William Delansky Cargo Control & Release, ACE Business Office Automated Commercial Environment (ACE) Export Processing In ACE CESAC/MMM SESSION William Delansky Cargo Control & Release, ACE Business Office March 18, 2014

ACE Progress 31% faster truck processing with ACE More than 255,000 ACE Cargo Release/ Simplified Entries filed More than 26% of entry summaries filed and 69% of duties and fees collected in ACE Reduced courier/printing costs saving each participant ~$900K/year 8 PGAs receiving data via ACE

Mandatory Dates for Transition to ACE May 1, 2015: Mandatory use of ACE for Manifest - All electronic export and import manifest data must be transmitted via ACE November 1, 2015: Mandatory use of ACE for Cargo Release and related Entry Summary filings - All data associated with the release of cargo, including PGA interactions, and the associated Entry Summaries, must be transmitted via ACE October 1, 2016: Mandatory use of ACE for all remaining portions of the CBP cargo process

Deployment C Overview (Scheduled for release April 5, 2014) Capabilities Cargo Release Certified From Summary Integration of Truck shipments (basic processing) Expansion of Ocean and Rail shipments to include advanced processing Entry Summary Entry Summary Validations – Complex Duty Calculations and Merchandise Processing Fee Exports Re-engineered Automated Export System, including regulatory changes for Bureau of Industry and Security and Census

Key Dates - Exports October - March 2014 January 15, 2014 AES legacy and ACE/AES dual processing incoming Trade filings January 15, 2014 CERT environment ready for trade testing March 22, 2014 Export commodity functionality is operationally deployed in ACE/AES for CBP and PGAs (No Trade Impact) Includes all current AES legacy functionality including Option 4 Post Departure Filing AES legacy turned off April 5, 2014 Census regulation changes integrated in new ACE/AES Advance Export Information (AEI) functionality available but not turned on pending Census/OFO FRN and pilot start date CBP is planning to establish ACE as the single processing platform for all export manifest and commodity transactions. This is in keeping with the President‘s National Export Initiative (NEI) and the Export Control Reform Initiative. Current plans call for the development of an automated export manifest system for all modes. This will involve coordination with the Bureau of the Census and other PGAs involved in export licensing and commodity transactions. Ocean outgoing manifest via DIS 5

AES Reengineering Implement a single window in the reengineered AES that allows the CBP user to view all commodity, enforcement, licensing and findings data from a single application. Leverage ACE functionality development on imports to provide a means in exports for additional services for CBP, PGAs and the trade community.

AES Enhancements - Census Bureau of the Census: The reengineered AES will include the following enhancements for Census Bureau regulatory changes: Post-departure filing times changed from Ten (10) to Five (5) calendar days from the date of exportation Added Ultimate Consignee Type and Added License Value Foreign Trade Zone Identifier increased from Five to Seven alpha-numeric characters

CBP/OFO Advance Export Information (AEI) January 31, 2014 – CBP/OFO published a Federal Register Notice announcing an AEI pilot that sets forth the eligibility requirements and details of the pilot. AEI will require the filing of 10-12 data elements pre-departure with the remaining data elements to be filed 5 days after departure/export. AEI functionality will be available in the new ACE/AES platform. However the AEI functionality will not be turned on in the new ACE/AES platform until Census and CBP evaluate the results of the pilot and approve the deployment of AEI in ACE/AES. The existing AES post-departure filing option (Option 4) will be available in the new ACE/AES platform. (for all existing & approved Option 4 filers)

AES Enhancements - BIS Bureau of Industry and Security Development of license decrementation capability within the reengineered AES platform. Provide a placeholder for the potential expansion of the Export Control Classification Number (ECCN) in support of possible future regulatory changes. Development of better validations and edits on license data to enhance processing of filings and notifications.

Export Manifest Export Manifest Foundation Builds Air Export Manifest (initial EDI capabilities) Ocean Manifest Rail Manifest Export Manifest Baseline Development: The AES development team is working closely with the Air, Rail, Ocean and Truck groups to identify electronic export manifest filing functionality for all modes CBP is planning to establish ACE as the single processing platform for all export manifest and commodity transactions. This is in keeping with the President‘s National Export Initiative (NEI) and the Export Control Reform Initiative. Current plans call for the development of an automated export manifest system for all modes. This will involve coordination with the Bureau of the Census and other PGAs involved in export licensing and commodity transactions. Ocean outgoing manifest via DIS 10

Export Manifest IGs ACE - Automated Commercial Environment Technical Information These files provide the technical requirements for interfacing with ACE, including ABI-CATAIR, AIR-CAMIR, Sea and Rail-CAMIR and ANSI X12, and Truck e-Manifest-ANSI X12 and UNIEDIFACT. ACE Automated Broker Interface and CBP and Trade Interface Requirements (CATAIR) ACE Export Manifest Implementation Guides ACE Import Ocean Manifest Implementation Guides ACE Import Electronic Truck Manifest Implementation Guides ACE Import Rail X12 Implementation Guide CBP is planning to establish ACE as the single processing platform for all export manifest and commodity transactions. This is in keeping with the President‘s National Export Initiative (NEI) and the Export Control Reform Initiative. Current plans call for the development of an automated export manifest system for all modes. This will involve coordination with the Bureau of the Census and other PGAs involved in export licensing and commodity transactions. Ocean outgoing manifest via DIS http://www.cbp.gov/trade/ace 11