June 17, 2024 | Page 31

Government identified said CBP ’ s crackdown on Type 86 shipments is curious because Type 86 participants provide CBP with more data than other de minimis shipments . The source said he will not be surprised if other customs brokers get swept up in the Type 86 crackdown in the coming months .
“ Despite our extraordinary compliance rate , we were given ... no opportunity to address any potential or purported deficiencies .”
SEKO ’ s name surfaced when The Information reported May 29 that the forwarder had alerted customers of the suspension .
“ We are aware of the SEKO suspension from the contents of a letter they sent to some of the same shippers we work for ,” Rich Roche , SVP of customs broker Mohawk Global , told the Journal of Commerce May 30 .
In the letter , SEKO said it , “ along with a number of other customs brokers ,” received such a suspension and that they strongly disagree with the decision and intend to press for reinstatement as soon as possible . No other brokers affected by the suspension have been named publicly .
“ We are also aware of CBP recently stepping up enforcement regarding vague description and timeliness of Type 86 entries ,” Roche said .
The forwarder who asked not to be named said he believes the issue is related to misclassification of items being shipped and the resultant data discrepancies that arose from those misclassifications .
Meanwhile , the Journal of Commerce has learned that neither Temu nor Shein are SEKO customers into the US , adding further confusion as to why SEKO was targeted .
The volume of de minimis shipments has increased substantially since the COVID-19 pandemic , from 771.5 million in 2021 to 1 billion in 2023 and 701.5 million as of May 30 in 2024 , according to a CBP dashboard of such shipments . Of that volume , 67.3 % are being cleared via the Type 86 program , with 87.2 % moving by air and most of the remainder moving by truck .
email : eric . johnson @ spglobal . com www . joc . com June 17 , 2024 | Journal of Commerce 31