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Securing & facilitating North American trade with ONE global system

Securing & facilitating North American trade with ONE global system. Grapevine, Texas, 16 October 2011. Agenda. IRU: 60 years of experience in facilitating and securing international trade and cross border trucking

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Securing & facilitating North American trade with ONE global system

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  1. Securing & facilitating North American trade with ONE global system Grapevine, Texas, 16 October 2011

  2. Agenda IRU: 60 years of experience in facilitating and securing international trade and cross border trucking Facilitating and securing international trade and cross border trucking through global multilateral mechanisms Facilitating and securing international trade and cross border trucking through dedicated IRU IT applications How can IRU contribute to further securing and facilitating American trade and cross border trucking? Next steps (c) International Road Transport Union (IRU) 2011

  3. Part 1 (c) International Road Transport Union (IRU) 2011 IRU: 60 years of experience in facilitating and securing international trade and cross border trucking

  4. This is the IRU (c) International Road Transport Union (IRU) 2011

  5. Evolution of IRU Membership Created1948 National Associations from 8 founding countries 2011180 Members 74 Countries Belgium Denmark France Netherlands Norway Sweden UK Switzerland

  6. 9/11 Worldwide Security Requirements changed forever (c) International Road Transport Union (IRU) 2011

  7. Part 2 (c) International Road Transport Union (IRU) 2011 IRU: Facilitating and securing international trade through global multilateral mechanisms

  8. The TIR System The tried and tested multilateral facilitation and security instrument for international transport and trade. Based on TIR Convention of 1975. Provides world-wide coverage. (c) International Road Transport Union (IRU) 2011

  9. TIR Geographical Scope Contracting Parties 68 In Negotiation Process 13 Page 9 (c) International Road Transport Union (IRU) 2011

  10. TIR is multi-modal TIR is multi-modal - road, rail, maritime, waterways and air transport – so long as one part of the journey is by road. Page 10 (c) International Road Transport Union (IRU) 2011

  11. Pillars of the TIR System TIR System Secure vehicles and containers International Chainof Guarantee SafeTIR & IRU TIR-EPD TIR Carnet Mutual Recognitionof Customs Controls Controlled Access TIR Convention (c) International Road Transport Union (IRU) 2011

  12. TIR meets WCO SAFE requirements for Advance Cargo Information Requirement fulfilled by   (c) International Road Transport Union (IRU) 2011

  13. WCO SAFE and AEO requirements can be fully satisfied by TIR The four core elements of WCO SAFE are: Risk Management to security and safety Benefits For Trade Pre-departure examination Provision of Advanced Cargo Information 1 4 3 2 Risk Managementin TIRConvention(e.g. Annex 10) Electronic Pre-declaration Communication Platformbetween AEO &Authorities Mutual recognition &Controlled Access 4 3 2 1 (c) International Road Transport Union (IRU) 2011

  14. USCOC study confirms TIR as best instrument to implement WCO Safe Framework (c) International Road Transport Union (IRU) 2011

  15. Part 3 (c) International Road Transport Union (IRU) 2011 IRU: Facilitating and securing international trade and cross border trucking through dedicated IRU IT Applications

  16. Challenges & Opportunities Computerization is on • Paper documents are gradually being replaced by electronic ones 9/11 changed security requirements forever • Security programs are being implemented (C-TPAT, PIP, AEO, ...) • Electronic submission of advance cargo information are becoming a must (WCO SAFE) • Each country is sovereign in implementing processes and rules. Efforts towards mutual recognition and harmonization are progressing but slowly How to comply with strengthened rules and processes while further facilitating and securing trade ? • TIR along with proven IT tools provides a valuable answer (c) International Road Transport Union (IRU) 2011

  17. TIR IT Risk Management Tools:IRU TIR-EPD TIRElectronicPre-Declaration 1100110100110101 11011 11001101001101 1100110100110101 11001101001101 1100110100110 1011011001010101 01011 101101100101010 1011011001010101 101101100101010 101101100101010 11010 11011 11010 11010 11010 11010 11010 11010 11010 10101 10101 10100 11010 10101 10100 11010 10100 11010 11011 11001 110100100111010 1101111001010101 110100100111010 11010 01010 00101 00101 00100010111010 0010111001010101 00100010111010 00100 10101 11011 11001 11010 11101 11011 11010 11010 00101 11101 11101 11100 10101 11011 11100 11100 11010 11010 11010 11011 00111 1110111001010101 11011 101101100101010 11010 11010 11011 11010 1101011001010101 11012 1100110100110 Connecting Business and Customsfor facilitating and securing international trade (c) International Road Transport Union (IRU) 2011

  18. Electronic Advance Cargo InfoIRU TIR-EPD Single Window Concept 1 2 Customs authorities confirm reception of the message, validate the guarantee and release the cargo for transit. Traders & Carriers submit free-of-charge electronic pre-declarations to Customs authorities in different countries Benefits: this exchange of advance information facilitates pre-arrival risk analysis and makes border crossings simpler, more secure and faster. (c) International Road Transport Union (IRU) 2011

