Notice2026-10979

Announcement of the National Customs Automation Program (NCAP) Test Regarding Pipeline Global Interoperability Standards for Crude Oil

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Published
June 2, 2026

Issuing agencies

Homeland Security DepartmentU.S. Customs and Border Protection

Abstract

This notice announces that U.S. Customs and Border Protection (CBP) will conduct a National Customs Automation Program (NCAP) test of a new method of data collection, including the collection of new data, for crude oil transported via pipeline into the United States. The Pipeline Global Interoperability Standards Test will utilize data transmitted to the Automated Commercial Environment (ACE) using unique entity identifiers and tamper-proof credentials documenting the movement (including ownership changes) of Canadian and Mexican crude oil for CBP review in near real time. This notice provides a description of the test, gives instructions regarding public involvement, and invites comments on all aspects of the test.

Full Text

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<title>Federal Register, Volume 91 Issue 105 (Tuesday, June 2, 2026)</title>
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[Federal Register Volume 91, Number 105 (Tuesday, June 2, 2026)]
[Notices]
[Pages 32985-32991]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2026-10979]


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DEPARTMENT OF HOMELAND SECURITY

U.S. Customs and Border Protection


Announcement of the National Customs Automation Program (NCAP) 
Test Regarding Pipeline Global Interoperability Standards for Crude Oil

AGENCY: U.S. Customs and Border Protection, Department of Homeland 
Security.

ACTION: General notice.

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SUMMARY: This notice announces that U.S. Customs and Border Protection 
(CBP) will conduct a National Customs Automation Program (NCAP) test of 
a new method of data collection, including the collection of new data, 
for crude oil transported via pipeline into the United States. The 
Pipeline Global Interoperability Standards Test will utilize data 
transmitted to the Automated Commercial Environment (ACE) using unique 
entity identifiers and tamper-proof credentials documenting the 
movement (including ownership changes) of Canadian and Mexican crude 
oil for CBP review in near real time. This notice provides a 
description of the test, gives instructions regarding public 
involvement, and invites comments on all aspects of the test.

DATES: The Pipeline Global Interoperability Standards Test will 
commence on July 2, 2026, and will run for one year, subject to any 
extension, modification, or early termination as announced in the 
Federal Register.

[[Page 32986]]

Parties should contact CBP to indicate their interest in participating 
in the test beginning on June 2, 2026. Parties may join the test at any 
point until the test concludes. Public comments on the test are invited 
and may be submitted to the email address set forth below at any time 
during the test period.

ADDRESSES: Comments and questions concerning this notice, or any aspect 
of the test, may be submitted at any time before or during the test 
period via email to the Trade Modernization Division, Trade Programs, 
Office of Trade, U.S. Customs and Border Protection, at 
<a href="/cdn-cgi/l/email-protection#adc2d9c4c3c3c2dbccd9c4c2c3edcecfdd83c9c5de83cac2db"><span class="__cf_email__" data-cfemail="bbd4cfd2d5d5d4cddacfd2d4d5fbd8d9cb95dfd3c895dcd4cd">[email&#160;protected]</span></a>, with the subject line reading ``Comments/
Questions on Pipeline Global Interoperability Standards Test.''

FOR FURTHER INFORMATION CONTACT: For test-related questions, contact 
Marie Williams, Innovation Branch Chief, Trade Modernization Division, 
Trade Programs, Office of Trade, U.S. Customs and Border Protection, at 
202-841-4859 or via email at <a href="/cdn-cgi/l/email-protection#eea38f9c878bc0b9878282878f839dae8d8c9ec08a869dc0898198"><span class="__cf_email__" data-cfemail="713c100318145f26181d1d18101c02311213015f1519025f161e07">[email&#160;protected]</span></a>, with the 
subject line reading ``Pipeline Global Interoperability Standards 
Test.''

SUPPLEMENTARY INFORMATION:

I. Background

A. The National Customs Automation Program

    The National Customs Automation Program (NCAP) was established by 
Subtitle B of Title VI--Customs Modernization in the North American 
Free Trade Agreement Implementation Act (Customs Modernization Act) 
(Pub. L. 103-182, 107 Stat. 2057, 2170, December 8, 1993) (19 U.S.C. 
1411). Through NCAP, the thrust of customs modernization was focused on 
informed trade compliance and the development of the Automated 
Commercial Environment (ACE), the successor to the Automated Commercial 
System (ACS). ACE is an automated and electronic system for commercial 
trade processing, which has streamlined business processes, facilitated 
growth in trade, ensured cargo security, and fostered participation in 
global commerce, while facilitating compliance with U.S. laws and 
regulations and reducing costs for U.S. Customs and Border Protection 
(CBP) and all of its communities of interest. The ability to continue 
meeting these objectives depends on successful modernization of CBP's 
business functions and the information technology that supports those 
functions. CBP's modernization efforts are accomplished through phased 
releases of ACE component functionality, which update the system and 
add new functionality.
    Sections 411 through 414 of the Tariff Act of 1930 (19 U.S.C. 1411-
1414), as amended, define and list the existing and planned components 
of the NCAP (Section 411), promulgate program goals (Section 412), 
provide for the implementation and evaluation of the program (Section 
413), and provide for Remote Location Filing (Section 414). Section 
411(a)(1)(A) lists the electronic entry of merchandise, Section 
411(a)(1)(B) lists the electronic entry summary of required 
information, and Section 411(a)(1)(D) lists the electronic transmission 
of manifest information, as existing NCAP components. Section 
411(d)(2)(A) provides for the periodic review of data elements 
collected in order to update the standard set of data elements, as 
necessary.

