The

What is the definition of “carrier?” Does that mean each vessel or each owner? For example, if a particular owner obtains a bond and SCAC could the owner utilize the same bond for all vessels in their fleet? Or is a separate SCAC and bond required for each vessel?

Answer: Due to the complexity of the various contractual agreements and after meeting with vessel agent representatives, it was decided that the industry is in the best position to determine who the carrier is for automation purposes. CBP views the carrier as the entity that controls the vessel, which includes:

· The entity that has typically provided the CBP Form 1302 cargo declaration or the cargo information to prepare the CBP Form 1302 to the vessel agent.

In the event that the parties to the contract cannot determine who is the carrier, a request for a CBP ruling may be made in accordance with Part 177 of the CBP regulations (19 CFR, Part 177). Also, note General Maritime Management, LLC, Petitioner, v. St Shipping & Transport, Inc., Respondent, 2004 U.S. Dist. LEXIS 10759, SDNY (June 9, 2004). Information on obtaining a CBP ruling can be found on the CBP Web site at:

Once a carrier has obtained a continuous bond it is valid for all vessels controlled by the bonded entity. CBP regulations covering bonds are published at 19 CFR, Part 113. An Activity Code 3 International Carrier single transaction bond is only valid for one entrance and one clearance for one transaction (e.g., one voyage) at one port.

2. Clarification Of Time Frame Requirements For Data Transmissions

A) For vessel carriers, that are not bulk or approved break-bulk, CBP must receive from the carrier the cargo declaration information in AMS 24 hours prior to the lading of cargo on the vessels, and for automated NVOCCs, the cargo declaration information merely needs to be transmitted 24-hours prior to lading of cargo. Is this correct?

Answer: The 24-hour period prior to loading begins from CBP receipt of the information. The information is transmitted to CBP and must pass system edits and validations with a receipt message back to the transmitter to be considered received. This was clarified in a published technical clarification to the rule in the Federal Register on Tuesday, January 14, 2003.

B) What are the time frame requirements for bulk and break-bulk carriers to submit their cargo declaration information to CBP in Sea AMS?

Answer: Bulk and CBP approved break-bulk carriers are required to transmit their cargo declaration data (including FROB) to CBP via Sea AMS prior to vessel arrival in the United States. Carriers that have vessel voyages that are less than 24 hours in sailing time from the foreign port of load to the U.S. are required to file in AMS at the time of vessel departure to the U.S. Carriers with vessel voyages that exceed 24 hours in sailing time are required to file in AMS 24 hours prior to vessel arrival.

C) What are the time frame requirements for transmitting the date and time of sailing?

Answer: Customs Regulations at 19 CFR 4.7a(c)(4)(xv) and (xvi) require transmission of the date and time of sailing by the following time frames:

1. No later than 24 hours after departure from the foreign port of lading for those vessels that will arrive in the United States more than 24 hours after sailing from that foreign port; or

2. No later than the time of presentation of a permit to unlade (CBP Form 3171) for those vessels that will arrive less than 24 hours after sailing from the foreign port of lading.

On March 3, 2004, CBP issued instructions to AMS filers on reporting vessel departure in Sea AMS. Sea AMS filers have been given 60 days to begin transmitting the vessel departure information. It is important that Sea AMS filers first transmit the cargo declaration data to CBP then once the acceptance message has been received by the filer, the date and time of sailing must be transmitted. The sequence of events is as follows:

1. The carrier/authorized transmitting party transmits cargo declaration data to CBP via Sea AMS.

2. CBP transmits an acceptance message to the carrier/ authorized transmitting party indicating that the number of bills of lading that have been accepted and rejected.

3. The carrier/authorized transmitting party resolves any issues with rejected bills and receives an acceptance message from CBP for all bills of lading on the vessel.

4. The carrier/authorized transmitting party transmits the date and time of sailing.

Questions concerning this succession of events may be referred to the carrier’s assigned client representative.

Answer: Yes, carriers are responsible for the vessel auto arrival function in AMS.

A) If cargo has been cleared to sail to the U.S. from a foreign port and the vessel carrier decides to divert by dropping cargo in Freeport, Bahamas, to load aboard another vessel for subsequent entry to the U.S., would the vessel carrier be required to file another 24 hours advance manifest for that cargo?

Answer: Carriers will have to amend the previous bill indicating to CBP the change in vessel information. This cargo would have to once again comply with the 24-hour rule.

B) What would happen if a carrier drops a Canadian first port of call, and comes directly to the U.S. with Canadian destination cargo aboard that has not been subjected to the 24-hour advance manifest filing obligation (ex. operational decision to bypass Halifax due to North Atlantic storm)?

Answer: Carriers must notify CBP at the designated first port of arrival as soon as they realize they are not going to make the foreign port of call. The carrier should then transmit the manifest with corrections indicating the missed foreign port of call. Upon arrival in the U.S. port the cargo declaration will be placed on hold until CBP has had the opportunity to review the documentation, any examinations will be conducted and appropriate penalties may be issued. If CBP determines that this has become a common occurrence for vessels this could eventually lead to denying the permit to unlade. Additionally, CBP will notify the Coast Guard of the vessel with unmanifested cargo that is scheduled to arrive.

