09/27/2024
Proposed Rule to Secure Connected Vehicle Supply Chain from Foreign Threats
Check out this week's Customs Corner to read the latest about the connected vehicle supply chain, the Air Cargo Advance Screen Guide, and more.
1) Proposed Rule to Secure Connected Vehicle Supply Chain from Foreign Threats
The Proposed Rule is part of efforts under Executive Order (E.O.) 13873, “Securing the Information and Communications Technology and Services Supply Chain,” which declared a national emergency to address foreign threats to U.S. ICTS. The rule will prohibit transactions involving Vehicle Connectivity Systems (VCS) hardware and related software from these foreign adversaries.
Key elements include:
- Focus on Foreign Adversaries: The rule applies to transactions involving ICTS related to connected vehicles, particularly those involving entities from China and Russia.
- National Security Risks: The BIS proposal is based on concerns that certain ICTS may pose risks such as sabotage, subversion, or catastrophic effects on U.S. critical infrastructure and the digital economy.
- Implementation of IEEPA: The International Emergency Economic Powers Act (IEEPA) empowers the President and the Secretary of Commerce to regulate transactions deemed a threat to U.S. national security.
The BIS is now seeking public comments on the proposed rule, which builds on the earlier Advance Notice of Proposed Rulemaking (ANPRM) from March 2024. The final rule may also include mitigation measures that allow some otherwise prohibited transactions to proceed with appropriate safeguards.
Once finalized, this rule could impose broad restrictions on ICTS transactions linked to certain foreign entities, particularly in the growing field of connected vehicle technology.
2) CBP Releases Updated Version of Air Cargo Advance Screen Guide
This guide is part of CBP's system designed to evaluate air cargo for potential threats to aviation by requiring shippers to submit cargo information to DHS prior to departure for the U.S.
CBP and the Transportation Security Administration (TSA) review the data within the ACAS data to assess security risks. ACAS Version 2.3.2 and Enhanced ACAS FAQs
Key points from the update include:
- ACAS Message Responses: The system sends acknowledgements to data submitters, including potential shipment holds. Submitting information early is recommended to avoid delays.
- ACAS-IG Updates: As of August 21, 2024, CBP initiated an update to the ACAS-IG, and they have been in close communication with the trade sector to ensure smooth implementation.
- Vague Descriptions Policy: Since early September, CBP began rejecting vague cargo descriptions. A 30-day warning period ends on October 6, 2024, and rejections will commence from October 7, 2024.
3) FDA Releases Informational Video on Importing Seafood
The FDA regulates the safety and compliance of all seafood products in the U.S., except for catfish, which falls under the jurisdiction of the U.S. Department of Agriculture (USDA).
The video covers key steps and requirements involved in importing seafood, such as:
- Understanding Requirements: Importers need to be aware of important regulations like Food Facility Registration, Seafood Safety Practices, Nutrition and Labeling, and Prior Notice.
- Declaring Shipments: Ensuring proper declaration of seafood shipments.
- FDA Admissibility Process: Details on how the FDA assesses and approves seafood imports for safety and compliance.
If you are importing seafood or involved in the seafood industry, this video provides valuable information to ensure compliance with FDA regulations. You can watch it now on the FDA's YouTube channel.
4) CPSC Final Rule on Product Safety Certifications Potential Vote by October 30, 2024
Sabrina Keller, the Deputy Director for CPSC spoke at the NCBFAA conference on September 2023, 2024, and provided potential key dates on the Final Rule. Note: Dates provided are subject to change.
Key Dates:
- Public hearing on October 9, 2024.
- Briefing on October 15, 2024.
- Potential vote on the final rule by October 30, 2024.
The rule includes electronic filing of product safety certificates for consumer goods, and it might expand the definition of importer to ensure the correct party is responsible for certification. The implementation deadline, originally set at 120 days, may be extended based on feedback from the industry regarding the time required for software development and preparation.
After the final rule is approved, full implementation is expected in 2025. CPSC has completed phase 2 of the eFiling rollout and is still accepting volunteers for system testing, with the capacity to include up to 2,000 more participants. Importers are encouraged to begin testing and communication with CPSC early to ensure readiness.
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