B. Crude Oil Tracing Issues

    As a continuous flow commodity, a batch of crude oil (typically 
60,000 barrels or more, and tied to a specific sales contract) travels 
at an approximate speed of 2 miles per hour (mph) through the pipeline, 
and thus can take weeks to travel through the North American pipeline 
network and days to cross the United States border, although 
importation occurs daily as the crude oil crosses into the Customs 
territory of the United States.\1\ The network is comprised of 
pipelines operated by different entities, and batches of crude oil can 
be bought and sold several times after the oil is dispatched and while 
the oil itself is traveling through the network before it reaches the 
United States. Currently, CBP uses a mostly manual process to manage 
the requirements for crude oil transported through pipeline, such as 
tracking the volume of crude oil importations and tracing its origin.
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    \1\ See, e.g., U.S. Customs & Border Protection, Application for 
Further Review of Protest 3401-15-150003; CHS, Inc.; Merchandise 
Processing Fees; Pipeline, HQ H272806 (Customs), 2024 WL 5146576, 
*4, 6 (May 14, 2024) (hereinafter ``HQ H272806'') (citing U.S. 
Customs & Border Protection, Application for Further Review of 
Protest No. 0901-06-100085: Entry Requirements for Natural Gas 
Importations Made via Pipeline from Canada Pursuant to the North 
American Free Trade Agreement; Undecided Post Importation NAFTA 
Claim No. 0901-06-300312, HQ W231489 (Customs), 2008 WL 2971868 (May 
19, 2008) (hereinafter ``HQ W231489''); 19 U.S.C. 1484; T.D. 79-221 
(July 17, 1979), 19 CFR 141.68, 142.2).
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    Historically, importers of record of crude oil imported by pipeline 
filed daily entries for the flow of oil crossing into the United 
States.\2\ In 1970, however, the U.S. Customs Service, CBP's 
predecessor, established a monthly consolidated entry program, which 
began with pilot programs in the Ports of Buffalo and Detroit and was 
then expanded to the entire country, allowing for monthly entry 
processing to handle repetitive, high-volume cross-border shipments of 
non-dutiable merchandise, including non-dutiable crude oil and natural 
gas. U.S. Customs Service, Circular ENT-1-AC (July 1, 1970) 
(hereinafter the ``1970 Circular'').\3\ The monthly entry procedure is 
an arrangement whereby all shipments during a calendar month between 
one shipper and one importer through one port are treated for 
examination, entry and liquidation purposes as a single transaction or 
importation.\4\ Although this program was not created specifically for 
pipelines, it is common practice for pipelines to use the monthly 
consolidated entry process.\5\ And while the monthly consolidated entry 
program is optional, and participation is not required, most importers 
of crude oil choose to participate rather than being required to file 
daily entries.\6\ The 1970 Circular was subsequently clarified with 
additional guidance issued in 1992 and 2006.\7\ In accordance with this 
guidance, the monthly entry must be filed within 10 calendar days after 
the end of the month.\8\
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    \2\ HQ H272806, 2024 WL 5146576 at *3.
    \3\ Entry of Merchandise: Monthly Consolidated Entry, CBP.GOV 
(Jul. 1, 1970), <a href="https://www.cbp.gov/trade/entry-summary/pipeline-monthly-entry-processing/consolidated-entry">https://www.cbp.gov/trade/entry-summary/pipeline-monthly-entry-processing/consolidated-entry</a> (last accessed Jan. 20, 
2026); see also HQ H272806, 2024 WL 5146576 at *3 (describing the 
same).
    \4\ HQ H272806, 2024 WL 5146576 at *6 (quoting 1970 Circular). 
The minimum number of shipments necessary to qualify for monthly 
entry are at least two shipments per week or seven shipments per 
calendar month. Id. (citing 1970 Circular).
    \5\ See 1970 Circular; HQ H272806, 2024 WL 5146576 at *3.
    \6\ See HQ H272806, 2024 WL 5146576 at *6 (noting that while 
``the monthly consolidated entry program is optional, if [an 
importer] chooses to not participate or is unable to participate . . 
. , [the importer would be] required to file daily entries'').
    \7\ See Id. The 1992 clarification is available online. U.S. 
Customs & Border Protection, Requirements for Pipeline Operators, 
CBP.GOV (Dec. 22, 1992), <a href="https://www.cbp.gov/trade/entry-summary/pipeline-monthly-entry-processing/pipeline-directors">https://www.cbp.gov/trade/entry-summary/pipeline-monthly-entry-processing/pipeline-directors</a> (last accessed 
Jan. 20, 2026) (hereinafter ``1992 Guidance''); the 2006 
clarification is available at <a href="https://www.cbp.gov/trade/entry-summary/pipeline-monthly-entry-processing/entry-pipeline">https://www.cbp.gov/trade/entry-summary/pipeline-monthly-entry-processing/entry-pipeline</a>.
    \8\ U.S. Customs & Border Protection, Monthly Entry for 
Pipeline, CBP.GOV (Apr. 10, 2006), <a href="https://www.cbp.gov/trade/entry-summary/pipeline-monthly-entry-processing/entry-pipeline">https://www.cbp.gov/trade/entry-summary/pipeline-monthly-entry-processing/entry-pipeline</a> (``In 
accordance with this guidance, manifests are to be submitted daily, 
and the monthly entry must be filed within 10 calendar days after 
the end of the month.'') (last accessed Jan. 20, 2026) (hereinafter 
``2006 Guidance'').
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    Although pipeline operators (as carriers) are not required to file 
a manifest pursuant to Section 431 of the Tariff Act of 1930, as 
amended, 19 U.S.C. 1431, pipeline operators are

