October 6, 2025 | Page 32

Global Logistics Focus
Special Report
AI tools can help shippers automate tasks like entry filing and classification. Morsa Images / Getty Images
expertise, real-time awareness of regulatory changes, and the infrastructure to respond if something goes wrong, like a hold, audit or penalty.”
Most companies simply don’ t have the appetite for that, he said, especially when the cost of a misclassification or missed regulation can far outweigh the savings of skipping a broker.
However, Justin Sherlock, CEO of customs software startup Caspian, said there is an increasing appetite for self-filing.
“ Technology is not making customs brokers redundant, it’ s making them resilient.”
“ Hiring in-house trade compliance experts has grown rapidly with recent trade policy, and so I expect demand for self-filing technology to grow as well,” he said.“ Customs brokers will always have a strong footing in [ the small and medium-sized business market ], where teams depend on them for outsourced expertise. But among enterprises, brokers will be compared against a deeper bench of in-house capabilities.”
Allen agreed, saying that while most importers are going to rely even more on brokers given the speed of regulatory changes has quickened,“ those that do invest in self-filing are usually larger companies that have done a cost-benefit analysis.”
More transformational will be how AI is deployed, Sherlock said.
“ AI tools are raising the bar for what is expected of knowledge workers,” he said.“ Customs brokers are increasingly expected to act as trade advisors. Accurate entry filing is becoming table stakes, despite it also being harder now than ever before. Executive teams are asking for integrated data, documents and insights to manage near-daily changes to trade policy, so digitally native brokers that can provide this access will win.”
‘ Human involvement’
Allen described the AI mandate on brokers as being similar in significance to when they had to first adjust to automation during the rollout of the Automated Commercial System( ACS) nearly four decades ago.
Indeed, even as surging demand and technology advancements herald a new era of shipper-broker-CBP interaction, brokers remain confident they have an edge that will remain.
“ The intricacies of international trade regulations, evolving tariff mandates, and sudden executive orders lead to potential disputes regarding the legal information presented, often necessitating human involvement,” said JD Gonzalez, president of the National Customs Brokers and Forwarders Association of America( NCBFAA).“ While technology can streamline certain processes, it is unlikely to fully replace the need for experienced customs brokers.”
Where brokers invest is likely to be the determinant of their ability to adapt. Allen noted that brokers“ who resisted the automation of ACS are no longer in operation.” Basu said the priorities should be on software that helps automate what slows a broker down, generally processes such as entry generation or classification. But they should also invest in things that build client trust, he said.
“ They’ re leaning into advisory roles by helping importers interpret policy changes, model duty impact and prepare for audits,” Basu said.“ This is how long-term loyalty is built.”
email: eric. johnson @ spglobal. com
32 Journal of Commerce | October 6, 2025 www. joc. com