(Journal of Commerce Online – Bill Mongelluzzo)
FDA, CPSC press importers, customs brokers on changing regulations
Two federal regulatory agencies, the Food and Drug Administration and Consumer Product
Safety Commission, are stepping up their inspection activities to prevent
unsafe food products and consumer goods from entering the country.
Importers and customs brokers are expected to keep informed of the rapid
changes taking place to protect consumers, and to ensure that the overseas
plants that ship their products maintain the same standards for cleanliness and
safety that are required of U.S.
producers.
President Obama signaled his support of import safety regulations when he
signed on Jan. 4,
2011, the Food Safety and Modernization Act.
The FDA since then has had the “pedal to the floor” implementing the act, said
Anthony Taube, director of the agency’s prior notice section. Read more here.
Thursday, April 7, 2011
Michigan Governor Defends Second Border Bridge
(CTV News – The Associated Press)
Michigan Gov. Rick Snyder is defending a plan he backs to build a second bridge between Detroit and Windsor, Ont., and says two bridges would be viable. The Republican governor’s comments to the Detroit Free Press published Thursday come a day after the newspaper reported Ambassador Bridge owner Manuel “Matty” Moroun’s criticism of Snyder for his stance.
Snyder says a TV ad campaign paid for by Moroun attacking plans for the second bridge to Canada is “innacurate.” Snyder says he supports international trade and he’s “not anti-Ambassador Bridge.” Moroun wants to build his own second span. Read more here.
Michigan Gov. Rick Snyder is defending a plan he backs to build a second bridge between Detroit and Windsor, Ont., and says two bridges would be viable. The Republican governor’s comments to the Detroit Free Press published Thursday come a day after the newspaper reported Ambassador Bridge owner Manuel “Matty” Moroun’s criticism of Snyder for his stance.
Snyder says a TV ad campaign paid for by Moroun attacking plans for the second bridge to Canada is “innacurate.” Snyder says he supports international trade and he’s “not anti-Ambassador Bridge.” Moroun wants to build his own second span. Read more here.
Perimeter Talks Possibly Affected by U.S. Budget
(Sheldon Alberts — Postmedia News/Montreal Gazette)
Shutdown looms; Perimeter talks could be affected
Even at the best of
times on Capitol Hill, Senator Barbara Mikulski is not the cheeriest of
lawmakers. But the looming prospect of a U.S. federal government
shutdown put Mikulski, a fifthterm Maryland Democrat, in an especially foul
mood when she stood Wednesday to address a nearly empty Senate chamber. Waving her finger and demanding that someone "pay attention," Mikulski warned her colleagues voters would punish the lot of them if they let the government go dark... Read more here.
U.S. and Colombia Said to Reach Trade Deal
(New York Times – Helene Cooper)
The Obama administration will announce – perhaps as early as Wednesday – that it has reached agreement with Colombia on a free trade pact, a United States official said on Tuesday. The agreement, the second such deal with Colombia in four years, will still need to be ratified by Congress.
But with Republicans now in control of the House and pressuring Mr. Obama to move ahead on trade pacts that were negotiated by the George W. Bush administration, the Colombia trade deal now has a better chance of getting through legislative hurdles than it did earlier, trade experts said. Read more here.
The Obama administration will announce – perhaps as early as Wednesday – that it has reached agreement with Colombia on a free trade pact, a United States official said on Tuesday. The agreement, the second such deal with Colombia in four years, will still need to be ratified by Congress.
But with Republicans now in control of the House and pressuring Mr. Obama to move ahead on trade pacts that were negotiated by the George W. Bush administration, the Colombia trade deal now has a better chance of getting through legislative hurdles than it did earlier, trade experts said. Read more here.
Wednesday, April 6, 2011
Canada-U.S. Border Crossing ‘Woefully Insufficient’, Congress Hears
(Sheldon
Alberts — Postmedia News, Vancouver Sun)
Efforts to ease congestion at one of the busiest Canada-U.S. border crossings are being hampered by “woefully insufficient” American customs infrastructure and ill-considered budget cuts, a congressional panel heard Tuesday.
