Common use of Single Window Clause in Contracts

Single Window. TFA Article 10.4 encourages members to establish and maintain a single window, which the agreement describes as “enabling traders to submit documentation and/or data requirements for importation, exportation, or transit of goods through a single entry point to the participating authorities or agencies.” This TFA provision is in line with congressional negotiating objectives, and was also a priority for the Obama Administration. On February 19, 2014, ▇▇▇▇▇▇▇▇▇ ▇▇▇▇▇ signed an executive order directing that U.S. agencies with a role in international trade must complete development of an electronic “single window” through which “businesses will transmit data required by participating agencies for the importation and exportation of cargo.” The order further required that all participating agencies have “capabilities, agreements, and other requirements in place” by December 31, 2016.37 The Trade Facilitation and Trade Enforcement Act of 2015 (P.L. 114-125, §106) provided additional funding to “complete the development and implementation” of ACE, and required CBP to submit a report detailing its progress on ACE, ITDS and other customs modernization systems to the House Committee on Ways and Means and the Senate Finance Committee, also by December 31, 2016.38 A follow-up report is due by September 31, 2017. The legislation also required a Government Accountability Office (GAO) report on the deployment of ACE by 33 U.S. Customs and Border Protection website: ▇▇▇▇▇://▇▇▇.▇▇▇.▇▇▇/border-security/ports-entry/cargo-security/c-tpat- customs-trade-partnership-against-terrorism. 34 PGAs include the Census Bureau, the Fish and Wildlife Service, the Federal Aviation Administration, The Consumer Product Safety Commission, and the Environmental Protection Agency. 35 The ITDS was mandated by Section 405 of P.L. 109-347, the Security and Accountability for Every Port Act of 2006. See also CBP website, “ACEopedia December 2016), ▇▇▇▇▇://▇▇▇.▇▇▇.▇▇▇/document/report/aceopedia. 36 World Economic Forum and the Global Alliance for Trade Facilitation, The Global Enabling Trade Report, 2016, p. 309, ▇▇▇▇://▇▇▇.▇▇/getr16. 37 Executive Order 13659, "Streamlining the Export/Import Process for America's Businesses," 79 Federal Register 10657, February 19, 2014. 38 The report to Congress had not been received as of this writing. December 31, 2017. Section 107 of the act further required that each agency use the ITDS as its primary means of receiving import and export information and documents. CBP had planned to deploy post-release capabilities including notices of liquidation of goods, statements, duty drawback, and protests in ACE by January 14, 2017, but postponed the deployment with no new target date.39 On December 12, 2016, CBP published a final rule stating that, by January 14, 2017, CBP official notices of liquidation, suspension of liquidation, and extension of liquidation be posted on the CBP website rather than mailed or posted in customhouses or stations.40 CBP stated that electronic notification of liquidation activities would be posted as planned. Agencies’ integration into the system is varied, as CBP must conduct pilot testing of each agency’s capabilities to receive data and documents through the ITDS.41 In December 2016, then- CBP Commissioner ▇▇▇ ▇▇▇▇▇▇▇▇▇▇▇ announced that as part of the single window effort, CBP’s partner agencies have automated more than 300 paper forms.42 A key issue with the TFA is effective implementation by all WTO members. Trade agreement implementation is not always smooth. For example, there have been ongoing issues with South Korea’s implementation of ▇▇▇▇▇ provisions on express delivery shipment inspection and delays.43 The World Customs Organization (WCO) is working with the WTO on implementation of the TFA. It has released implementation guidance for each Section I article of the agreement.44 The guidance not only explains the provisions but provides tools, examples of member implementation that can be considered best practices, and quantitative indicators a country could use. For example, the WCO highlights U.S. Customs Mutual Assistance Agreements (CMAAs) as a member implementation of Article 12. Different sets of indicators by various international organizations exist to measure levels of trade facilitation and could be used to monitor TFA implementation and impact (see Text Box). Monitoring and publicizing metrics could help overcome some of the challenges related to implementation, such as lack of coordination or political will. 39 See ▇▇▇▇▇://▇▇▇.▇▇▇.▇▇▇/trade/automated.

