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US apparel, footwear industries fear Trump trade plan

Thursday, January 19th, 2017

aafaFrom our friends at the American Apparel & Footwear Association:

January 15: The United States is one of the world’s largest apparel markets, but 97 percent of the garments sold here are made elsewhere. So it will come as no surprise if fashion is the first industry to be affected when President-elect Donald Trump launches his trade strategy after taking office on Friday.

… Corporations are currently taxed upwards of 35 percent on worldwide revenues. The border tax would lower the rate and create a taxation on U.S. operations and consumption. Simply stated, when a product is imported, it would be taxed, and when exported, it would be exempt. …

“This could be devastating for the apparel and footwear industry,” said Stephen Lamar, executive vice president of the American Apparel & Footwear Association. “This increased tax burden would translate into higher shoe and clothing prices for American consumers and fewer jobs for American workers.” (Source: LA Daily News)

US shippers forced to look inland for warehouse space

Monday, January 16th, 2017

joc whseContinuing a trend that ran through 2016, demand for industrial space is expected outpace supply, leaving importers and exporters competing for a scant supply of prime warehouse and distribution space close to major seaports and transportation hubs.  According to the Journal of Commerce, shippers may be relegated to secondary markets, such as the Inland Empire (LA) and the Lehigh Valley (Central NJ).  Read full article.*

 

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Breaking news! CBP postpones deployment of Jan 14 ACE post-entry functionality

Wednesday, January 11th, 2017

seal_ace

 

From CSMS #17-000009:

 

Notice Regarding ACE – Postponement of the January 14 deployment
  • This notice is with regard to the U.S. Customs and Border Protection, Automated Commercial Environment (ACE).
  • The January 14, 2017, deployment of post release capabilities including  liquidation (with the exception of the electronic posting of the Notices of Liquidation on CBP.gov), drawback, reconciliation, duty deferral, collections, statements and the Automated Surety Interface will be postponed.  However, pursuant to the Final Rule published on December 12, 2016, CBP will post the Notices of Liquidation on CBP.gov effective January 14, 2017, as planned.
  • In consideration of stakeholder feedback and the complexity of the ongoing integration testing, CBP is providing additional time to prepare for the final core ACE deployment and ensure a smooth transition of liquidation, drawback, reconciliation, duty deferral, collections, statements and Automated Surety Interface capabilities in ACE. CBP will provide updated information and a new deployment date in the near future.
Office of Trade Relations, Office of the Commissioner
U.S. Customs and Border Protection

Supply chain shakeup! Amazon applies for patent for underground delivery tunnels

Wednesday, January 11th, 2017

amazon-patent-tunnel-delivery-system

E-commerce giant Amazon “is not satisfied with conventional transport. Alongside autonomous drones, self-driving trucks, branded fleets of airplanes and even flying warehouses, the Seattle-based company is now looking into delivering goods via a network of subterranean tunnels.”  Others have the same idea.  Check out this Newsweek article about a movement to turn conventional supply chain wisdom on its head!

CBP’s ACE Status Update Call now will be weekly

Friday, November 18th, 2016

Conferencecall

Per CSMS #16-000952

In response to the reduced volume of incoming questions on the ACE Status Update Call, beginning on Tuesday, November 22, the ACE Status Update Call will become a weekly call held on Tuesdays at 2:00PM EST. As CBP approaches the targeted deployment of post-release capabilities to ACE in January 2017, the ACE Business Office will reevaluate the needs of the trade community and increase the frequency of the calls, if necessary.

For those already included in the email invitation for the ACE Status Update Call, the invitation will be updated to reflect this schedule change. If you have not received the email invitation and would like to be added, please email AskACE@cbp.dhs.gov and request to be included.

Call-in information:  1-877-336-1828, call ID 6124214.

Hanjin to remove empty container from Long Beach this week!

Monday, November 7th, 2016
© 2016 Journal of Commerce

© 2016 Journal of Commerce

 

According to the Journal of Commerce, the backlog of empty Hanjin Shipping-leased containers in Southern California that has built up since the carrier declared bankruptcy on Aug. 31 will be reduced by two-thirds this week when Hanjin sends a vessel to the Port of Long Beach to pick up about 4,300 empties.  The removal of thousands of Hanjin containers from the Long Beach will help ease the operational pressures the empty containers have put on the supply chain in the Southern California region.

At the same time, the idled chassis upon which the containers were sitting will be released back into service.

Check out the full story.*

(*site registration may be required)

Make your Hanjin bankruptcy claims now!

