MEMO TO CLIENTS ISSUE 24-012- August 22, 2024

The Threat of Strike at East Coast and Gulf Ports is Still Expected

The International Longshoremen’s Association (ILA) has steadfastly said that they will walk out if the master contract with the United State Maritime Alliance (USMX) is not agreed upon by the end of September. Negotiations broke down when ILA complained about automated gate systems and some Maersk APM terminals. The ILA leadership will not continue negotiations until that matter is resolved. Predictions are that the resolution will not occur in time to complete the Maser Contract by September 30.   The ILA has said that they will not work without the contract being completed.

More Companies Added to UFLPA Entity List

The Department of Homeland Security (DHS) added five more companies to the UFLPA entities list last week. They include companies dealing with nonferrous metals production and with the production of magnesium products.   The five additional entities include Century Sunshine Group Holdings Ltd.; Kashgar Construction Engineering (Group) Co., Ltd.; Rare Earth Magnesium Technology Group Holdings, Ltd.; Xinjiang Habahe Ashele Copper Co., Ltd.; and Xinjiang Tengxiang Magnesium Products Co., Ltd.  DHS is looking much closer at Chinese producers of hard goods products other than textiles.

Canadian Rail Strike is On

 Canadian Pacific Kansas City (CPKC) and Canadian National Railways (CN) ceased operations this morning in response to the threatened walkout by the Teamsters Canada Rail Conference (TCRC).  There have already been some diversions of ships to U.S. West Coast Ports in anticipation of this action. The International Longshore and Warehouse Union (lLWU) in the U.S. has stated that they plan to not work cargo ships that are diverted to U.S. Ports due to Canadian port work stoppages.

 If you have cargo that is being diverted from destination Canada to unload at a U.S. port contact your ISF service provider to transmit ISF data as soon as possible. U.S. Customs and Border Protection (CBP) has said that they would be lenient on times of filing, but not on failing to file the ISF. If you plan to move the goods by truck or U.S. rail to a U.S. destination an ISF-10 is required. If you plan to move your goods back to Cananda in bond by truck, then an ISF-5 can be used.