DIGITAL TRANSFORMATION IN MEXICO'S CUSTOMS: BENEFITS, ADVANCES, AND SUCCESS STORIES

By implementing tools such as real-time data analysis, artificial intelligence, and automation, customs can significantly reduce waiting times, enhance security, and simplify import and export procedures. This progress not only brings operational benefits but also greater transparency and efficiency in merchandise control. Through this digital transformation, customs in various countries, including Mexico, aim to adapt to the demands of a more agile and secure global trade, strengthening their competitiveness in an increasingly interconnected market.

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Situation in Mexico

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In recent years, Mexico has made significant advances in the digitalization of its customs, transforming the way trade-related processes are managed. One of the most notable achievements is the implementation of the Customs and Foreign Trade Integrated System, an electronic platform that allows all customs procedures to be completed virtually, streamlining processes and reducing administrative burden. Additionally, the Single Electronic Window (VUCEM) has been developed, a portal that centralizes the information and services necessary for foreign trade, making it easier for companies to access key resources. Advanced technologies such as electronic signatures, blockchain, and artificial intelligence have also been incorporated, optimizing processes and enhancing security, thus improving efficiency and transparency in customs operations. These efforts benefit not only the authorities but also provide companies with a more favorable environment for operating in the global market.

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“During her campaign, Sheinbaum proposed the simplification and digitalization of procedures, the implementation of technology for Non-Intrusive Inspection (RNI), customs staff training, and optimization of border times. Additionally, she proposes interoperability between the Tax Administration Service (SAT) and customs for the Carta Porte document to improve traceability of goods and help identify tax evasion.” (Díaz, 2024).

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Benefits

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The digitalization of customs offers numerous benefits that transform how commercial flows are managed internationally. Here are some of the most notable benefits:

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• Process Streamlining: Automation of procedures and elimination of paper forms significantly reduce customs clearance times. This minimizes delays and associated costs, creating a smoother trade flow. Importing and exporting companies experience a more efficient process, which improves their logistics operations planning.
• Transparency Improvement: Digitalization facilitates electronic access to customs information, promoting transparency and accountability. This enables more effective tracking of shipments and identification of possible irregularities, essential for combating corruption and fostering a fairer trade environment.
• Cost Reduction: By simplifying and automating processes, operational costs are reduced for both customs authorities and businesses. This cost reduction frees up resources that can be reinvested in other areas, such as technological improvements or infrastructure.
• Increased Security and Control: The adoption of technological tools like data analysis and artificial intelligence enhances customs' ability to detect risks and combat smuggling. This strengthens national security and protects public health by preventing the entry of dangerous or illegal products.
• Promotion of Foreign Trade: An efficient and modern customs system stimulates international trade by attracting investments and opening new business opportunities. By optimizing the trading experience, companies are motivated to expand their operations in global markets, contributing to economic growth.

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Current Applications

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In various regions around the world, customs have made significant progress in digitalization, improving efficiency and security in cross-border trade. Here is a summary of digital customs advancements in various countries:

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• Switzerland: With a budget of 400 million Swiss francs, the "DaziT" project aims to fully simplify and digitize customs clearance. Through the Passar goods traffic system, it allows electronic processing of transit and export declarations using digital tokens and gathering data on goods from third countries. The goal is to complete digitization by 2026.
• Japan: Since 2020, Japan has had its SMART Customs, which uses artificial intelligence and big data to optimize customs inspection selection. This initiative also employs X-rays and robotics to automate routine tasks, improving customs efficiency.
• United States: The U.S. Customs Innovation Team (INVNT) uses technologies like artificial intelligence, autonomy, sensors, and cloud applications to modernize its infrastructure. Since 2018, it has driven high-impact technology projects, enhancing control and trade facilitation.
• China: Launched in 2021, China’s "Smart Customs" program uses 5G, big data, and artificial intelligence to improve customs control and border connectivity. This enables faster clearance, quick review channels, and mutual recognition of controls at its borders.
• Latin America: CADENA is a blockchain platform that facilitates customs information exchange between Latin American countries. Through Mutual Recognition Agreements, countries can reduce inspections and speed up trade, promoting efficient regional collaboration.
• Australia: The Simplified Trade System in Australia aims to modernize customs trade infrastructure through a Single Trade Window. This system facilitates data exchange and permit management, eliminating obsolete platforms to enhance international cooperation.
• European Union: In 2023, the EU proposed a reform to reduce IT costs and improve controls through close collaboration with businesses and efficient e-commerce management. This initiative could save companies and customs authorities billions of euros annually.
• MERCOSUR: The b-connect project, launched in 2020, is a blockchain system that connects MERCOSUR countries’ customs to exchange commercial information and expedite cross-border procedures.
• Singapore: Launched in 2018, the NTP digital platform facilitates trade transactions between companies and the government. It provides unified access to digital trade and logistics services, using digital identities to simplify commercial processes.

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In conclusion, the digital transformation of customs in Mexico represents a crucial step toward modernizing and optimizing international trade processes. Initiatives such as the Customs and Foreign Trade Integrated System and the Single Electronic Window have achieved notable improvements in procedure agility, transparency, and security, benefiting both authorities and companies involved in foreign trade. This progress aims not only to simplify customs management but also to foster a more competitive and attractive environment for foreign investment by aligning with global digitalization trends.

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Furthermore, the experience of other countries that have successfully implemented digital customs provides a model for Mexico, reaffirming the importance of adopting innovative technologies that strengthen responsiveness to international trade challenges and promote sustained economic growth in an increasingly interconnected market.