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Port Pile-Ups May Move West As China awakens from its economic standstill, US and European ports struggle with worker quarantines, container shortages, and terminal closures caused by COVID-19 that could leave cargo piled up in Western ports in a few weeks. According to WSJ, some experts see the past few months’ experience sharpening logistics strategies, while one shipowner’s COO calls it “a roll of the dice.”
DOH Lists Essential Transport Workers A recent memo from the Department of Homeland Security’s Cybersecurity & Infrastructure Security Agency (CISA) identifies essential transportation and logistics workers. American Shipper reports the memo is meant to guide local governments as states continue to issue stay-at-home orders.
Meanwhile, this week, Flexport Chief Economist Dr. Phil Levy noted the following economic highlights:
USTR Grants Exclusions to List 3 The USTR issued 177 new product exclusions to Section 301 List 3. The exclusions apply retroactively to the September 24th, 2018 implementation date. The list covered one full 10-digit HTS and 176 specifically prepared product descriptions. These granted exclusions will remain in place until August 7th, 2020. The notice also makes a request for comments on any tariff/product tied to the COVID-19 outbreak response.
CBP Determining on Duty Deferral Program NCBFAA and other industry members suggested last week that CBP allow extensions for payments of duties and fees. On Friday, CBP posted a CSMS message stating that they are "accepting requests for duty payment extensions." Currently, the only payments that can be granted extensions are the ones made directly from the importer and their own ACH account. Parties interested in delaying their duty payments can reach out to Randy Mitchell (email@example.com). CBP is reviewing the possible options on the table and hopes to give the trade community an update soon with additional announcements.
Bond Insufficiencies CBP posted a CSMS message stating that they will grant 10-day extensions for insufficient bonds to tie out the termination and replacement of the bond for any that were set for termination by March 31, but no later than April 15.
Border Closures US, MX, CA US, Canada, and Mexico instituted border closures to restrict movement between the countries. The closures only restrict travelers and not international commerce.
WCO Classification Reference Guide The World Customs Organization provided a document to help the trade community with HTS numbers associated with COVID-19 medical supplies.
For a roundup of tariff-related news, visit Tariff Insider.