{"id":9538,"date":"2021-02-03T10:30:28","date_gmt":"2021-02-03T17:30:28","guid":{"rendered":"https:\/\/traderiskguaranty.com\/trgpeak\/?p=9538"},"modified":"2021-07-08T12:58:35","modified_gmt":"2021-07-08T18:58:35","slug":"importing-amazon-due-diligence-supplier","status":"publish","type":"post","link":"https:\/\/traderiskguaranty.com\/trgpeak\/importing-amazon-due-diligence-supplier\/","title":{"rendered":"Importing for Amazon | Due Diligence When Choosing a Supplier"},"content":{"rendered":"<h3>FBA shippers need to perform due diligence before selecting a supplier. Performing due diligence can protect buyers from issues like loss and liability.<\/h3>\n<p><strong>Due diligence<\/strong> is an investigation of a product or supplier to confirm all facts and ensure the purchase will meet the buyer&#8217;s needs. This can include reviewing a supplier&#8217;s financial records, company performance, product quality, or anything else reputation-related.<\/p>\n<h2>Supplier Integrity<\/h2>\n<p>Buyers should find public information so they are able to assess a supplier&#8217;s reputation for integrity and ethical conduct. This can include:<\/p>\n<ul>\n<li>Statements by desk officers at the U.S. Department of State and <a href=\"https:\/\/www.commerce.gov\/\">Department of Commerce<\/a>; they may also provide an Enhanced International Company Profile, which includes various types of information and data and the embassy&#8217;s opinion of the supplier.<\/li>\n<li>The <a href=\"https:\/\/www.worldbank.org\/\">World Bank&#8217;s<\/a> publication of firms it has reprimanded or barred<\/li>\n<li>Public records and court dockets<\/li>\n<li>Published press reports<\/li>\n<\/ul>\n<h2>Supplier Compliance<\/h2>\n<p>It is crucial to ensure that suppliers are compliant with the trade regulations set up by U.S. Customs and Border Protection (CBP). CBP issues <a href=\"https:\/\/www.cbp.gov\/trade\/rulings\/informed-compliance-publications\">informed compliance publications<\/a> on a variety of subjects and processes. It is strongly recommended that importers ensure they are using the latest versions of these publications.<\/p>\n<ul>\n<li>Check that they have a policy for complying with import or export requirements. Ask what their policy covers. If they don&#8217;t have a policy, ask what procedures they have to ensure compliance with import or export requirements.<\/li>\n<li>Ask how they monitor their agents&#8217; activities, like customs brokers and sales representatives, involved in import and export activities.<\/li>\n<li>Ask if the supplier regularly files Automated Export System reports with the U.S. Census Bureau.<\/li>\n<li>Ask if they maintain a database of import and export transactions from which they can retrieve the documents relating to a particular transaction.<\/li>\n<li>Ask to see their product listings or product matrix giving the <a href=\"https:\/\/traderiskguaranty.com\/trgpeak\/5-things-to-know-about-harmonized-tariff-system-hts-classification\/\">HTSUS<\/a> or Schedule B numbers with the proper classifications for their products.<\/li>\n<li>Ask for information about the U.S. Customs brokers and associated powers of attorney affiliated with the supplier.<\/li>\n<li>Ask to see the <a href=\"https:\/\/traderiskguaranty.com\/trgpeak\/what-is-an-importer-number\/\">importer ID numbers<\/a> used by the supplier.<\/li>\n<li>Request a list of products that the supplier claims duty preference on.<\/li>\n<\/ul>\n<h2>Supplier Documentation<\/h2>\n<p>It is essential to check that the supplier has a history of accurate <a href=\"https:\/\/traderiskguaranty.com\/trgpeak\/importing-in-the-united-states-introduction\/\">documentation<\/a> when they file it with CBP. To successfully do that, buyers should request samples of:<\/p>\n<ul>\n<li>Import and export documents filed with CBP or the U.S. Census Bureau<\/li>\n<li>Samples of <a href=\"https:\/\/traderiskguaranty.com\/trgpeak\/us-importers-usmca\/\">USMCA<\/a> or FTA certificates of origin<\/li>\n<li>Current <a href=\"https:\/\/traderiskguaranty.com\/trgpeak\/what-is-a-u-s-customs-import-bond-video\/\">U.S. Customs bond<\/a><\/li>\n<li>Supply chain security documentation, including any C-TPAT agreements and submissions to Customs<\/li>\n<li>Documents relating to previous, pending, threatened, or suspected government audits, investigations, or enforcement actions related to import or export operations<\/li>\n<\/ul>\n<h2>U.S. Trade Remedies<\/h2>\n<p>When importing into the United States, it is important to be aware of any special <a href=\"https:\/\/traderiskguaranty.com\/trgpeak\/difference-taxes-duties-tariffs\/\">tariffs<\/a> and trade remedies applicable to the items being imported.