C) A shipper may change cargo destination after vessel loading; an amendment to the manifest will be required. How will this be handled?

Answer: Amendments will be done under the current procedures. The Notice of Proposed Rule Making for manifest discrepancies has not been published. However, be aware that any change to the original information may affect our risk assessment of the cargo and could result in an examination.

5. Passenger Vessels

Are passenger vessels subject to the Required Advance Electronic Presentation of Cargo Information rule published on December 5, 2003?

Answer: Yes, all vessels that filed cargo declarations (CBP Form 1302) manually must electronically transmit the cargo declarations effective March 4,2004.

6. Foreign Remaining On Board Cargo (FROB)

A) If a shipper changes the cargo destination from FROB to a U.S. port after the vessel has sailed, can that be handled through a manifest correction?

Answer: Yes, manifest corrections will be handled as a manifest discrepancy. Since the cargo was FROB (and if the cargo falls under the 24-hour requirement), information would have already been received 24 hours before lading. However, the shipment is subject to screening and examination due to the change in the information. Please refer to the response to question 2B for the time frame requirements for cargo declaration data transmissions that include FROB.

Answer: FROB cargo is cargo that is loaded in a foreign port and is to be unloaded in another foreign port with an intervening vessel stop in one or more ports in the United States. All of the data elements required under the regulation must be provided for FROB cargo. CBP recognizes that for FROB cargo, the actual shipper, consignee and notify party may not be associated with an address in the United States. Therefore, CBP would not require an U.S. address on these data elements.

7. Co-loading

A) Is the master NVOCC the responsible filing party for all bills of lading in a co-loaded container?

Answer: CBP is defining the term "master NVOCC" as the party responsible for presenting the container to the vessel carrier. An automated master NVOCC will be the responsible filing party for all parties that are not automated. A non-automated master NVOCC will be responsible for providing paper cargo declaration to the carrier for all parties that are not automated.

B) If all the NVOCCs in a co-loaded box are “automated,” can each NVOCC file the information needed from its own bills of lading in AMS?

Answer: Automated Master NVOCC will be responsible for all paper cargo declarations. Any automated NVOCC that is co-loading must file directly to CBP in AMS. Non-automated NVOCC must provide the cargo declaration information to the master NVOCC to transmit the information to CBP. Non-automated NVOCC will not be authorized to present their cargo declaration to the vessel operator, when co-loading with an automated master NVOCC.

Non-automated master NVOCC must submit the cargo declaration for all non-automated parties co-loading within the container to the vessel carrier for input into AMS. Automated NVOCCs that are co-loading, will be required to transmit their cargo declaration to CBP in AMS. All automated parties within the container must include the contracting carrier as the second notify party.

C) If each NVOCC can file, does the vessel carrier need to know how many NVOCCs are obliged to file in AMS for a container it is loading and transporting, and how would it know this? Will each co-loading NVOCC have to list the vessel carrier as the Second Notify Party for its filing to be acceptable?

Answer: The automated NVOCCs will be required to give complete cargo declaration information for all bills of lading and have the vessel carrier as the second notify party. AMS will not notify the vessel carrier of how many NVOCCs have filed in AMS for a container. If this information is requested or needed by the vessel carrier it would not be captured in AMS. Many carriers have developed a form for automated NVOCCs to complete which will indicate the total bills of lading and bill of lading numbers in the container.

D) The commentary states that if a non-automated NVOCC is co-loading with an automated “master” NVOCC, the non-automated NVOCC “must fully disclose and present the required manifest for their cargo to the automated NVOCC who would be required to present this information to CBP via vessel AMS.” If the non-automated co-loading NVOCC does not want to give its bill of lading information to the master NVOCC (a potential competitor), but comes to the vessel carrier to file its cargo declaration information via AMS, do the regulations permit this or is the AMS filing only to be done by the automated NVOCC?

Answer: No, please refer back to previous answer provided in question B in this section.

8. Permits to Transfer (PTT)

A) How are PTTs issued?

Answer: In the vessel environment the automated AMS participate may request the PTT. The information provided must include the master bill of lading, FIRMS code and the bonded carriers I.D. number. The automated PTT in AMS will only be allowed on the carrier’s master bill for full container loads. PTTs for less than container loads must be done via a paper process.

B) Can the system handle multiple permit to transfer requests from different

NVOCC’s against the same Master bill number?

Answer: At this time the PTT request must be made by either the MVOC or the automated Master NVO. If a PTT is authorized against the MVOC bill all associated containers will move. Authorization to move will only be issued once.

If a PTT is authorized against the MVOC bill and the container number is provided only that container will move. Only one authorization will be given per container.

