Customs & Logistics News
Recent Editions
U.S.
January 31, 2017
Yang Ming Financial Status
The Taiwanese government has offered a $1.9 billion assistance program to ocean container line Yang Ming. During a shareholder meeting in December a stock consolidation plan was approved and the Taiwanese government confirmed it will be increasing its stake in the company. Yang Ming does not have any intention of merging at this time. Yang Ming has a container fleet of 579,048 twenty-foot-equivalent units. Critic’s state that a carrier this small cannot survive in the current market conditions while others argue small carriers can offer differentiated service such as shorter transit times. Additional details are available at: http://www.joc.com/maritime-news/container-lines/yang-ming-line/yang-ming-outlines-financial-recovery-plan_20170122.html
C-TPAT (Customs – Trade Partnership Against Terrorism) Notice
C-TPAT, which was launched by U.S. Customs (CBP) in 2001, is a voluntary, incentive based security program. C-TPAT criteria for Importers is risk based, flexible and designed to help CBP achieve its twin goals of security and facilitation. It is important the Importers who are not C-TPAT already, to at least once a year review this matter and the feasibility of becoming a C-TPAT member. Your Trans American Account Manager can assist you in the process. Significant benefits exist for C-TPAT members, they include: (1) Reduced number of CBP inspections. (2) Priority Processing for CBP Inspections (Front of the line processing for inspections when possible). (3) Assignment of a C-TPAT Supply Chain Security Specialist that will work with your company. (4) Potential eligibility for CBP Importer Self-Assessment program on self-policing, not CBP Audits. All Trading Partners, whether a C-TPAT (Customs –Trade Partnership Against Terrorism) member or not, are reminded of the criticality of having security procedures in place at the point of stuffing, procedures to inspect, properly seal and maintain the integrity of the shipping containers and trailers. It is recommended that Trading Partners conduct periodic reviews with their personnel of the seven-point inspection process for empty containers prior to the loading the cargo, as well as the seventeen-point inspection process for all trailers/tractors. Further information for C-TPAT members can be found at the C-TPAT portal. Non-members can call their personal account managers for more information. Please be reminded that all loaded U.S.-bound containers and trailers for a C-TPAT Importer must have high security seals that meets or exceed the current PAS ISO 17712 standards. In addition, procedures must be instituted for identifying and reporting compromised seals to CBP or the appropriate foreign authority. If you are a current and valid C-TPAT member, we ask you to provide advice of same to your Trans American Account Manager (Or if you have previously provided advice to Trans American, and there has been a change in your status for C-TPAT, please also advise your Trans American Account Manager of detail surrounding same). Further detail on the above and other information on C-TPAT can be found at: http://www.cbp.gov/border-security/ports-entry/cargo-security/c-tpat-customs-trade-partnership-against-terrorism
Truckload Rate Outlook
The demand and pricing forecasts for truckload services are both expected to increase in 2017 and 2018 as a direct result of President Trump’s plans to spend on infrastructure. Less-than-truckload rates are expected to continue to rise as well. Shippers are pushing for contract negotiations in early 2017 considering the rate hikes expected towards the end of the year. Additional details are available at: http://www.joc.com/regulation-policy/transportation-regulations/us-transportation-regulations/us-truck-safety-agency-parks-plans-driver-detention-rule_20170111.html
Canada
January 31, 2017
European Union – Canada Economic and Trade Agreement (CETA)
CETA has been approved by the European Parliament’s International Trade Committee. The agreement will now be put to a vote by the European Union Parliament in February. If approved, the agreement could apply provisionally from as early as April 2017.
