The transition period for companies to adopt Import Control System 2 (ICS2) is underway. ICS2 aims to enhance risk assessment and prevent illegal shipments from entering the EU. For air cargo, a pre-loading declaration will soon be mandatory before goods are loaded onto the aircraft. Other transport modes, such as maritime, road, rail and postal shipments will require a pre-arrival declaration before reaching the EU border.

Luis Pimentel, the CEO and Chairman of Feeport, highlights the significance of ICS2 for e-commerce, as around 4.6 billion low-value consignments (worth €150 or less) reached the EU in 2024, twice the volume of the previous year. This rapid growth in the number of shipments has made it more difficult for customs authorities to conduct inspections effectively. Launched in 2021, Feeport’s neutral SaaS platform – x7trade – provides ENS-ICS2 compliance and automated customs clearance of bulk B2C e-commerce imported into the EU from the 3rd countries. 

As e-commerce imports increase, ICS2 will act as a data-driven mechanism to guarantee that all the imports are properly declared, screened for compliance risk and processed smoothly before entering the EU. In order for this system to reach the full potential, it has to be consistently applied across all transport modes and EU member states. If the implementation is fragmented, some entry points could become vulnerable, decreasing the system’s effectiveness. Pimentel emphasized that uniform enforcement would enable ICS2 to advance trade security, minimize disruptions and make the import process more predictable. 

The Entry Summary Declaration (ENS) filing is required for all cargo entering the EU and includes transport and parcel-specific information (e.g. buyer, seller, product description). Before ICS2 it was almost impossible to provide such detailed data when shipment volumes are high. However, now due to a well-structured system, different supply chain actors can complete their respective parts of the ENS. The combination of information submitted on parcel-level by house filers and flight-level by airlines, creates a complete ENS. The technical coordination between these stakeholders is indeed crucial, but the industry has already developed effective practices to make sure that each actor fulfils their role efficiently.  
Pimentel outlined that this enhanced system improves the efficiency of cross-border trade, since it strengthens customs risk assessment, reinforces the security of supply chain and ensures e-commerce shipments fully comply with the EU regulations.  

A key challenge for companies complying with ICS2 is handling large shipment volumes while providing accurate data in line with EU requirements. Many businesses struggle with maintaining proper product description and HS codes leading to misdeclarations, penalties and delays.

Starting from April 1st 2025, the European Union will enforce stricter rules on goods description and trader details in customs declarations. Pimentel explained that vague product descriptions or incomplete trader details may now lead to rejection. Terms like “household goods” or “accessories” will no longer be accepted, as the EU has published a stop word list, and any declaration containing these words will be automatically rejected. Non-compliance could result in shipment delays, penalties and additional costs. That is why businesses need to make sure their declarations meet these new requirements, highlighting the crucial role of automation and efficient data management in the constantly changing customs environment. 

The inconsistent enforcement of ICS2 across the EU member states undermines its effectiveness, creating security vulnerabilities, unfair competition and logistical inefficiencies. Businesses that invest in compliance face disadvantages when others can work under implementation at certain EU entry points. Pimentel states that the biggest risk lies in trade security, when some EU countries apply ICS2 rigorously while others do not. Illegal shipments can enter through weaker borders and move freely in the EU. He emphasizes that ICS2 can only fulfill its purpose of modernizing customs processes and strenghtening security if enforcement is consistent across all the member states.  

Another risk of inconsistency is that the EU may lose its competitive advantage in global trade. Uneven implementation causes disparities among countries and regions that creates uncertainty for businesses. As global customs regulations become increasingly data-driven, businesses that prioritize automation will be better equipped to navigate evolving trade rules and maintain efficient cross-border operations. 

Businesses need to take actions instead of waiting for full enforcement to cause disruptions. Staying ahead with proactive compliance helps to prevent delays, penalties and operational risks. Adopting automation and reliable customs compliance solutions is crucial for ensuring smooth cross-border trade in the constantly changing regulatory environment.  
Pimentel highlights that platforms like Feeport’s platform x7trade simplify ICS2 compliance and e-commerce customs clearance. As a neutral, cloud-based solution, x7trade automates ENS submissions, validates customs data and monitors comliance. This ensures businesses can efficiently meet ICS2 requirements without any disruption. By identifying errors in real-time and seamlessly integrating with logistics workflows, x7trade helps businesses to minimise delays and escape compliance risks.  

This article was originally published by Air Cargo Week on March 24, 2025.
Original source.