If You’re Experiencing Tariff Fatigue, You’re Not Alone. Here’s Where to Focus Your Time for Maximum Impact
That’s right, I’m not going to talk to you about tariffs or what commodities or countries are next to face scrutiny. Instead, I want to share a tangible way you can prepare your compliance program for the coming weeks and into the future.
I’m talking about your Item Master, also called a Product Database. One of the most impactful actions you can take, is to structure your Customs entries by Item/Part number on your 7501. Your broker may tell you that this will cost you more money in entry processing. If they do, I want you to ask them how you can provide the data in a structure that can be uploaded to their system or transmitted directly to mitigate errors and additional work by their entry writers. There are some phenomenal Customs brokers who are utilizing cutting edge technology to optimize entry efficiency and compliance. The technology exists, and you as an Importer should be benefiting from it.
Setting up your entry filing with Customs so that it matches 1:1 with your ERP (e.g., PO, Order, Commercial Invoice, Receiving Records, Payment to Vendor etc.) is a game changer, and here’s why:
As regulatory changes are rolled out, your system of record will match what Customs has, taking the guesswork out of identifying impacts in downstream reporting
This method of entry mitigates additional products being held by Customs. Since each individual invoice line has its own record on the entry (instead of many products rolled up under 1 entry line by country of origin and HTS), Customs can hold the line it wants to review and release the remaining lines.
Entry auditing can be automated when you are able to match by item/part, cutting review time by 50% as you’ll have the ability to programmatically match your Commercial Invoice to your ACE data allowing you to focus on the anomalies.
The Wild Card - Vendor Management
In order to successfully deploy item/part level entries with your broker, you’ll need to do an audit of your vendor’s commercial invoice data. Whether you work from electronic documents or via EDI, the part level data that your broker requires for matching your shipments to your parts database is critical. Including T&C that outline specific invoicing requirements on your PO to your vendor and including it as a condition of payment helps tighten up any loose ends. Working closely with your Customs broker to determine the various options they have for receiving and working with your entry data helps you adapt this process to meet the needs of each of your vendors and ensures successful transition to item/part level entries.
Conclusion:
If you’re thinking, “Michelle, this stuff is easier said than done”, I’ll challenge you to think of it as: You’ll miss 100% of the opportunities that you don’t ask for. Filing your Customs entries by item/part is the most streamlined way of connecting historically disparate entry data.
Process optimization is key to driving efficiency and reducing operational costs in global trade and compliance. By evaluating and streamlining workflows, businesses can eliminate redundancies, enhance accuracy, and improve the overall speed of trade operations. Optimized processes not only ensure compliance with regulatory requirements but also enable organizations to respond quickly to changes in the global landscape, from new tariffs to evolving export controls. Through automation, data integration, and continuous improvement strategies, companies can achieve greater operational transparency, reduce manual intervention, and increase scalability. Evolution Trade Solutions LLC. helps companies maximize their resources while creating a more agile and resilient supply chain.
