The Agriculture Transportation Coalition is urging U.S. exporters, before loading their containers, to confirm with ocean carriers that the cargo will reach their Chinese customers and will have proper refrigeration in case of delays at Chinese ports due to the coronavirus outbreak. The AgTC also said it is continuing to urge ocean carriers to refrain from imposing detention penalties on containers that are stuck at ports due to the virus containment measures in place (see 2002030034). “Within China, the supply chain has been compromised, starting at the China maritime terminals extending all the way to the ultimate inland destination points,” the AgTC said in a Feb. 11 emailed press release.
The Basel Convention’s global ban on exporting e-waste and other hazardous materials to developing countries became international law Dec. 5, the Basel Action Network said. Ninety-nine countries have ratified the ban, but not the U.S., which “produces the most waste per-capita,” the green group said. Canada, Mexico and Japan are among nations that also have not ratified the ban.
A recent Federal Maritime Commission proposed rule would lead to a much fairer enforcement process for alleged violations of the Shipping Act, the National Customs Brokers & Forwarders Association of America said in comments submitted to the agency. The proposal would create a process for notifying a target of an investigation and allowing it to respond, and ensure that FMC commissioners see the target’s statement before deciding how to proceed. “As the members of the Commission would necessarily be involved at the outset, it seems more likely that potential enforcement cases would focus on issues that have a material adverse effect on trade or competition and minimize the initiation of cases that are based on relatively minor or technical infringements of regulations,” the NCBFAA said. The proposal would also make it “less likely that there would be an anecdotal approach to enforcement where only [the Bureau of Enforcement] and a respondent know what the issues in any prosecution actually involved.” But FMC should go beyond its proposal and create penalty and mitigation guidelines for Shipping Act violations, the trade group said.
Several issues related to detention and demurrage remain to be addressed as the Federal Maritime Commission moves forward with its recent proposed rule on detention and demurrage practices, said Richard Roche of Mohawk Global Logistics, at the National Customs Brokers & Forwarders Association of America’s government affairs conference Sept. 23 in Washington. Key among these are notices of availability for cargo and charges for customs holds, he said.
The Federal Maritime Commission will accept comments on its proposed interpretative rule on detention and demurrage charges until Oct. 31, the agency said in a notice. The agency previously said comments are due Oct. 17 (see 1909130026).
The Federal Maritime Commission will likely publish next week a notice in the Federal Register seeking comment on an interpretive rule that is meant to help address issues with detention and demurrage charges, an FMC spokesman said. The agency announced on Sept. 6 that the FMC adopted recommendations from Commissioner Rebecca Dye, one of which includes publishing "an interpretive rule that clarifies how the Commission will assess the reasonableness of detention and demurrage practices." Interpretive rules differ from other regulations in that they don't require a notice and comment period, though the FMC has chosen to go through one, and aren't considered to have the force of law.
The Federal Maritime Commission will seek comments on a proposal to "prevent ocean carriers and marine terminals from imposing free-time (detention, demurrage, per diem) charges when the container cannot be picked up from, or returned to, the terminal through no fault of the shipper/trucker," the Agriculture Transportation Coalition said in a Sept. 6 email. The FMC didn't comment. The trade group said carriers have made such penalties "a major cost for importers and exporters and their truckers, often threatening to lock out truckers who don't immediately pay, and making shippers' protest/challenges extremely difficult."
The Federal Maritime Commission will discuss licensing and financial responsibility requirements for ocean transportation intermediaries during a May 1 meeting, the FMC said in a notice. Also on the agenda are ocean carrier alliances and two terminal agreements.
Unresolved negotiations between the British Columbia Maritime Employers Association (BCMEA) and the International Longshore and Warehouse Union (ILWU) threatens to stop cargo movement if an impasse continues, the Canadian International Freight Forwarders Association said in an April 22 letter to Patricia Hajdu, Canada's Minister of Employment, Workforce Development and Labour. "A work stoppage at the west coast ports will cause a major disruption on supply chains," the group said. "In some cases, customers will be lost permanently due to rerouting cargo through the west coast ports in the United States. Today we are writing to underline the potentially catastrophic impacts to Canada’s trade, to our ports and to our economy of the current labour negotiations between the BCMEA/ILWU and to urge the Government of Canada to take any necessary action to keep the ports operating." The previous agreement expired over a year ago and as of April 22, "we understand that a settlement does not appear imminent," the group said.
The Transportation Security Administration is planning to update its air cargo security forms for indirect air carriers (IACs) in order to solicit residency information, the agency said in a recent notice. The TSA plans to "revise TSA Form 419F to request specific information regarding residency of Indirect Air Carrier (IAC) Principals to ensure that those principals that do not physically reside nor work in the United States can meet the STA requirements," it said. The agency said the update will also "provide a web-portal, allowing [Indirect Air Carrier Management System (IACMS)] to upload supporting documentation electronically."