Single Window. TFA Article 10.4 encourages members to establish and maintain a single window, which the agreement describes as “enabling traders to submit documentation and/or data requirements for importation, exportation, or transit of goods through a single entry point to the participating authorities or agencies.” This TFA provision is in line with congressional negotiating objectives, and was also a priority for the Obama Administration. On February 19, 2014, ▇▇▇▇▇▇▇▇▇ ▇▇▇▇▇ signed an executive order directing that U.S. agencies with a role in international trade must complete development of an electronic “single window” through which “businesses will transmit data required by participating agencies for the importation and exportation of cargo.” The order further required that all participating agencies have “capabilities, agreements, and other requirements in place” by December 31, 2016.37 The Trade Facilitation and Trade Enforcement Act of 2015 (P.L. 114-125, §106) provided additional funding to “complete the development and implementation” of ACE, and required CBP to submit a report detailing its progress on ACE, ITDS and other customs modernization systems to the House Committee on Ways and Means and the Senate Finance Committee, also by December 31, 2016.38 A follow-up report is due by September 31, 2017. The legislation also required a Government Accountability Office (GAO) report on the deployment of ACE by 33 U.S. Customs and Border Protection website: ▇▇▇▇▇://▇▇▇.▇▇▇.▇▇▇/border-security/ports-entry/cargo-security/c-tpat- customs-trade-partnership-against-terrorism. 34 PGAs include the Census Bureau, the Fish and Wildlife Service, the Federal Aviation Administration, The Consumer Product Safety Commission, and the Environmental Protection Agency. 35 The ITDS was mandated by Section 405 of P.L. 109-347, the Security and Accountability for Every Port Act of 2006. See also CBP website, “ACEopedia December 2016), ▇▇▇▇▇://▇▇▇.▇▇▇.▇▇▇/document/report/aceopedia. 36 World Economic Forum and the Global Alliance for Trade Facilitation, The Global Enabling Trade Report, 2016, p. 309, ▇▇▇▇://▇▇▇.▇▇/getr16. 37 Executive Order 13659, "Streamlining the Export/Import Process for America's Businesses," 79 Federal Register 10657, February 19, 2014. 38 The report to Congress had not been received as of this writing. required a Government Accountability Office (GAO) report on the deployment of ACE by December 31, 2017. Section 107 of the act further required that each agency use the ITDS as its primary means of receiving import and export information and documents. CBP had planned to deploy post-release capabilities including notices of liquidation of goods, statements, duty drawback, and protests in ACE by January 14, 2017, but postponed the deployment with no new target date.39 On December 12, 2016, CBP published a final rule stating that, by January 14, 2017, CBP official notices of liquidation, suspension of liquidation, and extension of liquidation be posted on the CBP website rather than mailed or posted in customhouses or stations.40 CBP stated that electronic notification of liquidation activities would be posted as planned. Agencies’ integration into the system is varied, as CBP must conduct pilot testing of each agency’s capabilities to receive data and documents through the ITDS.41 In December 2016, then- CBP Commissioner ▇▇▇ ▇▇▇▇▇▇▇▇▇▇▇ announced that as part of the single window effort, CBP’s partner agencies have automated more than 300 paper forms.42 A key issue with the TFA is effective implementation by all WTO members. Trade agreement implementation is not always smooth. For example, there have been ongoing issues with South Korea’s implementation of ▇▇▇▇▇ provisions on express delivery shipment inspection and delays.43 The World Customs Organization (WCO) is working with the WTO on implementation of the TFA. It has released implementation guidance for each Section I article of the agreement.44 The guidance not only explains the provisions but provides tools, examples of member implementation that can be considered best practices, and quantitative indicators a country could use. For example, the WCO highlights U.S. Customs Mutual Assistance Agreements (CMAAs) as a member implementation of Article 12. Different sets of indicators by various international organizations exist to measure levels of trade facilitation and could be used to monitor TFA implementation and impact (see Text Box). Monitoring and publicizing metrics could help overcome some of the challenges related to implementation, such as lack of coordination or political will. 39 See ▇▇▇▇▇://▇▇▇.▇▇▇.▇▇▇/trade/automated.