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“Growth in use of Carnets has closely followed the mushrooming of international trade overall these last four decades,” observed Cindy Duncan, USCIB’s vice president for Carnet Operations. “Business people need to get their goods across borders for trade shows with a minimum of hassle. Performing artists or news crews need to get their valuable equipment around the world on short notice. The speed at which the world economy turns only increases the value of Carnets.”
What is an ATA Carnet?
The ATA Carnet is an international customs document used for temporary duty-free import of commercial samples, professional equipment and goods displayed at trade shows for up to one year. The initials "ATA" are an amalgam of the French and English words "Admission Temporaire/Temporary Admission."
Companies around the world use them in a variety of ways to reduce costs and speed global operations. USCIB administers the ATA Carnet system in the United States, working with its Carnet service providers, Roanoke Trade Services, Inc. and the Corporation for International Business.
Almost anything can be covered by an ATA Carnet: computers, repair tools, photographic and film equipment, musical instruments, industrial machinery, vehicles, jewelry, clothing, medical appliances and aircraft, race horses, old masters, prehistoric relics, ballet costumes and rock group sound systems are just some of the items that can cross borders duty-free and tax-free, thanks to ATA Carnets.
How a Carnet works
The ATA Carnet is a simple international customs document with two sheets for presentation for each foreign country you wish to visit, and two sheets for presentation to customs when leaving and returning to your home country.
You give one sheet to the foreign customs officials when you enter their country and the other when you leave it. The same applies when exiting and entering your own country.
That's all there is to it.
How the system is organized
The ATA Carnet system is a perfect illustration of how close cooperation between business and customs authorities can facilitate and stimulate international trade.
Each country in the system has a single guaranteeing body approved by the national customs authorities and the ICC World Chambers Federation (Until June 2001, the International Bureau of Chambers of Commerce).
The national guaranteeing association is entitled to issue Carnets and to authorize local chambers or other groups on the national territory to deliver them on its behalf.
The ATA international guarantee chain provides reciprocal guarantees assuring customs administrations that duties and taxes due in case of misuse will be paid.
The World Customs Organization (WCO) administers the international customs conventions under which the ATA Carnet system operates.
Within the ICC World Chambers Federation, the World ATA Carnet Council (WATAC) runs the ATA system and its international guarantee chain. The Council is made up of representatives from all 58 countries and territories where Carnets are issued and accepted.
The Council has set up regional task forces to promote the ATA Carnet in Africa, Asia and Pacific, Latin America, Eastern Europe and the Middle East.
What’s next?
ATA Carnets are already accepted in over 75 countries. A major gap in the system, however, is Latin America, and both ICC and USCIB are working with governments and business organizations in the region to increase acceptance as part of the overall modernization of Latin American customs operations.
A newly-designed ATA Carnet is expected to be unveiled later this year for use by U.S. exporters. It will feature a number of improvements to make life easier for users and customs agents alike.
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