[[Page 32987]]

required to maintain daily manifest records, and those records must be 
provided to CBP upon request in accordance with 19 U.S.C. 1508 and 
1509, and part 163 of title 19 of the Code of Federal Regulations (19 
CFR part 163).\9\
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    \9\ See HQ H272806, 2024 WL 5146576 at *6 (``Entry must be made 
for every importation through a pipeline. See 1992 Guidance. Daily 
manifests are required for pipeline entries. See 2006 Guidance. 
Although pipeline operators are not required to file those manifests 
with CBP, those records are to be made available to CBP upon 
request. See 1992 Guidance.''); 19 CFR 18.31(e) (``Recordkeeping. 
The shipper, pipeline operator, and consignee are subject to the 
recordkeeping requirements in 19 U.S.C. 1508 and 1509, as provided 
for in part 163 of this chapter.'').
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    As background, prior to the late 1980s, the U.S. Customs Service 
monitored crude oil importations using analog meters and manual labor. 
For a given shipment, a U.S. Customs Inspector and pipeline operator 
representative typically met twice, by appointment, to jointly read a 
meter located near the border--once when a shipment began and again 
when it was closed--to establish an agreed upon volume of product for 
which U.S. Customs would require an entry. Throughout the early 1990s, 
industry gradually introduced remote, digital meters to replace the 
analog process. To maintain oversight as these changes occurred, 
individual U.S. Customs ports worked with local pipeline operators to 
develop activity reporting schemes using various combinations of paper 
manifests, delivery tickets, and/or monthly transaction lists on paper 
and (ultimately) electronic spreadsheets; these schemes were not 
standardized across the industry. To monitor compliance and ensure 
accurate volumes were reported, U.S. Customs reconciled the volumes of 
crude oil reported by the operators to the paper CBP Form 7512 
(Transportation Entry and Manifest of Goods Subject to CBP Inspection 
and Permit) (if the product moved inland) or to entry transactions 
filed separately by importers, variously using the paper CBP Form 3461 
(Entry/Immediate Delivery for ACE), CBP Form 7501 (Entry Summary), and/
or direct a comparison to electronic entry summary data in the 
Automated Commercial System (ACS), the predecessor to ACE.
    With passage of the Customs Modernization Act of 1993 (Mod 
Act),\10\ it became more standard for U.S. Customs to accept industry 
recordkeeping practices as its baseline for compliance oversight. 
However, this created challenges for crude oil because the 
documentation provided to U.S. Customs, and now CBP, does not reflect a 
complete picture of ownership of a crude oil batch at any given time. 
Generally, on a monthly basis, pipeline operators provide CBP a report 
of the crude oil moved into the United States in accordance with the 
1970 Circular and subsequent clarifying guidance.\11\ These reports are 
delivered by the tenth calendar day of the month following arrival and 
are transmitted to CBP at the port of arrival as an email attachment or 
submitted in paper form. There is no standard format for these reports. 
The monthly reports list crude oil batches by volume and reflect 
ownership of the batches only at a particular point in time--the end of 
the month that covers the transaction.
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    \10\ Public Law 103-182, 107 Stat. 2057 (December 8, 1993).
    \11\ Less commonly, pipeline operators may provide CBP with a 
batch-specific notice of arrival as it occurs.
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    CBP personnel at the port of arrival manually reconcile the crude 
oil volumes from monthly operator reports with the volumes reported on 
individual entry and admission filings covering the same period and 
location (e.g., consumption entries, applications for admission to a 
Foreign Trade Zone (FTZ), or in-bond transportation entries). In 
theory, the total volume reported by pipeline operators should match 
the sum total volume indicated on the individual entry and admission 
filings for the same period and location.
    In practice, however, obtaining a baseline of data with regard to 
the changes in ownership that occur between commercial entities as the 
crude oil passes through the pipeline and tracing those exchanges to a 
monthly operator's pipeline report is exceptionally difficult and 
extremely labor intensive. As noted above, a batch of crude oil can 
take days to cross into the United States via pipeline. The slow speed 
of the crude oil poses issues each month as an individual entry or 
admission filing for a batch of crude oil may cover crude oil passing 
through the pipeline that straddles two months, limiting CBP's full 
visibility into its arrival due to the timing of the operator's monthly 
report because the report only includes data for crude oil that passed 
through prior to the end of a month. Moreover, industry practice to 
sell or swap fungible crude batches while in transit makes it difficult 
to identify the party responsible for filing the entry or admission for 
any given batch. The monthly operator's report does not account for 
ownership changes to a batch of crude oil that occur after the end of a 
given month, but the party filing an entry may not be the same owner as 
the one reflected in the report. Batches may also be subdivided while 
in transit and/or subject to last minute diversions to a new 
destination which can lead to volume-related reconciliation issues.
    Further, there can be limitations on CBP's and the trade's 
visibility into the crude oil's origin and ownership throughout the 
supply chain. Supply chain traceability issues can arise in situations 
such as sales or re-sales, which result in the comingling of crude oil 
from different sources, thereby making tracing the origin of the 
imported crude oil difficult, which in turn presents challenges for 
verifying free trade agreement eligibility.

