C-TPAT and AEO will be Mutual Partner in Security
Companies that have joined C-TPAT in the United States or AEO in the European Union will receive reciprocal benefits from each country’s trusted trader program beginning in June 2012.
CBP Acting Commissioner David V. Aguilar and Director-General Heinz Zourek, European Union Taxation and Customs Union Directorate (TAXUD) signed a mutual recognition decision in May, which recognizes compatibility between the EU and the U.S. cargo security programs.
Mutual recognition among these programs allows certified companies to benefit from reduced Customs controls and priority treatment in additional countries, thus providing an expedited release of goods.
Companies may also wish to become certified in these programs for competitive reasons. CBP’s survey revealed that 91% of respondents said they received contracts that required C-TPAT membership.
The United States already has mutual recognition arrangements with New Zealand, Canada, Jordan, Japan and South Korea. AEO is already recognized in Japan, South Korea and Singapore.
Both the European Union and the United States expect mutual recognition to reduce costs and time delays, result in less red tape and provide greater ease and predictability in the movement of goods across EU and U.S. borders. CBP states there are more than 10,000 participants in C-TPAT and about 4,600 AEO participants.
If you want to learn more about C-TPAT and commerce security program, please review our post and documents in Security.