U.S. Chamber Report Offers Guidelines to Enhance Global Trade

Finds TIR Convention the Most Effective and Preferred Alternative Mechanism

WASHINGTON, D.C.— In an effort to express its commitment to expanding global trade and facilitating the movement of legitimate goods around the world safely and securely, the U.S. Chamber of Commerce today released its report titled, Balancing Security and Trade Facilitation in the 21st Century Global Supply Chain: A Study Evaluating International Agreements to Implement the SAFE Framework of Standards. The report finds that the Convention on International Transport of Goods Under Cover of TIR Carnets (TIR Convention) is potentially the best mechanism for facilitating the implementation of the World Customs Organization (WCO) SAFE Framework.

"It is important to note that one third of the U.S. economy is dependent on international trade. Balancing trade with security is one of society's most complex and important challenges," said Donohue. "The WCO SAFE Framework, implemented by an enhanced TIR Convention, could strike the right balance, ensuring greater economic opportunity all over the world."

The WCO is a 171 member intergovernmental organization that promotes communication and cooperation on customs matters. Responding to the need in the global community for modern standards on supply chain security and trade facilitation, the WCO adopted the Security and Facilitation in a Global Environment (SAFE) Framework of Standards in 2005. Based on a two tier approach, the purpose of the study is to identify an appropriate international agreement that could be used as an alternative mechanism for implementing the provisions of the safe framework.

"To expand global trade we must have a multilateral security framework that is fair, efficient, and able to be implemented quickly and consistently," continued Donohue. "Our report finds that the security provisions under TIR Carnets (TIR Convention) could be strengthened and positioned as the preferred multilateral mechanism for WCO SAFE Framework implementation.

Doing so would legally bind WCO members together, create greater certainty that all shipments are being processed and facilitated with the same uniform guidelines and procedures as laid out in the TIR Convention, allow the 56 countries that are party to the TIR Convention to become more efficient, and ensure greater security and scrutiny of shipped goods."

The U.S. Chamber of Commerce is the world's largest business federation representing more than 3 million businesses and organizations of every size, sector, and region.

Download the report:

Balancing Security and Trade Facilitation in the 21st Century Global Supply Chain (PDF)