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U.S. Signs Supply Chain Security Agreement with Israel, Customs Assistance Pact with Chile

Friday, July 11, 2014
Sandler, Travis & Rosenberg Trade Report

The U.S. and Israel recently signed an arrangement providing for mutual recognition of U.S. Customs and Border Protection’s Customs-Trade Partnership Against Terrorism and Israel’s authorized economic operator program. A CBP press release states that the goal of the mutual recognition arrangement is to link these programs “so that together they create a unified and sustainable security posture that can assist in securing and facilitating global cargo trade.” Benefits of the MRA will include fewer exams when shipping cargo, a faster validation process, common standards, efficiency for customs agencies and business, transparency between customs administrations, business resumption, front of the line processing, and marketability. The U.S. has similar MRAs with New Zealand, Canada, Japan, Korea, Jordan, the European Union and Taiwan.

CBP has also signed a customs mutual assistance agreement with Chile, the agency’s 70th such pact. CMAAs provide the legal framework for the exchange of information and evidence to assist countries in the enforcement of customs laws, including duty evasion, trafficking, proliferation, money laundering and terrorism-related activities. CMAAs also serve as foundational documents for subsequent information sharing arrangements, including MRAs on AEO programs.

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