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SAP GRC Global Trade Services 7.2 Preferred Practice US Automated Export Systems (AES) SAP GRC Updated September 2010

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Page 1: SAP GRC Global Trade Services 7.2 - Preferred Practice- US–Automated Export Systems (US-AES)

SAP GRC Global Trade Services 7.2

Preferred Practice

US – Automated Export Systems (AES)

SAP GRC Updated September 2010

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UPLOAD 1. Table of Contents

1. Introduction ..................................................................................................................................................3 2. Prerequisites .................................................................................................................................................4

3. Scenario Description ....................................................................................................................................5 4. Process Diagram ...........................................................................................................................................5 5. Step By Step Procedure ................................................................................................................................6

5.1 Foreign Trade Organization and Legal Unit .........................................................................................6

5.2 Set Up the Legal Regulation ...............................................................................................................12

5.3 Define and Assign the Determination Procedure ................................................................................12

5.4 Activate the Legal Regulation ............................................................................................................14

5.5 Configuring Messages for Post Processing Framework (PPF) Actions for Customs

Shipments/Declarations .................................................................................................................................15

5.6 Check Electronic Messages ................................................................................................................17

5.7 Customs Management Service Control ..............................................................................................22

5.8 Set Up the Process Flow for Customs Processing with AES ..............................................................23

5.9 Define Rules for Message Output .......................................................................................................26

5.10 Customs Code Lists .........................................................................................................................27

5.11 Partner Group ..................................................................................................................................29

5.12 Document Type ...............................................................................................................................30

5.13 Setup Communication Process ........................................................................................................33

5.14 Print Control for Documents ...........................................................................................................35

5.15 Message and Printer Determinations ...............................................................................................36

5.16 Defaulting Data ...............................................................................................................................39

5.17 Sample IDoc of Customs Declaration .............................................................................................41

6. Comments and Feedbacks ..........................................................................................................................43

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1. Introduction

SAP GRC Global Trade Services (GTS) release 7.2 provides automatic communications with US Customs

and Border Patrol (CBP) system – Automated Export Systems (US-AES).

As of June 2, 2008 the CBP released this notice.

Mandatory Automated Export System (AES) Filing for all Shipments Requiring Shipper’s Export Declaration (SED) information The U.S. Census Bureau has issued the final rule implementing provisions in the Foreign Relations Authorization Act, Public Law 107-228. This rule was published in the Federal Register on June 2, 2008, amending Title 15, Code of Federal Regulations, Part 30, Foreign Trade Regulations (FTR) in its entirety. Effective July 2, 2008, the Census Bureau is requiring mandatory filing of export information through the Automated Export System (AES) or through the AESDirect for all shipments where a Shipper’s Export Declaration (SED) is required. We are also providing the trade an additional 90 days to implement these new requirements. After the 90-day implementation period, which ends September 30, 2008, you must file your export information electronically through the AES or AESDirect. Additionally, these new regulations have tougher penalty provisions that affect everyone in the export process. Penalties may be imposed per violation of the FTR from $1,100 to $10,000 both civil and criminal, for the delayed filing, failure to file, false filing of export information, and/or using the AES to further any illegal activity. Also, all AES filers are faced with new filing deadlines by mode of transportation for reporting export information. It is important that you understand these new requirements so that you avoid the increased penalties and seizure of your commodities. The Census Bureau has instructed filers of export information to make every effort to submit these data via the AES or AESDirect to eliminate the use of paper SEDs immediately. During the 120-day implementation phase, the Census Bureau will use “informed compliance” to outreach to filers identified in violation of the FTR. Anyone submitting paper after September 30, 2008 will be in violation of the FTR and subject to penalties.

The following is a guide for the implementation of the functionality of US-AES with SAP GTS 7.2 and SAP

ECC 6.0 as a preferred practice. Once this guide is completed, the implementer should be able to

communicate successfully with the Customs office.

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2. Prerequisites

PREREQUISITE DETAILS

SAP GRC Global Trade Services GTS Release 7.2 Required

Required components and Support Packages for SLL-LEG 7.20

SAP_BASIS 700 SAPKB70010

SAP_ABA 700 SAPKA70010

PI_BASIS 2005_1_700 SAPKIPYJ7A

SAP_BW 700 SAPKW70010

SAP_AP 700 SAPKNA7005

Support Packages for SLL-LEG 7.20

Note 1113991

SAP ERP backend system for

logistics processing

ECC 6.0 – Configuration and enhancements will need to be done to determine

the billing documents and information that come over to GTS Customs

Processing. (Not included in this documentation.)

