(Today’s Trucking)
Once upon a time, the purpose of NAFTA meant reducing barriers for freer flowing trade. It’s debatable, though – considering the alphabet soup of security acronyms shippers and carriers face daily – whether that’s still true.
That’s why a group of Canadian stakeholders – led by Ken James, former MPP who’s now chairman of Blue Water Bridge Canada – want to make sure governments on both sides of the border don’t lose sight of NAFTA’s original mandate.
According to the Times Herald of Port Huron, the group is proposing that ‘special ambassadors’ for the U.S. and Canada are appointed to specifically address longstanding issues that lead to “thickening” trade at international crossings. The ambassadors, the group suggests, would report directly to Prime Minister Stephen Harper and President Barack Obama and would be charged with auditing whether all the new rules related to the border are reasonable or redundant.
James outlined the plan in a letter to Harper last year and more recently unveiled the details to U.S. Rep. Candice Miller, R-Harrison Township, during a meeting in Sarnia. “This thickening situation is getting worse,” James said. The issue “has to rise to the top of the heap.” Read more here.
Tuesday, March 10, 2009
A New Route to Finding Backhauls
(DC Velocity)
New “Empty Miles Service” matches empty trailers with backhaul loads
Load-matching services that bring empty trailers and backhaul loads together typically are the province of transportation brokers and online freight exchanges. Soon there will be some new players in the game: the Voluntary Interindustry Commerce Solutions Association (VICS), GS1 Canada, and GS1 US. (VICS is best known for its collaborative forecasting, planning, and replenishment standards. The GS1 organization oversees global standards for identification of goods and locations for electronic commerce.)
Retailers, consumer goods manufacturers, and motor carriers have been testing the new Empty Miles Service using real shipment data, and they say it’s ready to roll. VICS members can sign up for $1,600 annually; non-members pay $1,850. Pricing the service per year rather than by shipment or by mile will encourage more companies to use it, the organizers say. The service is available in both the United States and Canada.
GS1 has developed a calculator that measures the program’s financial benefits as well as the reduction in carbon dioxide emissions that will result from eliminating empty hauls. For more information, go to http://www.emptymiles.org.
New “Empty Miles Service” matches empty trailers with backhaul loads
Load-matching services that bring empty trailers and backhaul loads together typically are the province of transportation brokers and online freight exchanges. Soon there will be some new players in the game: the Voluntary Interindustry Commerce Solutions Association (VICS), GS1 Canada, and GS1 US. (VICS is best known for its collaborative forecasting, planning, and replenishment standards. The GS1 organization oversees global standards for identification of goods and locations for electronic commerce.)
Retailers, consumer goods manufacturers, and motor carriers have been testing the new Empty Miles Service using real shipment data, and they say it’s ready to roll. VICS members can sign up for $1,600 annually; non-members pay $1,850. Pricing the service per year rather than by shipment or by mile will encourage more companies to use it, the organizers say. The service is available in both the United States and Canada.
GS1 has developed a calculator that measures the program’s financial benefits as well as the reduction in carbon dioxide emissions that will result from eliminating empty hauls. For more information, go to http://www.emptymiles.org.
Keeping Logistics Costs in Check
(Jorina Fontelera — Thomas Net)
Logistics costs have skyrocketed over the last few years as fuel prices increased and the United States economy spiraled downward. A study by the Council of Supply Chain Professionals (CSCMP) found that logistics costs in the U.S. alone rose by $91 billion in 2007, an increase of 7 percent over the previous year. According to the CSCMP’s 19th annual State of Logistics Report, logistics costs accounted for more than 10 percent of the country’s gross domestic product.
Higher interest rates, the deflating dollar and increased customs and warehousing costs in addition to fuel prices have contributed to the high costs of logistics. In 2007, U.S. businesses spent more than $1.4 trillion on transportation, storage and distribution of goods, according to CSCMP estimates.
“Clearly, there is a cause for concern,” says a new white paper from LTL trucking company Purolator USA Inc. “[B]usinesses cannot exist without logistics, but at the current rate, businesses can’t really afford to exist with them either.”
To combat the rising costs of logistics, companies should reassess each aspect of their transportation and logistics strategy. Here are six factors to consider.
Logistics costs have skyrocketed over the last few years as fuel prices increased and the United States economy spiraled downward. A study by the Council of Supply Chain Professionals (CSCMP) found that logistics costs in the U.S. alone rose by $91 billion in 2007, an increase of 7 percent over the previous year. According to the CSCMP’s 19th annual State of Logistics Report, logistics costs accounted for more than 10 percent of the country’s gross domestic product.
