Survey of Mid-Market Companies Highlights Good News/Bad News for U.S. Exporters

A new white paper released today by Amber Road found that mid-market companies are increasingly at risk for violating U.S. export regulations. This is especially concerning because U.S. export volumes are on the rise. According to a recent U.S. Bureau of Economic Analysis report, U.S. exports grew 7.7% from January 2011 to January 2012.

Amber Road surveyed 150 mid-market companies about their export compliance processes. They found that 23% do not screen for restricted parties prior to engaging with trading partners and customers, and only 41% have a comprehensive export compliance program in place. Not surprisingly, survey respondents pointed to a lack of executive sponsorship as a primary reason for their companies’ trade compliance deficiencies.

To learn more, read the full press release, or download a copy of the white paper.


US-South Korea FTA Goes into Effect Tomorrow!

The US–South Korea Free Trade Agreement will go into full effect tomorrow, March 15, 2012.  With this FTA, roughly 80% of US exports of industrial products to South Korea will be duty free, while two-thirds of US exports of agricultural products will also become duty-free.

The International Trade Commission estimates that the reduction of South Korean tariff and non-tariff quotas on goods alone will add between $10 and $12 billion to the annual US GDP, and around $10 billion to annual merchandise exports to South Korea.  According to Ron Kirk, Ambassador of the U.S. Trade Representative, once the agreement goes into effect, it will open up South Korea’s $1 trillion economy and strengthen our economy’s partnership with a key Asia Pacific Ally.  To read more about the new free trade agreement, click here.

Is your company prepared to take advantage of this duty-saving opportunity?

The most common reason companies do not take advantage of FTAs is the administrative burden of identifying applicable FTAs and qualifying products. With over 100 FTAs in place around the world, manually administering trade agreements is understandably difficult. Global Trade Management solutions, however, can help you manage the solicitation and qualification process with your suppliers.

To find out how your company can automate this complex process and take advantage of the US-South Korea Free Trade Agreement, check out Amber Road’s Trade Agreement Management solution.

New Trade Enforcement Agency Established

President Obama recently signed an executive order, establishing the Interagency Trade Enforcement Center (ITEC) within the U.S. Trade Representative (USTR).  The Obama administration is aimed at doubling exports by the year 2015, and this new agency will help facilitate that goal.

According to Ron Kirk, Ambassador of USTR, the ITEC is among the most significant commitment of resources and expertise since the establishment of the USTR. The purpose of the Interagency Trade Enforcement Center will be to coordinate U.S. trade rights under international agreements, monitor unfair trade practices, as well as identify and eliminate foreign trade barriers. These tasks will hopefully curb the production of counterfeit and unsafe goods and improve market access for U.S. exporters. The ITEC will also strengthen trade enforcement of intellectual property laws.

Chairman of the House Trade Working Group, Rep. Mike Michaud (D-Maine), said, “Signing this order brings us one more important step closer to the level of trade enforcement we need to counter the predatory practices of countries like China.”

Based on the signed executive order, the mission and function of The Interagency Trade Enforcement Center will be to:

(a) serve as the primary forum within the Federal Government for USTR and other agencies to coordinate enforcement of U.S. trade rights under international trade agreements and enforcement of domestic trade laws;

(b) coordinate among USTR, other agencies with trade related responsibilities, and the U.S. Intelligence Community the exchange of information related to potential violations of international trade agreements by our foreign trade partners; and

(c) conduct outreach to U.S. workers, businesses, and other interested persons to foster greater participation in the identification and reduction or elimination of foreign trade barriers and unfair foreign trade practices.

Amber Road Launches, a Free Cloud-based Portal for Global Trade

Amber Road, a leading provider of Global Trade Management solutions, announces the launch of its latest trade compliance product, is a suite of nine different research tools that helps companies import and export goods more quickly and affordably, while staying compliant with country specific trade regulations. will enable users to instantly perform numerous global trade activities including: restricted party screening, product classification, and landed cost calculations. What used to require hours of manual interpretation of trade rules is now an automated process achieved instantly via

Sign up now on

Upcoming Trade Compliance Webinar – Oil & Gas Industry

Join World Trade 100 and Amber Road (formerly Management Dynamics, Inc.) on Thursday December 15th at 2 PM EST for a complimentary webinar, Global Trade Compliance in the Oil & Gas Industry: A Case Study with Weatherford.

Global trade experts will explain the importance of automating trade compliance processes and the difficulties oil and gas companies face, as well as present recent developments in the industry. By attending this webinar, you will walk away with:

-  A better understanding of the export compliance challenges oil and gas companies are facing
-  Various strategic considerations to think about when implementing an automated trade compliance solution
-  Best practices you can use to improve your company’s export compliance processes

Speakers will include:
Scott Byrnes, Vice President of Marketing, Amber Road (formerly Management Dynamics, Inc.)
Natalia Shehadeh, Director of Trade Compliance, Weatherford
Scott Johnston, Attorney, Specializing in U.S. Import/Export Law, Givens & Johnston, PLLC

Join us and find out how you can automate your trade compliance process!

Management Dynamics Changes Name to Amber Road!

New Name Marks Continued Growth and Evolution for Global Trade Management Leader

Management Dynamics, a leading provider of Global Trade Management solutions, today announced that it has changed its name to Amber Road.  The name change comes during a year of rapid expansion, marked by a 40% growth in employees, a 325% increase in European bookings, and the opening of a flagship office in Tysons Corner, Virginia.  This breakout year is anchored by a 33% compound annual growth rate (CAGR) in overall revenue for the past decade.

“Today, our SaaS-based solutions span fourteen software products that include global transportation management, import/export compliance, supplier management, supply chain visibility and a content knowledgebase covering trade regulations and tariffs for more than 120 countries, “  said Jim Preuninger, CEO.

