Global Supply Chain Flashcards
10+2 Rule
Officially, the importer Security filing and additional carrier requirement rule, but better known as the 10+2 rile. A proposed new U.S. Customs and border protection (CBP) rule that requires importers of ocean cargo, or their authorized agents, to supply (CBP) with an “Importer Security Filing” of 10 additional data elements, therefore, the 10 +2 rule
3PL
3rd party logistics. The integration and management of all logistics services of a complex supply chain. Also, to be the sole point of contact between a customer and its array of logistics and information service providers. This includes storage, transshipment and other value-added services as well as the services of subcontractors. These are typically complex service chain.
Actual total loss
A marine insurance term; a shop is usually considered an actual total loss for insurance purposes when it has been listed as missing.
Ad valorem rate
An import duty rate determine “according to the value” (ad valorem) of the commodity entering a country, as opposed to the weight or other basis for calculation. An ad valorem tariff is a tariff calculated as a percentage of the value of the goods when clearing customs.
AES
Automated export system, replaced the Shipper’s export declaration
Air Waybill
A bill of lading covering both the domestic and international portions of flights to transport goods to a specific destination. The air waybill serves as a non-negotiable receipt for the shipper.
All-risk clause
An insurance clause providing that all loss or damage to goods is insured except that caused by the shipper.
Alongside
This refers to the side of a ship, i.e., goods are to be located on the dock or barge within reach of the transport ship’s tackle in order to be loaded aboard the ship.
ATA carnets
Customs documents permitting the holder to carry or send merchandise.
Bill of Lading
A document establishing the terms of a contract between a shipper and a transportation company for freight to be moved between specified points for a specified charge. Usually prepared by the shipper on forms issued by the carrier, it serves as a document of title, a contract and a receipt for goods.
Binder
Temporary insurance coverage pending the insurance of an insurance policy or certificate.
Bonded warehouse
A warehouse authorized by customs authorities for storage of goods where payment of duties on the goods is deferred until they are removed from the warehouse.
Booking
An arrangement with a steamship company for the acceptance and carriage of freight.
Break bulk cargo
Conventional, uncontainerized cargo that is shipped in units of one (such as uncontainerized machinery or trucks) or shipped in units or packages (such as palletized or boxed cargo).
Bulk Cargo
Homogenous cargo that is stowed loose in the hold of a shop and is not enclosed in a shipping container or box, bale bag, cask, or the like. Bulk cargo consists entirely of one commodity and is usually shipped without packaging. Specifically, bulk cargo is composed of either: 1) free flowing articles such as oil, grain, coal, ore which can be pumped or run through a chute or dumped. Or 2) uniform cargo that stows as solidly and requires mechanical handling for lading and discharging.
C.I.F. named port
Cost, insurance, freight. Same as C&F except seller also provides insurance up to the named destination.
Caribbean Basin Economic Recovery Act (CBERA)
CBERA affords nonreciprocal tariff preference by the United States to developing countries in the Caribbean Basin are to aid their economic development and to diversify and expand their production and exports.
Carnet
A customs document permitting the holder to carry or send merchandise temporarily into participating foreign countries (for display, demonstration, or similar purposed) without paying duties, value-added taxes or posting bonds. See also ATA Carnet
Certificate of inspection
A document often required in connection with shipments of perishable goods, in which certification is made as to the good condition of their merchandise immediately prior to shipment
Certificate of manufacture
Statement by a producer, who is usually also the seller, of merchandise that manufacture has been completed and that the goods are at the disposal of the buyer
Certificate of origin
A certified document detailing the origin of goods used in foreign commerce. Usually required to qualify for reduced tariffs or duties, specified in the terms of a trade agreement, such as NAFTA
Clean bill of lading
A document specifying that the goods were received in “apparent good order” by the carrier.
Column 1 rates
Column 1 duty rates in the HTS are low and apply to imports from countries that have achieved Most Favored Nation (MFN) trading status with the United States
Column 2 rates
duty rates in the HTS apply yo imports from countries that do not have (MFN) trading status with the U.S.