Higher interest rates, the deflating dollar and increased customs and warehousing costs in addition to fuel prices have contributed to the high costs of logistics. In 2007, U.S. businesses spent more than $1.4 trillion on transportation, storage and distribution of goods, according to CSCMP estimates.
“Clearly, there is a cause for concern,” says a new white paper from LTL trucking company Purolator USA Inc. “[B]usinesses cannot exist without logistics, but at the current rate, businesses can’t really afford to exist with them either.”
To combat the rising costs of logistics, companies should reassess each aspect of their transportation and logistics strategy. Here are six factors to consider.
Monday, March 9, 2009
BC Ports Workers, Employers Ratify Collective Agreement
(Greg Joyce — Globe & Mail)
Negotiations were long and hard but there is now labour peace that will keep goods flowing at British Columbia ports.
The B.C. Maritime Employers Association and the International Longshore and Warehouse Union ratified a collective agreement that averted a costly strike threat.
“From our perspective clearly we had a majority of employers in favour of ratifying the agreement,” Greg Vurdela, spokesman for the employers association, said Saturday.
He didn't release voting figures and no one from the union was immediately available to comment.
“(Economic) figures released earlier indicate that for every day of a work stoppage in the ports of B.C. it is a cost of $124-million to the Canadian economy,” said Mr. Vurdela.
While the dispute involved only 450 workers, there were fears that as many as 5,000 other workers would walk off the job in support.
That could have crippled ports along Canada's Pacific Coast, and had already prompted as much as a fifth of shipping traffic to be diverted through the U.S. Read more here.
Negotiations were long and hard but there is now labour peace that will keep goods flowing at British Columbia ports.
The B.C. Maritime Employers Association and the International Longshore and Warehouse Union ratified a collective agreement that averted a costly strike threat.
“From our perspective clearly we had a majority of employers in favour of ratifying the agreement,” Greg Vurdela, spokesman for the employers association, said Saturday.
He didn't release voting figures and no one from the union was immediately available to comment.
“(Economic) figures released earlier indicate that for every day of a work stoppage in the ports of B.C. it is a cost of $124-million to the Canadian economy,” said Mr. Vurdela.
While the dispute involved only 450 workers, there were fears that as many as 5,000 other workers would walk off the job in support.
That could have crippled ports along Canada's Pacific Coast, and had already prompted as much as a fifth of shipping traffic to be diverted through the U.S. Read more here.
Friday, March 6, 2009
Minister Day Announces Crucial Step Forward on Canada-EU Comprehensive Economic Agreement
(Minister of International Trade)
The Honourable Stockwell Day, Minister of International Trade and Minister for the Asia-Pacific Gateway, today announced that Canada and the European Union have agreed on the areas to be negotiated in a possible comprehensive economic agreement, which are outlined in a joint report. These areas include trade in goods and services, as well as areas such as investment, technical barriers to trade and regulatory cooperation.
“I am pleased with the tremendous progress we have made with the EU,” said Minister Day.
“This agreement puts us in a position to launch comprehensive negotiations as early as possible. The EU is our second-largest trading partner, and the Canada-EU relationship holds great potential. During times of economic uncertainty, it is more important than ever for Canadians to seek out new trade and investment opportunities abroad.”
Minister Day also stated that the Government of Canada will continue to work closely with all provinces and territories, and is pleased to have found a way to directly involve them in the negotiations. Minister Day thanked the members of the Council of the Federation for their recent declaration of support, and said that this effort is also strongly supported by the Canadian business community.For the full text of the joint report, please visit the international trade website.
The Honourable Stockwell Day, Minister of International Trade and Minister for the Asia-Pacific Gateway, today announced that Canada and the European Union have agreed on the areas to be negotiated in a possible comprehensive economic agreement, which are outlined in a joint report. These areas include trade in goods and services, as well as areas such as investment, technical barriers to trade and regulatory cooperation.
“I am pleased with the tremendous progress we have made with the EU,” said Minister Day.
“This agreement puts us in a position to launch comprehensive negotiations as early as possible. The EU is our second-largest trading partner, and the Canada-EU relationship holds great potential. During times of economic uncertainty, it is more important than ever for Canadians to seek out new trade and investment opportunities abroad.”
Minister Day also stated that the Government of Canada will continue to work closely with all provinces and territories, and is pleased to have found a way to directly involve them in the negotiations. Minister Day thanked the members of the Council of the Federation for their recent declaration of support, and said that this effort is also strongly supported by the Canadian business community.For the full text of the joint report, please visit the international trade website.