C. Silicon Valley Innovation Program

    The Silicon Valley Innovation Program (SVIP), part of the 
Department of Homeland Security's Science and Technology Directorate, 
helps find new technologies that strengthen national security with the 
goal of reshaping how government and industry work together to find 
cutting-edge solutions to challenges, such as those involved in 
pipeline-borne imports. For more information on SVIP, please see 
<a href="https://www.dhs.gov/science-and-technology/svip">https://www.dhs.gov/science-and-technology/svip</a>. Neoflow, a private 
sector company and SVIP participant, built a platform to document the 
movement (including ownership changes) of crude oil in the pipeline 
environment. This test will use the Neoflow platform for the purposes 
stated below. For more information on Neoflow, please see <a href="https://www.neoflow.energy/">https://www.neoflow.energy/</a>.

D. Purpose of the Test

    The purpose of the test is to evaluate the accuracy and usefulness 
of participant data regarding pipeline processes (e.g., movement and 
sales) for crude oil being uploaded to the Neoflow platform and 
transmitted to the ACE Crude Oil testing environment using global 
interoperability standards, i.e., specifications or rules for software 
development that enable different systems to connect and exchange data. 
The global interoperability standards, which are made up of 
decentralized identifiers (DIDs) and verifiable credentials (VCs), 
should help CBP in identifying legitimate products and associated 
companies resulting in a more transparent supply chain. DIDs are 
globally unique identifiers made up of a string of letters and numbers 
that can be used to recognize an entity on different networks. VCs are 
tamper-proof credentials with authorship that can be cryptographically 
verified. DIDs can be used to digitally sign and issue VCs, allowing 
CBP to more easily

[[Page 32988]]

confirm the authenticity of import data presented in this format.
    In the test, CBP anticipates that global interoperability standards 
will enable test participants to record bilateral transaction data at 
each step in a supply chain (e.g., both the pipeline operator and 
importer will upload respective documents pertaining to a completed 
delivery),\12\ secure the transaction details from disclosure to 
unauthorized parties, allow dynamic updates of ownership and 
destination information, and make this data available to CBP in near 
real time. Moreover, during the test, CBP will have the ability to view 
actions related to the movement, transfer, and ownership of crude oil 
throughout the supply chain that test participants upload to the 
Neoflow platform for any filing (e.g., consumption entries, 
applications for admission to an FTZ, or in-bond transportation 
entries).
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    \12\ ``Delivery'' occurs when the recipient of the crude oil 
takes possession, and the crude oil is no longer in possession of 
the pipeline operator.
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    CBP will review the data received over the course of the test and 
determine its usefulness for a range of possible purposes including, 
but not limited to, further test expansion, regulatory updates, supply 
chain visibility, monthly pipeline report reconciliation, and free 
trade agreement compliance, such as evaluating compliance with country 
of origin certification requirements. CBP will publish technical 
specifications for the pipeline global interoperability standards 
necessary to participate in this test on CBP website at <a href="https://trade.cbp.dhs.gov/ace/developer/interoperability/">https://trade.cbp.dhs.gov/ace/developer/interoperability/</a>.
    As discussed further below, participants will upload relevant data 
regarding the movement, sale, and entry of crude oil, to include an 
entry for consumption, admission to an FTZ, or transportation in-bond, 
into the Neoflow platform where CBP can view the uploaded information 
in near real time. It is important to note that all participants must 
continue to provide all required data to CBP in accordance with the 
current regulatory requirements, e.g., for entry, FTZ admission, and 
in-bond movement/entries, as well as the monthly pipeline operator 
reports (in accordance with the above-mentioned CBP guidance), in 
addition to providing the information via the test procedures.
    The Neoflow platform will ingest and format the data uploaded by 
test participants and transmit the data to CBP via the ACE Crude Oil 
testing environment. Subsequently, CBP will compare the data 
transmitted via the Neoflow platform to the data which is provided to 
CBP in accordance with current regulatory requirements and the monthly 
operator reports in order to evaluate the accuracy and usefulness of 
the data transmitted via the Neoflow platform pursuant to this test. 
Accordingly, no regulatory requirements are being waived as part of 
this test and pipeline operators should continue to submit monthly 
reports as usual.
    During the test, CBP will evaluate whether the data uploaded to the 
Neoflow platform for formatting and transmission to the ACE Crude Oil 
testing environment enables the tracking of the entire volume of a 
batch of crude oil transiting to or through the United States by 
compiling data from the relevant supply chain parties. Such tracking 
should facilitate a more manageable and timely reconciliation process 
each month and provide CBP with greater visibility into the crude oil 
in transit, including its ownership. This improved reconciliation 
process should lead to easier verification of the data reported to CBP 
with entry, FTZ admission, and in-bond filings, and greater 
accountability while ensuring that the relevant parties are known to 
CBP in a more timely manner.

