's largest express transportation companies, providing fast, reliable and time-definite transportation of more than 3.3 million items to 211 countries each working day. FedEx employs approximately 144,000 employees and has more than 45,000 drop-off locations, 640 aircraft and 44,500 vehicles in its integrated global network. The company maintains electronic connections with more than 2 million customers via FedEx Powership®, FedEx Ship® and FedEx interNetShip®.

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