The problems at the Blue Water Bridge crossing, which links Sarnia, Ont., to Port Huron, Mich., are so acute that U.S. agents must conduct secondary inspections of commercial vehicles at off-site locations because the existing customs plaza lacks enough space to accommodate on-site searches. […]
Efforts to ease congestion at one of the busiest Canada-U.S. border crossings are being hampered by “woefully insufficient” American customs infrastructure and ill-considered budget cuts, a congressional panel heard Tuesday.
The problems at the Blue Water Bridge crossing, which links Sarnia, Ont., to Port Huron, Mich., are so acute that U.S. agents must conduct secondary inspections of commercial vehicles at off-site locations because the existing customs plaza lacks enough space to accommodate on-site searches. […]
A $583-million U.S. project that would have added seven “primary
inspection lanes” at the American customs plaza — and reduced average waiting
times from about 30 minutes to three — has fallen victim to cost-cutting. Read more: here.
Much Ado About Nada?
(DC Velocity – Mark B. Solomon)
What if they threw open the U.S.-Mexican border to all qualified trucking companies, but no Mexican truckers showed up?
It would indeed be an ironic outcome of a battle that has dragged on for more than 11 years, culminating in March 2009 in a mini-trade war that has cost U.S. exporters billions of dollars in lost revenue and, according to U.S. Chamber of Commerce estimates, led to the loss of more than 25,000 American jobs.
Yet it is entirely plausible, according to various experts. For all the publicity surrounding the March 3 announcement by President Barack Obama and Mexican President Felipe Calderón of a tentative resolution to the cross-border dispute, few expect the status quo to change for years to come. The agreement would allow carriers on both sides of the border to operate beyond a 25-mile “commercial zone,” but that doesn't necessarily mean they'll take advantage of that freedom. In fact, Mexican truckers will have little, if any, desire to operate deeper into U.S. commerce than they already do, these experts say.
“The majority of Mexican truckers don't want any part of it,” says Herb Schmidt, president and CEO of Con-way Truckload, the truckload unit of Con-way Inc. Schmidt estimates that only 5% of the 80 Mexican truckers that have cross-border interline relationships with Con-way Truckload have even considered serving the U.S. market beyond the commercial zone. Read more here.
What if they threw open the U.S.-Mexican border to all qualified trucking companies, but no Mexican truckers showed up?
It would indeed be an ironic outcome of a battle that has dragged on for more than 11 years, culminating in March 2009 in a mini-trade war that has cost U.S. exporters billions of dollars in lost revenue and, according to U.S. Chamber of Commerce estimates, led to the loss of more than 25,000 American jobs.
Yet it is entirely plausible, according to various experts. For all the publicity surrounding the March 3 announcement by President Barack Obama and Mexican President Felipe Calderón of a tentative resolution to the cross-border dispute, few expect the status quo to change for years to come. The agreement would allow carriers on both sides of the border to operate beyond a 25-mile “commercial zone,” but that doesn't necessarily mean they'll take advantage of that freedom. In fact, Mexican truckers will have little, if any, desire to operate deeper into U.S. commerce than they already do, these experts say.
“The majority of Mexican truckers don't want any part of it,” says Herb Schmidt, president and CEO of Con-way Truckload, the truckload unit of Con-way Inc. Schmidt estimates that only 5% of the 80 Mexican truckers that have cross-border interline relationships with Con-way Truckload have even considered serving the U.S. market beyond the commercial zone. Read more here.
EPA to Clarify Labeling Requirements for Pesticides and Devices Intended for Export
(World Trade Interactive)
The Environmental Protection Agency is proposing to revise its regulations on the labeling of pesticides and devices intended for export in order to increase their understandability and ease of use. Comments on this proposed rule are due no later than June 6.
The Federal Insecticide, Fungicide and Rodenticide Act requires that unregistered pesticides and devices intended for export be subject to several provisions that include labeling, production reports, inspection of establishments, and reporting and recordkeeping. FIFRA further requires that exporters obtain a purchaser acknowledgement statement before exporting an unregistered pesticide (but not a device).
