On March 7-9, the joint inspection group by China and US Customs investigated two footwear making firms based in Sichuan province in line with C-TPAT security standards on foreign manufacturers. And both of the firms passed the inspection, which was the first time for Sichuan enterprises.
According to Chengdu Customs insiders, C-TPAT (Customs-Trade Partnership Against Terrorism) is a cargo security program jointly implemented by the US government and the US trade circle to secure legal trade and crack down on terrorism and smuggling by promoting the security of international supply chains and the US borders through cooperation. According to the contents of C-TPAT, the firms passing the program will enjoy lower inspection rates of their exports at US Customs, higher reputation and competitiveness as well as higher value-added orders in the American market.
According to exporters in other Customs Districts, after being qualified by C-TPAT, their clearance time-span has been shortened by 50% at USA Customs, cargo inspection rate reduced from 3% to 0.7%, and even to zero for 32% of them, with 70% of the firms enjoying 35% cut-down in US port and insurance charges.
Moreover, domestic firms should voluntarily apply for C-TPAT authentication to both China and US Customs, and both of the Customs authorities will jointly make approval or disapproval of the applicants. It can be seen from the authentication for the two footwear makers with products mainly exported to the US that Sichuan-based firms are enhancing their consciousness and ability to do foreign trade by international rules.
General Administration of Customs of the People's Republic of China
Address: No.6. Jianguomennei Avenue, Dongcheng District, Beijing, China Postcode: 100730