As part of its ongoing efforts to clarify and simplify trade compliance, the U.S. Customs and Border Protection (CBP) has issued updated guidance on importer obligations and requirements for completing origin documents. This update clarifies the responsibilities of importers and the consequences of non-compliance.
This update focuses on three key areas,
- Importer of Record (IOR) Responsibilities—The IOR must be the actual importer, and consignee information cannot be used in place of importer information.
- Completion of Origin Documents—Origin declarations, origin statements, and certifications of origin must be completed by a “responsible official” of the importer, exporter, or producer, or by an authorized agent. CBP wants the person preparing the declaration to have knowledge of the pertinent facts of that respective FTA.
- Accountability for Accuracy—The importer, exporter, producer, or authorized agent completing the origin document is responsible for its accuracy and liable for false statements and material omissions.
As businesses review their free trade agreements, it is essential to ensure accuracy and compliance. Mohawk Global strongly recommends that the “responsible official” preparing the declaration have knowledge of the facts before completing the documentation.
Failure to submit completed origin documents when requested by CBP can result in denied claims for preferential tariff treatment and could lead to additional duties and penalties. In some cases, non-compliance could also result in increased scrutiny of future shipments.
If you need assistance navigating these updated requirements and completing origin documentation, Mohawk Global Trade Advisors offers expert guidance and support to ensure full compliance with U.S. Customs regulations for smoother trade operations.
For further guidance on trade compliance or to discuss your specific needs regarding origin documentation, reach out to Mohawk Global Trade Advisors. Our team of experts can help ensure your documentation is correctly completed, compliant with the latest CBP updates, and in alignment with your business’s trade objectives.
By Clarissa Chiclana