E. Data Transmission

    Test participant importers, pipeline operators, and licensed 
customs brokers will upload the specified documentation and information 
to the Neoflow platform in near real time as specific events or 
transactions occur for pipeline processes relevant to crude oil from 
Canada and Mexico destined for the United States. The Neoflow platform 
will format the uploaded documentation and information and transmit the 
formatted data to the ACE Crude Oil testing environment utilizing DIDs 
and VCs.
    In general, importers (or their brokers) and pipeline operators 
utilize similar documents to record and track the movement of batches 
of crude oil through pipeline networks, which typically begins at a 
consolidation hub. While there may be minor differences between the 
exact format of the documentation to be uploaded to the Neoflow 
platform (e.g., Portable Document Format (PDF) file or Comma Separated 
Values (CSV) file), the documents to be uploaded will contain specific 
data sets relevant to this test. Neoflow will work with the 
participants to ensure the documentation is uploaded successfully into 
the Neoflow platform regardless of format.
    Participants will upload the following documentation and 
information, which are generally used within the pipeline industry, 
into the Neoflow platform:
    Consolidated Delivery Schedule. This is a file that the pipeline 
operator creates, outlining the volume of crude oil that it has 
scheduled for delivery for that month. Each importer is able to view on 
the pipeline operator's web portal the volume that is scheduled to ship 
for the importer's account on that pipeline for that month. During the 
test, this file will be uploaded by the pipeline operator to the 
Neoflow platform.
    Delivery Schedule. This is a file that is downloaded from the 
pipeline operator's web portal that outlines the details of each batch 
of crude oil that the importer is moving on that pipeline system. 
During the test, this file will be uploaded by the importer to the 
Neoflow platform.
    Pipeline Delivery Ticket. This is a file that the pipeline operator 
generates and makes available to the importer after a batch of oil has 
been delivered to the importer in the United States. It outlines the 
details of that batch of delivered crude oil. During the test, this 
file will be uploaded by both the importer and the pipeline operator to 
the Neoflow platform.
    In-transit Sale Notification (new or updated Delivery Schedule). 
The pipeline operator is notified by the parties involved in an in-
transit sale of crude oil as the party who takes ownership of the oil 
in an in-transit sale is generally responsible for paying the freight 
charge to the pipeline operator. A new or updated Delivery Schedule is 
created to reflect the updated information as a result of an in-transit 
transaction. The test participant who is the seller in the relevant in-
transit transaction will cancel or remove the batch from the Delivery 
Schedule that was previously uploaded to the Neoflow platform. If 
participating in the test, the buyer will upload its Delivery Schedule 
to the Neoflow platform. If the buyer is not a test participant, then 
no further information regarding that batch of crude oil will be 
uploaded to the Neoflow platform. It is important to note that CBP will 
retain access to the information (as shown in the tables below) because 
canceling or removing the batch from the Delivery Schedule will not 
delete the information from the Neoflow platform.
    The information uploaded to the Neoflow platform is traceable to 
each submitting party and batch of crude oil using the global 
interoperability standards to create entity- and transaction-specific 
identifiers.
    Once the documentation and information are uploaded to the

[[Page 32989]]

Neoflow platform, the formatting and transmission to the ACE Crude Oil 
testing environment occurs in near real time and CBP will be able to 
view this data as part of this test. When the importer or the 
importer's broker transmits the entry number and filer code, or a 
filing for FTZ admission or in-bond movement/entry, to the ACE Crude 
Oil testing environment, the data from the documentation and 
information previously uploaded to the Neoflow platform for the 
relevant batch of crude oil covered by that filing will automatically 
populate in the ACE Crude Oil testing environment. Viewing the test 
data in the ACE Crude Oil testing environment will enable CBP to 
compare it to the data CBP collects under the current regulatory 
framework, including for entry, FTZ admission, and in-bond movements/
entry, as well as the monthly pipeline operator reports submitted by 
operators, more efficiently.
    While there may be overlapping data provided at different times 
when both the importer and pipeline operator upload documentation to 
the Neoflow platform, this data will aid in the tracking of the product 
throughout the pipeline lifecycle. Moreover, the overlap of data 
elements by the parties involved in the event or transaction may 
provide mutual validation. When aggregated, this uploaded event and 
transaction data should match the relevant data submitted to CBP in 
accordance with current statutory and regulatory requirements, and CBP 
will evaluate whether it matches as part of this test.
    In the current environment, the delivery schedules containing the 
data elements to be uploaded into Neoflow (and reflected in the tables 
below) are summarized in the monthly pipeline operator reports, but the 
schedules themselves are only provided to CBP upon request, and thus, 
under current practice, CBP does not have access to those documents 
without specifically requesting them or in near real time as it will 
under the test. The tables below represent an overview of the data 
elements currently exchanged by private parties (e.g., operators and 
importers) in a crude oil supply chain and will become discrete data 
points required by CBP as part of the test. In addition, test 
participants will agree under the test to standardize the information 
in the reports that must be submitted to CBP in order to provide more 
accurate information on the oil that passes through the pipelines and 
is entered into the United States.
    The first column in the tables below entitled ``Data Elements'' 
lists the current data elements supporting an entry or admission filing 
for crude oil (e.g., consumption entries, applications for admission to 
an FTZ, or in-bond transportation entries), which will also be entered 
on the Neoflow platform as part of the test. The second column, 
``Description,'' provides a brief description of the data element; the 
third column, Uploading Party, indicates which party will provide that 
same data element under the test by uploading the relevant document 
containing the data element to the Neoflow platform; and the last 
column, ``Document Source,'' provides the name of the document from 
which the data element is obtained under the test. CBP is evaluating 
whether the data collection and transmission process under this test 
could replace or supplement existing regulatory requirements for crude 
oil including for entry, FTZ admission, and in-bond movements/entry. 
The documents are to be uploaded by test participants in real time when 
the relevant supply chain events or transactions occur. The data 
elements below are those that will be viewable in the Neoflow platform 
\13\ and which Neoflow will format and transmit to the ACE Crude Oil 
testing environment. In addition to the data elements listed in the 
tables below, CBP will also collect new data elements as part of this 
test, which can be found in the tab entitled ``Data Definitions'' at 
<a href="https://trade.cbp.dhs.gov/ace/developer/interoperability">https://trade.cbp.dhs.gov/ace/developer/interoperability</a>. The word 
``Aggregation'' indicates that the Neoflow platform compiles data for 
submission to CBP in the Automated Broker Interface (ABI) format. Where 
the term ``Free Text'' appears in the left most column, the data is 
consistently provided to CBP as part of the current process that the 
ports use to collect pipeline oil documents. The terms ``Quantity'' and 
``Volume'' are used interchangeably in this Federal Register notice.
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    \13\ CBP may review data elements directly in the Neoflow 
platform if CBP detects inaccuracies, inconsistencies or omissions 
when comparing the information submitted to CBP in the current 
environment (e.g., an entry filing) with the data entered into the 
Neoflow platform by test participants and transmitted to the ACE 
Crude Oil testing environment.

