EU announces new import control system.

VTC News•09/01/2024

The Import Control System 2 (ICS2) – the European Union's new pre-arrival customs safety and security system – will introduce new procedures for importing goods by sea and inland waterways, road and rail into the EU from June 3rd.

This is the third phase, or the deployment phase, of the new system to expand safety and security data reporting requirements to all modes of transport. Similar requirements have already come into effect for air cargo operations.

With this third release, sea and inland waterway, road and rail carriers also need to provide data on goods being sent to or through the EU before arrival, via the Import Declaration Form (ENS).

This obligation also applies to postal and courier carriers using these modes of transport to move goods, as well as other stakeholders, such as logistics providers. In certain cases, the final consignee established in the EU must also submit ENS data to ICS2.

Parties involved in transactions need to prepare in advance for the Third Release to avoid delays and non-compliance issues. Affected businesses must ensure accurate and complete data collection from customers, update IT systems and operational processes, and provide adequate training for employees. From December 11, 2023, parties involved in transactions must complete a self-compliance audit before connecting to ICS2 to verify accessibility and information exchange with customs authorities.

As required, EU member states will grant affected trading parties the right to gradually connect to ICS2 within a limited deployment period. Member states may grant deployment deadlines at any time within the following timeframes: from June 3 to December 4 (sea and inland waterway carriers); from December 4 to April 1, 2025 (secondary applicants for sea and inland waterway transport); and from April 1, 2025 to September 1, 2025 (road and rail carriers). If trading parties are not ready and do not provide the data required by ICS2, their goods will be held at EU borders and will not be cleared by customs authorities.

Businesses need to pay attention to the new ICS2 regulations when exporting goods to the EU from 2024. (Photo: Reuters)

The EU is a major player in international trade – accounting for approximately 14% of global merchandise trade. By collecting safety and security data, EU customs authorities can detect risks earlier and intervene at the most opportune time in the supply chain to ensure trade security for the EU and its citizens.

ICS2 will simplify the process of moving goods between customs authorities at the first point of entry and the final destination in the EU. At the same time, instead of 27 access points in countries, ICS2 will provide a single access point for communication with all customs authorities of EU member states for all EU operations.

For trading parties, ICS2 will also streamline customs authority requirements for providing additional information and risk screening before goods depart, thereby reducing the administrative burden on businesses.

Detailed information about ICS2

The European Commission has worked closely with the customs authorities and businesses of the Member States to prepare ICS2. This system is being rolled out in three releases and will gradually replace the existing import control system.

With the first release, effective from March 15, 2021, postal and express shipments to or through the EU by air must comply with the supplementary provisions of the Import Declaration (also known as Pre-Load Information – PLACI) before being loaded onto aircraft bound for the EU.

With ICS2 Release 2, effective March 1, 2023, regular shipments transported by air must also comply with PLACI documentation and the complete Import Declaration Information System (ENS) data set prior to arrival.

Release 3 is the third phase and will cover sea and inland waterway transport, rail and road transport, effective June 3, 2024. Affected trading parties will need to prepare for ICS2 within the limited deployment timeframe.

Similar to the second release, trading parties need to submit complete ENS data in a single application, provided the party submitting and responsible for bringing the goods into EU customs territory has all the necessary data available. Additionally, trading parties may create multiple dossiers, each containing more than one part of an ENS dossier submitted by different parties in the supply chain.

In the case of submitting multiple applications, each submitting entity is responsible for ensuring that the submitted documents are timely, accurate, and complete.

Further information on ICS2 and the Third Release is available on the European Commission website. The fact sheet provides the steps to take for sea and inland waterway carriers seeking information to prepare for ICS2.

Vi Minh

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