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Trade Facilitation and the Automated Single Window
1. Dawn of the U.S. Single Window Era
Donald J. Lewis
Streamlining Global Trade
TradePort/Monterey Bay International Trade Association
Pillsbury Winthrop Shaw Pittman LLP
Palo Alto, CA
July 17, 2014
2. • The US Single Window will fully launch by the end of
2016
• The Single Window will completely transform
international trade ushering in the Age of Global
Electronic Trade
• Single Window development has involved decades of
preparation by the US and IGOs, including UNECE,
UN/CEFACT, WCO and WTO
• Single Window is part of the larger international
Trade Facilitation movement – which will further
revolutionize US Customs procedures and provide a
range of benefits for SMEs and Global Supply Chains
3. What is Trade Facilitation?
“Simplification and harmonization of international
trade procedures, including activities, practices, and
formalities involved in collecting, presenting,
communicating and processing data required for the
movement of goods” (WTO/UNCTAD)
“Trade facilitation generally refers to the simplification,
harmonization, use of new technologies and other
measures to address procedural and administrative
impediments to trade” (APEC)
4. WTO Trade Facilitation Agreement (TFA)
• Adopted at the WTO Bali Ministerial (Dec. 2013)
• TFA coverage:
Simplification and harmonization of import/export
procedures and forms
Development of “Single Window” Paperless, Automated
Systems
Rapid release of goods (e.g., pre-arrival clearance, authorized
traders, posting of security)
Use of international standards (e.g., WCO Data Model,
UN/EDIFACT, UN Lay-out Key (UNLK), UN/CEFACT and
UNe-Docs)
5. What is the Single Window?
The core feature of all TF systems
The “Single Window”:
"A facility that allows parties involved in trade and
transport to lodge standardized information and
documents with a single entry point to fulfill all import,
export, and transit-related regulatory requirements. If
information is electronic then individual data elements
should only be submitted once.”
- UN/CEFACT Recommendation No. 33 (2004)
6.
7. President’s Executive Order
Streamlining Export/Import Process for America's Businesses
• WTO TFA as Impetus for Presidential Executive Order
• Primary Focus: U.S. Single Window Deployment by Dec. 2016
Roll-out of International Trade Data System (ITDS) and
Automated Commercial Environment (ACE)
Adoption of Paperless, e-transmission of trade transaction
data and documents via U.S. Single Window to CBP and other
U.S. government agencies (i.e. B2G)
Covers both Imports and Exports
Simplified/expedited cargo clearance and approvals by U.S.
agencies
• Advantages/benefits for SMEs and Global Supply Chains
8. The U.S. Single Window - ACE and ITDS
• ACE is the U.S. Single Window
• ITDS is the process by which Partner Government
Agency (PGA) trade-related data requirements are
incorporated into ACE architecture
• ACE is a work-in-progress w/ current partial
functionality
• CBP is the lead agency developing/managing ACE
• CBP and 47 USG agencies (PGAs) involved in ITDS and
ACE deployment
• Four principal components of the ACE/ITDS system
13. ACE-Trade Interaction
Two primary methods of Trade interaction w/ ACE:
Filing transactions via Electronic Data Interchange (EDI)
interfaces
• EDI is the only mechanism through which transactions
(entries, entry summaries, ocean/rail manifests) can be filed
with ACE
ACE Secure Web Portal
• Web-based entry point for ACE
• Online tool: Users may file electronic truck manifests and run
reports
• ACE reports can be used to monitor compliance and daily
operations
• Provides centralized on-line access point to connect to CBP,
Trade representatives and government agencies involved in
importing goods into U.S.
15. ABI and ABI Participants
• The Automated Broker Interface (ABI) is the mechanism for the
single e-submission of all required trade transaction data to
CBP and ACE
ABI is currently part of the Automated Commercial System
(ACS), but will migrate to ACE
Over 96% of all current e-filings w/ CBP are conducted via ABI
ABI permits qualified Participants to e-file import data w/ CBP
ABI is a voluntary program available to brokers, importers,
carriers, port authorities, and independent service centers
ACE trade data e-filings may be conducted by qualified ABI
Participants on behalf of Trade
• The CBP and Trade Automated Interface Requirements (CATAIR)
documentation provides information on how importers and/or
their agents can become Automated Broker Interface (ABI)
Participants
18. Beyond ACE
• ACE is an impressive milestone in Trade Facilitation
and Global E-Commerce, but is only part of the
picture
• President’s Executive Order raises some tantalizing glimpses
of the future
• Unsettled policy areas:
Subnational Single Windows in the U.S.
Integrated B2G/B2B Single Windows
Interoperability and integration of ALL national Single
Windows globally via a common ICT platform
19. Beyond ACE
• The most advanced Single Window systems involve
not only B2G interactions (i.e. w/ PGAs) but also B2B
linkages (involving e-logistics and e-payment
platforms)
• Examples:
• Korea U-Trade Hub
• Singapore TradeNet, TradeXchange, Crimson Logic
• Hong Kong Tradelink
• Large opportunities exist for Silicon Valley ICT leaders
and start-ups to construct such B2B systems (and
related apps) on top of the ACE ICT infrastructure
21. Beyond ACE
• Interoperability/integration of ALL national Single
Windows globally
• Major current focus of IGOs: Draft UN/CEFACT
Recommendation No. 36
• CPB is organizing a work program for post-ACE international
harmonization of national Single Windows
• Standards, compatible systems and a common ICT
platform/mechanism:
UN/EDIFACT is the only current international standard for
international trade
UN/EDIFACT is widely used in Europe and Asia
The XML Challenge
Necessity of Internet-based common platform/mechanism