Crossing the Border. Mexico Trade & Logistics. Empower Your Supply Chain Seminar

Transcription

1 Crossing the Border

2 U.S. Export Documentation Requirements Commercial Invoice Inland Bill of Lading/Airway Bill Packing List Certificate(s) of Origin Electronic Export Information (EEI)

3 Commercial Invoice Spanish preferred (may be in English) Description of goods correspond with harmonized code Avoid abbreviations Free items must show value Invoice Requirements:» Name & address of exporters/supplier/vendor» Name & address of importer» Detailed description of the goods» Type, kind, quantity, serial numbers, references of the equipment (if applicable)» Unit value & total amount of merchandise» Place & date of issuance

4 Destination Control Statement Added to commercial invoice & bill of lading Notice from exporter to buyer of the obligation to verify whether products may be re-exported or sold either within buyer s country or to another country Good business practice & part of export control program These commodities, technology or software were exported from the United States in accordance with the Export Administration Regulations. Diversion contrary to U.S. law is prohibited.

5 Automated Export System (AES) Computer system that collects Electronic Export Information (EEI) Data required by multiple agencies electronically to Census

6 When is Electronic Export Information Required for Mexico Shipment valued over $2500 USD per Schedule B or Harmonized Code Shipment is subject to Bureau of Industry and Security (BIS) license or other government agency regardless of value

7 Proof of AES Filing Export documents must include either the AES ITN or an AES Exemption Statement AES + Internal Transaction Number: eg. AES X

8 Export Recordkeeping US Exporter must retain records for 5 years from the date of exportation 15 CFR 772 Records include: o Export control documents o Notes o Correspondence o Contracts o Financial records

9 AES Penalties Penalties may be both civil and criminal Assessed against USPPIs / Forwarders / Agents and/or Carriers Civil Penalties - $1,100/day with maximum of $10,000 per violation Criminal Penalties up to 5 years in jail

10 Border Considerations Shipping Method: trans-loading or direct service US & MX Carrier Restrictions = 3 carriers Multiple inspections Equipment availability: direct service vs. trans-load Carriers not obligated to carry cargo insurance in Mexico

11 Border Delays Accuracy of documents Payment of duties Customs system failures Broker/Importer relationship Traffic congestion at the border Goods trans-loaded

12 Transportation in Mexico Road network of over 192,000 miles 31,000 miles of federal roads 37,000 miles of State roads Rail network of over 16,000 miles mainly 3 north-south routes: along Pacific Coast, central region & northeast region A 4 th axis connects Mexico City to Yucatan Connects the 10 seaports and allows 10 access to US points Freight represents 95% of rail traffic Air most develop airport infrastructure in Latin America Airport in every city with more than 500,000 inhabitants 53 of 83 airports handle international flights & cargo