WHAT CHANGE DID THE U.S. CENSUS BUREAU MAKE TO THE FOREIGN TRADE REGULATIONS?
The U.S. Census Bureau (USCB) recently issued a final rule, effective September 15, 2025, amending the Foreign Trade Regulations (FTR) to clarify U.S. Principal Party in Interest (USPPI) responsibilities for certain in-transit shipments. The revisions address goods entered into the United States for consumption or warehousing that are later stored in a warehouse, admitted into a Foreign Trade Zone (FTZ), or entered into a bonded warehouse before export to a foreign destination.
WHO CAN BE DESIGNATED AS THE USPPI FOR IN-TRANSIT EXPORTS?
Under the new rule, customs brokers, warehouse and storage facility operators, FTZ operators, and bonded warehouse operators may be designated as the USPPI in these scenarios. The USPPI is responsible for filing Electronic Export Information (EEI) in the Automated Export System (AES) based on information they possess or receive from other parties to the transaction. When customs brokers serve as the USPPI and use import entry data to file, they must have consent from the importer of record before disclosing confidential information to third parties.
HOW DOES THE RULE ADDRESS RELIANCE ON OTHER PARTIES?
In response to public comments, the USCB added language acknowledging that USPPIs in these scenarios may reasonably rely on information from other parties who have direct knowledge of the goods to ensure compliance with export control requirements. The agency also clarified that in-transit shipments moving through the United States without entering for consumption or warehousing remain excluded from EEI filing.
WHAT OTHER CHANGES WERE MADE TO THE FTR?
The final rule revises multiple definitions, including “ultimate consignee” and “intermediate consignee,” and updates confidentiality provisions, penalty guidelines, and voluntary self-disclosure procedures. It also confirms plans to implement a future rule requiring the collection of country-of-origin data for certain exports in place of entry number reporting.
READ THE FULL FINAL RULING HERE: FOREIGN TRADE REGULATIONS (FTR): CLARIFICATION OF FILING REQUIREMENTS REGARDING IN-TRANSIT SHIPMENTS AND OTHER FTR PROVISIONS
WHAT SHOULD U.S. RE-EXPORTERS DO NEXT?
Entities that handle in-transit shipments should review operational processes to ensure readiness to act as the USPPI when designated. This includes aligning documentation, verifying communication protocols with other parties in the transaction, and preparing to meet EEI filing requirements in the Automated Export System (AES) once the changes take effect. Partnering with your trusted customs broker will help ensure full compliance and ease the transition to this new format.
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