Answer: CBP is defining the term "co-loading" as two or more NVOCCs loading cargo in the same container. An automated master NVOCC co-loading with non-automated NVOCCs is responsible for the AMS transmission of the entire container. In this instance the master NVOCC can file a PTT in AMS on the carrier’s master bill of lading.

Answer: If the master NVOCC is not automated the carrier will be the party transmitting the non-automated NVOCC(s) cargo declarations to CBP in AMS. The carrier will be responsible for the PTT authorization.

9. Data Element – Port

The filing carrier must indicate: “The first foreign port where the carrier takes possession of the cargo destined to the United States”. Does “foreign port” mean “port” or place where the filing carrier takes possession. For example, Carrier contracts to move container from Berlin to Chicago under a through transportation contract. Carrier picks up container in Berlin, trucks it to Hamburg. The carrier loads it aboard the vessel in Hamburg, sails to Southhampton, and then New York. In this case, is Berlin the place where the carrier takes possession or Hamburg (the first foreign port)?

It is assumed “the last foreign port before the vessel departs for the US” - is Southhampton, and “the foreign port where the cargo is laden on board” - is Hamburg.

Answer: The example and assumptions made are correct. “The last foreign port before the vessel departs for the US” is Southhampton, “the first foreign port where the carrier takes possession of the cargo destined to the United States”- is Berlin and “the foreign port where the cargo is laden on board”- is Hamburg.

10. Vessel Sharing Carriers

It seems reasonably clear that cargo given a "Do Not Load" will be communicated by CBP to the filing vessel carrier, which may or may not be the vessel operator. Vessel carriers will need to develop good communication systems amongst themselves to ensure that such hold notices are communicated in a timely manner prior to loading, and that their respective responsibilities and liabilities are clear.

While such agreements may work amongst vessel carriers sharing ships, this model would not be satisfactory for communications between vessel carriers and NVOCCs regarding “Do Not Load” messages.

Answer: CBP issues “Do Not Load” messages in AMS to automated NVOCCs. The NVOCC/carrier who receives a “do not load message” will be responsible for ensuring that the cargo is not loaded on board the vessel.

11. CBP Form 3171

With the implementation of the special bill types in Sea AMS will the carriers still be responsible for placing the automated NVOCCs Standard Carriers Alpha Code (SCAC) on the CBP Form 3171.

Answer: For vessels that arrive in the United States, CBP only receives one CBP Form 3171 per port that includes reporting all SCAC codes for that vessel. The arriving vessel carrier is responsible for supplying this information to CBP, which will include the SCAC for all vessel carriers sharing or leasing space on board the vessel (such as under a vessel sharing or slot charter arrangement). The SCAC for the NVOCC is not required to be listed on the CBP Form 3171 (Block 12).

Type of Cargo	Qualifier	Time of Filing CBP Form 3171
Containerized	NONE	48 hrs prior to arrival
Break Bulk (non-exempt)	NONE	48 hrs prior to arrival
Bulk Cargo	Voyage more than 24 hrs	24 hours prior to arrival
Bulk Cargo	Voyage less than 24 hrs	Time of sailing
Break Bulk Cargo (exempt)	Voyage more than 24 hrs	24 hours prior to arrival
Break Bulk Cargo (exempt)	Voyage less than 24 hrs	Time of sailing

12. Second Notify Party

A) It is essential that a vessel carrier know of any "Do Not Load" messages regarding an NVOCCs box before vessel loading commences. It seems clear that a vessel carrier chartering slots would list the vessel operator in this situation. It is assumed an automated NVOCC would be required to list the vessel carrier with whom it has contracted. Is this correct? Would it have to also list the vessel operator if the vessel carrier is a slot charter carrier, or is the communication to the vessel operator in that case the responsibility of the slot charter?

Answer: The automated NVOCC would be required to list the vessel carrier as the second notify party. If the cargo is denied lading at the foreign port, CBP will place the "Do Not Load" on the NVOCC bill type as well as send notification to the carrier that has been placed in the SNP field.

B) Is it correct that the Second Notify Party field must “be completed” by the NVOCC to include the vessel carrier transporting the box, and that without this field completed, the NVOCC’s filing will be incomplete and not accepted?

Answer: The second notify party is a required field for the NVOCC bill type and AMS will reject the bill transmission if there is not at least one SCAC in the SNP field.

C) What information is the Second Notify Party given other than access to CBP “hold” messages? Will container number and NVOCC SCAC code (or other identifier) be included in Second Notify Party information?

Answer: The second notify party will receive messages from CBP every time a bill of lading has been changed, held, and released. The identifiers included in the transmission are:

SCAC	Bill of Lading
Vessel Name	Disposition Code
Voyage #	Quantity
Manifest Sequence #	Entry Type
IMO#	Entry #
Port of Unlading	Action Date and Time
Date	Container #

D) What is required from an IT/systems perspective to ensure that all NVOCC Second Notify Party listings will result in any “hold” notices for the NVOCCs cargo being effectively transmitted via AMS to the vessel carrier before vessel loading?

