Instruments of International Traffic (CBP Shipment Type)
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🔖 This article is part of the Shipment Release Types Guide |
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🔖 This article is about the U.S. Shipment Type. For the Canadian Shipment Type, see Instruments of International Trade |
Instruments of International Traffic (CBP Shipment Type)
A guide to qualifying reusable articles such as skids, containers, and holders for duty-free entry into the United States.
Overview
Instruments of International Traffic (IIT, also referred to as IITT) refers to certain reusable transportation articles that CBP allows to be admitted without formal entry and without duty. This is authorized under 19 U.S.C. § 1322(a) and specific implementing regulations.
In the ACE/Truck eManifest context, IIT (often referenced as “10.41a”) is a U.S. Shipment Type used to identify qualifying reusable articles such as skids, pallets, containers, and holders used in international traffic.
The Bond Requirement: To obtain release without entry, the applicant must have a valid continuous bond on file (CBP Form 301) containing the IIT bond conditions in 19 CFR § 113.66.
✅ Qualification Criteria
To qualify as IIT under CBP rules, an article generally must meet these three standards:
- Durability: Substantial enough for and capable of repeated use as a container or holder in international traffic.
- Usage Volume: Used in significant numbers in international traffic.
- Scope: Used within the permissible scope CBP allows for IIT/IITT movements, such as loaded or empty use cases depending on authority.
If these criteria are met, the IIT may be released without entry or payment of duty.
10.41a vs 10.41b: What is the Difference?
While both relate to IIT treatment, they serve different operational roles.
10.41a ("IIT")
The primary regulation for most skids, pallets, and shipping tanks. It sets the criteria for IIT treatment and requires a continuous bond for release.
10.41b ("Substantial Holders")
Focuses on clearance for outer containers and includes the 10.41b(b) program for reusable shipping devices from Canada or Mexico.
📦 10.41b(b) Reusable Shipping Devices (Canada/Mexico)
Under this specific program, devices like racks, totes, and cans (often including "CHEP" pallets) can be released without entry and without serial numbering if an approved application is on file.
- Application: The importer/agent must have an approved application on file and meet program requirements.
- Manifest Notation: A notation must appear on the manifest indicating the devices are exempt from serial numbering per an approved 10.41b(b) application.
- ACE Reporting: For 10.41b(b) moves, it is common practice to transmit as an "empty" manifest (if no other cargo is aboard), as ACE only supports declaring IITs under 10.41a.
Declaring IITs in ACE eManifest
Instruments of International Traffic qualifying under 10.41a must be reported electronically.
How to Set IIT Status in BorderConnect
To report an IIT shipment, set the IIT status on the truck or trailer profile. Do not create a separate ACE shipment bill.
- Identify Location: Set status on the truck or trailer, depending on where they are loaded.
- Bond Type: Indicate if covered under the importer's bond (most common) or the carrier's bond.
- Loaded Status: Specify if IITs are the only items or if there are other shipments (e.g., PAPS) aboard.
💡 Pro-Tips for the Border
- Bond Verification: Carriers should verify that the importer has an active bond covering the IITs before arrival.
- Mixed Loads: If commercial shipments (PAPS) are present, transmit those normally and keep the IIT status active on the conveyance.
- Officer Discretion: While extra paperwork is not usually required, drivers may be asked for bills of lading or the IIT bond number.
References