UPS PowerPoint Presentation Template

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Panel Discussion on Transportation
Customs ASEAN, China, Laos, United States,
Thailand Sunny Chia Director International
Trade Services UPS Asia Pacific Region
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Agenda

• UPS Global Customs Trade Compliance
• - Guiding Principles
• Relevance of Supply Chains to Business
• WCO SAFE Framework
• APEC Trade Facilitation Action Plan II
• ASEAN Single Window
• Summary

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Getting to know us - UPS

• Founded in 1907 in Seattle, Washington.
• Worlds largest package delivery company and
  global leader in supply chain services.
• Headquartered in Atlanta, Georgia.
• Service to and from more than 200 countries
  territories.
• 423,300 employees worldwide (8th largest global
  employer).
• Delivery fleet of 88,000 delivery vehicles.
• Worlds 9th largest airline with more than 268
  aircraft.
• 2007 revenue US49.7B on a volume of 4 billion
  packages and documents.
• We move 15.8 million packages a day 7 percent of
  U.S. GDP.

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UPS Global Customs Trade ComplianceGuiding
Principles

• Full compliance with all governmental laws and
  regulations
• Eliminate trade barriers
• Simplify border clearance regulations and
  procedures
• Increase low value thresholds and entry limits
• Reduction in paperwork
• Protect UPS brand and reputation
• Global consistency

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Relevance of Supply Chains to Business

• Globalisation and the Expansion of Global
  Trade are irreversible.
• Global businesses will give preference to
  companies with a very strong Supply Chain
  Security Program.
• Investments in infrastructure for a healthy
  supply chain
• Inefficient Supply Chains result in poor
  customer service and weaker financial results

McKinsey estimates 85 of worlds GDP will be
sold across intl borders within 20 years
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WCO Framework of Standards to Secure
Facilitate Global Trade
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WCO SAFE Framework

• Facilitation in a Global Environment.
• Establish Standards that provide Supply Chain
  Security and Facilitation at a global level to
  promote certainty and predictability.
• Strengthen the Partnership between Customs and
  Trade.
• Promote the seamless movement of goods through
  international trade supply chains.
• Contribute to a Safer World.

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WCO Framework of Standards 4 CORE Principles

• 1) Advance electronic information
• Harmonise the advance electronic information
  requirement on inbound, outbound and transit
  shipments.
• 2) Risk management
• Implementing and Conducting Risk Management for
  selecting high risk goods.
• 3) Outbound inspection
• Mutual recognition of controls and authority and
  ability to inspect imports, exports and goods in
  transit
• 4) Business partnerships
• Establishing Customs to Business partnerships and
  promoting the implementation of an Authorised
  Economic Operator program

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International Customs Fora
Australia - 2007 Mexico (2002) Brunei
(2000) New Zealand (1999) Canada (1997) Papua
New Guinea Chile (2004) Peru - 2008 China
(2001) Philippines (1996) Hong
Kong Russia Indonesia (1994) Singapore -
2009 Japan (1995) - 2010 Chinese Taipei Korea
(2005) Thailand (2003) Malaysia (1998) USA
(1993) Vietnam (2006)
APEC Means Business
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• Trade Facilitation Action Plan (TFAP II)
• APEC Ministers concluded in 2006 that APEC had
  met the 2001 Shanghai target of a 5 reduction in
  trade transaction costs by 2006.
• A new action plan known as APECs second Trade
  Facilitation Action Plan is now developed to
  achieve another 5 reduction in trade transaction
  costs by 2010. The Plan was endorsed by APEC
  Trade Ministers in July 2007.
• The TFAP II includes
• 1. Time Release Survey.
• Objective To conduct self-evaluation of Trade
  Facilitation, find bottlenecks
  in the customs related procedures and to
  improve them.
• 2. Implement APEC Framework based on the WCO
  Framework of Standards
• Objective To secure and facilitate the global
  trade in the APEC Region.

Asia Pacific Economic Conference (APEC)
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Asia Pacific Economic Conference (APEC)

• Trade Facilitation Action Plan (TFAP II)
• 3. Simplification and Harmonisation on the Basis
  of the Kyoto Convention.   
• Objective To improve efficiency in customs
  clearance and the delivery of goods
• in order to benefit importers, exporters and
  manufacturers through simplified and harmonised
  customs procedures and best practices.4.
  Paperless and/or Automation of Trade-related
  Procedures.
•     Objective To reduce paper documents for
  trade-related procedures and automate/
  computerise trade-related procedures.5.
  Harmonisation of Tariff Structure with the HS
  Convention.
•     Objective To ensure consistency of
  application, certainty and a level playing field
• for business through the HS Convention of the
  WCO, the standard international
• harmonisation system the
  classification of goods.
• 6. Appropriate, Transparent and Predictable
  Trade-related Procedures.
•    Objective To realise appropriate,
  transparent and predictable trade procedures
  through consistent and non-discriminatory
  application and implementation of trade-related
  laws and regulations.

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International Customs Fora
Brunei Myanmar Cambodia Philippines Indonesia S
ingapore Laos Thailand Malaysia Vietnam
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Association of South East Asian Nations- ASEAN
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• Seoul Initiative Action Plan (SIAP)
• Proposed by Korea Customs and endorsed at the 5th
  ASEM Customs DG meeting in October 2003, Korea.
• Objective Simplification and Harmonisation of
  Customs Institutions and Procedures, and Customs
  co-operation in East Asia (encompassing 10 ASEAN
  member countries plus Korea, China and Japan)
• SIAP 5 Group Categorisation
• I. Customs Procedures
• Time Release Study (TRS)
• Reduction of (Logistics) Costs relating to
  Transit Transhipment goods
• ASEAN 3 Website
• Database for customs procedures for ASEAN 3
• Establishment of Single Window
• Common Customs documentation form
• Regional Authorised Trader (system)
• Consultation with Private Sector

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Association of South East Asian Nations- ASEAN
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• Seoul Initiative Action Plan 5 Group
  Categorisation (contd)
• II. Integrity Transparency
• Integrity, Reviews and Appeals
• III. International Obligations
• Revised Kyoto Convention
• WTO Customs Valuation Agreement
• IV. Rules of Origin
• Harmonisation of Rules of Origin
• Review of Rules of Origin
• Internationally Agreed Rules of Origin
• Verification and Certification of Origin
• Identification of Advantage and Disadvantage of
  Certificate of Origin
• V. Rules of Origin
• Meeting of ASEAN 3 Customs DG/Commissioner
• Capacity Building
• Research Task Force
• Use of Advanced Customs Techniques (Risk
  Management, IT etc.)

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Summary

• Protecting, securing and facilitating the
  worldwide supply chains is a major
  responsibility involving all stakeholders.
• Promote Certainty and Predictability as
  Disruptions have a major impact on the global
  economy.
• Leverage on Technology and Risk Management
  Techniques.
• Strengthen the Partnership between Customs and
  Trade.
• Simplify Harmonize to Promote the seamless and
  efficient movement of goods across international
  trade supply chains !

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Thank You !