Electronic Seals Replace Escorts for Transshipped Containers

To boost customs efficiency for transshipment goods and conform to WCO SAFE operating rules, Kaohsiung Harbor began using a “container electronic seal monitoring system” on February 20. Transshipment containers that are randomly selected for escorted transport can now be affixed with an electronic seal (employing radio frequency identification, or RFID) which, together with driver certification and the equipping of the tractor with a vehicle communication unit (VCU), allows technology to replace human escorts. This technological breakthrough will bring more security and convenience to Taiwan’s trade procedures, and more opportunities to the island’s businessmen.
The U.S. Safe Port Act, which was signed into law in 2006, requires most heavy containers arriving in the U.S. via sea-land transport from October 15, 2008, whether their final destination is the U.S. or they are passing through in transit, to be secured by a seal meeting international container-seal standards. The detailed number of the seal must be sent to U.S. Customers and Border Protection via the Automatic Manifest System (AMS) 24 hours before the container is loaded aboard ship. The purpose is to assure that the container presents no safety concerns.
The Directorate General of Customs (DGC) notes that the government has been steadily simplifying customs procedures in recent years, and that the simplification continues this year with the use of electronic seals to replace escorts. To use these electronic seals, marine shipping operators must first apply to Customs for registration; after approval, all they need to do is to send in a simplified form. when transshipped containers are randomly picked by Customs for escorted transport, technology can be used in place of human escort.
The DGC points out that Customs will reduce the ratio of container inspections, in accordance with risk assessments, for operators who have been approved for simplified application. Operators are reminded, however, that they must provide Customs with full and factual information; if an operator fails to provide full and factual information on transshipment manifests for more than three shipments within one month, it will be required to revert to normal customs-clearance procedures until it has achieved complete improvement for more than one month.

News Glossary

Radio Frequency Identification (RFID)
RFID uses radio waves to transmit identification data, with each RFID set consisting of a label and a reader. Short-range RFID can be used with factory automation and the sale of goods, while long-range RFID is suitable for fee-collection systems and vehicle identification.

Vehicle Communication Unit (VCU)
A device installed on tractors that communicates with sensors installed at set points along highways for the purpose of identification and transmission of data.

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