Customs Issues Fine Guidelines for Non-Compliant Wood Packaging Material
By Chaille Brindley
Date Posted: 4/2/2007
The U.S. government is taking action to reduce the spread of invasive species associated with wood packaging material (WPM). The U.S. Customs and Border Protection (CBP) began in early March issuing damages and fees against importers, carriers or bonded custodian sending non-compliant WPM into the United States.
Companies shipping into the United States need to know that they face stiff fines if they do not comply. It appears that the unofficial grace period is over as the CBP gets tough.
The CBP has begun issuing claims for liquidated damages and/or penalties. Liquidated damages result from a breach of obligation under bond. When violations occur, liquidated damages and/or penalties will be assessed based on the value of the merchandise, which is considered the value of the WPM plus the value of the commodity or commodities identified for importation on the entry documentation. The liquidated damages claim may be issued at three times the entered value of the merchandise but not greater than the bond amount.
The regulations require all WPM entering or transiting through the United States to be properly marked to indicate that it has been either heat treated or treated with methyl bromide in accordance with ISPM-15. The mark must be a legible and permanent mark that has the IPPC logo, the two-letter country code, the producer code, and the appropriate abbreviation for the treatment method used.
The CBP requires immediate exportation of any non-compliant WPM. This includes WPM that is unmarked, inappropriately marked, or marked but found infested with a live quarantine pest. All costs associated with the handling of non-compliant WPM, including the cost of exportation, are the responsibility of the violator.
Beyond claims for liquidated damages, penalties may be assessed even though there is compliance all with all emergency action notices when the importer, carrier or bonded custodian attempts to conceal a violation of WPM or the party has continuous documented violations (more than 5) over one fiscal year period nationally.
For more information, visit the CBP Web site at http://www.cbp.gov/xp/cgov/import/commercial_enforcement/wpm/.
