Export compliance for sales orders

If the Trade Management check box is selected in the Implemented Software Components (tccom0100s000) session and the Export check box is selected in the Trade Management Parameters (tcgtc0100m000) session, you can set up information for an item for which export compliance is applicable.

When an item is subject to global trade compliance, internal checks are executed to ensure that the export compliance information is valid and the required licenses are available. This is done during sales order line entry, contract deliverable activation, shipment freezing, or confirmation.

After a sales order line is checked for export compliance, the success and failure data is logged. If the export compliance check fails, the sales order line is blocked.

To allow the exclusion of documents from export compliance checks, you can specify document exceptions. For example, the exceptions can be specified by business partner, country, and document type.

Sales order lines

When a sales order line is specified in the Sales Order (tdsls4100m900) session, an export compliance check is executed if these conditions apply:

  • The Internal Check check box is selected on the Trade Compliance tab of the Trade Management Parameters (tcgtc0100m000) session
  • The order type is not used for returning inventory, retrobilling, or consignment invoicing
  • The warehouse is specified
  • The ordered quantity or order amount are more than zero
  • The Subject to Trade Compliance check box is selected for the item in the Items (tcibd0501m000) session
  • The country of the ship-to address differs from the country of the ship-from address

If these conditions are met, and no exception is found in the Export Document Exceptions (tcgtc0130m000) session, an internal compliance check is executed for the sales order line. For this internal check, the application verifies whether an export license is available and valid in the Export Licenses (tcgtc0120m000) session and whether export compliance data is available and valid for the combination of item and ship-to country in the Item Outbound Compliance Data (tcgtc0110m000) session.

If the Apply Quantity Limit check box, or the Apply Value Limit check box is selected in the Export Licenses (tcgtc0120m000) session for the export license, quantity or value limits are checked. The sales order line's ordered quantity in inventory unit and net order line amount in order currency are used for this purpose. During shipment confirmation, export license consumptions are logged in the Export License Consumptions (tcgtc1520m000) session.

Note: If global trade compliance applies to the item of the sales order line, the Subject to Trade Compliance check box is selected for the line.

Components

If the Component Handling field is set to Sales BOM or Component Lines in the Sales Order Lines (tdsls4101m000) session, components are linked to the sales order line. The export compliance check is executed only for the components that are shipped, and not for the main item. Consequently, the compliance check results are logged by component line.

These lines are blocked if a component fails the compliance check:

  • Sales BOM

    The order line is blocked. Several components can fail the check, but only one sales order line blocking record is generated in the Blocked Sales Order (Lines) (tdsls4520m000) session. The order line cannot be unblocked before all failure results are removed for the component lines.

  • Component Lines

    Instead of the order line, the order component line is blocked in the Sales Order Line Components (tdsls4163m000) session.

Export compliance check

The compliance check can result in a success or failure, which you can view in the Document Compliance Check Results (tcgtc1510m000) session.

In case of success, the sales order (component) line is saved and the order procedure can start. The compliance check result is automatically approved.

In case of a failure, the line is saved and set to blocked. Consequently, the Blocked check box is selected for the line and the line is displayed in the Blocked Sales Order (Lines) (tdsls4520m000) session with the Hold Reason retrieved from the Pre-Defined Hold Reason - License Compliance Check field in the Sales Order Parameters (tdsls0100s400) session.

You cannot use the Blocked Sales Order (Lines) (tdsls4520m000) session to release lines if the hold reason category is set to Compliance Check. To unblock the line, you must update the required data and re-execute the export compliance check, or an authorized person can manually override the export block by using the Document Compliance Check Results (tcgtc1510m000) or Override Compliance Check Results Workbench (tcgtc1610m100) sessions.

Note: 

On the appropriate menu in several sales sessions, you can use these commands:

  • Trade Compliance Information, to view and maintain global trade information for the sales document in the Document Trade Compliance Information (tcgtc1100m000) session
  • Check Trade Compliance, to force execution of the export compliance check
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