Cargo Sealing Guidelines for PIP Members
(CBSA)
This document provides guidelines for Partners in Protection (PIP) members on the use of high-security mechanical seals on containers and trailers for imported, exported and in-transit cargo. This document should be used in conjunction with the Security Profile as it applies to the applicable industry sector, shipment or conveyance.
• Scope • Background • Terms and Definitions • Seal Authentication • Supply Chain and Business Partners • PIP Member Responsibilities • LTL, LCL and P & D • Seal Application and Control • Failure to Meet/Maintain PIP Seal Requirements
This document provides guidelines for Partners in Protection (PIP) members on the use of high-security mechanical seals on containers and trailers for imported, exported and in-transit cargo. This document should be used in conjunction with the Security Profile as it applies to the applicable industry sector, shipment or conveyance.
• Scope • Background • Terms and Definitions • Seal Authentication • Supply Chain and Business Partners • PIP Member Responsibilities • LTL, LCL and P & D • Seal Application and Control • Failure to Meet/Maintain PIP Seal Requirements
Thursday, March 5, 2009
Canadian Trade Tumbles
(Export Development Canada – Peter G. Hall)
For world GDP, the fourth quarter of 2008 was ugly. Canada was no exception, as our economy fell into recession, shrinking by an annualized 3.4% in the quarter. But Canada suffered a lot less than most other large economies – strange, given our greater dependence on international trade. Has our resilient domestic economy helped us to sidestep the worst of the global gloom?
Far from it. Domestic demand shrunk by an annualized 5.1% in the quarter, while net trade flows actually boosted growth – substantially. How? Exports fell, but at the same time, imports were down by even more. Absent the effect of lower imports, Canada’s GDP would have contracted by about 5.8% in the final three months of 2008, much closer to the US and pan-European declines.
Many may be assuaged by the arithmetic magic, but the overall story is not good. While shrinking imports might shore up the bottom line temporarily, they speak volumes about the economy’s ills. Consumers import heavily, and their spending was down sharply in the quarter. At the same time, business spending on equipment – most of which is imported – plunged. And globalisation of our production has in 20 years ramped up the import content of exports, so lower imports are actually highlighting the pain that exporters are currently feeling. And don’t forget, imports create jobs too. Read more here.
For world GDP, the fourth quarter of 2008 was ugly. Canada was no exception, as our economy fell into recession, shrinking by an annualized 3.4% in the quarter. But Canada suffered a lot less than most other large economies – strange, given our greater dependence on international trade. Has our resilient domestic economy helped us to sidestep the worst of the global gloom?
Far from it. Domestic demand shrunk by an annualized 5.1% in the quarter, while net trade flows actually boosted growth – substantially. How? Exports fell, but at the same time, imports were down by even more. Absent the effect of lower imports, Canada’s GDP would have contracted by about 5.8% in the final three months of 2008, much closer to the US and pan-European declines.
Many may be assuaged by the arithmetic magic, but the overall story is not good. While shrinking imports might shore up the bottom line temporarily, they speak volumes about the economy’s ills. Consumers import heavily, and their spending was down sharply in the quarter. At the same time, business spending on equipment – most of which is imported – plunged. And globalisation of our production has in 20 years ramped up the import content of exports, so lower imports are actually highlighting the pain that exporters are currently feeling. And don’t forget, imports create jobs too. Read more here.
CTA Tells Feds to Avoid Duplication with Transportation Security Programs
(Canadian Transportation & Logistics)
The Canadian Trucking Alliance is pushing for the federal government to avoid “further duplication and overlap” as Canada considers adding further transportation security measures to an already long list.
CTA officials pleaded their case in an appearance before the House of Commons Standing Committee on Transport, Infrastructure and Communities, as stakeholders were called to present views on Bill C-9, An Act to Amend the Transportation of Dangerous Goods Act, 1992.
The bill has been tabled in so that several technical amendments can be made to the current Act, but also to serve as a launching point for regulations governing the security of dangerous goods during transport. Of particular interest to CTA are provisions in the draft bill dealing with background security checks for drivers, and requirements for security plans, driver training, and route tracking of dangerous goods.
In its presentation, CTA noted that carriers and drivers are already subject to security requirements under programs such as Partners in Protection, the Customs-Trade Partnership Against Terrorism, and the Free and Secure Trade Program. Port security requirements impacting motor carriers are also in place in both Canada and the US, and both governments are rolling out measures to deal with the land transportation movement of cargo destined for a passenger aircraft. Read more here.
