Shippers are experiencing relief from disruptions caused by low water levels along the Panama Canal as carriers resume transits or seek alternative transport options. Hapag-Lloyd and Ocean Network Express have restored transits through the canal on some services, while others are being considered for a resumption of Panama transits due to improvements. Maersk, ONE, and CMA CGM are utilizing rail and truck alternatives to maintain cargo services. Despite challenges, carriers are strengthening services to mitigate disruption, such as ONE launching a biweekly Caribbean Express 7 service, and CMA CGM adding a ninth vessel to its Medcaribe service. Forwarders in Brazil noted smoother cargo shipments between South and North America's East Coasts in recent months. Read More

The Federal Maritime Commission (FMC) is facing scrutiny over emergency ocean freight surcharges imposed on US shippers, with concerns raised about the lack of regulatory oversight. Since December 21, the FMC has granted seven waivers allowing immediate surcharge additions to ocean freight tariffs, bypassing the usual 30-day notice requirement. These surcharges, attributed to higher operational costs due to ship diversions away from the Suez Canal amid attacks by Houthi militants, have prompted importer and exporter requests for increased FMC scrutiny. While acknowledging the need for carriers to recover higher operating costs, FMC Chairman Daniel Maffei emphasized the importance of justifiable and transparent surcharges with clear end dates. Despite challenges in assessing immediate costs, industry voices stressed the necessity of transparent and reasonable fee structures to mitigate potential impacts on shippers, particularly smaller volume exporters. The ongoing disruptions and potential return to port congestion highlight the urgency for transparent and targeted fee adjustments amid the evolving maritime landscape. Read More

The European Commission unveiled its proposal for a 2040 climate target on Tuesday, charting the course towards achieving climate neutrality in the European Union by 2050. European shipowners have expressed their approval of the Commission's commitment to tackling barriers hindering the deployment of low- and zero-emissions fuels, such as e-fuels and advanced biofuels, in the shipping sector. Additionally, they welcomed the pledge to grant priority access to these fuels over other decarbonization solutions. Recognizing the significant cost implications of sustainable fuels for shipping competitiveness, the Commission has committed to exploring regulatory measures to stimulate their production. Read More

The Transportation Security Administration (TSA) has announced a modification to the 49 CFR 1548.7, shifting the renewal frequency for Indirect Air Carriers (IACs) from annually to once every three years. This adjustment aims to alleviate compliance burdens, allowing IACs to allocate resources to other operational priorities without compromising aviation security. Despite concerns raised by some industry associations, TSA asserts that the change will not sacrifice security for economic relief, emphasizing that it aligns with regulatory review principles and will generate significant cost savings over a decade. TSA plans to maintain robust oversight through a combination of regular inspections, assessments, and supplemental measures to ensure ongoing compliance with security requirements. The effective date of this modification is March 11, 2024.

For more information, visit the Federal Register.

The new USDA Agricultural Marketing Service (AMS) rule, Strengthening Organic Enforcement (SOE), came into effect on March 20, 2023, with implementation scheduled for March 19, 2024. This active amendment to organic regulations by the United States Department of Agriculture (USDA) aims to enhance oversight and enforcement of organic agricultural products. Mandated by the Organic Foods Production Act of 1990, the changes aim to close gaps, improve transparency, and deter fraud in the organic supply chain. Key measures include regulating uncertified entities, mandating NOP Import Certificates for imports, clarifying certification oversight, and enhancing labeling and inspection procedures. Prompted by the growth of the organic market and complex supply chains, these actions seek to bolster consumer trust and ensure consistent standards. Producers, handlers, importers, certifying agents, and retailers within the organic industry will be actively affected.
 

For more information on Strengthening Organic Enforcement, visit U.S. Department of Agriculture: Strengthening Organic Enforcement

To view the full final ruling document, visit The Federal Register.

The U.S. Customs and Border Protection has recently updated the ACE Entry Type 86 Test, aimed at simplifying electronic entry for low-value shipments in the Automated Commercial Environment. The revisions, outlined in a republished notice, include shifting the filing deadline from within 15 days post-arrival to upon or before arrival, addressing misconduct and enhancing clarity in regulations. These changes, prompted by enforcement challenges, seek to streamline processes, maintain consistency, and improve effectiveness in facilitating secure cargo processing through the ACE platform.

Eastern Shipping Worldwide has strengthened its commitment to environmental sustainability through a strategic partnership with Terrapass. This collaboration aims to offset carbon emissions via the Klawock Heenya Forestry Project in Alaska. The initiative safeguards 8,600 acres of forest on Prince of Wales Island, including 1,000 acres of old-growth forest, promoting biodiversity and ensuring the ecosystem's long-term health. The partnership with Terrapass reflects Eastern's proactive approach to replenishing resources, contributing to a balanced energy ecosystem, and aligning with the broader global shift towards corporate sustainability. Read More