U.S. Customs and Border Protection (CBP) has issued a Notice of Proposed Rulemaking in accordance to the Trade Act of 2002 to enhance information collection requirements for outbound rail cargo. The proposed rule will require the electronic submission of export manifest data to U.S. CBP through ACE for all rail shipments departing the United States. This proposed rule is designed to address gaps in current regulations by mandating that an initial filing be submitted at least 24 hours before departure from the port of export, with any remaining data transmitted at least two hours prior to departure.
The proposed rule aims to mitigate security risks and enhance trade efficiency. Existing regulations do not adequately capture pre-departure data for rail cargo exports as they do for import cargo, leaving a gap in CBP’s ability to assess risks and ensure cargo security. There is currently no requirement for electronic submission of export data for rail cargo, which poses potential threats to cargo security. The new rule would standardize and expand data submission requirements, ensuring CBP has the necessary information to inspect and approve shipments efficiently.
By mandating electronic submission, CBP expects to eliminate paper manifests, free up storage space, improve risk assessment capabilities at the port level, and facilitate faster decision-making for cargo inspections. The proposed regulation would strengthen collaboration between CBP, the Department of Commerce, and other agencies while providing trade partners with a streamlined process for correcting and updating information electronically.
Under the proposed rule, eligible parties, including rail carriers, their agents, NVOCCs, USPPIs freight forwarders, ABI filers, customhouse brokers, or anyone with direct knowledge of the export manifest data will be responsible for submitting specific pre-departure export data using ACE. The party transmitting any EEM data must have a bond on file with CBP. Additionally, the transmitting party will be the responsible party for addressing any questions, issues, instructions or holds resulting from CBP’s review of that specific data. Therefore, CBP will require that any party transmitting EEM data to provide a telephone number and email address that is monitored 24/7 to quickly address any instructions, questions or holds that CBP issues.
Any rail cargo identified by CBP as requiring review will be held until the required additional information related to the shipment is submitted to clarify non-descriptive, inaccurate, or insufficient information, a physical inspection is performed, or some other appropriate action is taken, as specified by CBP. Once the cargo is cleared for loading, a release message will be generated and transmitted to the filer.
The rule also introduces the authority to impose liquidated damages on parties that do not provide the mandatory EEM data in the manner and time frame required, with fines ranging from $5,000 to $100,000 per departure violation.
The proposed rule classifies information into three categories: transportation data, cargo data, and empty container data. The data elements that are identified as mandatory must be submitted, while elements identified as conditional shall be submitted if available, and optional elements may be provided at the discretion of the filers. These elements allow for CBP to inspect cargo effectively, ensure compliance with U.S. export control laws and regulations and identify high-risk shipments for purposes of ensuring cargo safety and security.
All data elements are mandatory unless otherwise noted and are required to be submitted at the lowest bill level. The conditional elements are required to be transmitted only if applicable to the specific shipment or cargo. The required data elements for all shipments, including empty rail cars, are as follows:
(1) Mode of Transportation (containerized rail cargo or non-containerized rail cargo) (Optional)
(2) Port of Departure from the United States
(3) Date of Departure
(4) Manifest Number
(5) Train Number
(6) Rail Car Order
(7) Car Locator Message
(8) Hazmat Indicator (Yes/No)
(9) 6-character Hazmat Code (conditional) (If the hazmat indicator is yes, then UN (for United Nations Number) or NA (North American Number) and the corresponding 4-digit identification number assigned to the hazardous material must be provided.)
(10) Marks and Numbers –(Conditional)
(11) SCAC (Standard Carrier Alpha Code) for exporting carrier
(12) Shipper name and address (For empty rail cars, the shipper may be the railroad from whom the rail carrier received the empty rail car to transport.)
(13) Consignee name and address (For empty rail cars, the consignee may be the railroad to whom the rail carrier is transporting the empty rail car.)
(14) Place where the rail carrier takes possession of the cargo shipment or empty rail car (Optional)
(15) Port of Unlading
(16) Country of Ultimate Destination (Optional)
(17) Equipment Type Code -Optional
(18) Container Number(s) (for containerized shipments) or Rail Car Number(s) (for all other shipments)
(19) Empty Indicator (Yes/No)
If the empty indicator is no, then the following data elements must also be provided, as applicable:
(20) Bill of Lading Numbers (Master and House)
(21) Bill of Lading Type (Master, House, Simple or Sub)
(22) Number of House Bills of Lading (Optional)
(23) Notify Party name and address (Conditional)
(24) AES Internal Transaction Number or AES Exemption Statement (per shipment)
(25) Cargo Description
(26) Weight of Cargo (may be expressed in either pounds or kilograms
(27) Quantity of Cargo and Unit of Measure
(28) Seal Number
(29) Split Shipment Indicator (Yes/No)
(30) Portion of split shipment ( e.g., 1 of 10, 4 of 10, 5 of 10—Final, etc.) (Optional)
(31) In-bond Number (Conditional)
(32) Mexican Pedimento Number (only for shipments for export to Mexico) (Optional)
The public has until March 14, 2025 to comment on this proposed rule.
Please refer to the below link to the Federal Register publication: https://www.federalregister.gov/documents/2025/01/13/2024-31331/automated-commercial-environment-ace-electronic-export-manifest-for-rail-cargo
For any questions, please reach out to [email protected]