R/3 plug-in for SAP Global Trade Services (SAP GTS)

Note 858706

Seeburger Adapter One of the adapters that can be used for the EDI communication. Plan and budget for approximately one week of time and cost for Seeburger Consulting. The adapter (client software, interface maps) is included in the GTS license, but the installation and configuration activities performed by Seeburger are not. Here is the contact information of Seeburger: Phone: (770) 604-3888 Website: http://www.seeburger.com/. Please refer to SAP Note 1106268, and 1453578 for detailed mapping information.

Customs Communication

Authorization

Request and receive authorization for electronic communication with a Customs

Office, this would include ID and password.

Letter of Intent Complete and submit a letter of intent to US Customs as soon as possible. It can take a long time (months) to have a Customs Case Officer assigned and engaged. i. You can find the LOI form here: http://www.cbp.gov/xp/cgov/trade/automated/aes/letter_intent/form_commodity_data.xml ii. And instructions/overview here:

http://www.cbp.gov/xp/cgov/trade/automated/aes/letter_intent/register.xml

IDoc Customizing IDocs are used for the communication with customs offices. IDocs capture the

necessary data used by the Seeburger adapter to send information to customs

offices in the correct format.

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3. Scenario Description

This process describes the export of product from IDES US, USA to IDES AG, Germany. The product is

subject to authorization. The foreign trade relevant activities are fully integrated in the logistic process. The

relevant export documents for AES are available and can be printed at the end of the process.

4. Process Diagram

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5. Step By Step Procedure

5.1 Foreign Trade Organization and Legal Unit

SAP Global Trade Services (SAP GTS) uses the SAP Business Partner Concept. You create a business

partner for each party (person, organization) involved in foreign trade business. Within the individual

business transactions, such as an import transaction, a business partner can take on various partner functions,

providing the business partner meets the relevant requirements.

When creating both foreign trade organization and legal unit, you have to at least enter the address and assign

the relevant role for each business partner.

Foreign Trade Organization

SPRO → SAP Global Trade Services → General Settings → Organizational Structure → Define Foreign

Trade Organizations

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UPLOAD Maintain the business partner in role “SLLFTO” for Foreign Trade Organization:

Legal Unit

SPRO → SAP Global Trade Services → General Settings → Organizational Structure → Define Legal Units

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Maintain the business partner in role “SLLSIT” for Legal Unit:

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UPLOAD Assign company code to Foreign Trade Organization (FTO)

SPRO → SAP Global Trade Services → General Settings → Organizational Structure → Assignment of

Organizational Units from Feeder System to Foreign Trade Org:

The Foreign Trade Organization (FTO) can be assigned at Feeder System Level or Feeder System Group

Level. It depends on if you have set up a Feeder System Group or not.

You can manually assign or automatically transfer company codes from feeder system to FTO.

If you choose to do it automatically, double click on “Automatically Transfer Company Code”. You will

have to enter the Logical System (Feeder System) from where data is to be transferred, and enter the FTO to

assign the company code.

If you choose to do it manually, double click on “Manually Assign Company Code”, and then select the

button “New Entries”. Enter the company code information and match it to your desired FTO.

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Assign Legal Unit to Foreign Trade Organization

SPRO → SAP Global Trade Services → General Settings → Organizational Structure → Assign Legal Unit

to the Foreign Trade Organization:

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UPLOAD Assign Plant from Feeder System to Legal Unit

SPRO → SAP Global Trade Services → General Settings → Organizational Structure → Assignment of

Organizational Units from Feeder System to Legal Unit

You can assign the plant from feeder system to the legal unit either at Feeder System or Feeder System

Group level. You have the options to do it manually or automatically. If you select to do it automatically, you

need to enter the feeder system. If you select to do it manually, click the button “New entries”, then chose the

Legal Units to assign the plant from the feeder system.

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UPLOAD 5.2 Set Up the Legal Regulation

Legal regulations are the central control elements for services performed in GTS. Here you define which laws

are checked for export and import processes. In addition, you assign different deadline types to each legal

regulation and the country groups a legal regulation is valid for. If country groups are used during the license

determination, you need to define the country groups first.

