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Take you to understand what "American AMS" is

Published on April 27, 2023, Changfan International Logistics

AMS (Automated Manifest System, American Manifest System, Advanced Manifest System), also known as the 24-hour manifest forecast or US customs anti-terrorism manifest, originated from a system established by the United States for counter-terrorism purposes after the 9/11 terrorist attacks in 2002.

According to regulations issued by US Customs, all goods exported to the United States or transferred through the United States to third countries must be declared to US Customs 24 hours before shipment. Require the freight forwarder closest to the direct exporter to send AMS information. The information of AMS is directly sent to the US Customs database using a system designated by the US Customs, which automatically checks and responds. When sending, detailed information of the goods needs to be submitted, including the destination port's gross weight, accumulated quantity, product name, box number, and the true consignee or shipper of the ship owner (FORWARDER not included), as well as the corresponding code number. Wait for the US side to accept before boarding the ship. If there is an HB/L, both copies must be sent. Otherwise, the goods will not be able to board the ship.

The origin of AMS: After the 9/11 terrorist attacks in 2002, the United States Customs and Homeland Security Agency registered this new customs rule on October 31, 2002, which officially came into effect on December 2, 2002, followed by a 60 day buffer period (non fraudulent violations during the buffer period are not liable).

Who should send AMS data? According to US customs regulations, the freight forwarder closest to the direct exporter (NVOCC) is required to send AMS information. NOVCC sending AMS first needs to obtain NVOCC qualification from FMC in the United States, and at the same time, it needs to apply for an exclusive SCAC (Standard Carrier Alpha Code) from NMFTA (National Motor Freight Traffic Association) in the United States before sending relevant data to US customs. During the sending process, NVOCC must have a complete and clear understanding of the relevant regulations of US customs, and strictly follow the relevant rules, which may lead to delayed customs clearance or even fines from US customs.

How many days should AMS data be sent in advance? Because AMS, also known as 24-hour manifest forecast, as the name suggests, is to send the manifest 24 hours in advance. 24 hours is not based on the departure time, but rather requires a receipt from the United States Customs 24 hours before the box is loaded onto the ship (the freight forwarder obtains OK/1Y, and the shipping company or terminal receives 69). There is no regulation on how long to send it in advance, and it is useless to receive the correct receipt even if it is sent early.

In practical operation, shipping companies or NVOCC may request AMS information to be submitted early (shipping companies usually cut off orders three or four days in advance), and for exporters, the information provided three or four days in advance may be incorrect. Therefore, there are cases where the shipping company is required to modify AMS information after the cut-off. What is required in the AMS data?

A complete AMS includes House BL Number, Carrier Master BL No, Carrier Name, Shipper, Consignee, Notify Party, Place of Receipt, Vessel/Voyage, Port of Loading, Port of Discharge, Destination, Container Number, Seal Number, Size/Type, No& PKG Type, Weight, CBM, Description of Goods, Marks&Numbers, all of which are based on the bill of lading provided by the exporter.

Can real import and export information be omitted

According to US customs regulations, it is not allowed. Moreover, the customs are very strict in checking the information of CNEE. If any issues are found with CNEE, USD1000-5000 should be prepared first. Shipping companies often require NVOCC to provide telephone, fax, and even contact information of importers and exporters in AMS documents. Although US customs regulations do not require telephone, fax, or contact information, only the company name, correct address, and ZIP code, the detailed information required by shipping companies helps US customs directly contact CNEE and request the required information.

What are the results of sending AMS data to the United States? The AMS data is directly sent to the customs database using a system designated by the US Customs, which automatically checks and responds. The results are usually obtained 5 to 10 minutes after sending. As long as the AMS data sent is complete, the result of "OK" will be immediately obtained. This "OK" indicates that the AMS cargo has no problems on board, and without "OK", it cannot be loaded on board. On December 6, 2003, the United States Customs began to require Special BILL, which means matching the MASTER BILL sent by the shipping company with the MASTER BILL NO in AMS. If the two numbers match, a result of "1Y" will be obtained. There will be no problem with AMS during customs clearance, and this "1Y" only needs to be obtained before the ship docks in the United States.

