05/09/2025

US-UK Preliminary Trade Deal

Check out this week's Customs Corner to read about the US-UK Trade Deal, informal entry guidance, and more.

Trade and Customs Updates

1) US-UK Preliminary Trade Deal 

On May 8, 2025, President Trump and UK Prime Minister Keir Starmer jointly announced that the United States and the United Kingdom have reached a preliminary trade agreement. While the deal is not yet finalized, both sides confirmed that negotiations will continue over the coming weeks to resolve the remaining issues.

 

According to a White House fact sheet, the arrangement is being framed as an “Economic Prosperity Deal” rather than a comprehensive Free Trade Agreement, signaling a more limited scope focused on targeted economic collaboration rather than full trade liberalization. Under the current terms, reciprocal tariffs between the two countries will largely remain at 10% for most goods. However, both governments expressed a commitment to expanding access to each other’s industrial and agricultural markets as part of ongoing efforts to strengthen bilateral economic ties.

 

Currently there is no formal guidance on the specifics of the deal. Geodis will provide more details once they are available.

 

References:

Fact Sheet: U.S.-UK Reach Historic Trade Deal – The White House

 

2) Informal Entry Guidance

U.S. Customs and Border Protection (CBP) requires customs brokers and filers to electronically transmit all line-level data, including tariff classifications, when submitting informal entries. Generally, all merchandise arriving on a single conveyance for one consignee must be entered as one entry. If the total value is $2,500 or less, it qualifies as a type 11 informal entry; if it exceeds $2,500, a type 01 formal entry is usually required.

 

However, exceptions under 19 C.F.R. § 141.52 allow for separate entries even when total value exceeds $2,500. These exceptions include:

 

  • Circumstances when each portion of a consolidated shipment addressed to one consignee (or nominal consignee) is intended for various ultimate consignees, subject to the procedures specified in 19 C.F.R. § 141.54. See 19 C.F.R. § 141.52(a).
     
  • Circumstances when several portions of the consignment for which separate entries are tendered are covered by separate bills of lading. See 19 C.F.R. § 141.52(e).
     
  • Circumstances when the “consignment consists of different classes of merchandise which are to be processed by different Customs commodity specialist teams.” See 19 C.F.R. § 141.52(f).

 

In such cases, each separate entry may still qualify as a type 11, provided all requirements are met, and each must have its own entry summary—consolidation is not allowed.

 

CBP also retains the discretion to require formal entries for any shipment if necessary for enforcement, revenue, or operational purposes.

 

Reference:

CSMS # 64957404 - Informal Entry Guidance: Clarifying When Separate Informal Entries May be Filed for Merchandise Consigned to One Consignee

 

3) CBP Acting Commissioner Flores Addresses the Trade and Cargo Security Summit

In his remarks at the Trade and Cargo Security Summit, CBP Acting Commissioner Pete Flores emphasized the agency’s central role in enforcing the Trump Administration’s “America First” trade and border security policies. He outlined CBP’s efforts to uphold new tariffs, disrupt illicit trade, and modernize enforcement systems in support of national economic and security priorities.

 

A summary and some quotes are below:

 

  • Tariff Enforcement & Economic Policy:

    CBP is actively implementing and enforcing new trade tariffs aimed at reshoring manufacturing and protecting U.S. industry. Flores described CBP as "uniquely positioned to implement and enforce the President's tariffs," including reciprocal tariffs and duties under Section 232.

    “CBP remains steadfast in the enforcement of these measures designed to return manufacturing to U.S. shores.”

 

  • Fentanyl and Border Security:

    Significant progress was reported in reducing fentanyl trafficking and illegal border crossings, with daily southern border apprehensions dropping by 95%—from over 5,000 to just 230 per day.

     
  • ACE System Enhancements:

    CBP has upgraded the Automated Commercial Environment (ACE) to better support tariff enforcement, streamline air cargo processing, and modernize trade compliance systems.

