Study Guide

4. Disruptive customs technologies and automation

4.3. Customs process related automation

“Insights on the technologies used to digitalize global supply chains is an indispensable part of the discussions around digitalization of Customs and border management and must be viewed within a broader framework of paperless cross‑border trade.” — Former WCO Secretary General Kunio Mikuriya. WCO/WTO Study Report on Disruptive Technologies JUNE 2022: www.wto.org/english/res_e/booksp_e/wco-wto_e.pdf

Disruptive technologies and automation are transforming customs operations, offering significant opportunities to enhance efficiency, security, and trade facilitation. They are enabling a shift toward more efficient, transparent, and secure customs procedures, reducing delays and operational costs. These technologies also contribute to supply‑chain sustainability by optimizing processes, reducing waste, and minimizing environmental impact. The trend is toward integrating these tools into holistic, end‑to‑end digital ecosystems, enabling better decision‑making and more effective border management.

However, successful implementation requires careful consideration of the challenges, including workforce development, cybersecurity, interoperability, and governance. A proactive approach is essential to ensure that digital transformation delivers its full potential.

The WCO partnered with the World Trade Organization (WTO) on disruptive technologies, resulting in a global survey on the adoption of advanced technologies by Customs and the development of the joint paper “The Role of Advanced Technologies in Cross‑Border Trade: A Customs Perspective.” This work is reflected in the updated Study Report on Disruptive Technologies (2022).

Further reading

WCO/WTO joint report on disruptive technologies: WCO/WTO Study Report on Disruptive Technologies

WCO Survey on the adoption of Customs smart processes and procedures: Smart Customs Survey 2024

Customs process automation leverages technology to streamline and digitize various aspects of international trade, including documentation, clearance, and compliance checks. This automation improves efficiency, reduces errors, and strengthens regulatory compliance in both import and export processes. It involves software and systems capable of tasks such as data extraction from documents, automated calculation of duties and taxes, and integration with customs management platforms. Examples include:

  •          Increased Efficiency: Automation and advanced technologies streamline cargo clearance, inspection, and document processing, reducing delays and costs.
  •          Enhanced Security: AI‑powered risk‑assessment tools and IoT‑enabled tracking systems improve border security and help prevent illegal activities.
  •          Improved Trade Facilitation: Faster processing times and greater transparency support smoother, more predictable cross‑border trade.
  •          Reduced Costs: Automation reduces manual processing, data‑entry errors, and administrative overheads.
  •          New Skill Requirements: Customs officials must adapt to new technologies and develop digital competencies to manage and utilize these tools effectively.