MUTUAL RECOGNITION ARRANGEMENT (MRA) OF AUTHORIZED ECONOMIC OPERATOR (AEO) BETWEEN ROYAL MALAYSIAN CUSTOMS DEPARTMENT (RMCD) AND JAPAN CUSTOMS ADMINISTRATION RMCD NOTIFICATION OF MRA IMPLEMENTATION The implementation of MRA of AEO programs with Japan will commence on 1st March, 2015. The implementation of mutual recognition with Japan means that for Malaysian AEO Accredited status will be taken into account during the risk assessment of Customs clearance procedures in Japan by following the procedure described as below: In order to obtain the benefit from MRA implementation in Japan, Malaysian AEOs are required to inform their business partners in Japan of the AEO Identification Code. The Malaysian AEO Identification Code is created through AEO system by default. In order to obtain the benefit from MRA implementation in Malaysia, Malaysian importers and exporters are required to ask their Japanese AEO business partners’ Identification Code. Benefit of MRA in Japan The Export goods from Japan to Malaysian AEO can have benefits if the Malaysian AEO Identification Code is declared in the submission of export declaration in Japan. The Import goods from Malaysian AEO to Japan can get benefits if the Malaysian AEO Identification Code is declared in the submission of import declaration in Japan. Benefit of MRA in Malaysia The import goods from Japanese AEO Exporter can enjoy benefits of the MRA when MRA Customs import clearance procedures in Malaysia are applied. The export goods to Japanese AEO Importer can enjoy benefits of the MRA when MRA Customs export clearance procedures in Malaysia are applied. MRA Customs Clearance Procedures in Malaysia The Japanese AEO Identification Code (14-digits) should be declared in the submission of export declaration in Malaysia. The Japanese AEO Identification Code (14-digits) should be declared in the submission of import declaration in Malaysia. Conversion of the Japanese AEO Identification Code Malaysia importer/exporter who has trade with Japanese AEO exporter/importer should ask the 12-digit Identification Code (Reference 1) from their Japanese AEO business partners. The 12-digit code have to be converted to 14-digit code based on the following rule (Reference 2) and subsequently the 14 digit code need to be declared in the Malaysian Customs Clearance Forms. Reference 1: The structure of Japanese AEO code (12-digits) 1st digit : 0 - 9, or P (1 digit) 2nd to 8th digit : Alphanumeric Serial Number (7-digits) 9th to 12th digit : Identification Number (Headquarters or Branch Office) (4-digit) Reference 2: The rule to convert from 12-digit code to 14-digit for MRA 1. Add “JP” in front of Japanese AEO Code (12-digit), E.g.: “P00123AB0000” → “JPP00123AB0000” Example of Conversion from Japan AEO Identification Code to Malaysian MRA Identification Code : Japan AEO Identification Code (12 digits) Digit Data Elements Example 1 2 3 An P 4 5 6 7 8 Alphanumeric serial number (7 digits) 0 0 1 2 3 A B 9 10 11 12 n n n n 0 0 0 0 12 13 14 0 0 0 Malaysian MRA Identification Code (14 digits) Digit Data Elements Example 1 2 3 4 5 Country Code J P 6 7 8 9 10 11 Code for Japanese AEO Identification Code (12 digits) P 0 0 1 2 Note: Add “JP” in front of Japanese AEO Code (12-digit) 3 A B 0 Export from Malaysia to Japan Japan Malaysia AEO Exporter Malaysian AEO AEO Importer Japanese Non-AEO Benefit of AEO Benefit of MRA Compliance-reflected inspection/examination AEO Exporter AEO Importer Malaysian Non-AEO Japanese Non-AEO Flowchart of Export Goods Import from Japan to Malaysia Japan Malaysia AEO Exporter Malaysian AEO AEO Importer Japanese Non-AEO Benefit of AEO Benefit of MRA Compliance-reflected inspection/examination AEO Exporter AEO Importer Malaysian Non-AEO Japanese Non-AEO Flowchart of Import Goods Please contact the AEO Secretariats below for further information and inquiries. Address: AEO Secretariat Royal Malaysian Customs Department Royal Malaysian Customs Headquarters Trade Facilitation and Industries Branch Customs Division Level 4 North, Ministry of Finance Complex No. 3, Persiaran Perdana, Presint 2, 62596 Putrajaya, MALAYSIA. Contact Persons: Puan Jamilah binti Hamid Email : jamilah.hamid@customs.gov.my Tel : 03 8882 2650 Tuan Abdun Nasir bin Iman Email : abdunnasir.iman@customs.gov.my Tel : 03 8882 4812 Tuan Kamal Baharin Bin Thasah Email : kbaharin.thasah@customs.gov.my Tel : 03 8882 4856