Census to Clarify Rules for In-Transit Shipments, Still Working on Routed Export Rule

The Census Bureau plans to soon issue a rule that could clarify regulations governing in-transit shipments that travel through the U.S. from foreign countries before being exported to another foreign destination.

The notice of proposed rulemaking, which Census aims to issue this month, will clarify who is the U.S. Principal Party in Interest when goods are entered into U.S. commerce, stored in a warehouse, storage facility or foreign trade zone, and then exported. The rule could also clarify that when a customs broker is the USPPI and they’re asked to provide information from the customs entry for the filing of Electronic Export Information, “that they obtain consent from their client,” Census said.

Other proposed changes under the rule could revise definitions, mandatory filing requirements, responsibilities of parties to the export transaction, confidentiality, penalty provisions, and voluntary self-disclosures to “ensure clarity, accuracy, and consistency throughout” the Foreign Trade Regulations.

Census plans to issue the rule this month and hopes to finalize it in December.

The agency previewed the rule as part of its spring 2024 regulatory agenda, which also continued to mention its long-awaited routed export rule (see 2403270056). The rule, which has faced years of delays, is expected to include major changes to the process around assigning filing responsibilities to forwarders and to address information sharing among parties in routed export transactions (see 2312150006 and 2006020049). Census said it hopes to issue a notice of proposed rulemaking in August.