----------------------------------------------------------------------------------------------------------------
          Data element               Description           Uploading party               Document source
----------------------------------------------------------------------------------------------------------------
                                        Importer Pre-Arrival Information
----------------------------------------------------------------------------------------------------------------
District/Port of Entry.........  Port where          Importer..................  Delivery Schedule.
                                  merchandise is
                                  entered (under
                                  entry for
                                  consumption or
                                  immediate
                                  delivery permit).
Estimated Date of Export.......  Scheduled           Importer..................  Delivery Schedule.
                                  Injection Date
                                  (date crude oil
                                  is scheduled to
                                  be injected into
                                  the pipeline).
Carrier Code...................  Entity responsible  Importer..................  Delivery Schedule.
                                  for transporting
                                  merchandise from
                                  foreign port of
                                  lading to first
                                  U.S. port of
                                  unlading
                                  (Standard Carrier
                                  Alpha Code
                                  (SCAC)).
Estimated Date of Entry........  Date merchandise    Importer..................  Delivery Schedule.
                                  arrived or
                                  expected to
                                  arrive at port of
                                  entry.
Batch Number...................  Free Text field to  Importer..................  Delivery Schedule.
                                  record batch
                                  number.
Harmonized Tariff Schedule of    HTSUS--10 digits..  Importer..................  Delivery Schedule.
 the United States (HTSUS)
 Classification.
Foreign Port of Lading Code....  Foreign port where  Importer..................  Delivery Schedule.
                                  merchandise laden.
Quantity.......................  Net Quantity        Importer..................  Delivery Schedule.
                                  expressed in
                                  HTSUS unit of
                                  measurement
                                  (barrels).
Country of Export Code.........  Country from which  Importer..................  Delivery Schedule.
                                  article was
                                  shipped to the
                                  United States.
Date of Export.................  Date the batch      Importer..................  Delivery Schedule.
                                  began injection
                                  to the pipeline
                                  for shipment to
                                  the United States.
----------------------------------------------------------------------------------------------------------------
                                        Importer Post-Arrival Information
----------------------------------------------------------------------------------------------------------------
District/Port of Entry.........  Port where          Importer..................  Delivery Confirmation.
                                  merchandise is
                                  entered for
                                  consumption
                                  (under entry or
                                  immediate
                                  delivery permit).
Date of Importation............  Date merchandise    Importer..................  Delivery Confirmation.
                                  arrived within
                                  the Customs
                                  territory of the
                                  United States.
Carrier Code...................  Entity responsible  Importer..................  Delivery Confirmation.
                                  for transporting
                                  merchandise from
                                  foreign port of
                                  lading to first
                                  U.S. port of
                                  unlading (Carrier
                                  SCAC code).
Estimated Date of Arrival......  Date merchandise    Importer..................  Delivery Confirmation.
                                  arrived or
                                  expected to
                                  arrive at port of
                                  entry.
Bill of Lading (Free Text).....  Free Text field to  Importer..................  Delivery Confirmation.
                                  record batch #
                                  and ticket # for
                                  crude oil.

[[Page 32990]]

