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News / Supply Chain Alerts

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USEC Prepares for Category 4 Hurricane Florence

The ports along the U.S. East Coast (USEC) are currently operating but have begun to prepare for Hurricane Florence’s arrival over the next 48-72 hours. Florence is forecasted to be a dangerous major hurricane making landfall near the southeast U.S. east coast by late Wednesday or early Thursday. The storm winds had increased to 130mph as of late yesterday.

Ocean carriers advise they are in contact with the U.S. Coast Guard, ports, terminals, and the rail and trucking industry to ensure they have the latest updates. The carriers are recommending customers with high value reefer and other import cargo to pick it up from your local port as soon as possible, due to the risk of flooding and port closures in the days ahead.

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Steel and Aluminum Quota Exclusions Now Allowed

On August 29, 2018, the President of the United States signed a proclamation allowing for targeted relief from quotas on steel from Argentina, Brazil, and South Korea and aluminum from Argentina, imposed under Section 232. Importers can apply for product exclusions based on insufficient quantity or quality available from U.S. steel or aluminum producers.

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Preliminary Trade Deal Between the U.S.A. and Mexico Announced

In a conference call this morning the United States White House announced that it had reached a preliminary trade deal with Mexico. The new agreement would be called the “United States – Mexico Trade Agreement”.

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U.S. Customs-Trade Partnership Against Terrorism (C-TPAT)

MIQ Logistics is a proud member of the U.S. Customs-Trade Partnership Against Terrorism (C-TPAT) program. C-TPAT is joint government-business initiative directed at companies who participate in international trade and transportation.

C-TPAT is one of the many layers of U.S. Customs and Border Protection’s (CBP) multi-layered cargo enforcement strategy. Through C-TPAT, CBP works with the trade community to strengthen international supply chains and improve United States border security.

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4th Typhoon Hits East China in less than 30 Days

Typhoon Rumbia, the eighteenth typhoon of the year, and fourth to affect East China in less than 30 days is forecasted to make landfall between August 16 and 17, local China time. Approximately 50,000 people have been evacuated from China’s Zhejiang Province ahead of the storm. Typhoon Rumbia, like the previous three typhoons in recent weeks, will impact the ocean ports of Shanghai and Ningbo, airports at Shanghai-Pudong and Shanghai-Hongqiao, as well as others in the region. As with previous storms, airports and ocean terminals will close until the storm passes. This will affect the sailing and flight schedules and lead to possible delays.

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FDA Renewal Period Approaching

The next FDA Renewal period begins October 1, 2018. All domestic and foreign food and medical device facilities, along with the companies that source from them, are required to renew their registration during the period from October 1, 2018 through December 31, 2018. 

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Customs User Fees and Limitations Increasing

On August 1, 2018, U.S. Customs and Border Protection (CBP) published a Federal Register Notice announcing that CBP is adjusting certain customs user fees, pursuant to the Consolidated Omnibus Budget Reconciliation Act (COBRA) for Fiscal Year 2019 in accordance with the Fixing America’s Surface Transportation (FAST) Act as implemented by CBP regulations.

The adjusted amounts will be effective October 1, 2018.

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China Tariffs: Second List Finalized, Becomes Effective August 23

On August 7, 2018, the Office of the United States Trade Representative (USTR) released the second list (List 2 – Final) of approximately $16 billion worth of imports from China that will be subject to a 25 percent additional tariff as part of the U.S. response to China’s unfair trade practices related to the forced transfer of American technology and intellectual property. This second list of additional tariffs under Section 301 follows the first list of tariffs on approximately $34 billion of imports from China, which went into effect on July 6, 2018.

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East Bound Transpacific Ocean Update: Ocean Carriers Reduce Capacity Before Peak Season

Over the last several weeks, the ocean carrier alliances have announced a number of changes to their Asia to U.S.A. ocean services. Changes such as removing entire service strings, implementing void sailing programs, and combining service strings (which effectively removes one or more service loops), are now being implemented. These changes suggest that the carriers are seeking solutions to deal with rising bunker costs, ongoing supply overcapacity in the Asia to U.S.A. trade, concerns over the U.S.A. / China trade tensions, and the ultimate effect on future demand in the market.

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USTR Proposes Additional Import Tariffs on Products from China

On Tuesday, July 10, 2018, the United States Trade Representative (USTR) released the proposed list of Chinese products that could be subject to an additional 10 percent tariff, a proposed modification to the earlier actions taken in the U.S. Section 301 investigation of the acts, policies, and practices of the Government of China related to technology transfer, intellectual property, and innovation.

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