In response to the recent US Federal Government budget sequestration, which went into effect on March 1, 2013, US Customs and Border Protection (CBP) issued a letter to the travel and trade industry colleagues. This letter provides information on how the budget cuts are likely to affect their operations, and to enable the trade and travel industry to make plans to minimize their impact on businesses and the public. Under the sequestration, CBP will be required to reduce expenditures significantly during the remainder of the 2013 fiscal year.
The sequestration cuts will include furloughs, reductions on overtime and a hiring freeze which would equate to the loss of several thousand CBP officers at ports of entry, along with significant cuts to their operating budgets and programs. CBP is committed to working together with the trade and travel industry to manage the impact these cuts will have on their mission and on the industries.
CBP also remains committed to doing everything to minimize risks and mitigate the impact of these cuts, with expected potential negative impacts to increase while cross-border travel and trade increase entering into peak travel season. For a full breakdown of the guidance and principles mentioned in the letter, click here.
Stay tuned here on Integration Point’s Global Trade News Blog for further information on how the sequestration will affect members of the trade and travel industry.