SPRO → SAP Global Trade Services → General Settings → Legal Regulations → Define Legal Regulation

Note:

1) This legal regulation represents the procedure of AES

2) The Type of Legal Code is: Customs Processing

3) The country from which the legal regulation was issued is: US

5.3 Define and Assign the Determination Procedure

You have to enter a determination procedure to enable the system to determine the legal regulations for a

service. To do so, you assign the determination table to the determination procedure. The system can then

uses the departure country (export) and the destination country (import) to determine the legal regulations.

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UPLOAD You can also define for each determination procedure whether the system stops determination as soon as it

finds the first active legal regulation or whether it goes through all the available active legal regulations for

the service. If your logistics processes involve several countries and legal regulations in a service, this lets

you perform the checks and determination for several legal regulations.

Define Determination Procedure

SPRO → SAP Global Trade Services → General Settings → Legal Regulations → Define Determination

Procedure for Active Legal Regulations

Assign Determination Procedure to Service

SPRO → SAP Global Trade Services → SAP Customs Management → “Customs Processing” Service →

Assign Determination Procedure for Active Legal Regulations

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5.4 Activate the Legal Regulation

Here you activate the legal regulations for each departure country or country group (export) and destination

country or country group (import). This enables you to specifically define the validity area of a legal

regulation.

Activate the Legal Regulation for a Country

SPRO → SAP Global Trade Services → General Settings → Legal Regulations → Activate Legal

Regulations at Country/Country Group Level

In this case, the departure country for export is US.

Activate the Legal Regulation for Export

Here you activate the legal regulations for each departure country or country group (export) and destination

country or country group (import) for each service that will be active in GTS.

SPRO → SAP Global Trade Services → Customs Management → “Customs Processing” Service →

Activate Legal Regulations

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5.5 Configuring Messages for Post Processing Framework (PPF) Actions for Customs

Shipments/Declarations

The configuration of the Post Processing Framework (PPF) defines the technical medium that GTS uses to

communicate with the US Customs offices.

SPRO → SAP Global Trade Services → SAP Customs Management → General Settings → Communication

Processes → Define Techn. Medium for Msgs (PPF Actions) from Cust.Shipm. and Cust.Decl.

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UPLOAD Action Definition

Process Type

SPRO → SAP Global Trade Services → SAP Customs Management → General Settings → Communication

Processes → Define Conditions and output Parameters for Comm. of Cust. Ship. & Cust. Dcl

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5.6 Check Electronic Messages

Double-check Electronic Message ID

These are electronic messages that GTS uses to communicate with the US customs authorities as the customs

declaration.

In transaction SM31, call the view “/SAPSLL/V_TLEEME” in maintenance view for the message scheme

“CUS_US”:

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UPLOAD To display the details of electronic message ID, select the message ID and click “Details”. To change the

customizing of electronic message ID, highlight the message ID and click “Display → Change” to edit.

Make sure the electronic message ID (AES2) to the US customs authorities is configured as shown in the

screenshot below:

Check Message Definitions

SPRO → SAP Global Trade Services → SAP Customs Management → General Settings → Communication

Processes → Define Messages for Communication Processes

Search for the message M0410 – Export Declaration Option 2 (US).

Find the message M0410 – Export Declaration Option 2 (US) and double click on it.

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Make sure all the values of the fields are maintained as shown below:

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UPLOAD Then, verify the messages I1560 - Commodity Shipment Filing Response (US) and I1570 - Commodity

Shipment Warning Response (US).

I1560:

I1570:

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UPLOAD If you need to print the Shipper’s Export Declaration (SED), check out the message P0360 and verify all the

settings. Perform the same action to other printing documents needed.

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UPLOAD Verify the Function Module for Incompletion Checks

The incompletion schema should be configured to use the function module

“/SAPSLL/CHECK_US_CUS_AES2”. This can be checked with the menu path:

SPRO → SAP Global Trade Services → SAP Customs Management → General Settings → Document

Structure → Control Incompleteness Checks in Customs Shipments and Customs Declarations

5.7 Customs Management Service Control

You specify the possible status, status sequence and time zone for the authorizations. You also assign process

template to a legal regulation.

SPRO → SAP Global Trade Services → SAP Customs Management → “Customs Processing” Service →

Control Settings for “Customs Processing” Service

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5.8 Set Up the Process Flow for Customs Processing with AES

In order to declare export goods with the US government electronic customs system, Automated Export

System (AES), you must define a process flow that allows you to electronically communicate with the US

customs authorities. The process template is where electronic messages are attached for entering and sending

a Customs Export Declarations. If your export declaration is accepted, the customs authorities send you a

confirmation with a registration number (confirmation number).