 
Entry Filer Code...............  3-character filer   Broker or Importer........  Entered into Neoflow Platform.
                                  code.
Entry Number...................  Unique 7-digit      Broker or Importer........  Entered into Neoflow Platform.
                                  identifying
                                  number assigned
                                  by filer plus 1
                                  check digit.
----------------------------------------------------------------------------------------------------------------
                                    Pipeline Operator Pre-Arrival Information
----------------------------------------------------------------------------------------------------------------
Carrier Code...................  Carrier SCAC code.  Pipeline Operator.........  Delivery Schedule.
In-bond Carrier ID.............  Carrier Bond        Pipeline Operator.........  Delivery Schedule.
                                  Number.
Country Code of Importing        Canada or Mexico..  Pipeline Operator.........  Delivery Schedule.
 Carrier.
Importing Conveyance Name......  Pipeline Name.....  Pipeline Operator.........  Delivery Schedule.
Foreign Port of Lading.........  Foreign Port of     Pipeline Operator.........  Delivery Schedule.
                                  Lading.
U.S. Port of Destination.......  Port of             Pipeline Operator.........  Delivery Schedule.
                                  Termination (In-
                                  bond entry type
                                  61--Immediate
                                  Transportation).
Estimated Date of Arrival......  Date merchandise    Pipeline Operator.........  Delivery Schedule.
                                  arrived or
                                  expected to
                                  arrive at port of
                                  entry for
                                  consumption.
Quantity.......................  Aggregation.......  Pipeline Operator.........  Delivery Schedule.
Manifest Quantity..............  Aggregation.......  Pipeline Operator.........  Delivery Schedule.
Consignee......................  Aggregation (Count  Pipeline Operator.........  Delivery Schedule.
                                  of Consignees).
----------------------------------------------------------------------------------------------------------------
                                   Pipeline Operator Post-Arrival Information
----------------------------------------------------------------------------------------------------------------
Carrier Code...................  Carrier SCAC code.  Pipeline Operator.........  Delivery Confirmation.
In-bond Carrier ID.............  Carrier Bond        Pipeline Operator.........  Delivery Confirmation.
                                  Number.
Importing Conveyance Name......  Pipeline Name.....  Pipeline Operator.........  Delivery Confirmation.
Quantity.......................  Total Delivered     Pipeline Operator.........  Delivery Confirmation.
                                  Volume for month
                                  (barrels).
----------------------------------------------------------------------------------------------------------------
                               Per Batch Information To Confirm Delivery of Volume
----------------------------------------------------------------------------------------------------------------
Foreign Port of Lading.........  Foreign port where  Pipeline Operator.........  Delivery Confirmation.
                                  merchandise laden.
U.S. Port of Destination.......  Port of             Pipeline Operator.........  Delivery Confirmation.
                                  Termination (In-
                                  bond entry type
                                  61--Immediate
                                  Exportation).
Foreign Port of Destination....  Port of             Pipeline Operator.........  Delivery Confirmation.
                                  Exportation (In-
                                  bond entry type
                                  62--Transportatio
                                  n & Exportation).
Date of Arrival................  Delivery Date.....  Pipeline Operator.........  Delivery Confirmation.
Quantity.......................  Delivered Volume    Pipeline Operator.........  Delivery Confirmation.
                                  (net) (barrels).
Consignee......................  Consignee.........  Pipeline Operator.........  Delivery Confirmation.
Ticket Number (Free Text)......  Combination batch   Pipeline Operator.........  Delivery Confirmation.
                                  number and
                                  delivery ticket.
Trade Name and Density (Free     Trade Name and      Pipeline Operator.........  Delivery Confirmation.
 Text).                           Density of the
                                  crude oil.
Date of Export.................  Date the batch      Pipeline Operator.........  Delivery Confirmation.
                                  began injection
                                  to the pipeline
                                  for shipment to
                                  the United States.
----------------------------------------------------------------------------------------------------------------

II. Authorization for the Test

    The Pipeline Global Interoperability Standards Test is authorized 
pursuant to 19 CFR 101.9(b), which provides for the testing of planned 
NCAP components. See T.D. 95-21, 60 FR 14211 (March 16, 1995); see also 
19 U.S.C. 1411-1413.

III. Conditions for the Test

A. Participation in the Test

    The test is voluntary, and importers of record, pipeline operators, 
and licensed customs brokers involved in the importation of crude oil 
from Canada or Mexico interested in assisting in evaluating the 
usefulness of the global interoperability standards may submit a 
request to participate in the test. As discussed above in section I.E., 
if a batch of crude oil is sold while in-transit on the pipeline, the 
seller (who may have originally qualified to serve as the importer of 
record but for the in-transit sale) will no longer be a participant in 
the test or provide data via the Neoflow platform. (Because the new 
buyer in that in-transit sale may or may not be a test participant, it 
is possible that CBP will no longer receive test data from a 
participant after the in-transit sale.)
    Interested parties must contact CBP to indicate their willingness 
to participate in the test at <a href="/cdn-cgi/l/email-protection" class="__cf_email__" data-cfemail="420d160b2c2c2d3423362b2d2c022120326c262a316c252d34">[email&#160;protected]</a>. CBP will notify 
interested parties whether they have been approved to participate in 
the test and will provide a list of approved participants to Neoflow. 
CBP will provide approved participants with information on obtaining 
access to the Neoflow platform for crude oil. Participants must comply 
with any terms and conditions set forth as part of their access and use 
of the Neoflow platform, as established between Neoflow and the 
participant(s). Test participants will coordinate with Neoflow's 
technical teams to ensure system compatibility. Additional technical 
support will be provided throughout the test by both CBP and Neoflow, 
as needed. Neoflow will provide interested parties with specific 
information regarding costs prior to commencing participation; the 
terms, conditions and costs of a participant's access to and use of the 
Neoflow platform, including for purposes of participating in this test, 
shall be established solely between Neoflow and the participant; CBP 
will not be a party to such terms or conditions or responsible for any 
costs.
    Once a participant is approved by CBP and establishes the necessary 
access to the Neoflow platform with Neoflow, test participants will 
have the opportunity to utilize the Neoflow platform and give feedback 
to CBP throughout the duration of the test.
    Under this test, CBP does not intend to take enforcement action 
based solely on discrepancies or inaccuracies in the data CBP receives 
as part of this test via the Neoflow platform. However, discrepancies 
or inaccuracies between the data transmitted via the Neoflow platform 
as part of this test and data that is ultimately filed under the 
current regulatory framework (e.g., in an entry, FTZ admission or in-
bond movement/entry) or a monthly pipeline operator's report will be 
evaluated to determine the basis for the discrepancy or inaccuracy and 
CBP may request additional information to resolve the discrepancy or 
inaccuracy.

B. CBP Access to Underlying Data

    As part of the test, CBP has entered into an agreement with Neoflow 
for access to the data that is provided by and associated with the 
participants.