Regulations interpreting these requirements were published in 1993 and have not been amended since. EPA states that a recent internal review determined that these regulations are not as clear as intended and that the resulting ambiguity might have led to uncertainty in compliance. EPA is therefore proposing to add a more specific labeling requirement to clarify that these requirements pertain to unregistered export pesticide products and devices not only once they are exported from the U.S. but also as they move between registered establishments operated by the same producer in the U.S. EPA anticipates that this requirement would take effect one year after a final rule is published in the Federal Register.
The Environmental Protection Agency is proposing to revise its regulations on the labeling of pesticides and devices intended for export in order to increase their understandability and ease of use. Comments on this proposed rule are due no later than June 6.
The Federal Insecticide, Fungicide and Rodenticide Act requires that unregistered pesticides and devices intended for export be subject to several provisions that include labeling, production reports, inspection of establishments, and reporting and recordkeeping. FIFRA further requires that exporters obtain a purchaser acknowledgement statement before exporting an unregistered pesticide (but not a device).
Regulations interpreting these requirements were published in 1993 and have not been amended since. EPA states that a recent internal review determined that these regulations are not as clear as intended and that the resulting ambiguity might have led to uncertainty in compliance. EPA is therefore proposing to add a more specific labeling requirement to clarify that these requirements pertain to unregistered export pesticide products and devices not only once they are exported from the U.S. but also as they move between registered establishments operated by the same producer in the U.S. EPA anticipates that this requirement would take effect one year after a final rule is published in the Federal Register.
180,000 Truck Shortfall Predicted for 2012
(Journal of Commerce Online – William B. Cassidy)
Soaring truck orders won't match deep capacity cuts, ACT Research says
The surge in orders for heavy trucks isn't big enough to prevent a shortfall in available truck capacity in 2011 and 2012, according to ACT Research. “We are starting to accumulate a shortage of freight-hauling capacity,” said Steve Tam, vice president of the commercial vehicle sector at ACT Research.
Tam said truck capacity reached “equilibrium” last year after the second quarter surge in inventory restocking and has tightened since. Read more here.
Soaring truck orders won't match deep capacity cuts, ACT Research says
The surge in orders for heavy trucks isn't big enough to prevent a shortfall in available truck capacity in 2011 and 2012, according to ACT Research. “We are starting to accumulate a shortage of freight-hauling capacity,” said Steve Tam, vice president of the commercial vehicle sector at ACT Research.
Tam said truck capacity reached “equilibrium” last year after the second quarter surge in inventory restocking and has tightened since. Read more here.
Tuesday, April 5, 2011
USTR Issues Annual Reports on Foreign Trade Barriers
The Office of the U.S. Trade Representative issued March 30 its annual National Trade Estimate report, which describes significant
foreign barriers to U.S. exports of goods and services, foreign direct
investment and intellectual property rights protection as well as the actions
being taken to address those barriers. The NTE report covers significant
barriers, whether or not they are consistent with international trading rules,
in 58 countries, the European Union, Taiwan, Hong Kong and one regional body.
USTR has also issued its second annual reports focusing specifically on Technical Barriers to Trade, such as product standards and testing and certification requirements, and sanitary and phytosanitary barriers, which include measures used to ensure that foods and beverages are safe for consumers and to protect animals and plants from pests and diseases.
Note: The section of the report dealing with Canadian trade barriers can be downloaded from our website here.
USTR has also issued its second annual reports focusing specifically on Technical Barriers to Trade, such as product standards and testing and certification requirements, and sanitary and phytosanitary barriers, which include measures used to ensure that foods and beverages are safe for consumers and to protect animals and plants from pests and diseases.
Note: The section of the report dealing with Canadian trade barriers can be downloaded from our website here.
U.S. Customs Seeks Unified Portal for Trade
(Journal of Commerce Online – Bill Mongelluzzo)
Bersin says cooperation key to single window for government agencies
The Commissioner of Customs feels the partnership between his agency and the private sector has done a good job in extending cargo security beyond the borders, but more must be done to streamline the entry and post entry processes as cargo enters U.S. seaports, airports and land border crossings.
