This is a follow-up to our February 22, 2018 Supply Chain Alert regarding the Commerce Department report on the results of the Section 232 investigation concerning the effects of imports of steel and aluminum on national security. The President is required to make a decision on the steel recommendations by April 11, 2018, and on the aluminum recommendations by April 19, 2018.
News / Supply Chain Alerts
The Commerce Department on February 16, 2018 released the results of the Section 232 investigation on the effects of imports of steel and aluminum on national security. The President is required to make a decision on the steel recommendations by April 11, 2018, and on the aluminum recommendations by April 19, 2018.
This is our latest update on the tightening North American intermodal and drayage market. Because of the importance of this situation, MIQ Logistics has created a dedicated page on our website which can be accessed here. This page will contain carrier updates as well as an archive of industry articles pertaining to the ongoing issues and the contributing factors.
MIQ Global Houston office is closed for today (Jan 16th) due to inclement winter weather. According to the National Weather Service the Houston area is currently under a Winter Storm Warning for northern portions of the Houston area, while a Winter Storm Advisory is in effect for southern portions of the area. These advisories are in effect until midnight tonight, but may be replaced by a Hard Freeze Warning before this afternoon. Due to the fact that the National Weather Service has advised to avoid traveling, our MIQ Global Houston office will remain closed.
Over the last few weeks operations within MIQ Logistics have been experiencing a tightening of the intermodal drayage market, especially throughout certain regions of the U.S. Drayage demand is currently outpacing capacity, and there are several factors, both new and old that are contributing to increased pricing and equipment shortages.
Capacity shortages within the truckload and intermodal markets have been an ongoing topic in supply chain for the last few years. There have been numerous publications that have listed out the factors contributing to these shortages. These factors range from a shortage of qualified long-haul drivers, to equipment shortages, and government regulations. On Monday, December 18th the ELD (Electronic Logging Device) mandate will take effect. This mandate has the potential to tighten truckload capacity even further; which could have a rippling effect on inland transportation.
With multiple fires actively being fought by firefighters in two counties near Los Angeles, MIQ Logistics wanted to notify our customers of the latest reports that are being released, and current impacts to road closures within the area.
The Fixing America’s Surface Transportation Act (FAST Act, Pub. L. 114-94) amended section 13031 of the Consolidated Omnibus Budget Reconciliation Act (COBRA) of 1985 (19 U.S.C. 58c) by requiring certain customs COBRA user fees and corresponding limitations to be adjusted by the Secretary of the Treasury (“Secretary”) to reflect certain increases in inflation.
On Tuesday, the U.S. Customs and Border Protection issued a trade notice which updated wood packaging material guidance for wood packing material destined to the U.S.
This trade notice CSMS#17-000612, spotlights a date of November 1st for potential penalties that the responsible party for wood packaging material (WPM) imports may face should their wpm be found to be in violation.
MIQ Logistics is hearing reports of potential supply chain interruptions due to manufacturers in China cutting back production or closing down factories temporarily due to environmental protection measures taken by the Chinese Government. According to multiple sources, the Chinese Ministry of Environmental Protection (MEP) has increased enforcement of clean air and water laws in an effort to reduce pollution.