Answer: All AMS participants are required to test their system with the Office of Information and Technology before they are allowed to transmit data in AMS.

E) Does CBP have a program to inform NVOCCs on how to become AMS and bond compliant?

Answer: Presently, the Office of Information and Technology has a defined implementation program for automating carriers in AMS. These same requirements will be used to automate NVOCCs. CBP utilizes the Federal Register and Shipping Organizations, the carriers should be distributing information to their foreign shippers advising them of the new requirements.

13. Vessel Agents

A) Can vessel agents enter cargo declaration information on behalf of the carrier or can only the carrier enter manifests?

Answer: The carrier may designate a vessel agent to enter data on behalf of the carrier; however, the carrier is responsible for the content and timeliness of the data. The information may be transmitted directly to CBP or through a participating AMS service center or port authority.

B) Can vessel agents submit cargo declaration information utilizing the vessel agent’s SCAC code and bond?

Answer: No. The purpose of the advance electronic cargo declaration submission is to ensure cargo safety and security as part of an antiterrorism national security initiative. Submission of cargo declaration information utilizing the vessel agent’s SCAC code and bond diminishes CBPs ability to properly assess risk.

C) Can a vessel agent submit cargo declaration information utilizing the carrier's SCAC code and bond?

Answer: Yes, the carrier may designate a vessel agent to enter data on behalf of the carrier. The carrier/authorized transmitting party (in the case of an NVOCC) is responsible for the content and timeliness of the data. The carrier/authorized transmitting party is also responsible for filing Manifest Discrepancy Reports (MDRs).

D) Who needs to send a letter of intent, each principal or a vessel agent on behalf of a principal?

Answer: Each carrier or NVOCC should submit a letter to CBP requesting participation in the Vessel AMS program.

E) Can a vessel agent file cargo declaration information for all U.S. ports, and are there any specific requirements for submissions at the first U.S. port?

Answer: Ocean carriers and NVOCCs currently operational on Vessel AMS, although not at all ports of entry, will be required to become operational at all such ports before March 4, 2004. Any carrier or NVOCC that hereafter becomes automated on Vessel AMS will thereby be automated at all ports. Since the automation of electronic filers through Vessel AMS will encompass all ports of entry, proposed §4.7(b)(5) is revised in the final rule (68 FR 68140) by removing the phrase, ‘‘where their cargo will initially arrive.’’ However, carriers must indicate in their respective electronic transmissions each port of arrival where their incoming cargo will be discharged.

The definition of ‘‘FROB’’ (Foreign Remaining on Board) cargo is cargo that is loaded in a foreign port and which is to be unloaded in another foreign port with an intervening vessel stop in one or more ports in the United States. CBP considers ‘‘FROB’’ cargo a security concern because although the cargo does not have a final destination in the U.S., the cargo is transiting the U.S. Please refer to the response to question 2B for the time frame requirements for cargo declaration data transmissions that include FROB.

G) Will CBP insist on a paper manifest at anytime? (i.e., traveling manifest and at each port upon vessel's arrival?)

Answer: The CBP decided not to enforce the paper cargo declaration (CBP Form 1302) rule for formal entrance if a carrier or NVOCC has successfully automated. However, where the cargo declaration has been filed in advance electronically, and a paper copy is not aboard the vessel, the carrier will be afforded a reasonable time within which to generate a paper cargo declaration, should a paper copy be requested by CBP. As integration of legacy agencies’ automated systems progresses, requests for paper copies of cargo declarations will be eliminated. The CBP will periodically assess this policy to ensure that it is not having an adverse effect on operations.

H) At what ports (if any) will CBP still allow paper cargo declaration (CBP Form 1302) filing due to CBP not having the necessary computer ability to accept AMS? (We understand that many Great Lakes Ports currently do not have this capability).

Answer: None. Effective March 4, 2004, all vessel cargo declaration information must be submitted to CBP electronically via Sea AMS. The carrier is the entity that must become automated. All CBP ports have access to CBP automated systems.

I) Will all ports be AMS capable (e.g., Cleveland, Ashtabula, Erie, Toledo, Detroit, Oswego, Ludington, Bay City, Ogdensburg)?

Answer: Vessel agents can still obligate their own bond on the CBP Form 3171 for vessel entrance and clearance purposes, but not for cargo declaration purposes.

Answer: A vessel agent can only obligate a carrier’s bond on the CBP Form 3171 if the vessel agent is in possession of a valid power of attorney from the carrier whose bond is being obligated.

14. Bulk and Break Bulk Cargo

Answer: For the purposes of the 24-hour advanced manifest rule only, the following definition will be used for bulk cargo:

“Homogenous cargo that is stowed loose in the hold and is not enclosed in any container such as a box, bale, bag, cask, or the like. Such cargo is also described as bulk freight. Specifically, bulk cargo is composed of either: (A) free flowing articles such as oil, grain, coal, ore, and the like which can be pumped or run through a chute or handled by dumping; or (B) uniform cargo that stows as solidly as bulk cargo and requires mechanical handling for lading and discharging.”