The next steps in the evolving partnership between Customs and Border Protection and the trade community will involve greater cooperation among the many government agencies involved in the clearance of cargo, and providing the trade with a single window through which they can communicate with all of those agencies.
“This will be the key to harmonizing CBP’s relationship with you and with the other government agencies,” Commissioner of Customs Alan Bersin told the annual conference of the National Customs Brokers and Forwarders Association of America Monday in Phoenix. Read more here.
Bersin says cooperation key to single window for government agencies
The Commissioner of Customs feels the partnership between his agency and the private sector has done a good job in extending cargo security beyond the borders, but more must be done to streamline the entry and post entry processes as cargo enters U.S. seaports, airports and land border crossings.
The next steps in the evolving partnership between Customs and Border Protection and the trade community will involve greater cooperation among the many government agencies involved in the clearance of cargo, and providing the trade with a single window through which they can communicate with all of those agencies.
“This will be the key to harmonizing CBP’s relationship with you and with the other government agencies,” Commissioner of Customs Alan Bersin told the annual conference of the National Customs Brokers and Forwarders Association of America Monday in Phoenix. Read more here.
Cross-border Customs Compliance — the VAT Implications [EU]
(Lexology – Erik de Bie, Greenberg Traurig LLP)
The Modernized Customs Code of the EU provides importers the option to be authorized to declare and pay customs duties to local customs authorities in the country in which they are established, irrespective of where the goods enter the EU and their final destination within the EU. This regime is referred to as “Centralized Customs Clearance.” The related customs formalities and implications are well described, and the EU customs authorities are increasingly familiar with this important development.
However, when exploring options to implement the Centralized Customs Clearance options, importers are confronted with the fact that the VAT legislation is not in line with this centralized customs regime. From a VAT point of view, importers must still think “Member State by Member State” rather than cross-border and centralized. The European Commission is studying which options are available to overcome this VAT problem, which is why it consulted with EU businesses to learn more about the options and preferences. The outcome of this consultation process was recently published. Read more here.
The Modernized Customs Code of the EU provides importers the option to be authorized to declare and pay customs duties to local customs authorities in the country in which they are established, irrespective of where the goods enter the EU and their final destination within the EU. This regime is referred to as “Centralized Customs Clearance.” The related customs formalities and implications are well described, and the EU customs authorities are increasingly familiar with this important development.
However, when exploring options to implement the Centralized Customs Clearance options, importers are confronted with the fact that the VAT legislation is not in line with this centralized customs regime. From a VAT point of view, importers must still think “Member State by Member State” rather than cross-border and centralized. The European Commission is studying which options are available to overcome this VAT problem, which is why it consulted with EU businesses to learn more about the options and preferences. The outcome of this consultation process was recently published. Read more here.
Global Container Traffic Hits All Time High
(Journal of Commerce Online – Bruce Barnard)
Record annual increase reaches total of 560 million TEUs
Global ocean container traffic reached an all-time high of 560 million 20-foot equivalent units in 2010, driven by surging volume at Chinese ports, according to Alphaliner. This followed a record year-on-year increase of 14.5% over 2009, when the first annual drop in the history of containerization shrunk overall port traffic 8.9%, the Paris-based analyst said. Read more here.
Record annual increase reaches total of 560 million TEUs
Global ocean container traffic reached an all-time high of 560 million 20-foot equivalent units in 2010, driven by surging volume at Chinese ports, according to Alphaliner. This followed a record year-on-year increase of 14.5% over 2009, when the first annual drop in the history of containerization shrunk overall port traffic 8.9%, the Paris-based analyst said. Read more here.
Exporting: A Personal Tale
(Department
of Commerce)
In 2009 Rotec Industries in Chicago, Illinois struggled to keep its doors open. Rather than close down, they expanded into New Markets abroad. This is their story.
In 2009 Rotec Industries in Chicago, Illinois struggled to keep its doors open. Rather than close down, they expanded into New Markets abroad. This is their story.
