Crossing the Border
U.S. Export Documentation Requirements Commercial Invoice Inland Bill of Lading/Airway Bill Packing List Certificate(s) of Origin Electronic Export Information (EEI)
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
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.
Automated Export System (AES) Computer system that collects Electronic Export Information (EEI) Data required by multiple agencies electronically to Census
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
Proof of AES Filing Export documents must include either the AES ITN or an AES Exemption Statement AES + Internal Transaction Number: eg. AES X20021012000001
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
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
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
Border Delays Accuracy of documents Payment of duties Customs system failures Broker/Importer relationship Traffic congestion at the border Goods trans-loaded
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