ABPA, others urge U.S. Administration to work with trade associations on customs enforcement
The Automotive Body Parts Association (ABPA) has joined more than 50 trade associations to urge the U.S. Department of Homeland Security and U.S. Customs and Border Protection “to work closely with the trade community as the Administration implements its Executive Order, Strengthening Customs Enforcement,” according to a July 10 press release.
The ABPA is a member of Consumer Access to Repair (CAR) Coalition along with Allstate, the American Property Casualty Insurance Association (APCIA), the Automotive Manufacturers Equipment Compliance Agency, Inc. (AMECA), AutoZone, the Certified Automotive Parts Association (CAPA), Diamond Standard, Geotab, KSI Auto Parts, and LKQ Corp.
The June 3 Executive Order states that effective customs enforcement prevents: “the importation of unlawful and dangerous goods; ensures importers of record (IORs) are correctly identified and accountable for duties owed; and guarantees compliance with numerous federal laws, including laws governing forced labor, rules of origin, origin marking, intellectual property, revenue collection, and product safety.”
“Customs reform is long overdue,” the order states. “Systemic inefficiencies, loopholes, insufficient enforcement mechanisms, and outdated processes have created opportunities for malign actors to evade federal law. Examples of noncompliance include undervaluing imports, withholding critical information about IORs and the goods being imported, and avoiding payment of duties through various arrangements and schemes. These actions threaten national security, undermine foreign relations, disadvantage domestic businesses, and harm Americans.”
In its press release, ABPA states that the coalition of trade associations “supports strong enforcement efforts that combat unlawful trade and protect supply chain integrity.”
It adds: “However, the letter urges the Administration to use formal notice-and-comment rulemaking when making significant changes to import processes, giving businesses an opportunity to provide input on new requirements, compliance costs, implementation timelines, and potential supply chain disruptions.”
The July 9 letter states that “enforcement should be implemented in a manner that facilitates lawful trade by giving compliant importers and supply chain partners clear rules, predictable and cost-efficient processes, and efficient cargo movement.”
“These objectives are complementary: A modern customs regime is most effective when it targets bad actors while allowing low-risk, lawful trade to move efficiently, predictably, and securely through U.S. ports of entry,” ABPA writes in the letter. “We urge you to work closely with the trade community and implement the EO in a way to ensure this careful balance is not lost. The EO can achieve its objectives if the administration implements it in a careful and pragmatic way.”
The ABPA also asks for CBP to use notice-and-comment rulemaking “where appropriate” when implementing the new requirements.
“A robust and transparent rulemaking process with broad stakeholder engagement will help ensure that any new framework is legally sound, operationally workable and appropriately targeted at the actors and practices that present the greatest risk,” the letter states.
The ABPA also adds in its release that for ABPA members that rely on global supply chains, “clear rules and predictable import processes are critical to maintaining the efficient flow of replacement parts and controlling costs.”
“The ABPA will continue working with industry partners and policymakers to support strong customs enforcement while advocating for trade policies that protect legitimate businesses, competition, and the availability of affordable replacement parts for consumers,” the release states.
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