As defined by the World Customs Organization (WCO), an Authorized Economic Operator is "a party involved in the international movement of goods in whatever function that has been approved by or on behalf of a national Customs administration as complying with WCO or equivalent supply chain security standards." This definition comes from the WCO SAFE Framework where there is a tenet to create a set of international standards in regards to supply chain security to promote uniformity and predictability across Customs organizations.
Who can apply for AEO status in the EU?
Any legal entity established in the European Union (EU) that is involved in activities covered by customs legislation and forming part of the international trade (trade outside of the EU) supply chain can apply for AEO status. This includes logistics operators, freight forwarders, customs agents, importers, exporters, manufacturers, ports, etc.
What are the types of AEO status available?
In the EU, there are 3 specific types of AEO status available to organizations:
- Customs Simplification or AEO-C: Issued to any economic operator established in the Community who fulfills the criteria of customs compliance, appropriate record-keeping standards and financial solvency
- Security and Safety or AEO-S: Issues to any economic operator established in the Community who fulfills the criteria of customs compliance, appropriate record-keeping standards, financial solvency, and maintains the appropriate security and safety standards
- Customs Simplification/Security & Safety or AEO-F: Issued to any economic operator established in the Community who fulfills the criteria of customs compliance, appropriate record-keeping standards, financial solvency, maintains appropriate security and safety standards, and who wants to receive all benefits of having AEO status.
What are the benefits of obtaining AEO status?
Becoming AEO certified will provide an organization with benefits such as expedited cargo releases, reduced transit times, access to special measures during time of trade disruptions or elevated threats, and priority during product checks. Recognition will allow organizations to have their consignments moved quickly through Customs. An AEO status will be recognized as a secure and safe business part and will lead to improved relations with Customs. |
