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The Census Bureau has amended the Foreign Trade Statistics Regulations (FSTR) (15 C.F.R. Part 30) to add provisions for filing Shipper's Export Declarations (SEDs) electronically using the Automated Export System (AES). Those amendments were published in the Federal Register on July 28, 1999 (64 Fed. Reg. 40974 (July 28, 1999)). The AES is an export information gathering and processing system developed through cooperative efforts between Customs, Census, and other federal agencies, including the Bureau of Industry and Security (BIS), and the exporting community. Application for certification and approval to file shipper's export data using the AES are made directly to the Census Bureau through a Letter of Intent (See 15 C.F.R. §30.60(b) in 64 Fed. Reg. 40974 (July 28, 1999)).
The AES provides four options for filing SEDs. Each option has specific requirements that must be met by the exporter. Option 4 authorizes an exporter to use the AES without submitting any required information prior to exportation. Participation in Option 4 requires the approval of the Census Bureau and the partnership agencies, including BIS. BIS will review favorably those applicants for Option 4 who have initially met the criteria for participation as determined by the Census Bureau subject to certain limits and requirements. The limits apply to the use of Option 4 for the export of all items subject to the Export Administration Regulations (EAR). The requirements are in addition to these limits and apply to the use of Option 4 for the export of all items that require a license from BIS. These limits and requirements are set forth below.
In addition to the criteria outlined in the FSTR, BIS will deny applications for the use of Option 4 for the export of items subject to the EAR in the following two circumstances:
1. If applicants are denied persons (i.e. persons listed on the Denied Persons List in Supplement No. 2 of Part 764 of the Export Administration Regulations (15 C.F.R. Part 764)); or
2. If exports will be to the countries designated by the Secretary of State as supporters of international terrorism under Section 6(j) of the Export Administration Act of 1979, as amended. These "T-7" countries currently are: Iran, Iraq, Libya, North Korea, Cuba, Sudan, and Syria.
In addition to the limits described above, BIS requires answers to the following questionnaire and a certification from each applicant seeking to use Option 4 filing privileges for the export of items requiring a license from BIS. The answers to the questionnaire below, with the certification below, should be put in writing and mailed to:
The Office of Enforcement Analysis
Bureau of Industry and Security
U.S. Department of Commerce, Room 4065
Washington, D.C. 20230
All of the following questions must be answered.
In the last five years:
A) Have you been charged with, convicted of, or penalized for, any violation of the EAR or an offense set out in Section 11(h) of the Export Administration Act (EAA)?
B) Have you been notified by any government official of competent authority that you are under investigation for any violation of the EAR or an offense set out in Section 11(h) of the EAA?
Any "yes" answer must be followed with a full explanation. Yes answers will not automatically prevent your participation in Option four. We will consider the facts of each case and any remedial action you have taken to determine whether your reliability is sufficient to participate in this program.
In addition to answers to the questionnaire set forth above, each applicant must submit the following certifications:
I (We) certify that I (we) have established adequate internal procedures and safeguards to assure compliance with the requirements set forth in the U.S. Department of Commerce Export Administration Regulations (EAR) and Foreign Trade Statistics Regulations (FTSR). Among other things, these procedures and safeguards assure:
(1) A proper determination as to whether a license is required for a particular export;
(2) Receipt of notification of approval of the export license, if required, before the export is made;
(3) Compliance with all the terms of the license, License Exception, or NLR provisions of the EAR as applicable;
(4) Return of licenses to BIS in accordance with Part 750.8(b) of the EAR, if requested;
(5) Compliance with the destination control statement provisions of Part 758.5 and 758.6 of the EAR;
(6) Compliance with the prohibition against export transactions that involve persons who have been denied U.S. export privileges; and
(7) Compliance with the record keeping requirements of Part 762 of the EAR and, in addition, I (we) agree that my (our) office records and the export control unit's physical space will be made available for inspection by the Bureau of the Census, BIS or the U.S. Customs Service, upon request.
The certifications above will be subject to verification by BIS representatives.
Under the AES, increased accuracy of trade information, the prohibition of illegal exports and effective enforcement of license requirements can be achieved while the flow of trade is facilitated. The AES will greatly increase the accuracy of trade statistics, which will allow for improvement in public and private sector decision making.
For additional information on the AES in general, please contact
C. Harvey Monk,
Chief Foreign Trade Division
U.S. Census Bureau
(301) 457-2255
fax (301) 457 -2645
For information about obtaining BIS approval to use AES Option 4 for items subject to the EAR, contact
Tom Andrukonis
Director, Office of Enforcement Analysis
Bureau of Industry and Security
(202) 482-4255
fax (202) 482-0971
e-Mail (Attention Tom Andrukonis)