GHI, Inc. is a U.S.-based company with an expanding product line. GHI widens its sourcing of components to global suppliers, including suppliers in countries which are not included in trading blocs or bilateral agreements with the United States.
Compliance with which of the following will MOST likely reduce GHI’s administrative burden of cargo inspections on materials imported from these sources?
A . United Nations Convention on Contracts for the International Sale of Goods (CISG)
B . Foreign Corrupt Practices Act (FCPA)
C . Global Environmental Management Initiative (GEMI)
D . Customs-Trade Partnership Against Terrorism (C-TPAT)
Answer: D
Explanation:
GHI, Inc. would benefit most from compliance with the Customs-Trade Partnership Against Terrorism (C-TPAT) (Option D). This initiative helps reduce the administrative burden of cargo inspections by establishing security guidelines and facilitating faster customs processing for participating companies. By aligning with C-TPAT, GHI can ensure smoother import procedures, even when dealing with countries outside of specific trading blocs.
Reference: U.S. Customs and Border Protection information on C-TPAT.
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