Changes to U.S. In-Bond Process - Now in Effect

/ Global Compliance Solutions Group LLC/

On September, 28, 2017 the U.S. Customs and Border Protection (CBP) published a final rule(1) implementing changes to the In-Bond Process.  The final rule adopts, with changes, proposed amendments originally published on February 22, 2012.  

The in-bond process allows imported merchandise to be entered into the U.S. at one port of entry without payment of duties and then transported by a bonded carrier to another U.S. port of entry.  The merchandise is then either entered or exported.  

The changes to the rule will enhance CBP's ability to track in-bond merchandise and ensure it is properly entered or exported.  The rule became effective on November 27, 2017 but several key changes did not become effective until 2018.  Key changes include:

July 2, 2018

  • All in-bond move requests, by a carrier, must be filed electronically.  The paper 7512 form for truck shipments traveling through the US from Canada is eliminated. 

August 6, 2018

  • Carriers are required to electronically report the arrival and location of the in-bond merchandise within 48 hours of arrival at the port of destination or port of exportation;
  • Carriers are required to electronically report the export of the in-bond merchandise within 48 hours of export; and
  • Carriers are required to electronically request and receive permission from CBP before diverting in-bond merchandise from its intended destination port to another port.

Definitions:

  • Bonded Carrier - a carrier of merchandise whose bond under 113.63 of this title is obligated for the transportation and delivery of merchandise.(1)

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