Define Process Template

You assign the message schema “CUS_US” for electronic messages to this process template.

SPRO → SAP Global Trade Services → SAP Customs Management → General Settings → Communication

Processes → Define Control Settings for Communication Processes

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UPLOAD Define Processes

Define communication process with customs authorities, for example “CUSEX” for US export.

Define Activities

You can logically group messages into activities for the chosen process. In the example below, one activity

(CUSEX) is set up for electronic messages and another one (CUSE2) for printed messages.

Assign Messages to Activities

You assign messages to activities. The screenshot below shows that messages for electronic communication

with AES are assigned to the activity “CUSEX”.

If you chose to have a single activity for the US export process, add the printed messages into this activity as

well. If you prefer having another activity for all the printed messages, assign those printed messages to that

separate activity.

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Define Activity Sequences

You define the activity execution order in the Subsequent Activities level. The example below shows that the

process of electronic messages (CUSEX) is followed by the printed messages (CUSE2). In another words,

the printed messages will not be executed until the process of electronic messages is completed.

The drawback of this kind of customizing is that you will not be able to process the printed messages until

the first activity is finished. If you do not like it, you have the option to configure a single activity with both

electronic and printed messages.

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Define Fall-back Activities Sequence

Here, you define the default activity sequence in case the AES system is down, or the communication

between GTS and AES is broken. The example shown here indicates that printed messages are the fall-back

process.

5.9 Define Rules for Message Output

Once the PPF is properly configured, it is necessary to tell GTS which messages are expected to appear under

the “Communication” tab of the export declaration. This is specified in default rules of output determination:

SAP GTS Area Menu → SAP Customs Management → Master Data → Default Data → Define Rules for

Output Determination

Select the procedure “COEUS” Messages – Export – U.S. and your legal regulation for US customs exports.

At a very minimum level, you should select the outbound AES message (M0410); plus all the printed

messages you expect to be processed:

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5.10 Customs Code Lists

Define Customs Code List Procedure

The customs code lists are issued by customs offices. You need the customs codes for communications with

customs authorities, and in particular for the exchange of electronic messages. The customs codes are

officially valid values which enable customs authorities to precisely identify goods, means of transport and

other general attributes for import and export processes.

As a first step, a customs code list procedure is created so that custom codes can be assigned to it.

SPRO → SAP Global Trade Services → Customs Management → General Settings → Customs Code Lists

→ Define Procedures for Customs Code List

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UPLOAD Assign Customs Code List

In this step, you select which customs code lists are valid for your legal regulation.

SPRO → SAP Global Trade Services → SAP Customs Management → Customs Code List → Assign

Customs Code Lists Procedure to Legal Regulations

Maintain Customs Code Lists

Maintain values of customs code lists for legal regulations with the following menu path:

SPRO → SAP Global Trade Services → SAP Customs Management → Customs Code List → Maintain

Customs Code Lists for Legal Regulation

Below are the values of the customs code lists “Range of Goods”. Maintain all other lists as needed.

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For the customs code list “Customs Status“, you also need to assign the status to a process and a legal

regulation with the menu path:

SPRO → SAP Global Trade Services → SAP Customs Management → Customs Code List → Assign

Customs Status to a Process and Legal Regulation

5.11 Partner Group

Partner functions are combined in a group for US Exports. The partner function group controls which types

of functions are displayed in the customs declaration.

SPRO → SAP Global Trade Services → General Settings → Partner Structure → Define Groups of Partner

Functions

Select partner group PGCEUS - Partner Group for Export "Customs Processing" - U.S. and then double click

on the folder “Assign Partner Functions”. Make sure you have all the partner functions included as per the

screenshot below:

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Please note that the latest mapping update from Seeburger supports the AES self-filer with employed

forwarding agent scenario in SAP GTS 7.2. To customize the scenario, you need to make sure:

a) The Carrier has the partner function (SP by default) with the partner function type CUSFRW assigned, as

the SCAC/IATA code in customs declaration is taken from the business partner master data of the Carrier.

b) The Forwarding Agent has the partner function (CUSSTP by default) with the partner function type

CUSSTP assigned.

c) The partner function SP and CUSSTP are in the partner function group PGCEUS.

Please refer to SAP Note 1492664 on detailed explaination.