Wednesday, October 19th, 2016

hanjin

Veteran trade attorney, Susan Kohn Ross, of Mitchell Silberberg & Knupp LLP, has posted some helpful guidance about contending with the Hanjin bankruptcy in this week’s NCBFAA e-briefing.

Here are some highlights:

  • There is a lot of press coverage about the Hanjin bankruptcy, but very little of it provides tangible facts for traders to rely on. One thing we know for sure is Hanjin filed a Chapter 15 bankruptcy in the U.S. What that means is the U.S. bankruptcy court will defer to the Korean bankruptcy court regarding how the case will proceed.
  • The U.S. court will limit its orders to cargo in the U.S. or touching the U.S. Most importantly right now, if you think you have a claim against Hanjin, you need to file that claim in the Korean bankruptcy proceeding, and you must do that between October 11 and 25, 2016. If you miss that claim deadline, you will be out of luck.
  • There are a handful of Korean lawyers representing the interests of cargo owners and other potential claimants in Korea and they should be contacted immediately. Referrals are available.

The complete article >> Hanjin Bankruptcy Update

C-TPAT: AQUA Lane for expedited unlading opens at LA/LB seaport

Thursday, September 29th, 2016

POL_Ariel

 

US Customs’ Los Angeles Field Operations Unit has announced the opening of the Advanced Qualified Unlading Approval (AQUA) Lane program at the Los Angeles/Long Beach seaport.

AQUA Lane provides an expedited vessel clearance process to sea carriers actively participating in the C-TPAT program, who meet the requisite criteria, that enables them to immediately unload cargo upon arrival in the US — prior to CBP meeting the vessel.  It allows CBP to lessen congestion at seaports, redirecting Customs’ resources towards high risk threats and away from low risk carriers.

Complete information, including FAQs are found in the LA/LB seaport’s September 28, 2016, Public Bulletin.  LA:LB Implementation of AQUA Lane at the LALB Seaport

 

Continued fallout from the Hanjin bankruptcy

Tuesday, September 27th, 2016

 

hanjin

Update from the Journal of Commerce:*

  • A US federal maritime commissioner said that shipping alliances may have to prove that they have emergency procedures in case a member files for bankruptcy, as Hanjin Shipping has done, adversely affecting its own customers and those of its shipping partners in its CYKHE alliance.
  • Since the collapse of Hanjin, shippers, truckers, terminals, fuel providers and chassis companies have expressed concern about the impact on their business, and many have filed papers in hearing in the US Bankruptcy Court matter
  • Their concerns are, for example:
    • How to obtain containers locked in Hanjin ships
    • How to return Hanjin containers when terminals won’t accept them
    • How to deal with Hanjin containers and chassis stored in yards and warehouses across the US (causing fears of another chassis shortage)

*(site registration may be required)

CBP’s formal announcement on ACE deadline move to Oct 29

Thursday, September 8th, 2016

O

 

In follow up to yesterday’s blog post, here is US Customs’ official announcement of the move of the October 1 ACE deadline to October 29:

U.S. Customs and Border Protection (CBP) has been assessing stakeholder readiness for the mandatory transition of post-release capabilities in ACE and has heard from key industry partners on the need for additional flexibility in this transition.  As a result, CBP is moving this date from October 1, 2016 to October 29, 2016 to allow additional time for our trade stakeholders to transition these capabilities to ACE.

This adjustment affects the mandatory filing of liquidation, drawback, reconciliation, duty deferral, collections, statements, and automated surety interface. 

All capabilities included in the October 29, 2016 transition that are planned for but not yet deployed to the Certification environment (CERT) will be operational in CERT, and all known prioritized issues will be resolved, no later than September 30, 2016.

While CBP has implemented the capability for most Partner Government Agency (PGA) data to be filed electronically in ACE, trade users may continue to file a combination of CBP electronic data and PGA paper forms where that is currently permitted. 

APHIS Lacey, NHTSA, FDA and as of 9/20/16, NMFS, data is required to be filed electronically in ACE. 

For PGA data that is not required to be filed electronically in ACE, filers may file using options currently specified as available for those PGAs.

CBP will continue to coordinate and communicate as required the conclusion of PGA pilots via public notices.

To ensure quick resolution of any issues that may arise following the October 29th deployment, CBP will stand up an operations center to support the transition to ACE for post-release capabilities for CBP users. Trade users will continue to contact their assigned Client Representative as the first line point of contact. Client Representatives will escalate trade issues as needed to the operations center.  Additional information on support during the transition will be published prior to the October 29th deployment.

The information in this notice will be posted on cbp.gov by September 8.