Federal Maritime Commission Chairman Mario Cordero sought to assuage shipping industry concerns and called for better cooperation "to stabilize an industry that is critical to the world’s economy" during a Nov. 4 speech at the World Shipping Summit in Shanghai (here). Cordero addressed a number of issues, such as the consolidation of three major Japanese lines -- MOL, K Line and NYK -- and Hanjin Shipping's insolvency, that are creating anxiety in the industry. "Any one of these developments in and of itself would have been impactful, but taken together, these represent generational changes that have the potential to significantly change the very structure of the shipping industry," he said. "Carrier consolidation combined with capacity in the global container fleet far exceeding the needs of a slowing global economy necessitated the re-ordering of the carrier alliance system."
Tim Warren
Timothy Warren is Executive Managing Editor of Communications Daily. He previously led the International Trade Today editorial team from the time it was purchased by Warren Communications News in 2012 through the launch of Export Compliance Daily and Trade Law Daily. Tim is a 2005 graduate of the College of the Holy Cross in Worcester, Massachusetts and lives in Maryland with his wife and three kids.
The size of imported bags from China is the determining factor for classification as either a handbag or a tote bag, CBP said in Aug. 17 ruling that was recently released (here). Kohl's Department Stores requested reconsideration of a 2008 CBP ruling that also classified the bags as tote bags. "Although the bag at issue is a larger sized bag, it is designed as a daily use handbag, fitting with the current fashion trends," Kohl's said to CBP in its 2008 request for reconsideration. The handbag classification includes a 16 percent duty rate, whereas the tote bag classification has a 20 percent duty rate.
The Commercial Customs Operations Advisory Committee (COAC) for CBP will next meet Nov. 17 in Washington, CBP said in a notice (here).
Chef's coats claimed to be suitable for men or women are in fact designed for men based on the cut of the coats, CBP said in a Sept. 21 ruling (here). CBP's ruling came in response to Western Overseas, which requested reconsideration of a previous ruling that also found the coats should be classified as men's. Unisex clothing is automatically classified under the female clothing classification.
The National Association of Manufacturers took issue with several areas in CBP's interim rule for antidumping and countervailing duty evasion allegations (see 1608190014), the trade group said in comments to CBP (here). The association "believes that many aspects of the interim rules need to be strengthened to meet the legislative requirements and effectively ensure transparent, full and fair enforcement of U.S. trade-remedy laws," it said. Among other issues, NAM voiced concerns over the lack of administrative protective orders (APOs), something that others have mentioned to CBP as worrisome (see 1610140044).
Collectable bottle lids that include plastic depictions of popular children's characters aren't eligible for classification as toys, CBP said in a recently released ruling (here). The importer, In Zone Brands, filed a protest and application for further review after CBP liquidated the lids under the subheading for plastic caps and not as toys, CBP said. The agency disagreed with the company that the product, called "SippaTop" bottle toppers, are best considered toys designed for amusement.
CBP 's interim regulations for investigating allegations of antidumping or countervailing duty evasion diminish the effect of the new law by limiting what information is released publicly, the Southern Shrimp Alliance said in comments to CBP (here). "The results of CBP’s investigations will provide invaluable assistance to the trade community in recognizing and avoiding evasion schemes and will improve the informed compliance of importers and other supply chain participants," it said. "But these benefits will only be enjoyed if CBP issues public notices of its actions." The agency has received and responded to at least one allegation since the interim rules went into effect (see 1610190029).
A company that undertakes substantial post-entry work on imported equipment but doesn't hold the title to the goods can still have the right to make entry, CBP said in a recently released ruling (here), dated Aug. 24. The companies involved in the ruling were granted confidential treatment, meaning some information, including company names, was redacted in the ruling. A lawyer for the companies, Joseph Acayan of Givens and Johnston in Houston, requested the ruling from CBP on whether one of the companies has enough financial interest for the right to make entry.
CBP declined to investigate further an allegation of antidumping or countervailing duty evasion on steel pipe from China, the agency told Wheatland Tube, the Pennsylvania steel tube company that filed the allegation last month (see 1609150028). While Wheatland’s allegation reasonably suggested that an undisclosed company "imported merchandise from China that may be subject to AD/CVD order," the allegation didn't "reasonably suggest that merchandise was entered through evasion," the agency told the company, according to a Wheatland news release. "Evidence of importation, without more, is not sufficient to raise a reasonable suspicion of evasion," CBP said to Wheatland.
SAN DIEGO -- CBP is aiming to propose changes to the customs broker regulations by the end of 2016, said Cindy Allen, vice president-regulatory affairs and compliance for FedEx Trade Networks, while speaking at the Western Cargo Conference on Oct. 15. "I expect to see something by the end of the year or very soon after," she said. Allen, who is also on the Customs Commercial Operations Advisory Committee (COAC), discussed the recommendations submitted to CBP through the COAC (see 1604250011). Some of the recommendations elicited concerns among attendees.