Mitsubishi Motors Europe has been granted the status of Authorised Economic Operator or AEO by the European Commission.
This certification is part of a coordinated approach to combat terrorism whereby the commission has introduced rigorous new procedures aimed at improving supply chain security within the European Union in the form of the EU wide accreditation to facilitate international supply chain security.
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This AEO regime will affect nearly every aspect of any business that undertakes international trade with changes potentially required in systems, supply chains, buyer and seller relationships and customs procedures.
AEO status is in effect an accreditation regime to prove customs and supply chain compliance. It encourages companies to increase security in their international supply chain in exchange for certain incentives which will improve the efficiency of the supply chain and ultimately reduce costs. The incentives include, for instance, fewer physical border controls, easier reporting, a reduced customs risk rating and priority treatment for goods selected for examination (the so-called green lane).
This AEO compliance will also help the long-term development of Mitsubishi Motors’ sales and after-sales business in Europe whether in the area of spare parts and accessories or imported vehicles (around 150,000 units targeted for FY2011) with effects to be seen at its six ports of entry and its European part warehouses located in Born, The Netherlands.
Akinori Nakanishi, president & CEO of Mitsubishi Motors Europe, said: “[We] see AEO compliance as a tool to strengthen European sales and aftersales business. In particular, this partnership between EU customs authorities and international corporations like ours is most important for the security of our global supply chain. The AEO certification will also bring further controlling of our own processes and standards to the benefit of our service to customers in Europe.”