Customs and Border Protection (CBP), Border Targeting and Analysis (BTA) has determined that the following list of commodities and commodity types can be classified as bulk cargo. To be classified as bulk, this cargo may not be containerized and must be easily identifiable as laden on the vessel. Any bundling of the following commodities must only be for the purposes of securing the cargo. This list may be changed and updated as deemed appropriate by CBP.

· Paper products as commodity (wood pulp, newsprint and paper rolls and not as packaging material)

· Certain perishable goods, not in boxes, bags or containerized, and not frozen, but laden and stowed in a way similar to other types of bulk cargo (includes seafood and produce).

B) What is considered break bulk cargo?

Answer: Break bulk cargo will be defined as cargo that is not containerized and that cannot be classified as “bulk” cargo under the above definition. For example, new and used vehicles will be classified as break bulk cargo. Although uniform in nature, vehicles have identifying marks (such as a Vehicle Identification Number or VIN). One necessary aspect of bulk cargo is fungibility. The presence of a VIN removes that component from the shipment of new or used vehicles.

It is important to note that the difference between bulk and break bulk is based not only on the type of cargo, but also on the way in which the cargo is stowed or loaded. For example, bananas stowed loosely in a hold (not in boxes or containers) will be considered bulk. Palletized boxes of bananas loaded directly into a hold (but not loose or containerized) will be considered break bulk.

C) How do I apply for an exemption from the 24-hour rule filing requirements for break bulk cargo?

Answer: A carrier of break bulk cargo may apply for an exemption from the 24‑hour rule filing requirements. Exemption requests should be mailed to:

Generally, exemption processing takes approximately two to three weeks for a complete review.

The following information should be supplied in order to be considered for an exemption (per 19 CFR 4.7(b)(4)(ii)(A)): The carrier’s IRS number; the source, identity and means of the packaging or bundling of the commodities being shipped; the ports of call both foreign and domestic; the number of vessels the carrier uses to transport break bulk cargo, along with the names of the vessels and their International Maritime Organization numbers; and the list of the carrier’s importers and shippers, identifying any who are members of C-TPAT (Customs-Trade Partnership Against Terrorism). CBP reserves the right to request any additional information it deems necessary and appropriate to ensure adequate compliance with 19 CFR 4.7(b)(4) and to perform necessary national security risk analysis.

NOTE: Any cargo stowed in containers, including containers referred to as “ship’s convenience,” will be considered general cargo. No such containerized cargo will be exempt from the manifesting reporting requirements. For example, palletized boxes of bananas (not loose or loaded directly into a hold) stowed in shipping containers will be treated the same as all containerized cargo requiring information to be submitted 24 hours prior to loading.

Answer: All correspondence regarding exemption amendments, questions or concerns must be sent to:

Please ensure that all e-mails and phone calls clearly reference “24 Hour Exemptions” and the CBP Exemption Application number, if assigned. Written correspondence may be mailed to the same address as listed earlier:

E) My exemption was for a period of 180 days and my expiration date is soon approaching. Do I have to reapply for another temporary exemption?

Answer: Carriers who have received temporary exemptions from the 24-hour rule will not be required to reapply at the end of the 180-day period. Temporarily exempt carriers will receive written notification of their application status 20-30 days prior to the expiration date. This correspondence will explain the details of the exemption process as it affects them individually. CEA numbers will remain the same for ease of transition.

In general, all exempt carriers will receive a notice for one of the following decisions:

· an extension of their current exemption (further research required or more information necessary and temporary exemption extended)

15. Vessels Arriving In Ballast Or To Take On Bunkers

Are vessels arriving in ballast (or to take on bunkers only) required to electronically transmit a “nil” cargo manifest?

Answer: No. Vessels arriving empty (to lade only) are not required to electronically transmit a “nil” cargo manifest.

Pursuant to 19 U.S.C. 1441, vessels arriving for the purpose of taking on bunker coal, bunker oil, sea stores, or ship's stores and which shall depart within twenty-four hours after arrival without having landed or taken on board any passengers, or any merchandise other than bunker coal, bunker oil, sea stores, or ship's stores are exempt from vessel entry and clearance procedures, including AMS reporting requirements. However, the master, owner, or agent of such vessel shall report under oath to the appropriate customs officer the hour and date of arrival and departure and the quantity of bunker coal, bunker oil, sea stores or ship's stores taken on board.

When must cargo declaration (CBP Form 1302) data be transmitted for empty containers?

Answer: Carriers must transmit a separate bill of lading listing the empty container numbers for each U.S. port of discharge. A “C01” (CAMIR) or “VID” (X12) record must be completed for each empty container. Cargo declaration information for bills of lading consisting solely of empty containers must be received by CBP in AMS 24 hours prior to the arrival of the vessel for voyages 24 hours in duration or more. For voyages less than 24 hours in duration, the cargo declaration information must be received by CBP in AMS at the time of sailing.

