Data Seizure from Abroad, is your data protected?

The New York Times recently reported on laptop and data seizures by US Customs and Homeland Security in the name of protecting the security and borders of the United States of America. In the article the Times called for this agency to stop the seizures for Americans returning from international travel abroad. “There have been widespread reports of the government searching — and often seizing — laptops, BlackBerrys, iPhones and other portable electronic devices at airports. It is not clear how often these searches occur, and the government will not say.

The Association of Corporate Travel Executives says that of 100 people who responded to a survey it conducted this year, 7 said they had had a laptop or other electronic device seized.” –New York Times What does this mean to you? Often times the information that this agency is seeking may require them to sort and review through confidential business contracts, contacts and other sensitive documents.

Traveling abroad for business could inevitably cause you to have to release information relative to intellectual property and business transactions at the border. There are reports that US Customs may retain your laptop and data or even erase it as indicated in a similar article from the Washington Post.

What are your options?

I firmly believe and understand that there are necessary measures to ensure the security of the United States and its citizens. Any advice provided here is not to subvert these measures, but instead is provided to change the methods in which you utilize technology to secure your sensitive information.

•Remotely store your information online – services like xdrive.com and Google Docs can provide a means in which to store and save sensitive data. GoToMyPC.com allows you to remotely control (like Remote Desktop) your home computer.

•VPN – Many corporations have invested in virtual private networks that allow you to access the company’s local network from abroad. Storing your data at your company’s network may be the most secure place.

•Biometric authentication – Many laptops today include fingerprint scanners that allow you to access key applications on your computer. While this won’t prevent Customs from accessing your data, minimally, it will allow you to be present when the data is being accessed.

•Install a Linux partition – Windows XP by default does not display partitions created by the Linux operating system. Creating a dual boot laptop with Windows and Linux could allow you to simply keep those without advanced technical knowledge away from your files. While this is not preventing anyone from accessing the data, it does keep the non-technical savvy people away without looking suspicious. Dual boot computers are very common today with the advancement and ease of use of the Linux operating system.

•Delete History and Cookies – deleting your cookies, clearing cache and history are some basic ways to keep others from seeing where you visit on the internet.

While there are encryption methods available to secure your data from prying eyes, this is not a recommended method. Those that secure information with software like PGP (Pretty Good Privacy) may be identified as an individual trying to hide something. Additionally, there are reports that US Customs has asked that travelers provide passwords to access their electronic devices.

July 22, 2008 | Filed Under Customs | Leave a Comment

Wood Pallets, Crates, or Boxes? Avoid Unexpected Costs at the Border!

On September 16, 2005, the U.S. Customs and Border Protection (CBP) implemented a plan to enforce the United States Department of Agriculture’s (USDA) Animal and Plant Health Inspection Service (APHIS) import regulation for wood packaging material (WPM). The rule requires WPM, such as pallets, crates, and boxes, used in international trade to support or brace cargo, to be treated to prevent the introduction of harmful insects to U.S. agriculture and to natural, cultivated, and urban forests resources.

The IPPC standard calls for most WPM to be either heat treated or fumigated with methyl bromide in accordance with the guidelines and marked with an approved international mark certifying that treatment. To certify treatment, the WPM must be marked with the approved International Plant Protection Convention (IPPC) logo. Unmarked WPM will be considered untreated and non-compliant.

IPPC logo

Immediate export of all shipments containing violative WPM will be ordered if the Port Director determines that it is not feasible to separate merchandise from the violative WPM. The U.S. regulation for WPM does not allow for treatment at the ports. It does not allow for any alternative
disposal methods. It only allows for the immediate export of the non-compliant WPM.

More information from the US Customs and Border Patrol on wood packaging material regulation, exemptions, and enforcement, may be found here and below.

Importation of Wood Packaging Materials Published in the Federal Register on September 16, 2004

Guidelines for Liquidated Damages and Penalties on Wood Packing Material (WPM)

Other Useful Resources

Frequently Asked Questions (FAQ’s)

For any questions or concerns regarding the requirements for WPM, please visit the APHIS Web site below or call APHIS’ toll-free number at (866) 738-8197. International callers who may not have access to the toll-free number may call (301) 734-5346.