     
  • De Minimis Shipments as a Trade Loophole:

    Flores raised serious concerns about the rapid increase in low-value (de minimis) shipments, which have become a conduit for tariff evasion, counterfeit goods, and narcotics.

    “Nearly 90% of all seizures in the cargo environment originated as a de minimis shipment.”

    “De minimis shipments account for 97% of intellectual property rights seizures equating to 31 million counterfeit items.”

 

  • Policy Action on China & Hong Kong:

    A recent Executive Order eliminates de minimis eligibility for goods from China and Hong Kong to curb fentanyl-related imports and protect U.S. trade interests. Flores acknowledged the disruptive impact of these changes and emphasized CBP’s commitment to work with the trade community through an Emergency Operations Center.

     “Our ultimate goal is to collaborate to the best of our ability with each of you, even though, on occasion, the lead time is less than optimal.”

 

  • Focus on Legitimate Trade and Risk Targeting:

    CBP is expanding its digital platforms and adopting a risk-based targeting model to speed up and simplify trade processes while improving transparency.

     “We are expanding a digital platform and risk-based targeting to make legitimate trade faster, simpler, and more transparent.”

 

  • AI-Driven Trade Enforcement:

    CBP is leveraging artificial intelligence to enhance its ability to identify high-risk shipments and entities earlier in the supply chain, enabling proactive enforcement rather than reactive response.

    “CBP is putting in advanced data and analytics technology into the hands of its personnel to provide our workforce with the newest decision-making tools and information.”

 

  • Collaboration and Future Readiness:

    CBP emphasized ongoing collaboration with the trade community to responsibly implement AI, establish protocols, and maintain a proactive risk posture.

    “We will continue working with you to put in place the right protocols to maximize AI capabilities while establishing a proactive risk posture.”

 

The full transcript can be found here.

 

4) ACE Report Webinars

To help ACE users maximize the benefits of ACE Reports, CBP will host a monthly series of four informational webinars beginning May 21. Each webinar will be followed by a separate virtual office hours session the next day, offering users an opportunity to receive additional support and ask follow-up questions.

 

The schedule and topics for the webinars and next-day office hours are outlined below. Relevant training materials are also included to support users in applying the features discussed during the sessions:
 

1. Topic: Schedule and Email Recurring Reports
Webinar Date/Time: Wednesday, May 21, 2025, 1:00 p.m. ET
Virtual Office Hours Date/Time: Thursday, May 22, 2025, 1:00 p.m. ET

Related Training Materials:

 

2. Topic: Modifying Reports
Webinar Date/Time: Tuesday, June 17, 2025, 1:00 p.m. ET
Virtual Office Hours Date/Time: Wednesday, June 18, 2025, 1:00 p.m. ET

Related Training Materials:

 

3. Topic: Adding Dynamic Dates
Webinar Date/Time: Wednesday, July 30, 2025, 1:00 p.m. ET
Virtual Office Hours Date/Time: Thursday, July 31, 2025, 1:00 p.m. ET

Related Training Materials:

 

4. Topic: Webinar Topic Coming Soon!
Webinar Date/Time: Wednesday, August 13, 2025, 1:00 p.m. ET
Virtual Office Hours Date/Time: Thursday, August 14, 2025, 1:00 p.m. ET

 

Reference:

CSMS # 64981848 - SAVE THE DATE: ACE Reports Webinars Series Begins May 21

 

EVENT: GEODIS 7th Annual Customs & International Trade Day Symposium 

June 5, 2025  |  Union League at Liberty Hill |  Lafayette Hill, PA

 

Join us for a full-day event where you’ll hear from GEODIS and top industry experts, gaining valuable insights to keep you ahead of the curve in the fast-changing world of customs and international trade.


Click here to register.

 

Get expert advice on customs and foreign trade, direct from our comprehensive customs brokerage and trade services teams.