17. Vessel International Maritime Organization (IMO) Number

Sea AMS is transmitting “Reject” messages for cargo declaration data submitted to CBP. There appears to be a problem with the IMO number that is transmitted. The IMO number is correct but Sea AMS continues to transmit reject messages.

Answer: When cargo declaration data is received by CBP, AMS does a comparison to the data contained in the existing CBP Lloyds file. If the Lloyds number and vessel name do not exactly match the information in the CBP file, the system will reject the data transmission. The carrier/authorized transmitting party is responsible for the accuracy of the data transmission, including requesting an update to the CBP Lloyds file. Lloyds requests are needed when it is known that a vessel is not on file with CBP or if any of the following information changes: Name, Owner, Flag of Registry, Draft, Tonnage (Gross/Net). The procedure for submitting a Lloyds request to CBP may be found at http://www.cbp.gov/xp/cgov/import/operations_support/automated_systems/ams/lloyds_request.xml.

It emphasized that in order to meet the CBP electronic data transmission requirements, both the Lloyds number and vessel name are required within the transmission.

How are lightering operations affected by the Final Rule? Will cargo declaration data need to be transmitted for the mother vessel that may not ever discharge in a U.S. port or only for the service vessel?

Answer: Cargo declaration data must be transmitted for the vessel that enters the U.S. territorial waters. If the mother vessel remains outside the U.S. territorial waters, then the data must be entered by the carrier/authorized transmitting party for the service vessel(s). This should not affect the shipper/consignee information.

19. Manifest Quantities for Bulk Shipments

How should liquid bulk and dry bulk carriers transmit manifest quantities via Sea AMS?

The numbers and quantities from the carrier's ocean bills of lading, either master or house, as applicable (this means that the carrier must transmit the quantity of the lowest external packaging unit; containers and pallets are not acceptable manifested quantities…);

Since the lowest external unit for many bulk shipments would be the tank or a portion of a tank that will be discharged at the port of unlading, CBP will accept a quantity of one (1). CBP Regulations at Section 4.7a(c)(1) also require that either the gross weight (expressed in pounds or kilos) or the measurement (expressed according to the unit of measure specified in the Harmonized Tariff Schedule of the United States) shall be provided. Customs brokers must place the manifest quantity in the appropriate field on the CBP entry document. This would be Block 23 on CBP Form 3461 and Block 31B on CBP Form 7501. The net quantity in Harmonized Tariff Schedule units is required in Block 32 on CBP Form 7501.

To address the needs of the tanker ships and break bulk carriers, the weight units in Sea AMS previously identified on the Manifest Header Screen as pounds (LB) or kilograms (KG) have been expanded to include the following:

The carrier must transmit a separate bill of lading for each consignee and for each location where the ship will discharge bulk product. If a bulk carrier is discharging at three different locations for the same consignee, the carrier must transmit a total of three bills of lading, one for each discharge location. If a bulk carrier is discharging at one location for three different consignees, the carrier must transmit a total of three bills of lading, one for each consignee. CBP will accept a quantity of one (1) for each bill of lading and the carrier must transmit either the gross weight (expressed in pounds or kilos) or the measurement (expressed according to the unit of measure specified in the Harmonized Tariff Schedule of the United States) shall be provided. The broker must ensure that the manifest quantity on the entry matches the manifest quantity transmitted by the carrier.

MANIFEST DESCRIPTIONS FOR BULK SHIPMENTS
Product	Manifest Units	Total Gross Weight	Quantity	Description
Gasoline	LBK	5457.02 ET	1	40,000 Barrels Unleaded Gasoline
Cement	DBK	10000 KG	1	Portland Cement
Gravel	DBK	2000 MT	1	Gravel (Concrete Aggregate)

20. Manifesting Ship Spares

Answer: CBP regulations at 19 CFR 4.39 allow equipment of a vessel arriving either directly or indirectly from a foreign port or place, in need of repair in the United States, to be unladen from and reladen upon the same vessel to be controlled (under the procedures set forth in 19 CFR 4.30) on CBP Form 3171. This is the only situation where cargo declaration data for ship spares is not required to be transmitted electronically to CBP via Sea AMS.

Vessel/ship spares that are unladen from one vessel intended for export, consumption, repair outside the U.S. or transfer to another vessel must be manifested in accordance with 19 CFR 4.7a(c). The cargo declaration data must be transmitted electronically to CBP via Sea AMS as soon as the determination is made to unload the vessel/ship spare(s).

The decision on the use of an expedited procedure (such as described at 19 CFR 4.39) that differs from a more formal entry requirement is only granted at the discretion of the port director. If the port director believes that formal entry requirements are necessary to safeguard the revenue and enforce compliance with CBP laws and regulations, then the port director may do so regardless of the fact that expedited procedures may also be used when the occasion warrants.

