CTA, Others Urge Commerce to Work With South Korea to Resolve Hanjin Issues

CTA was among several dozen trade groups in various industries to urge Commerce Secretary Penny Pritzker in a Tuesday letter to continue engaging the South Korean government to smoothly resolve supply chain disruptions caused by Hanjin Shipping’s recent bankruptcy filing (see 1609020035). The Information Technology Industry Council and the National Retail Federation were among other groups signing the letter. Shippers are wondering when Hanjin ships will be allowed to access ports, whether creditors will seize goods after docking, where cargo is currently being held, where it will be unloaded, and how goods will be transported, the groups said: “The trade community is also facing steadily increasing freight charges as they look for new transportation options as well as concerns about fees assessed on cargo.” Small and medium-sized firms could be disproportionately affected as the situation persists, and resolution would bring needed certainty to U.S. businesses, they said. "U.S. businesses rely on predictability in their supply chains, particularly during the busiest shipping season of the year. The recent bankruptcy filing has caused widespread disruptions in freight shipments worldwide."