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Industry News

Scan-all becomes law

Date: August 6, 2007

By R.G. Edmonson and Bruce Barnard / The JOURNAL of COMMERCE ONLINE

WASHINGTON -- President Bush signed the Implementing Recommendations of the 9/11 Commission Act of 2007 into law on Friday at a White House ceremony.

The law includes a provision that all U.S.-bound containers will be scanned at foreign ports. It sets a July 2012 deadline to accomplish 100 percent scanning of boxes.

Scan-all has been opposed by the administration as well as the trade industry.

In his remarks at the signing ceremony, Bush said, “I will also continue to work with Congress to ensure the workability of the cargo-screening provisions in a way that increases our vigilance on homeland security while ensuring the continuance of vital commerce.”

Prior to the signing ceremony, the European Union issued a strongly worded attack on the scan-all plan, saying it would disrupt global trade without reducing the threat of terrorism.

European Customs Commissioner Laszlo Kovacs said the unilateral action would force EU businesses and taxpayers to foot the bill for U.S. security.

“The legislation would require major restructuring of EU ports,” Kovacs said. It also would “create a disproportionate burden on EU traders without proven benefits of security” and give American companies an unfair advantage over their European rivals.

Kovacs said he regretted that Washington did not await the results of pilot programs EU and U.S. customs are about to launch before pressing ahead with the legislation.

“Experts on both sides of the Atlantic have already considered this measure to be of no real benefit when it comes to security while it would disrupt trade and cost legitimate EU and U.S. businesses a lot of time and money.”

“Instead of a 100 percent scanning, I advocate applying risk analysis for the selection of cargo containers to be checked prior to leaving the EU for the U.S.,” Kovacs suggested, striking a balance between trade facilitation and security.

An estimated 1.8 million TEUs of containers were shipped from the EU to the U.S. in 2006.

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