21. Fishing Vessels

Answer: Yes. There are no exceptions or waivers to the automation requirement for electronic transmission of cargo declaration data mandated by the Trade Act. The provision relating to the landing of fish or fish products in the United States in the Nicholson Act (the Act of September 2, 1950, as amended, Ch. 842, 64 Stat. 577; 46 U.S.C. App. § 251(a)) has not been changed since its enactment in 1950.

The country of origin of fish caught on the high seas is that of the catching vessel. The country of origin of the fish caught by U.S. vessels is the United States (See Proctor & Gamble Mfg. v. United States, 60 Treas. Dec. 356, T.D. 45099 (1931), affirmed CCPA 415, C.A.D. 3488, cert. denied, 287 U.S. 629, 53 S.Ct. 82, 77 L.Ed. 546 (1932)) and are not subject to the requirements of the Trade Act or the 24-hour regulations. However, U.S. fishing vessels returning with fish from a foreign port or place, including fish from foreign territorial waters, are subject to the requirements of the Trade Act of 2002, the 24-Hour Rule and the Public Health Security and Bioterrorism Preparedness and Response Act of 2002 (Bioterrorism Act/BTA). Information on the BTA is posted on the Food and Drug Web site (www.fda.gov) and the CBP Web site at:

www.cbp.gov/xp/cgov/import/commercial_enforcement/bioterrorism/bioterrorism_act.xml

The "Halibut Fishing Vessel Convention between the United States and Canada", signed on March 24, 1950 (Treasury Decision (T.D.) 52862), only permits Canadian fishing vessels engaged in the North Pacific halibut fishery to land their catches of halibut and sablefish in United States ports. The other, "The Treaty Between the Government of the United States and the Government of Canada on Pacific Coast Albacore Tuna Vessels and Port Privileges", signed on July 29, 1981 (T.D. 81-227), originally permitted Canadian fishing vessels to land their catches of albacore tuna only in those ports named in Annex B of the treaty (i.e., Astoria, Oregon; Bellingham, Washington; Coos Bay, Oregon; and Crescent City, California). On October 10, 1997, the Governments of the United States and Canada amended this treaty by adding the following United States ports to those listed in Annex B: Westport, Washington; Newport, Oregon; and Eureka, California, the latter of which replaced Crescent City, California. The Canadian fishing vessels may apply for a waiver to the 24-hour requirement; however, they must obtain an Type 3 CBP international carrier bond and transmit cargo declaration data electronically via Sea AMS in order to comply with the Trade Act Final Rule.

Answer: Yes. There are no exceptions or waivers to the automation requirement for electronic transmission of cargo declaration data mandated by the Trade Act. The United Nations Convention on the Law of the Sea (UNCLOS) provides that States have jurisdiction over marine scientific research (MSR) within the 200 nautical-mile area known as the Exclusive Economic Zone (EEZ) and the territorial sea. The Department of State facilitates the transmission of MSR applications to the appropriate authorities as required by UNCLOS articles 248 to 250. The Department of State assists both the U.S. research community seeking access to foreign territorial seas and EEZs and the foreign research community seeking access to U.S. waters. Requirements for marine scientific research may be viewed at the Department of State Web site at www.state.gov/g/oes/ocns/rvc/.

23. Government Vessels

Answer: In accordance with CBP Regulations at 19 CFR 4.5, vessels under the complete control of the U.S. Government or a foreign government are exempt from entry requirements but not clearance requirements. To obtain CBP port courtesies for a foreign government vessel to make port calls in the territories of the United States, the embassy of the foreign nation is required to notify the Department of State, by diplomatic note, at least 30 days before the vessel's arrival. CBP will extend courtesies to vessels controlled and managed by foreign nations only upon notification from the Department of State to the Office of Field Operations, U.S. Customs and Border Protection, that the certification process is complete.

24. Treatment of Petroleum Slops Generated Aboard Vessels

Are petroleum slops subject to the Trade Act advance electronic manifest requirements?

Answer: Yes. There are no exceptions or waivers to the automation requirement for electronic transmission of cargo declaration data mandated by the Trade Act for petroleum slops. Petroleum slops is a generic term of the petroleum industry used to describe the pumpable residue crude oil that is washed or scraped from the inside of petroleum cargo tanks on vessels. As the price of crude oil increased, it became necessary to issue uniform procedures to provide control and accurate reporting of imported petroleum slops, which was done via Customs Directive 3250-006.

Although Customs Directive 3250-006 is shown as cancelled as of August 19, 1996 by Headquarters Office of Field Operations (OFO), it has not been superseded, and its substantive provisions insofar as is relevant to the subject question remain viable. The directive provides that petroleum slops must be manifested as cargo at the first port of arrival. Since the gross weight (expressed in pounds or kilos) of slops cannot be determined until they are generated, the weight must be estimated (see FAQ 19 for bulk quantities). The slops can be manifested as “crude oil residue,” “crude oil slops” or other product specific slops. The petroleum slops of foreign origin must also be entered as imported merchandise. Claims for waste classification should be handled on a case-by-case basis, in order to determine if further processing would be necessary. All entries of slops that are later reclassified should be adjusted in the Department of Energy Oil Import License System and in the Census reporting.