  19. TIR IT Risk Management Tools: IRU Real Time SafeTIR (RTS) Connecting Business and Customsto facilitate and secure international trade 24/7 TIR Carnet guarantee status and validity check through web portal Automatic TIR Carnet validity check through direct link between Customs and IRU IT systems Automatic transmission of TIR Customs data to the IRU (c) International Road Transport Union (IRU) 2011

  20. Increased Security thanks to IRU RTS The status of the TIR Carnet is : • Valid (with following details: Holder ID, validity date, Issuing Association name) • Invalid • Not issued/False/other situations Real Time SafeTIR and TIR-EPD provide security to allow the issuance of $1billion/day in guarantees CustomsMoscow SafeTIR data IRU Geneva What is the status of the TIR Carnet ? Real Time SafeTIR: SafeTIR Customs data is sent by Customs in real time as soon as the TIR transport isterminated Information is made available to all relevant actors (c) International Road Transport Union (IRU) 2011

  21. Part 4 (c) International Road Transport Union (IRU) 2011 IRU: How can IRU/TIR contribute to further securing and facilitating North American tradeand cross border trucking?

  22. USA Electronic Pre-DeclarationRequirements ACE, the Automated Commercial Environment, is the commercial trade processing system being developed by U.S. Customs and Border Protection (CBP) to facilitate legitimate trade and strengthen border security (c) International Road Transport Union (IRU) 2011

  23. Canadian Electronic Pre-Declaration Requirements Trader Cargo Data Customs Cargo Acknowledgment Carrier Conveyance data Conveyance Acknowledgment The eManifest initiative is the third phase of the Advance Commercial Information (ACI) program. When fully implemented, eManifest will require trade partners in all modes of transport (air, marine, road and rail) to submit cargo, crew/passenger, conveyance, secondary and importer data to the Canada Border Services Agency (CBSA) prior to arrival at the border. (c) International Road Transport Union (IRU) 2011

  24. North AmericanAEO Programs Requirements Various programs co-exist in North America, implying going through several certification steps (c) International Road Transport Union (IRU) 2011

  25. Financial Guarantee Requirements Cross border operations require financial securities to be provided depending on the amount of duty and taxes payable on the goods being transported (c) International Road Transport Union (IRU) 2011

  26. IRU Contribution to securing North American Trade Connecting Business and Customsthrough an internationally tried and tested system Trader Carrier Cargo Data TIR Guarantee Cargo Acknowledgment TIR-EPD TIR AEO eManifest Data/Acknow. Data/Acknow. Data/Acknow. Data/Acknow. Conveyance data Conveyance Acknowledgment Real-Time SafeTIR (c) International Road Transport Union (IRU) 2011

  27. IRU Contribution to securing North American Trade Connecting Business and Customsthrough an internationally tried and tested system Trader IRU/TIR meet: - C-TPAT/PIP/AEO requirements - ACE and eManifest electronic requirements - All financial guarantee requirements - Customs clearance requirements at destination Carrier Cargo Data TIR Guarantee Cargo Acknowledgment TIR AEO TIR-EPD Data/Acknow. eManifest Data/Acknow. Data/Acknow. Data/Acknow. Conveyance data Conveyance Acknowledgment Real-Time SafeTIR (c) International Road Transport Union (IRU) 2011

  28. Benefits of IRU TIR for US trade Tried and tested single window for trade facilitation and securityallowing secure door to door seamless transport with green light border crossing process through interface with Customs/security systems, freeing Customs time for effective targeted anti-terrorist inspections. Effective anti-terrorist and anti-corruption measures preventing need to negotiate several hundred bilateral agreements on security. IRU TIR can include US C-TPAT, Canadian PIP, and Mexican EmpresaCertificada requirements. Multilateral mutually-recognized legal framework and guarantee system already in place (TIR Convention and WCO SAFE). Solid, cost effective financial guarantee system (10 ¢ for $100 bank guarantee) which would be of greatest benefit to US exporters. No IT development cost for Customs and National Associations Short implementation time after agreement signature (1-6 months overall). US can shape the TIR system to meet its requirements before others impose theirs. (c) International Road Transport Union (IRU) 2011

  29. Benefits of IRU TIR for US trade Strategic step to facilitating and securing trade between North America, the Western Hemisphere, and the rest of the world. Tried and tested single window for trade facilitation and securityallowing secure door to door seamless transport with green light border crossing process through interface with Customs/security systems, freeing Customs time for effective targeted anti-terrorist inspections. Effective anti-terrorist and anti-corruption measures preventing need to negotiate several hundred bilateral agreements on security. IRU TIR can include US C-TPAT, Canadian PIP, and Mexican EmpresaCertificada requirements. Multilateral mutually-recognized legal framework and guarantee system already in place (TIR Convention and WCO SAFE). Solid, cost effective financial guarantee system (10 ¢ for $100 bank guarantee) which would be of greatest benefit to US exporters. No IT development cost for Customs and National Associations Short implementation time after agreement signature (1-6 months overall). US can shape the TIR system to meet its requirements before others impose theirs. (c) International Road Transport Union (IRU) 2011

  30. Part 5 Next steps Next steps (c) International Road Transport Union (IRU) 2011

  31. www.iru.org (c) International Road Transport Union (IRU) 2011

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