AEO
Global framework for customs compliance and security
COPPA
U.S. regulation protecting children's online privacy under 13
Quick Verdict
AEO offers voluntary customs facilitation for low-risk traders via security validation, while COPPA mandates parental consent for child data collection online. Companies adopt AEO for faster trade; COPPA to avoid massive FTC fines and ensure compliance.
AEO
Authorized Economic Operator (WCO SAFE Framework)
Key Features
- Voluntary low-risk trusted trader certification
- SAQ 13 criteria for compliance and security
- Mutual recognition agreements across borders
- Risk-based supply chain security controls
- Continuous internal audits and monitoring
COPPA
Children's Online Privacy Protection Act (COPPA)
Key Features
- Verifiable parental consent required before collecting kids' data
- Expansive personal information including persistent IDs, geolocation
- Applies to child-directed websites, apps, IoT globally
- Parental access, review, deletion rights for collected data
- FTC enforcement with $43,792 per violation penalties
Detailed Analysis
A comprehensive look at the specific requirements, scope, and impact of each standard.
AEO Details
What It Is
Authorized Economic Operator (AEO) is a voluntary certification framework under the WCO SAFE Framework of Standards. It recognizes low-risk businesses in international trade, providing facilitation benefits in exchange for proven compliance and security. The primary scope covers supply chain actors like importers, exporters, and logistics providers. It uses a risk-based approach via the harmonized Self-Assessment Questionnaire (SAQ) with 13 criteria groups (A-M).
Key Components
- Four pillars: customs compliance, records/internal controls, financial solvency, supply chain security.
- SAQ criteria A-M cover compliance history, records management, training, security domains, crisis management, continuous improvement.
- Built on WCO SAFE Pillars, aligned with WTO TFA Article 7.7.
- Certification via customs validation, with periodic re-validation.
Why Organizations Use It
- Reduces inspections, clearance times, costs (e.g., avoided container exams).
- Enables MRAs for cross-border benefits (97+ programs).
- Enhances reputation, tender eligibility, supply chain resilience.
- No legal mandate, but strategic for trade efficiency.
Implementation Overview
- Gap analysis, SAQ completion, process design, training, mock audits.
- Applies globally to supply chain firms; EU via UCC (AEOC/AEOS).
- Cross-functional transformation; 6-12 months typical; requires ongoing monitoring.
COPPA Details
What It Is
Children's Online Privacy Protection Act (COPPA) is a U.S. federal regulation, enacted in 1998 and effective 2000, enforced by the FTC. It safeguards privacy of children under 13 from unauthorized data collection by commercial websites, apps, and services directed to kids or with actual knowledge of users' age. Its control-based approach empowers parents via verifiable consent before collection, use, or disclosure.
Key Components
- Verifiable parental consent (VPC) with 11+ methods (e.g., credit card, video call)
- Expansive personal information definition (16 categories: names, persistent IDs, geolocation, multimedia)
- Privacy notices, parental access/review/deletion rights
- Data minimization, security, and no-conditioning rules
- Safe harbor self-regulatory programs Built on parental control principles; compliance via FTC oversight, no certification but audits.
Why Organizations Use It
- Meets legal mandates, avoids $43,792/violation fines (e.g., YouTube $170M)
- Builds parent/stakeholder trust, reduces breach risks
- Enables child-safe operations in edtech/gaming
- Global applicability for U.S.-targeted services
Implementation Overview
- Audience analysis, age screening, VPC setup, policy posting
- Tech integration (no trackers pre-consent), training
- For child-directed operators any size/industry; FTC exams/enforcement (178 words)
Key Differences
| Aspect | AEO | COPPA |
|---|---|---|
| Scope | Supply chain security and customs compliance | Children's online personal data protection |
| Industry | Global trade, logistics, all supply chain actors | Online services, apps targeting children under 13 |
| Nature | Voluntary customs certification program | Mandatory U.S. federal privacy regulation |
| Testing | Risk-based site validation and re-validation | FTC audits and enforcement investigations |
| Penalties | Status suspension or revocation | Up to $43,792 per violation fines |
Scope
Industry
Nature
Testing
Penalties
Frequently Asked Questions
Common questions about AEO and COPPA
AEO FAQ
COPPA FAQ
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