26 06 2017

Switzerland Consults On Customs Cooperation With US

The Swiss Federal Council has launched a consultation on a proposed administrative assistance agreement with the US that would promote greater customs cooperation.

The agreement provides for bilateral cooperation and the exchange of information to prevent, detect, and investigate customs violations. It sets out the procedures for submitting and executing administrative assistance requests, and contains provisions on confidentiality and the proper use of information.

According to the Federal Council, the US is also willing to negotiate an agreement on the mutual recognition of customs security measures with Switzerland. However, this is conditional on the implementation of an administrative assistance agreement.

The Council said that, although there has previously been reluctance in Switzerland to the prospect of an administrative assistance agreement, a deal is in the interests of the Swiss economy, not least because it will allow negotiations to commence on the mutual recognition of customs security measures.

The Council explained that under the current rules there can be significant disadvantages and delays when importing goods into the US if the goods in question do not come from a supply chain that is recognized as secure.

The US has introduced a Customs-Trade Partnership Against Terrorism (C-TPAT) program to ensure supply chain security. Switzerland and the EU have established Authorised Economic Operator (AEO) status for the same purpose. AEO status is granted to persons considered reliable when it comes to maintaining international supply chain security.

The Federal Council said that with the deal providing mutual recognition of customs security measures (AEO/C-TPAT), Swiss AEOs could benefit from simplified customs clearance when goods are imported into the US.