On March 14, 2014, Japan will join the global effort to
make things more difficult for exporters secure supply chains against international terrorism with the implementation of it’s own “24-hour rule.”
First implemented by the U.S. in 2002, the 24-hour advance manifest rule requires all inbound cargo carriers to submit complete manifests a full 24 hours before leaving their ports of departure. The rule has since been widely adopted by countries all over the world.
Under Japan’s 24-Hour Rule (JP24), notice of all containerized freight bound for Japan must be transmitted at least 24 hours before cargo is loaded onto vessels to the Nippon Automated Cargo and Port Consolidated System (NACCS), the Japanese government agency responsible for the country’s import/export and customs clearance services.
What Information Must be Included?
Information to be filed with Japanese authorities include:
- type of cargo;
- names of trading parties;
- schedule; and
- identification of the vessel and container.
The regulation applies to all containerized cargo intended for delivery into a Japan port. Empty containers, break bulk cargo, and Foreign Remaining on Board (FROB) cargo are all exempt from this rule.
Shippers that fail to comply with JP24 will face tough penalties, including a fine of approximately $5,000 that must be sent before cargo reaches Japanese ports. Other penalties for noncompliance may include up to one year of jail time with hard labor.
Practice Tip: Because the 24-hour deadline applies to the vessel sailing date rather than the intermodal cargo departure date, exporters shipping directly from ports will have less time to prepare the manifest than those shipping from inland points. Thus, it’s critical for portside exporters to factor in additional time for submitting the advance manifest to the NACCS.
While exporters have several months to implement internal procedures to ensure compliance with JP24, it’s best to get started as soon as possible. With the holiday season getting underway, March 10, 2014 is a lot closer than you might think.
The post Japan’s New 24-Hour Advance Manifest Rule Takes Effect on March 10, 2014. appeared first on International Business Law Advisor.