U.S. and Hong Kong (2003)

U.S. Customs Implementing New Maritime Anti-Terrorism Regulation

Following is the text of Bonner's remarks:

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Remarks of U.S. Customs Commissioner Robert C. Bonner

U.S. Customs Service's Counterterrorism Efforts at Home and Abroad

Foreign Press Center
Washington, D.C.
January 14, 2003

Introduction

Although we are 16 months removed from the terrorist attacks of September 11th, the threat of international terrorism is every bit as real and immediate and dangerous as it was then, if not more so. And we must remember that the threat from terrorism is a multinational threat -- it is a threat that knows no boundaries. The terrorist attacks in Bali, in Kenya, off the coast of Yemen, and elsewhere across the globe, remind us that the terrorist threat is one we must all confront. It is a long-term threat.

It is critical that we maintain the sense of urgency and action that galvanized the United States and the world against terrorism after 9/11.

At the United States Customs Service, combating terrorism is our number one priority. It has been our highest priority since 9/11. And we are doing everything we reasonably and responsibly can, both here in the United States and abroad, to protect our nation and the global trading system from the terrorist threat. And as we do this, we are also making sure that legitimate trade and travel continues without undue or costly delays.

Advance Manifest Regulation

One of our efforts is the Advance Manifest Regulation, or so-called "24-hour rule," which requires that shippers and ocean carriers provide U.S. Customs with manifest information for oceangoing containerized cargo 24 hours in advance of "lading" -- that means 24 hours before it is loaded on board a vessel for shipment to the U.S. The rule enables us to analyze the information and identify and eliminate potential terrorist threats before the vessel sails, not after it arrives.

U.S. Customs has been talking about the 24-hour rule for many months. We issued the proposed 24-hour rule in early August of last year, and that was followed by a 45-day comment period on the rule. We considered the comments and, after making some modifications, issued the final regulation on October 31, 2002. We delayed implementation for 90 days -- 3 months, including a 60-day penalty-free period. This grace period expires on February 1st, in about two weeks. Although some still may desire more time, I believe we have provided sufficient time for the change of business practices needed to comply with the 24-hour rule.

As I have said before, this is an issue of national security, and Customs intends to take compliance seriously. We applaud the efforts of those shippers and carriers that have taken the rule and implementation period seriously -- and many, many have -- but we caution those that have not.

On February 2, the U.S. Customs Service will begin enforcing the 24-hour rule. Data that is incomplete or late will not be tolerated from carriers or shippers. When I say incomplete data, I include the description of the cargo. Vague, non-descriptions, such as "Freight of All Kinds" (commonly abbreviated "FAK") or blank descriptions are no longer acceptable on February 2 and thereafter. Where there is no description, or where Customs was not provided with data 24 hours before loading, U.S. Customs will begin denying permits to unload on February 2.

We will indicate to carriers our intent to deny permits to unload, and we will expect the cooperation of carriers to deny loading at the foreign port to those who do not comply with the rule. In addition to denying unloading permits, Customs will also use its authority to impose penalties to secure rapid compliance.

The U.S. Customs Service's actions on February 2 will be the first step in a process of ratcheting up denials of unloading permits to ensure compliance over the course of a few weeks. I am optimistic that compliance with the 24-hour rule will be achieved quickly.

Container Security Initiative

The 24-hour rule applies to shipments of cargo containers from all ports outside the United States to ports of the United States; however, implementation of the rule helps to ensure the success of the Container Security Initiative, or CSI, currently being implemented, or about to be implemented, at many ports around the world.

CSI is the U.S. Customs Service's program to prevent containerized shipping -- the primary system of global trade -- from being exploited by terrorists. With CSI, U.S. Customs has entered into partnerships with other governments to identify "high-risk" cargo containers and pre-screen those containers for terrorist weapons at the port of departure instead of the port of arrival. Getting the manifest information on the containers in advance of their loading is essential to this process, because it provides the risk targeting data needed to identify high-risk containers.

Just one year ago, CSI was merely an idea for safeguarding the global trading system and the global economy. Now, just one year later, CSI has become a reality. Ten countries -- representing 17 of the top 20 ports that ship to the United States -- have agreed to and are implementing CSI.

The most recent country to sign a declaration to implement CSI is Spain, which signed last week. Other countries participating in CSI with the U.S. are, in Europe, the Netherlands, France, Belgium, Germany, Italy, and the U.K. And in Asia, they include Singapore, Japan, and China.

Soon, we will be expanding CSI beyond the top 20 ports. Other nations and other ports are eager to [be], and I expect soon will be, joining the CSI program, because they recognize, as we do, that CSI is a critical tool for safeguarding the global economy against the terrorist threat, as well as better safeguarding their seaports and ours against terrorist exploitation.

The early success of CSI is the result of outstanding cooperative efforts between countries, on a bilateral basis. Multinational organizations such as the World Customs Organization and the G-8 [Group of Eight industrialized nations] have also endorsed the principles of CSI.

This kind of cooperation in addressing the terrorist threat is imperative for success in the global campaign against terrorism. The terrorist threat impacts all of us, and the world community must work together to conquer it.

Conclusion

In conclusion, let me just say we are making progress, but we must not let down our guard. We must continue to do more. And I can tell you that I [am], and all the men and women of the U.S. Customs Service are, continuing to do more -- we are more determined than ever in our mission -- not only to protect our borders, but to protect the movement of global trade.

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