U.S. CENSUS PREPARES FOR FINAL RELEASE OF NEW EXPORTER DEFINITION

U.S. CENSUS PREPARES FOR FINAL RELEASE OF NEW EXPORTER DEFINITION    The U.S. Commerce Department’s Census Bureau and Export Administration plan to publish their new definitions of exporter in the Federal Register by the end of the month.
   Census and the Export Administration have spent the past three years drafting their new definitions. The agencies have consulted with the exporter and freight forwarding industry through numerous seminars and information releases during that time.
   With the new definition, Census will be able to compile more accurate trade statistics, while the Export Administration will use it for its enforcement activities.
   “We have replaced the word ‘exporter’ with ‘U.S. principal party of interest,'” said Jerome M. Greenwell, chief of regulations, outreach and education for Census’ Foreign Trade Division in Suitland, Md.
   The U.S. principal party in interest can be the U.S. seller, manufacturer, order party, and foreign person or entity when items are purchased or obtained in the United States for export. This information must be listed in Box 1A of the shipper’s export declaration (SED).
   Greenwell said that non-vessel-operating common carriers will be impacted by the new definition because they will be no longer able to present themselves as exporter, forwarder or consignee on SEDs. “That activity will go the way of the dinosaur,” he said.
   Another significant change in Census’ exporter definition is the requirement for the U.S. principal party in interest to report value information in routed export transactions.
   Importers must provide Census with information to enable the agency to verify import data. “This is rider, a requirement that we thought we needed,” Greenwell said.
   Other amendments include provisions on electronic transmissions and intangible transfers of software and technology, and provisions for mail shipments and certain related SED exemptions.