SAN ANTONIO -- CBP is pushing brokers to vet the parties they're working with to ensure those parties can actually serve as importers, said Lenny Feldman, general counsel and customs counsel to the National Customs Brokers & Forwarders Association of America.
Feldman said he has heard, for example, that a lot of importers are currently working on the same block or in the same building in Wyoming, which is similar to a tactic that Chinese entities use in China, raising suspicion about the legitimacy of the operations. "But I guess what's good for China is good for Wyoming?" he quipped. If a broker has the wrong individual or entities involved in the process, CBP is holding the merchandise, Feldman warned.
"It's something you really need to be aware of, those shell companies who are now coming into play, who don't have the right to make entry, and as a result, you really need to expect to be cognizant of that," he said.
A bill has been introduced in the House and Senate that would restrict the use of non-resident importers of record, looking to eliminate non-resident importers (NRI) from most countries (see 2603090061). Brian Barber, vice president of U.S. brokerage and government affairs at Willson International, speaking on April 15, said if the bill doesn't get much traction in Congress, the Trump administration could take action on its own.
"If we get into a scenario where there's an executive order that's issued, that may not be as palatable as what we're seeing in the draft side of Congress," Baber said. "So if you're not tracking this, and you're in the NRI space, I would recommend that you start paying attention to it."
Read more here
