Outcomes of the Single Window and AEO in APEC Vietnam 2017

	Objectives and tasks of Virtual Working Group (VWG) at SCCP APEC meeting in Vietnam
	6 outcomes of the discussions through 2 days of APEC Finance and Central Bank Deputies’ Meeting
	Strengthening IPR Border Enforcement, origin of goods for preferential purposes and cooperation with stakeholders

Member economies introduced and proposed many initiatives to develop the Single Window and Authorized Economic Operator (AEO) in APEC. Photo: Hoang Anh.

The Single Window

Vietnam introduced its implementation of the National Single Window (NSW) and presented the status of its connection with ASEAN Single Window. Internally, 11 of 16 Ministries have been connected through NSW. Vietnam made a target to fully connect with all other Government agencies and ASEAN members. More importantly, Vietnam expects to establish a legal framework to enable the exchange of electronic documents among APEC Member Economies for the purpose of Customs clearance and release.

The Policy Support Unit (PSU) presented on the CTI initiative of the Single Window system with international interoperability. The PSU highlighted key challenges in interoperability, including ICT, political will and the legal and regulatory framework. The PSU identified key criteria regarding legislation for interoperability to be feasible, and raised the risk of legal liability where transactions are delayed. The PSU also identified opportunities regarding the now common practice for electronic submission of Customs declarations and the Single Administrative Document. The ASEAN and Pacific Alliance experiences were also discussed. The PSU identified the next step as selecting certain economies for case studies.

The United State briefed on the Single Window Workshop Concept Note proposal to host a Single Window workshop in the margins of SOM3 2017. Vietnam, Chinese Taipei, Chile, Peru and Australia are the co-sponsors for the proposal, while Hong Kong, China, Japan, Vietnam and the WCO expressed their support for the proposal. The Concept Note was circulated for SCCP’s endorsement by 1 March 2017.

Japan spoke about financial considerations and expressed an interest in potential cost-sharing mechanisms with other economies and also highlighted issues with the PSU interoperability project.

The WCO advised their Single Window Compendium will be discussed in April 2017 and can be presented at the workshop. The WCO indicated the need to specify what data would need to be exchange for the Single Window interoperability and the potential for duplication with other activities.

Peru and Singapore also provided an update on their Single Window efforts.

China, under the 3M, continues to progress with development of their Single Window system with a pilot in Shanghai covering a range of issues. By 2017, the pilot will be expanded to full nationwide implementation.

Hong Kong and China updated on the developments of their Single Window, which will be implemented in three phases with full roll-out in 2023. The system is expected to be able to connect with other economies.

Australia expressed an interest in discussing and learning from other economies regarding potential “enhanced” services with Single Window initiatives.

Colombia presented on their implementation of Single Window, highlighting significant improvements in release times and simplified processes.

Authorized economic operator (AEO)

Korea introduced a draft proposal on the development of the APEC Authorized Exporters Program (AEP) – a multilateral approach to granting AEO status to trusted exporters.

Hong Kong, China and Chinese Taipei voiced support for the proposal. Chinese Taipei pointed out the need to ensure that AEO and AEP are different.

Japan questioned whether the objective is achievable and suggested a more modest approach such as a feasibility study. The Philippines suggested exploring it further in a workshop adding that if the proposal of Capacity Building and In-Economy Workshops is approved, one in-economy workshop may be availed of by Korea. Vietnam also supported the proposal and suggested that it is conceptually easy to grasp but operationally very difficult to achieve.

China indicated the need to be cautious about methodology and raised the challenge of arranging joint validation and supported Japan’s proposition about “building blocks”, ideally a feasibility study and/or a workshop.

Australia supported the concept but questioned the methodology, particularly the idea of creating a new working group without having a well-developed concept at a time when APEC is reviewing governance arrangements.

The United States questioned whether the proposal was duplicating potential WCO activities and highlighted legal challenges with multilateral arrangements.

WCO highlighted several regional MRA arrangements and mentioned the development of a strategy guide for MRAs. WCO indicated the need to avoid conflicts between existing MRAs and a prospective AEP.

Korea acknowledged all interventions regarding the proposal and committed to a further study based on the comments provided and would later provide a Concept Note for circulation.

The Philippines presented their AEO Programs self-funded proposal to identify specific capacity building needs. Korea, China and Peru supported the proposal. Japan hoped the workshop would also take into consideration the PSU study results in 2016. The Concept Note was circulated for SCCP’s endorsement by 1 March 2017.

Korea presented a revised proposal with a revised timeline and volunteered to prepare the initial draft of the preliminary study. The US suggested a virtual working group or pursuing this via the Philippines workshop proposal would be preferable. Japan and Vietnam both urged caution and waiting for the outcome of the feasibility study before committing. APEC Secretariat will circulate amended proposals from Korea and the Philippines for endorsement and sponsorship.

Vietnam provided a brief on the implementation and application of its e-Customs system (VNACCS/ VCIS) in Customs control and supervision and highlighted key benefits for traders. Japan congratulated Vietnam for its achievements.

Japan provided updated information on the use of Passenger Name Record (PNR) in risk management. Japan sought endorsement to circulate the survey data to other relevant APEC sub-fora. Australia and the United States strongly supported the proposal. WCO also suggested it could be circulated to other WCO regions as it was a clear example of best practice. Hong Kong updated on progress with implementing new legislation.

2017 APEC Finance and Central Bank Deputies’s Meeting On 23 February 2017, APEC Finance and Central Bank Deputies Meeting (FCBDM) has finished the first day ...

The SCCP Chair encouraged further cooperation on information sharing and capacity building.