USDA’s Animal and Plant Health Inspection Service’s information on import wood packaging materials: http://www.aphis.usda.gov/import_export/plants/plant_imports/wood_packaging_materials.shtml

What does all this mean to me?

It means that if you are using wood packaging material be aware of the possibility that the USDA may do an exam on your container. The exam is to check the “wood packing material” (crates) for the “chop” or “mark” of the company that fumigated the WPM. Even though the crates were fumigated, the marking with country origin, etc. on the crates is what they will look for.

Total for a USDA PPQ (Plant & Quaratine) Exam will run you in the neighborhood of $400. Ensure that your manufacturer is aware and follows the WPM regulations. Failure to abide by these rules can result in great expense once the container arrives in a US port. All expenses incurred for the services of CBP Officers and Agriculture Specialists involved in the separation of cargo will be billed to the importer or other party of interest. WPM and associated merchandise will be exported at the expense of the importer or other party of interest. Ship SAFE, Ship SMART.

Dylan Blankenship signature
dylan@sourcejuice.com // Dylan Blankenship

January 11, 2008 | Filed Under Customs | 5 Comments

The Nitty-Gritty of United States Import Duty Rates

Customs Logo

United States Customs and Border Patrol has a duty rate for importing virtually any item on the planet. There are however, a number of things you might want to consider before calculating your landed cost based upon a particular rate. Here is your intro guide to deciphering tariff schedules, rulings and trade agreements. The Harmonized Tariff System (HTS) is a reference manual roughly the size of an unabridged dictionary containing duty rates for virtually any item in existence. Just as a dictionary has an order for organizing words (and their definitions) so does the HTS. Goods are arranged in categories or numbered chapters with similarly typed items. For instance, Chapter 89 is where duty rates for ships, boats and other marine or floating structures can be found.

Classification experts spend years learning how to properly classify import items. This schedule of rates will enable you to get an approximate/general rate for a particular product. An important fact to remember is that the United States Customs and Border patrol make the final determination on the correct rate of a particular good and not the importer. I would recommend contacting a customs brokerage house when in doubt. It is important to begin working with a customs broker in the early stages of your import venture. Aside from utilizing them to strictly clear your goods through customs, many times they can arrange logistics and be an essential resource for many aspects of the import process. I have worked with Encore Forwarding (Jacksonville, FL) for a number of years and can say nothing but great things. http://www.encfor.com/

To review the Harmonized Tariff Schedule by Chapter please visit the United States International Trade Commission at: http://www.usitc.gov/tata/hts/bychapter/index.htm

The U.S. International Trade Commission also has an interactive and searchable database that can help in determining rates of your goods at: http://dataweb.usitc.gov

Ruling Letters / Binding Rulings are requested as a means to confirm a particular items duty. Additionally the importer may need additional information regarding a particular transaction, definitive interpretation of applicable law or any other additional information. Requests for tariff classifications can be made in the form of a detailed letter to any service port office or:

Director, National Commodity Specialist Division
U.S. Customs and Border Protection
Attn: CIE/Ruling Request
One Penn Plaza-10 Floor
New York, NY 10119

Alternatively, information on electronic ruling requests can be found here: http://www.cbp.gov/xp/cgov/toolbox/legal/Rulings/eRulingRequirements.xml

Customs Rulings Online Search System (CROSS) It is possible that in-fact you may not be the first person to inquire for or about a particular ruling/situation. You should search and review the Customs and Border Patrol website’s CROSS database for information on past rulings: http://rulings.cbp.gov

Reduced Duty Rates by Country Consider that not all countries are treated equally and are sometimes covered under international trade agreements. To obtain a current list of countries that are eligible for reduced duty rates or duty-free treatment under an international trade agreement (such as NAFTA, GSP or CBI), please visit the International Trade Commissions website at : http://www.usitc.gov/tata/hts/bychapter/0702gntoc.htm

Be aware, not all goods manufactured, produced and exported from an eligible country or international trade agreement are eligible for reduced or duty-free treatment.

Dylan Blankenship signature
dylan@sourcejuice.com