Importer of Record ( IOR ) : Be Responsible When importing Goods to US.
This is a complete guide to importer of record in 2023.
In fact, the knowledge in this artilce I’m going to show you helped us serving more than 500 new clients per year for shipping from China to US.
No matter you are a new US importer or not based in the US, you’ll love today’s guide.
Specifically, what you can learn from this article would be :
• What is IOR ?
• Will you be the right consignee ?
• How can I get IOR ?
• Let’s dive right in.
What is importer of record ?
Known as IOR, an importer of record is the individual or organization who is responsible for all import obligations when importing goods to the USA.
The importer of record responsibilities include :
Provide entry documents for Customs clearance required by US CBP
Product classification and certification ( like FDA )
The payment of any duties, levies or fines.
Bottem Line :
The ultimate consignee of U.S. imports must have a U.S. address and tax ID number according to the regulations of CBP.
Importer of Record VS Consignee
Is consignee the same as importer of record? Of course not.
People often confuse between Importers of Records and consignees.
Despite both entities deal with importing, there is a significant difference between them.
As you see from the IOR definition, Importer of Records are more professional since they need to ensure the fulfillment of the importation.
While a consignee may have different identity characteristics.
Specifically, when a cosignee importing to US, there are 3 different types.
A consignee have a US registered company, so assume the same role of an Importer of Record.
A consignee have an EIN ( Employer Identification Number ), but business is not registered in US.
A consignee don’t have any US entity or presence.
How to establish IOR ?
The type 1 is the ideal situation.
All you need to do is provide your #EIN ( Employer Identification Number)
If you are consignee of type 2,
You will need to get a U.S. based business to act as the ultimate consignee ( the party who is receiving your goods such as a warehouse or your end customer) of your shipment.
Things are a little different for type 3, but won’t be too complicated.
So here comes to the hot topic :
How to make shipments to US when you are not based in US ?
The answer is foreign importer of record.
If you do not have any entity or presence in U.S,
Wha you need is to be established as a Foreign Importer of Record in order to import into U.S.
Then, how to be recognized as a foreign Importer of Record ?
Quite simple,
1.Get a Customs Assigned importer of record number by the US Customs Authority.
• Ask the Customs broker to provide you a Customs Power of Attorney
• Get POA signed by two of your company’s officers
• Provide pictures or scans of formal ID documents for the two named officers.
• Provide a copy of your articles of incorporation ( Indicating that the named signatories with authority to sign power of attorney , if not, a separate document specifying this is also required. )
2.Provide a Customs bond for your shipment
After you provide all above information,
The Customs broker can apply for the CAIN ( Customs Assigned Import Number ) on your behalf.
And then, they will get a Customs bond for your imports to US.
Your recipient, no matther a fulfillment center or your end customer , will need to have a U.S. address and a tax ID number.
Can your company offer importer of record services ?
Yes, we do. We cooperate with our US agent partner to support door to door importing to US.
How much do you charge for lOR service ?
Some agents can serve for free, but we offer it with $ 150-200 per shipment.
Does import of record needed for every shipping ?
Of course not.
Sometimes when you use courier service, IOR is not required.
Compared with FCL, LCL and Air shipping, courier is the most convenient door to door shipping type of transportation.
CONCLUSION
That’s all for import of record you need to know when importing to U.S.
The key point is handling the paperwork required timely,seriously and professionally.
Contact us if you have any further questions regarding IOR, or need to register IOR and ISF filing,
If you plan to ship from China, now or in the future, please contact me, and I will provide you with a solution subsequently.
