The United Nations TIR Convention and Its Geographical Expansion

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1 The United Nations TIR Convention and Its Geographical Expansion Incheon, March, 2015 Pengcheng Qu, Senior Advisor, China and South East Asia

2 This is the IRU 2

3 Evolution of IRU Membership 2014: 170 Members in 75 countries 1948: eight founder countries and CRIPA: 27 Members + FESARTA in 38 countries 3

4 IRU Secretariat General 1973 IRU Permanent Delegation to the European Union in Brussels 1948 IRU founded in Geneva 1998 IRU Permanent Delegation to Eurasia in Moscow 2005 IRU Permanent Delegation to the Middle East and Region in Istanbul 2012 IRU Secretariat for Africa in Geneva 2013 IRU Permanent Delegation to the United Nations in New-York 4

5 What is Globalisation? What does it take to have a cup of coffee in a café? The combined efforts of 29 companies in 18 countries Road Transport has become a vital production tool! Source: IRU 5

6 IRU Caravans: No country is landlocked to road transport! 2005: The Beijing-Berlin-Brussels Caravan 2004: The Lisbon-Vladivostok Caravan 2010: IRU-ECO Silk Road Truck Caravan 2007: Black Sea Highway Caravan 6

7 IRU Caravan drivers saw this adequate roads but little traffic!! 7

8 until they reached border crossings!! 8

9 Euro-Asian Pilot Caravans Beijing Brussels, 2005 Beijing Brussels Black Sea Ring Highway Truck Caravan 2007 Up to 57% of transport time = border crossings 38% of transport costs = unofficial levies IRU New Eurasian Land Transport Initiative

10 Any penalty on road transport is an even greater penalty on the economy as a whole! USD Billions Transport Costs only All Costs * Source: Hague Consulting Group * Includes lost opportunities 10

11 Implement key UN facilitation instruments to allow transport to drive trade! 11

12 Securing and facilitating trade and international road transport Transports Internationaux Routiers Managed by the IRU since

13 What is the TIR System? A tried and tested, affordable facilitation instrument for international transport and trade Global Intermodal Secure Based on TIR Convention of 1975, signed by 68 contracting parties 13

14 Geographical scope of the TIR Convention 14

15 The six pillars of the TIR System 15

16 TIR Carnet 16

17 TIR Trucks at Border 17

18 No. of TIR Carnets Used in Some Countries Country Association Turkey 42 TOBB Russia 53 ASMAP Ukraine 66 ASMAP UA Poland 51 ZMPD Lithuania 32 LINAVA Belarus 34 BAMAP Bulgaria 46 AEBTRI Iran 57 ICCIMA Latvia 33 LATVIJAS AUTO Moldova 60 AITA Estonia 31 ERAA Romania 52 ARTRI (3) Kazakhstan 81 KAZATO Kyrgyzstan 92 AIRTO Uzbekistan 74 AIRCUZ Georgia 54 GIRCA Tajikistan 78 ABBAT Mongolia 87 NARTAM

19 IRU Computerisation Response to Customs & Trade Requirements Current Status Customs Realistic step towards fully paperless TIR system developed by the IRU and UNECE TIR Holders TIR Associations 19

20 Real-Time SafeTIR: objectives Starting from 1990s: geopolitical changes with high increase in trade volumes and in TIR transport risk increase for TIR guarantee chain. October 1995: Administrative Committee for the TIR Convention adopted a Recommendation which set out an electronic control system for TIR Carnets. August 2006: this control system SafeTIR, was included in the TIR Convention as Annex 10. Real-Time SafeTIR (RTS) modules: Instant transmission of SafeTIR data TIR Carnet status control SafeTIR reconciliation automation Simplification and higher safety of customs procedures for the facilitation of international trade 20

21 Real-Time SafeTIR: how works Customs of Destination IRU TIR termination Customs of Departure Customs of entry Efficient risk detection 21

22 RTS geographic coverage I R E L A N D U N I T E D K I N G D O M F I N L A N D N O R W A Y S W E D E N E S T O N I A R U S S I A N F E D E D E N M A R K L A T V I A L I T H U A N I A Russian Fed. B E L A R U S NETHERLANDS P O L A N D G E R M A N Y R A T I O N 19 RTS countries 1. Azerbaijan 2. Belgium 3. Bosnia and Herzegovina 4. Bulgaria 5. Georgia 6. Iran 7. Kyrgyzstan 8. Kazakhstan 9. Latvia 10.Macedonia 11.Moldova 12.Morocco 13.Russia 14.Serbia 15.Turkey 16.Ukraine 17.Uzbekistan 18.Finland 19.France LUX. F R A N C E S W I T Z E R L A N D C Z E C H R E P U B L I C A U S T R I A H U N G A R Y C R O A T I A BOSNIA- HERZEGOVINA SERBIA R O M A N I A B U L G A R I A U K R A I N E K A Z A K H S T A N In implementation: Belarus Poland PORTUGAL S P A I N I T A L Y ALBANIA MKD G R E E C E CYPRUS T U R K E Y S Y R I A N A R A B R E P U B L I C G E O R G I A ARMENIA A Z E R B A I J A N U Z B E K I S T A N T U R K M E N I S T A N T A J I K I S T A N I R A N A F G H A N I S T A N K I R G I S T A N Next priorities: P E O P L E S R E P U B L I C O F C H I N A Turkmenistan Tajikistan L E B A N O N M O R O C C O T U N I S I A I S R A E L J O R D A N 22

23 Carnet Dematerialisation Underway First pilot corridor Iran Turkey agreed Technical amendments to IRU IT systems Based on existing message exchanges (e.g. NCTS) to minimize impact on Customs systems First pilot transport operations in 2015 Other countries also interested: IRU ready to consider additional pilot projects to show that paperless operations are already possible today 23

24 TIR Benefit Studies TIR benefit study for Pakistan TIR benefit study for Latin America TIR benefit for China Economic Benefits of TIR UNESCAP Focus 24

25 TIR Expansion September 2013 Afghanistan is open for TIR April 2014 UAE Customs signed guarantee agreement April 2014 Pakistan officially confirmed forthcoming accession to TIR January 2015 China officially started the TIR accession process Interest in TIR also expressed by Argentina, Brazil, Iraq, KSA and various African countries 25

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