To learn more, please read the full press release or visit


Management Dynamics FTA Solution Poised to Assist Importers and Exporters to Capitalize on Reduced Duties

On October 12, the United States Congress ratified several landmark free trade agreements (FTAs) with South Korea, Colombia and Panama. While still awaiting the President’s signature, which is expected, these agreements are sure to usher in a new level of trade activity with these countries.

Proponents list a host of benefits from FTAs, including:

- Expanded access to markets for both goods and services

- Greater protection of intellectual property rights, and a

- Growth in jobs that would accompany the opening of new markets

Taking this into consideration, Management Dynamics offers a comprehensive Free Trade Agreement (FTA) management solution that provides solicitation and qualification in order to determine if a company’s product is eligible for preferential treatment. This can have a significant impact on the applicable duties for their products resulting in reduced total landed costs.

To learn more about the Free Trade Agreement Solution, read the full press release here.

BIS Publishes New “Best Practices” for Exporters

The U.S. Department of Commerce’s Bureau of Industry and Security (BIS) recently released a new set of best practices that are aimed at helping exporters, re-exporters and freight forwarders guard against the diversion of dual use items shipped to a transshipment hub.  While transshipments are a growing part of international trade and offer many benefits, they can be used illegally to either disguise the final destination or divert trade to unauthorized end users.

The new set of best practices encourages exporters to maintain strong internal compliance strategies, conduct focused outreach, and continuously raise awareness of export control regulations and obligations.

The following is a summary of the best practices published by BIS:

- Companies should pay attention to the Red Flag Indicators on the BIS website.

- Companies should seek to utilize Trade Facilitators that administer sound export management and compliance practices.

- Companies should “know” their foreign customers – by obtaining detailed information to measure the risk of diversion.

- Companies should avoid routed transactions when exporting and facilitating the movement of dual-use items.

- When the Destination Control Statement (DCS) is required, companies should provide the appropriate Export Control Classification Number (ECCN) and the final destination where the item(s) are intended to be used.

- Companies should provide the ECCN or the EAR99 classification to freight forwards, and should report this information in AES.

- Companies should use information technology to the maximum extent feasible to augment “know your customer” and other due-diligence measures.

For more detailed information, please read the full article.


Management Dynamics Releases New Version of On-Demand Export Compliance Solution

Enhanced Restricted Party Screening and License Determination and Management among New Features

Management Dynamics today announced the release of Export On-Demand 1.2, its export compliance solution for small and medium-sized exporters. The new release provides for enhanced compliance screening and management of export licenses. Easily configured and deployed in a SaaS-based model, Export On-Demand can be implemented in a modular fashion without the cost and expense of an on-premise solution.
“This latest release of Export On-Demand improves support for global exporters with enhanced embargo and restricted party screening, as well as a new license determination and management module,” stated Nathan Pieri, senior vice president, marketing and product management for Management Dynamics. “The modularity of Export On-Demand allows our clients to first establish a foundation by managing product compliance and screening parties, then adding successive capabilities such as global license management, document generation and filing.”
To learn more about the features available in Export On-Demand 1.2, read the full press release.

An Update on NEI and the Control Angle from BIS

Was recently at BIS Update and wanted to share what is new on the National Export Initiative.

What NEI Is

On March 11 of this year, President Barak Obama signed the National Export Initiative Act (NEI) ( as an Executive Order, thus following up on his January State of the Union promise to double U.S. Exports within five years and create new NEI-related jobs. The Act Designated a top-level Export Promotion Cabinet—composed of Secretaries of the Cabinet and all relevant Department Directors—to develop and coordinate NEI’s implementation.

  • A month later Defense Secretary Robert Gates outlined the Obama administration’s proposed reforms of the U.S. export control system, which included:
  • The creation of a single export control list by consolidating the U.S. munitions and commerce control lists to provide a single, frequently- updated listing of unrestricted trading partners
  • The establishment of a single export licensing agency with jurisdiction over both defense articles and dual-use items and technologies to streamline the review process and enhance consistency in licensing approvals
  • The creation of a single enforcement coordination agency to strengthen global enforcement, and enhance cooperation and coordination with the intelligence community
  • Develop a single, unified IT infrastructure that would receive, process and help screen new license applications and end-users to reduce the redundancies, incompatibilities, and costs
  • Encourage and assist small business exports.

Among other priorities included were federal export assistance, trade missions, increasing export credit, enforcement of intellectual property rights, increased coordination between government agencies and collaboration with the private sector and export promotion of services.

And… it seems like there is actually a plan behind this to make it work…

UPS–On February 19, the Commerce Department announced a partnership with UPS to increase trade by identifying small-and medium-sized companies that currently export to a single market. UPS will then analyze company data to recommend new markets based on industry, geography, currency, and market access opportunities. From there, the U.S. companies will be directly connected with trade specialists from the Commercial Service (part of Commerce’s International Trade Administration), to design targeted strategies to identify new market opportunities and increase customers in existing markets.

Since the president announced the NEI, the Department of Commerce’s Advocacy Center has assisted American companies competing for export opportunities, supporting $11.4 billion in exports and an estimated 70,000 jobs. The department’s commercial service officers stationed around the world have helped more than 2,000 companies generate $3.8 billion worth of exports. To date, the Commerce Department has coordinated 18 trade missions with over 160 companies to 24 countries.

The USPS–In July, the U.S. Postal Service’s Global Business team announced the launch of a New Market Exporter Initiative with the Department of Commerce’s International Trade Administration and U.S. Commercial Service to help USPS small to medium-size business customers expand their reach to international markets by offering logistics expertise and other support resources.