CBP recognizes that the amount of petroleum slops may not be known before arrival in the U.S., nor even finalized until the petroleum crude is discharged and the residue is washed and scraped into a form that can also be discharged. The carrier may estimate the gross weight (expressed in pounds or kilos) of petroleum slops aboard ship prior to arrival in the U.S., so as to be in compliance with 19 CFR 4.7a, the advance cargo information reporting requirements. The carrier, after its initial discharge of the petroleum, should as soon as practicable engage in the scraping and cleaning of the tanks so as to gauge the amount of petroleum slops aboard the vessel. Once the cleaning and scraping process is completed, the carrier should immediately amend its cargo declaration with this new information, and transmit such to CBP electronically via Sea AMS.

If the carrier, as is industry practice, is en route to a second U.S. port during this cleaning and scraping process from the U.S. port wherein it discharged the crude, the amended cargo declaration data must be transmitted before arrival at the second U.S. port. Manifest discrepancies with respect to petroleum and petroleum products must also be reported in accordance with 19 CFR 4.12(c). Petroleum slops that will remain on board to be discharged in a foreign port should be transmitted to CBP as FROB.

A “1C” general examination message was received via AMS for a shipment. Subsequently, a “HOLD” message was received. Can the cargo be delivered?

Answer: No, the carrier shall not deliver the cargo. The “1C” status notification message is generated as the result of selectivity processing or CBP manual posting. The “1C” status message is only a provisional notification based on an entry filed by, or on behalf of, the importer of record. The “HOLD” message takes precedence over the “1C” message and other movement authorization messages in all cases. The carrier is liable for the unauthorized delivery if it releases the goods without CBP authorization. The cargo cannot be released until all “HOLDS” are removed and the carrier receives a release message via AMS.

26. “Split” Bills of Lading

Answer: CBP recognizes that under certain circumstances, certain cargo information data elements may change after the vessel sails when:

· part (or all) of the shipment was sold while the vessel was enroute to the U.S. port of discharge,

· the consignee has requested that the carrier divert part of the shipment to a different port of discharge or

· the carrier sailed inadvertently leaving part of the shipment either in the port of loading or in an intermediate port (during repositioning of containers).

These circumstances require the carrier to change the container information and piece counts (and if the cargo was sold, consignee information) after the cargo was loaded in the foreign port. CBP has requested Vessel AMS programming changes to allow for a split bill of lading identifier; however, until programming is available, carriers must utilize the description field to indicate a split bill of lading. The original bill of lading must comply with all data elements mandated by the 24‑Hour Rule and the Trade Act. In order to identify these situations the carrier must perform the following:

· the original bill of lading must be amended to reflect the correct piece count (reduced) and the carrier must place the term “split bill” and reference the new bill of lading number on line one of the description field,

· when transmitting electronic cargo information for the new bill of lading number, the carrier must place term “split bill” and list the original bill of lading number on line one of the description field and

· the piece counts for the amended bill of lading and the new bill of lading must total the piece count of the original bill of lading.

Carriers will not be allowed to utilize the split bill of lading procedures to “mask” the true consignee at the time of loading. Port Directors may require documentation from the carrier substantiating the sale/diversion of the cargo to determine if a penalty will be issued. CBP will take action against carriers found misusing the above‑described split bill of lading procedures.

1. Carriers

2. Clarification Of Time Frame Requirements For Data Transmissions

5. Passenger Vessels

Are passenger vessels subject to the Required Advance Electronic Presentation of Cargo Information rule published on December 5, 2003?

Answer: Yes, all vessels that filed cargo declarations (CBP Form 1302) manually must electronically transmit the cargo declarations effective March 4,2004.

6. Foreign Remaining On Board Cargo (FROB)

7. Co-loading

8. Permits to Transfer (PTT)

A) How are PTTs issued?

B) Can the system handle multiple permit to transfer requests from different

NVOCC’s against the same Master bill number?

9. Data Element – Port

10. Vessel Sharing Carriers

11. CBP Form 3171

12. Second Notify Party

13. Vessel Agents

A) Can vessel agents enter cargo declaration information on behalf of the carrier or can only the carrier enter manifests?

14. Bulk and Break Bulk Cargo

15. Vessels Arriving In Ballast Or To Take On Bunkers

17. Vessel International Maritime Organization (IMO) Number

19. Manifest Quantities for Bulk Shipments

MANIFEST DESCRIPTIONS FOR BULK SHIPMENTS

Quantity

Description

20. Manifesting Ship Spares

21. Fishing Vessels

23. Government Vessels

24. Treatment of Petroleum Slops Generated Aboard Vessels

26. “Split” Bills of Lading