U.S. January 2011 Surface Trade with Canada and Mexico Rose 19.5% from January 2010
(U.S. Department of Transportation)
Trade using surface transportation between the U.S. and its North American Free Trade Agreement (NAFTA) partners Canada and Mexico was 19.5% higher in January 2011 than in January 2010, reaching $67.7bn, according to the Bureau of Transportation Statistics (BTS) of the US Department of Transportation.
BTS, a part of the Research and Innovative Technology Administration, reported that the value of U.S. surface transportation trade with Canada and Mexico in January 2011 rose 42.7% in two years from January 2009, which at $47.5bn had the lowest amount of trade of any month since January 2004. Trade value in January 2011 was up 4% from the early recession level of January 2008. Read more here (PDF).
Trade using surface transportation between the U.S. and its North American Free Trade Agreement (NAFTA) partners Canada and Mexico was 19.5% higher in January 2011 than in January 2010, reaching $67.7bn, according to the Bureau of Transportation Statistics (BTS) of the US Department of Transportation.
BTS, a part of the Research and Innovative Technology Administration, reported that the value of U.S. surface transportation trade with Canada and Mexico in January 2011 rose 42.7% in two years from January 2009, which at $47.5bn had the lowest amount of trade of any month since January 2004. Trade value in January 2011 was up 4% from the early recession level of January 2008. Read more here (PDF).
Friday, April 1, 2011
News from TAHOCO: Weekly Updates
An updated list of recently published US government
memorandums, notices, regulations and decisions for the week ending April 1, 2011 is now available on our
website here.
Revised Comment Period on Ways to Address Regulatory Trade Barriers in Canada and Mexico
(World Trade Interactive)
The Department of Commerce has extended from April 4 (not June 1, as originally reported) to April 18 the deadline for public comments on ways to address unnecessary regulatory divergences in North America that disrupt U.S. exports. Methods under consideration include information-sharing agreements, technical assistance, memoranda of understanding, mutual recognition agreements, collaboration between regulators before initiating rulemaking proceedings, agreements to align particular regulatory measures, equivalency arrangements, and accreditation of testing laboratories or other conformity assessment bodies. Comments received will serve as a basis for discussions with the U.S.-Mexico High-Level Regulatory Cooperation Council and the U.S.-Canada Regulatory Cooperation Council.
The Department of Commerce has extended from April 4 (not June 1, as originally reported) to April 18 the deadline for public comments on ways to address unnecessary regulatory divergences in North America that disrupt U.S. exports. Methods under consideration include information-sharing agreements, technical assistance, memoranda of understanding, mutual recognition agreements, collaboration between regulators before initiating rulemaking proceedings, agreements to align particular regulatory measures, equivalency arrangements, and accreditation of testing laboratories or other conformity assessment bodies. Comments received will serve as a basis for discussions with the U.S.-Mexico High-Level Regulatory Cooperation Council and the U.S.-Canada Regulatory Cooperation Council.
U.S. Grants C-TPAT Tier 2 Status to New Zealand Supply Chain Security Program Members
(World Trade Interactive)
U.S. and New Zealand officials recently signed letters formalizing tier 2 status under the Customs-Trade Partnership Against Terrorism for members of New Zealand’s Secure Export Scheme. According to a U.S. Customs and Border Protection press release, this is the first time that another government’s supply chain security program has merited this level of recognition. New Zealand was the first country to sign a mutual recognition arrangement concerning such programs with the U.S., in 2007, and the expansion of this cooperation was held out as a model for other mutual recognition partners, which include Canada, Japan, Korea and Jordan
U.S. and New Zealand officials recently signed letters formalizing tier 2 status under the Customs-Trade Partnership Against Terrorism for members of New Zealand’s Secure Export Scheme. According to a U.S. Customs and Border Protection press release, this is the first time that another government’s supply chain security program has merited this level of recognition. New Zealand was the first country to sign a mutual recognition arrangement concerning such programs with the U.S., in 2007, and the expansion of this cooperation was held out as a model for other mutual recognition partners, which include Canada, Japan, Korea and Jordan
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