[[Page 32991]]

Consistent with the agreement, CBP may access the Neoflow platform to 
monitor and evaluate the data provided by test participants for any 
lawful purpose. The data will assist CBP in evaluating possible uses of 
the data to support product and entity identification, product tracing, 
supply chain data verification, comparison with other data submitted to 
CBP (including data submitted as part of an entry, FTZ admission, or 
in-bond filing), and enforcement, among other purposes.

C. Partner Government Agencies (PGAs)

    CBP may utilize this test to enhance trade data sharing and access 
between CBP and partner government agencies (PGAs). CBP will announce 
any PGAs that will receive data pursuant to the test in a notice 
published in the Federal Register.

D. Duration of Test

    The test will commence on July 2, 2026, and is scheduled to run for 
one year, subject to any extension, early termination, or modification, 
including possible data integration with ACE or testing of data related 
to additional commodities that arrive via pipeline, as announced by way 
of a notice published in the Federal Register.

E. Misconduct Under the Test

    Misconduct under the test may include, but is not limited to, 
submitting false information through the Neoflow platform or failing to 
abide by the terms and conditions regarding the test and use of the 
Neoflow platform. As stated above, test participants are expected to 
adhere to all applicable regulatory requirements because CBP is not 
waiving any regulations as part of this test.
    If CBP determines that there is a basis to discontinue a 
participant's involvement in the test, CBP will provide written notice, 
via email, proposing the discontinuance with a description of the facts 
or conduct supporting the proposal. The test participant will be 
offered the opportunity to respond in writing within ten business days 
of the date of the written notice. The response must be submitted to 
the Innovation Branch Chief by email to <a href="/cdn-cgi/l/email-protection" class="__cf_email__" data-cfemail="6629322f0808091007120f09082605041648020e1548010910">[email&#160;protected]</a>, with 
a subject line reading ``Appeal--Pipeline Global Interoperability 
Standards Test Discontinuance.''
    The Director, Trade Modernization Division, Trade Programs, Office 
of Trade (OT), will issue a final decision on the proposed action 
within 30 business days after receiving a timely filed response from 
the test participant, unless such time is extended for good cause. If 
no timely response is received, the proposed notice becomes the final 
decision of CBP as of the date that the response period expires. A 
proposed discontinuance of a test participant's privileges will not 
take effect unless the response process under this paragraph has been 
concluded with a written decision that is adverse to the test 
participant, which will be provided via email.

F. Confidentiality

    Data submitted and entered into the Neoflow platform and 
transmitted to CBP in the ACE Crude Oil testing environment may include 
confidential commercial or financial information which may be protected 
under the Trade Secrets Act (18 U.S.C. 1905), and the Privacy Act (5 
U.S.C. 552a). However, participation in this test is not confidential 
and, therefore, upon receipt of a written Freedom of Information Act 
request, the name(s) of an approved participant(s) will be disclosed by 
CBP in accordance with 5 U.S.C. 552.

IV. Comments on the Test

    All interested parties are invited to comment on any aspect of this 
test at any time. CBP requests comments and feedback on all aspects of 
this test, including the design, conduct and implementation of the 
test, in order to determine whether to modify, alter, expand, limit, 
continue, end, or fully implement this program. Comments should be 
submitted via email to <a href="/cdn-cgi/l/email-protection" class="__cf_email__" data-cfemail="c18e95a8afafaeb7a0b5a8aeaf81a2a3b1efa5a9b2efa6aeb7">[email&#160;protected]</a>, with the subject line 
reading ``Comments on Pipeline Global Interoperability Standards 
Test.''

V. Paperwork Reduction Act

    The Paperwork Reduction Act (PRA) of 1995 (44 U.S.C. 3507(d)) 
requires that CBP consider the impact of paperwork and other 
information collection burdens imposed on the public. An agency may not 
conduct, and a person is not required to respond to, a collection of 
information unless the collection of information displays a valid 
control number assigned by the Office of Management and Budget (OMB).
    The new collection of information gathered under this test has been 
approved by OMB in accordance with the requirements of the PRA and 
assigned OMB control number 1651-0148.

VI. Evaluation Criteria

    The test is intended to evaluate the accuracy and usefulness of the 
global interoperability standards and Neoflow platform for data 
collection of pipeline processes relevant to crude oil. CBP will 
evaluate the data viewed via the Neoflow platform to determine if it 
would aid CBP in enforcing applicable laws, protecting the revenue, 
reducing risk, and improving compliance operations. Moreover, CBP will 
evaluate if the Neoflow platform could continue CBP's trade 
modernization efforts by reducing the need for paper/near paper-based 
filings and other submissions via possible ACE integration. CBP's 
evaluation of the test, including the review of any comments submitted 
to CBP during the duration of the test, will be ongoing with a view to 
possible extension or expansion of the test.
    At the conclusion of the Pipeline Global Interoperability Standards 
Test, an evaluation will be conducted to assess the accuracy and 
usefulness of the information received throughout the course of the 
test. The final results of the evaluation will be published in the 
Federal Register as required by section 101.9(b)(2) of the CBP 
regulations (19 CFR 101.9(b)(2)).

Susan S. Thomas,
Executive Assistant Commissioner, Office of Trade.
[FR Doc. 2026-10979 Filed 6-1-26; 8:45 am]
BILLING CODE 9111-14-P


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Indexed from Federal Register on June 2, 2026.

This is legal information, not legal advice. Laws vary by jurisdiction and change frequently. Always verify current law with official sources and consult a licensed attorney in your jurisdiction for advice on your specific situation.