<\/p>\n<ul>\n<li>Ask if the supplier&#8217;s goods are subject to <a href=\"https:\/\/traderiskguaranty.com\/trgpeak\/webinar-basics-of-antidumping-and-countervailing\/\">AD, CVD, or safeguard duties<\/a>.<\/li>\n<li>It is also essential to ask if the suppliers&#8217; goods that are not subject to AD, CVD, or safeguard duties are similar to or the same as goods subject to those duties.<\/li>\n<li>Check to see if the product being imported is subject to <a href=\"https:\/\/traderiskguaranty.com\/trgpeak\/infographic-section-232-tariffs\/\">Section 232 tariffs.<\/a><\/li>\n<li>Check to see if the product being imported is subject to <a href=\"https:\/\/traderiskguaranty.com\/trgpeak\/infographic-section-301-tariffs-us-china\/\">Section 301 tariffs<\/a>.<\/li>\n<\/ul>\n<h2>Prohibited Labor<\/h2>\n<p>CBP encourages buyers to closely examine their supply chains to ensure that imported goods aren&#8217;t produced with <a href=\"https:\/\/www.cbp.gov\/trade\/programs-administration\/forced-labor\">prohibited labor forms<\/a>. To avoid using prohibited labor, buyers should:<\/p>\n<ul>\n<li><a href=\"https:\/\/traderiskguaranty.com\/trgpeak\/informed-compliance\/\">Use reasonable care<\/a>. Obtain advice from a licensed customs broker, trade attorney, or consultant.<\/li>\n<li>Utilize CBP&#8217;s <a href=\"https:\/\/www.cbp.gov\/trade\/rulings\/informed-compliance-publications\">informed compliance publications<\/a>.<\/li>\n<li>Read investigative reports and other publications on labor rights and working conditions in countries that export to the U.S.<\/li>\n<\/ul>\n","protected":false},"excerpt":{"rendered":"<p>FBA shippers need to perform due diligence before selecting a supplier. Performing due diligence can protect buyers from issues like loss and liability. Due diligence is an investigation of a product or supplier to confirm all facts and ensure the purchase will meet the buyer&#8217;s needs. This can include reviewing a supplier&#8217;s financial records, company [&hellip;]<\/p>\n","protected":false},"author":16,"featured_media":9541,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_et_pb_use_builder":"","_et_pb_old_content":"","_et_gb_content_width":""},"categories":[4,584,1],"tags":[716,29,34,35,37,717,648,647,57,677,380,201,517,524,116],"_links":{"self":[{"href":"https:\/\/traderiskguaranty.com\/trgpeak\/wp-json\/wp\/v2\/posts\/9538"}],"collection":[{"href":"https:\/\/traderiskguaranty.com\/trgpeak\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/traderiskguaranty.com\/trgpeak\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/traderiskguaranty.com\/trgpeak\/wp-json\/wp\/v2\/users\/16"}],"replies":[{"embeddable":true,"href":"https:\/\/traderiskguaranty.com\/trgpeak\/wp-json\/wp\/v2\/comments?post=9538"}],"version-history":[{"count":6,"href":"https:\/\/traderiskguaranty.com\/trgpeak\/wp-json\/wp\/v2\/posts\/9538\/revisions"}],"predecessor-version":[{"id":9992,"href":"https:\/\/traderiskguaranty.com\/trgpeak\/wp-json\/wp\/v2\/posts\/9538\/revisions\/9992"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/traderiskguaranty.com\/trgpeak\/wp-json\/wp\/v2\/media\/9541"}],"wp:attachment":[{"href":"https:\/\/traderiskguaranty.com\/trgpeak\/wp-json\/wp\/v2\/media?parent=9538"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/traderiskguaranty.com\/trgpeak\/wp-json\/wp\/v2\/categories?post=9538"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/traderiskguaranty.com\/trgpeak\/wp-json\/wp\/v2\/tags?post=9538"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}