The significance of AMS has been implemented since the implementation of AMS24 hour declaration, combined with the accompanying safety clauses and ISFs introduced thereafter. Make the information of goods imported from the United States accurate and clean, with complete data, and easy to track and query. Not only does it improve homeland security, but it also greatly reduces the risk of imported goods and improves the efficiency of customs clearance.

After the United States, countries such as Mexico, Canada, the European Union, South Africa, and China have all followed the example of the United States' AMS and implemented a pre shipment manifest declaration system to effectively avoid risks, protect their homeland security and people's interests. It is foreseeable that more and more countries will implement this pre transshipment declaration system for security reasons in the future.

The US Customs may update the requirements and procedures of AMS from time to time. Please refer to the latest release of the US Customs for details.

Regarding the customs clearance precautions for US imports, the main focus is on general cargo imports, which means that the logistics channels from China to the United States are air freight, sea freight, or intermodal transportation (non mail channels, non express channels). Most imports of general goods have a value of over $2500. For general goods above $2500, the United States Customs requires formal imports, regardless of whether the tariff is 0 or not. Formal imports require an IOR (importer of record), which must have a Bond. There are two main types of Bonds: one is one-time, suitable for importers to officially import less than twice a year, and the other is called an annual bond, Suitable for importing more than twice a year. Without a bond, IOR cannot clear customs. The cost of a bond will be determined based on the value of imported goods and the amount of customs duties. Generally, the annual bond cost for general goods is between 400 and 800 US dollars.

And IOR can be divided into two types: one is a physical company in the United States, which means the importer is in the United States, and the other is to use a Chinese shipping company to buy bonds, which means the shipper can buy bonds. Both situations are acceptable. The second situation is that the United States is a very special thing, and many Chinese exporters or sellers are not aware of it. In fact, if they are doing business in the United States for a long time and there are no physical companies or recognized partners in the United States, it is best to act as an importer and purchase bonds from the United States as a domestic shipper. But we still need a company in the United States that can provide the consignee as the consignee, and we also need his tax number. This receiving company can use a logistics company or other means. To purchase a bond, the company's tax number is required. If it is a US entity, the IRS paper can be provided, and the ID of the company owner is required.

If it is an overseas company, that is, the shipper needs to provide an overseas business license, company legal representative passport, or ID card when buying a bond. Then import customs clearance in the United States needs to be entrusted to the customs broker (in theory, IOR can clear customs itself, but if you do it yourself, it may not be particularly cost-effective, of course, large IORs often have their own in house brokers, which is another case). If it is the first import, you need to provide the customs broker with POA, customs declaration authorization, BOND information, cargo packing list, cargo commercial invoice, and logistics waybill (airway bill or bill of landing), For air transportation, as long as the aircraft takes off from the United States, the customs broker can make declaration. Often, the customs clearance is completed before the aircraft lands, and then the customs system will give the customs broker instructions, release, inspection, and others. If released, you can go to the airport to pick up the goods.

Afterwards, the customs broker will provide the importer with a form called CBP7501, which is very important. This document is a proof of import from the United States and is issued by the US customs. It will clearly include various details and fees. Including customs duties, MPF, customs code of goods, value, consignee, etc. In terms of customs duties, small and medium-sized customers generally pay the customs broker who pays them to the customs. In the United States, there is no case that customs customs broker refuse to pay customs duties, let alone worry about customs broker overcharging customs duties (but the customs broker will charge a customs advance fee). As long as you get Form 7501, you can explain everything. Again, this form is very important. If you have a large amount of customs duties, you can open an account with the US customs to deposit money as payment for the duties. After the tariff is generated, the customs will directly deduct money from this account.

There is no situation in the United States where tariffs are not transparent. If you feel that the customs have overcharged the customs, communicate with him with this 7501 or other evidence, and if you can't, go to court. These are normal situations and are also the rights of American importers. Furthermore, because IOR is the owner of the goods, and customs and customs brokers only have relationships with him, why is it best for the shipper to buy a bond? This means that the ownership of the goods is still in their own hands, and there will be no disputes.