This commentary appeared in the print edition of the Jan. 6, 2020, Journal of Commerce Annual Review and Outlook.
For global trade, automation has changed everything, opening up possibilities barely imagined before. Trade moves faster. Communication is nearly instantaneous. The Internet of Things, AI, and blockchain are already revolutionizing trade, and this is just the beginning. Yet, paradoxically, with each leap forward, trade becomes no less complex. In fact, automation has created ever more elaborate supply chain networks with dizzying cross-border movements to produce a single product.
At the same time 21st-century technology transforms the way we do business, global trade finds itself whipsawed by 20th-century trade wars, requiring skill and creativity to navigate an often treacherous course. Amid this turmoil, customs brokers remain a steady, knowledgeable presence at the center of it all. If these challenges have taught us anything, it is that the customs broker’s role is now more vital than ever. Both the automation challenges and the trade wars underscore the importance of having well-educated and well-informed customs brokers. That is why NCBFAA strongly supports continuing education throughout every customs broker’s career.
NCBFAA continues to watch other developments that impact our world, such as the explosion of e-commerce and the challenge for CBP to identify high risk shipments. CBP’s Section 321 data pilot is an interesting approach to test the feasibility of requiring data from different types of unregulated parties, such as online platforms or foreign freight forwarders.
In the 1960s movie The Graduate, there was one whispered word of advice to the young graduate on future opportunities: “Plastics.” Today, the whispered word to young graduates coming into the trade space has to be: “Data.”
Data is the lifeblood of our work. It fuels the powerful automated tools that transform our world. Yet, all the cutting-edge technology and algorithms in the world are worthless without quality data. That is why data must come from reliable parties with expertise and accountability — because good data matters.