Customs Broker

Logistics Term

Who's a Customs Broker?

Customs broker refers to a private individual, associations, partners, or corporations licensed, regulated, and authorized by the U.S Customs and Border Protection abbreviated as (CBP) to aid importers and exporters in achieving Federal requirements controlling imports and exports. They deliver the required data and payments to CBP on the client’s behalf and charge a fee for the service. Customs brokers must possess admissibility requirements, procedures, valuation, classification and duty rates, and appropriate taxes and fees for the imported goods. As a client, aspiring custom broker, or any other interested party, the requirements of a customs broker are United States citizenship, at least 21 years of age, no current affiliation with the Federal Government, and good moral conduct.

The Difference Between a Customs Broker and a Freight Forwarder

Often, both importers and exporters confuse freight forwarders for custom brokers. Custom brokers operate within a restricted jurisdiction that requires them to be licensed. Freight forwarders are free to be custom brokers, but not all custom brokers can be freight forwarders. Finally, custom brokers are centered on the imports of international transactions. However, both these professionals are well involved in international transactions. Understanding where one overrides the other and who best suits your needs is essential.

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