Express vs. Cargo Package Clearance: What to consider

The choice of using express clearance (Express Consignment Carrier Facility/ ECCF) for cargo clearance (Container Freight Facility/ CFS) is the most question by our clients.

ECCF's and CFS are bonded warehouses that facilitate the importation of cargo to the USA. Jet provides solutions for parcel import through both facilities across the USA.

Jet Worldwide provides consulting services to assist e-commerce merchants in developing secure parcel import processes. Using new parcel import processes, retailers are able to connect more directly from their supplier to their customer.

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CFS Explained

As the name indicates, Container Freight Stations are designed for clearance of large "containers" of freight. In a CFS, the average value and weight of each consignment is much greater than parcels imported via an ECCF. With the growth of e-commerce parcel imports to the USA, there has been a push to convert Container Freight Stations to a new role of parcel clearance.

E.C.C.F Explained

ECCF's were designed from the start to handle high volume parcel imports to the USA. The largest express clearance facilities and hubs in the USA are operated by FedEx, UPS and DHL.

Although FedEx, UPS and DHL operate their own express clearance facilities, Jet can guide you to facilities that are independent of any carrier.

Note: The official term for an ECCF is Express consignment carrier facility but often the terms "Express Consignment Clearance Facility" and "Express Consignment Courier Facility" are used interchangeably when referring to an ECCF.


Jet-Canada-USA-Cross-Border-graphicShipping to USA via Canada

Canada is a fantastic transit point for shipments to the USA. Goods can be cleared via cross border section 321 processes. Contact Jet's Canadian logistics team for details


>Does the Postal Service use and ECCF or CFS for their USA imports?

The USPS does not utilize express or cargo clearance facilities. Postal clearance processes operate under an entirely different process that are can only be accessed by sending via the global postal network.

USPS clearance processes continue to be overwhelmed by cross border e-commerce parcels being imported to the USA

ECCF vs. CFS fees

Express Consignment Clearance Facilities are given priority handling by US Customs and Border Protection. The overwhelming majority of Parcels imported through an ECCF are cleared prior to arrival and available for delivery within hours.

Is ~$1.45 per shipment too much? For the privilege of express clearance, customs charges a fee of $1 per shipment. Most importers consider this fee as a fair deal. US CBP gets reimbursed their costs and ECCF operators get the express clearance they need 7 days a week.

No customs fee for CFS! Parcels imported via a CFS are not currently charged a "reimbursement fee" by US customs. As a result, goods imported to the USA via a CFS get clearance in 1-3 working days (there is no weekend clearance for parcels imported via a CFS).

ECCF vs. CFS Clearance Processes

There are some small - but significant - differences in clearance processes via an ECCF versus a CFS. The clearance times for entire consolidations can take as long as a week or two. Furthermore, clearance delays become common during high volume holiday season.

Can I clear parcels at any CFS?

While it is technically possible to clear parcels at any CFS, very few are able to clear high volume parcel flows efficiently. CFS parcel clearance is best at gateway cities that include Cincinnati, Chicago, New York, Miami and Los Angeles.

Jet works with e-commerce shippers to facilitate the use of both a lower cost cargo clearance and more certain express clearance.

What is Section 321?

US Customs allows most individual orders valued under $800 USD to be entered and cleared duty free into the USA. This entry type is known as a Section 321 Informal Entry. Using this entry type, importers can consolidate all their qualifying orders under one entry without H.S. Codes and benefit from duty free entry.

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Goods that are not subject to approval from another government agency are eligible for clearance via a section 321 informal entry. (imported under Part 128 of the Code of Federal Regulations). As such, they are imported to facilities with port codes that define them as Express facilities or ECCF's. Many express operators are also able to clear via freight facilities (with section 321 processes) known as a Container Freight Station or CFS.

For importers who have H.S. codes, it may be best to use a Section 321 "type 86" entry. Using this entry type, goods can be imported via traditional methods using the Automated Broker Interface or ABI system.

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Jet Worldwide works with you to uncover the best solutions for high volume e-commerce parcel importing to the USA. We can help you build parcel import flows that complement and enhance your supply chain.

UNDERSTANDING DUTY FREE USA IMPORT

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