CUSTOMS-TRADE INITIATIVE LAUNCHED IN DETROIT
U.S. Customs Service Commissioner Robert Bonner on Tuesday launched a government-business initiative meant to build relationships while strengthening supply chain security.
The Customs-Trade Partnership Against Terrorism (C-TPAT) requires importers to take steps to assess and develop new practices to tighten cargo security. In return, their goods will receive expedited processing while entering the United States.
“Our nation’s economy relies heavily on the ability to move cargo across our borders quickly — in full compliance with the law,” said Treasury Secretary Paul O’Neill, who kicked off the initiative in Detroit with Bonner and Tom Ridge, director of Homeland Security.
By participating in the C-TPAT initiative, companies will ensure a more secure supply chain for their employees, suppliers and customers. Customs will extend potential benefits to C-TPAT members, which may include dedicated commercial lanes (where infrastructure permits), assigned Customs points of contact, eligibility for bimonthly or monthly payments, and reduced inspections.
Businesses must apply to participate in C-TPAT. Participants will sign an agreement committing them to conduct a self-assessment of their supply chain security. Participants also need to submit a supply chain security questionnaire to Customs, and then develop a supply chain security program in accordance with C-TPAT guidelines.
As of Tuesday, any company that imports into the United States may apply to become a C-TPAT participant, Customs said. Thus far, 60 companies have signed agreements to enlist in the initiative, and more than 100 more applications are pending. The initiative’s seven charter members are BP America, Daimler Chrysler, Ford Motor Co., General Motors Corp., Motorola Inc., Sara Lee Corp., and Target.