As a summary, SAP GTS 7.2 supports the following AES filing scenarios:

1) AES self-filer without forwarding agent

2) AES self-filer with employed forwarding agent (new in GTS 7.2)

However, SAP GTS 7.2 does not support the following AES filing scenario:

3) Forwarding Agent filing on behalf of USPPI (U.S. Principle Party in Interest)

5.12 Document Type

Define Document Type

Define the document type for Export Customs Processing services in SAP GTS Customs Management.

SPRO → SAP GTS → SAP customs management → General setting → Document Structure → Define

Document Types

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Activate the Document Type

Activate the document type for Export Customs Processing services in SAP GTS Customs Management.

SPRO → SAP GTS → SAP customs management → General setting → Document Structure → Activate

Document Types

Assign the Document Type from Feeder Systems

Assign the document type for Export Customs Processing services in SAP GTS Customs Management to

document types from feeder system at Feeder System or Feeder System Group Level.

SPRO → SAP GTS → SAP customs management → General setting → Document Structure → Assignment

of Document Types from Feeder Systems

In the pop-up, select application level SD0C and enter the document type from the Feeder System or Feeder

System Group that triggers the creation of the export customs declaration in GTS:

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Define Item Category

Define the item category for Export Customs Processing services in SAP GTS Customs Management.

SPRO → SAP GTS → SAP customs management → General setting → Document Structure → Define Item

Categories

Assign Item Category

Assign the item category for Export Customs Processing services in SAP GTS Customs Management to an

item category from a Feeder System or Feeder System Group.

SPRO → SAP GTS → SAP customs management → General setting → Document Structure → Assignment

of Item Categories from Feeder Systems

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5.13 Setup Communication Process

The following steps are used to customize how the outbound IDocs are sent out of GTS to the EDI adapter

and from there to the authorities, and vice versa for the inbound IDocs.

RFC Destination

First, create a RFC destination of Connection Type “TCP/IP” with the transaction SM59.

Port

In transaction WE21, create a port in the folder “Transactional RFC” with reference to the RFC destination

defined above:

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Partner Profile

In transaction WE20, create a partner profile under the “Partner Type GP” for each customs office you plan

to communicate with. The port for each customs office should have the outbound message type

“/SAPSLL/CUS_EXP” assigned:

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UPLOAD Also in transaction WE20, create a partner profile under the Partner Type GP for the IDoc adapter, such as

Seeburger. Only one partner profile is needed for the IDoc adapter. The port for the adapter must have the

inbound message type “/SAPSLL/CUS_INBOUND” assigned:

5.14 Print Control for Documents

The following steps are used to customize the print control that enables you to create and print the Shippers

Export Document. Other customs-relevant foreign trade documents can be customized in the same manner.

SPRO → SAP Global Trade Services → SAP Customs Management → General Settings → Communication

Processes → Print Control for Foreign Trade Documents

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5.15 Message and Printer Determinations

The messages will be assigned to a legal regulation as well as a document type which is essential for the

message determination in the customs document. Without this definition, the message does not appear in the

customs document.

Transaction code: /SAPSLL/PRNDT1 or the menu path:

SAP GTS Area Menu → SAP Customs Management → Customs Processing - Import/Export

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Message Parameters → Message Determination

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UPLOAD GTS uses the legal unit and user ID to determine which output device to use for printed messages. If you

have specified this information, the printer name displays next to the printed message in the customs

declaration under the “Communication” tab.

Message Parameters → Printer Determination

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UPLOAD 5.16 Defaulting Data

Based on the business rules, GTS allows you to default data when generating customs documents in customs

management. Defaulting data significantly speeds up the process of creating customs declaration documents.

SPRO → SAP Global Trade Services → SAP Customs Management → General Settings → Procedures for

Defaulting Data → Define Default Data for Document Fields, Messages, and Documents

Default Rules

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UPLOAD Once the rules are defined in the customizing, business user can set the declaration default values from the

GTS Area Menu based on the procedure and legal regulation.

Below is an example of how to default the office of departure based on the Foreign Trade Organization and

the Legal Unit

SAP GTS Area Menu → SAP Customs Management → Master Data → Default Data → Define Rules for

Default Document Data

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UPLOAD 5.17 Sample IDoc of Customs Declaration

Here is a sample outbound EDI message (X12 601) to the AES:

Note:

The transmitter ID (EIN) and password have been blacked out in the sample files for security reason.

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UPLOAD Here is a sample inbound EDI (X12 824) message with acceptance status from AES.

Here is a sample inbound EDI (X12 824) message with rejection status from AES.

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6. Comments and Feedbacks

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