April 23, 2024

Tullio Corradini

Trusted Legal Source

The Beginning of the End of the MID

The Beginning of the End of the MID

The Global Business Identifier Evaluative Proof of Concept (GBI EPoC) is officially out and open for participation by entry filers (i.e., importers of record and licensed customs brokers who file type 1 & 11 entries) and it has very specific parameters. I was very excited to see that CBP was looking to end MID’s and get the data elsewhere – now we know more about the who and the why. I consider this the beginning of the end of MID’s with an extra layer of snooping for targeting data. Below identified the who, what, and when.

To participate you have to: 

  1. Get GBIs (D–U–N–S®, GLN, and LEI), or be in the process of obtaining them, from the manufacturers, shippers, and sellers
  2. Only certain commodities, specifically alcohol, toys, seafood, personal items and medical devices.
  3. Import from the following countries of origin with either a high risk of non compliance or an FTA in place:
    • Australia
    • Canada
    • China
    • France
    • Italy
    • Mexico
    • New Zealand
    • Singapore
    • United Kingdom
    • Vietnam.
  4. Import using either type 01 and type 11 entries of certain commodities, specifically alcohol, toys, seafood, personal items and medical devices. Accordingly, CBP has limited the test to entries of merchandise classifiable in the following specific subheadings of chapters 3, 16, 22, 30, 33, 63, 90, and 95 of the Harmonized Tariff Schedule of the United States (HTSUS):

    Chapter 3: 0306.16.0003; 0306.16.0006; 0306.16.0012; 0306.16.0018; 0306.16.0024; 0306.16.0040; 0306.17.0005; 0306.17.0008; 0306.17.0011; 0306.17.0014; 0306.17.0017; 0306.17.0020; 0306.17.0023; 0306.17.0026; 0306.17.0029; 0306.17.0042; 0306.35.0040; 0306.36.0040; 0306.95.0040.

    0306.16.0009; 0306.16.0015; 0306.16.0021; 0306.16.0027; 0306.17.0004; 0306.17.0007; 0306.17.0010; 0306.17.0013; 0306.17.0016; 0306.17.0019; 0306.17.0022; 0306.17.0025; 0306.17.0028; 0306.17.0041; 0306.35.0020; 0306.36.0020; 0306.95.0020;

    Chapter 16: 1605.21.0500; 1605.21.1020; 1605.21.1030; 1605.21.1050; 1605.29.0500; 1605.29.1010; and 1605.29.1040.

    Chapter 22: 2203.00.0030; 2203.00.0060; 2204.10.0030; 2204.10.0075; 2204.21.5015; 2204.21.5025; 2204.21.5035; 2204.21.5050; 2204.21.5060; 2204.21.8060; 2208.30.3060; 2208.60.2000. 2203.00.0090; 2204.10.0065; 2204.21.5005; 2204.21.5025; 2204.21.5028; 2204.21.5040; 2204.21.5055; 2204.21.8030; 2208.30.3030; 2208.40.4000;

    Chapter 30: 3005.90.5010; 3005.90.5090.

    Chapter 33: 3304.99.5000. Chapter 63: 6307.90.6800. Chapter 90: 9018.39.0020;

    9018.39.0040; 9018.39.0050; and 9018.90.8000.

    Chapter 95: 9503.00.0011; 9503.00.0013; 9503.00.0071; 9503.00.0073; and 9503.00.0090.

Here’s the juicy part – as part of this test – CBP will get and examine:

  1. entity identifier numbers,
  2. official business titles
  3. names
  4. addresses
  5. financial data
  6. trade names
  7. payment history
  8. economic status; and
  9. executive names.

When does this start?

The test will commence on December 19, 2022, and will run until July 21, 2023, subject to any extensions, modifications or early termination as announced by way of a notice to be published in the Federal Register.

Misconduct under the test may include, but is not limited to, submitting false GBIs with an entry filing. Currently, CBP does not plan to assess penalties against GBI EPoC participants that fail to timely and accurately submit GBIs during the test. CBP also does not anticipate shipment delays due to the failure to file or the erroneous filing of GBIs.

Could You Get Kicked Out?

After an initial six-month period (or at such earlier time as CBP deems appropriate), a test participant may be subject to discontinuance from participation in this test for any of the following repeated actions:

• Failure to follow the terms and conditions of this test;

• Failure to exercise due diligence in the execution of participant obligations;

• Failure to abide by applicable laws and regulations that have not been waived; or

• Failure to deposit duties or fees in a timely manner.

Want to Know Who Participates?

Participation in this or any of the previous ACE tests is not confidential and, therefore, upon receipt of a written Freedom of Information Act request, the name(s) of an approved participant(s) will be disclosed by CBP in accordance with 5 U.S.C. 552.

Want to Comment?

If you have comments CBP is ready to hear them. CBP will evaluate whether the test:

  1. improves foreign entity data for trade facilitation, risk management, and statistical integrity;
  2. ensures U.S. Government access to foreign entity data;
  3. institutionalizes a global, managed identification system;
  4. implements a cost-effective solution;
  5. obtains stakeholder buy-in; and
  6. facilitates legal compliance across the U.S. Government.

Happy to work with you on submitting comments, contact me at [email protected].