Monday Morning eBriefing

Here is a summary of the latest legislative and regulatory transport, logistics and trade sector updates brought to you by our NCBFAA Transportation Counsel firm Venable

Signed by President Biden on July 22, the Formula Act immediately grants a temporary suspension of duties on imports of certain infant formula products. The Customs and Border Protection (CBP) Office of Trade has updated the U.S. Harmonized Tariff Schedule (HTSUS) file in the Automated Commercial Environment (ACE) to account for this legislation. Thus, the agency will provide duty-free treatment of the eligible infant formula products entered or withdrawn from warehouse for consumption from July 22 through Dec. 31, 2022.

As an advocate for the entire industry, NCBFAA provides two key resource documents for shippers and freight forwarders that are available to members and non-members alike. NCBFAA’s Shipper’s Letter of Instruction (SLI) Model and the USPPI Responsibility Sheet simplify the reporting process for both shippers and forwarders and help them explain regulations to key partners and industry representatives.

Here is a summary of the latest customs and cross-border trade regulatory updates brought to you by our NCBFAA Customs Counsel firm Sandler, Travis & Rosenberg:

Every customs broker knows that interacting with Partner Government Agencies (PGAs) can be the most challenging part of their job. The PGA data requirements are often demanding. And, on top of that, there are just so many agencies! To help sort out this confusion, the NCBFAA Regulatory Agencies Committee (RAC) at the start of this year created a PGA Import Reference Tool which has been posted on the NCBFAA website for our Regular members to use.

Customs and Border Protection (CBP) has provided guidance to the import industry on the recent retroactive suspension of Section 201 solar safeguard measures on imports of crystalline silicon photovoltaic cells (CSPV) and modules originating in Canada and entered on or after February 1, 2022.

The National Marine Fisheries Service (NMFS) is now developing a proposed rule to automate the submission of a Certification of Admissibility (COA). A COA is used to allow entry of otherwise prohibited fish products from certain locations with certain types of fishing gear. To date, NMFS has used its authority one time to restrict fish products from Mexico that were harvested by specified fishing gear in the upper Gulf of California. The COA process in that instance involves paper submissions.

The State Department’s Directorate of Defense Trade Controls (DDTC) issued a Federal Register Notice on July 20 announcing new Open General Licenses (OGLs) 1 and 2 that may not directly impact U.S. exports. However, the NCBFAA Export Compliance Subcommittee and counsel are looking into potential scenarios where U.S. exports could be affected.

The Treasury Department’s Financial Crimes Enforcement Network (FinCEN) and Commerce Department’s Bureau of Industry and Security (BIS) issued a joint alert to financial institutions on potential evasion attempts of U.S. export controls against Russia and Belarus.

NCBFAA knows that you as our members are doing their best to keep up with their day-to-day businesses under dire supply chain circumstances, and now add on top of all that the recent flurry of U.S. sanctions imposed on Russia for its invasion of Ukraine. What do these sanctions mean to your business (our industry)? Well, it can be an awful lot, depending on whether you work with customers that had export or import business with Russia prior to invasion. That is why NCBFAA is pleased to provide you—our customs broker, freight forwarder, and NVOCC members—with the latest links to these U.S. government guidance documents, as well as Monday Morning eBriefing articles that you might have missed.

NCBFAA is asking all members to send us your questions, experiences, and concerns with the recently implemented Ocean Shipping Reform Act of 2022 (OSRA 22). Your name and companies will remain confidential during the compilation of this essential feedback. In the interim, we will soon begin sharing the answers to these questions on a rolling basis in the Monday Morning eBriefing. Send your questions and other input to NCBFAA Executive Vice President Megan Montgomery as soon as possible by email at mmontgomery@ncbfaa.org.

The NCBFAA Educational Institute (NEI) invites all global logistics professionals to its 8th Annual Global Trade Educational Conference (G·TEC). This two-day event at the InterContinental Magnificent Mile Hotel in Chicago on Aug. 1-2 will give customs brokers, freight forwarders, NVOCCs, OTI, service providers, importers, exporters, and all global logistics professionals an opportunity to update themselves on industry developments and connect with colleagues new and old

NCBFAA Regulatory Agencies Committee (RAC) Subcommittee Chair Roger Clarke and RAC Counsel Cindy Thomas attended a Seafood Summit sponsored by the National Oceanic and Atmospheric Administration (NOAA). The national summit was the first step in a public-private initiative to promote legal and safe working conditions in the seafood industry. The Call to Action: Ending Forced Labor and Promoting Decent Work in the Seafood Sector Summit included senior representatives of businesses, humanitarian groups, and government agencies to discuss collaborative approaches to support decent working conditions in the seafood sector.

On behalf of NCBFAA's Board of Directors, Leadership and Staff, we want to take a moment to acknowledge and welcome the following member who has recently joined our association: IGL Logistics, Inc., Charlotte, North Carolina; Jim Burke (email: jim@iglnow.com)

The NCBFAA Transportation Committee’s Logistics Subcommittee is regularly collecting data on the nation’s rail delays and port congestion that are impacting the supply chain and your business operations. The Logistics Subcommittee has compiled the latest attached data in form of an Excel spreadsheet for your reference.

The ports of Los Angeles and Long Beach have continued to postpone their “Container Dwell Fee,” and said they will reconsider its possible imposition on July 29.

Join your industry colleagues at the 2022 NCBFAA Government Affairs Conference (GAC) in Washington, D.C. on Sept. 18-20 and make your voice heard loud and clear on regulations and legislation that impact the customs brokerage, freight forwarding and NVOCC business in the U.S.

NCBFAA Wants You—our Regular Members—to become more active in your association by taking part in one of our myriad Committees and Subcommittees. Every Regular Member can make a markable difference in how our industry operates now and well into the future through their participation in NCBFAA! So, what are you waiting for?

The Commerce Department’s International Trade Administration (ITA) is seeking industry members to become advisors to its Industry Trade Advisory Committees (ITACs). These committees are a public-private partnership that engages business leaders to establish U.S. trade policy.

The NCBFAA Transportation Committee’s Logistics Subcommittee is regularly collecting data on the nation’s rail delays and port congestion that are impacting the supply chain and your business operations.