The Canadian Trucking Alliance is pushing for the federal government to avoid “further duplication and overlap” as Canada considers adding further transportation security measures to an already long list.
CTA officials pleaded their case in an appearance before the House of Commons Standing Committee on Transport, Infrastructure and Communities, as stakeholders were called to present views on Bill C-9, An Act to Amend the Transportation of Dangerous Goods Act, 1992.
The bill has been tabled in so that several technical amendments can be made to the current Act, but also to serve as a launching point for regulations governing the security of dangerous goods during transport. Of particular interest to CTA are provisions in the draft bill dealing with background security checks for drivers, and requirements for security plans, driver training, and route tracking of dangerous goods.
In its presentation, CTA noted that carriers and drivers are already subject to security requirements under programs such as Partners in Protection, the Customs-Trade Partnership Against Terrorism, and the Free and Secure Trade Program. Port security requirements impacting motor carriers are also in place in both Canada and the US, and both governments are rolling out measures to deal with the land transportation movement of cargo destined for a passenger aircraft. Read more here.
Food Safety Reform Bill Includes New Fees, Importer Requirements
(World Trade Interactive)
New legislation introduced in the Senate March 3 would overhaul federal efforts to ensure the safety of imported and domestic food. A joint press release from the bill’s Republican and Democratic sponsors states that the FDA Food Safety Modernization Act responds to recent outbreaks of food-borne illness and nationwide recalls of contaminated food from both foreign and domestic sources. The bill includes numerous provisions including the requirement that importers to verify the safety of foreign suppliers and imported food. Read more here.
New legislation introduced in the Senate March 3 would overhaul federal efforts to ensure the safety of imported and domestic food. A joint press release from the bill’s Republican and Democratic sponsors states that the FDA Food Safety Modernization Act responds to recent outbreaks of food-borne illness and nationwide recalls of contaminated food from both foreign and domestic sources. The bill includes numerous provisions including the requirement that importers to verify the safety of foreign suppliers and imported food. Read more here.
New Canadian Requirements for Wood Packaging Material from China
(CBSA)
Customs Notice CN09-002: New Canadian requirements for wood packaging material from China
1. The purpose of this customs notice is to inform importers about a change to the Canadian Food Inspection Agency’s (CFIA) wood packaging policy. Starting September 1, 2009, phytosanitary certificates from China for wood packaging material will no longer be accepted in Canada due to high rates of non-compliance from China. A valid International Plant Protection Convention (IPPC) mark will be the only accepted treatment certification method.
2. Beginning June 1, 2009, importers will be granted a three-month grace period whereby wood packaging material accompanied by a Chinese phytosanitary certificate in lieu of an IPPC mark will be allowed to enter Canada, subject to a verification of the certificate’s authenticity by the CFIA and China’s General Administration of Quality Supervision, Inspection and Quarantine.
3. The CFIA has advised China’s General Administration of Quality Supervision, Inspection and Quarantine of the phased-in approach that will be used to implement this policy change:
a. Phase I: The CFIA is now notifying Canadian importers that as of September 1, 2009, a valid IPPC mark is the only accepted treatment certification method for wood packaging material from China.
b. Phase II: Starting June 1 and until September 1, 2009, phytosanitary certificates that are presented in lieu of valid IPPC marks will be verified.
c. Phase III: Starting September 1, 2009, the new policy change will be fully enforced. The Canada Border Services Agency will refuse the entry of any wood packaging material certified with a Chinese phytosanitary certificate in lieu of a valid IPPC mark.
4. For examples of valid IPPC marks, please consult the IPPC’s Web site at http://www.ippc.int.
Customs Notice CN09-002: New Canadian requirements for wood packaging material from China
1. The purpose of this customs notice is to inform importers about a change to the Canadian Food Inspection Agency’s (CFIA) wood packaging policy. Starting September 1, 2009, phytosanitary certificates from China for wood packaging material will no longer be accepted in Canada due to high rates of non-compliance from China. A valid International Plant Protection Convention (IPPC) mark will be the only accepted treatment certification method.
2. Beginning June 1, 2009, importers will be granted a three-month grace period whereby wood packaging material accompanied by a Chinese phytosanitary certificate in lieu of an IPPC mark will be allowed to enter Canada, subject to a verification of the certificate’s authenticity by the CFIA and China’s General Administration of Quality Supervision, Inspection and Quarantine.
3. The CFIA has advised China’s General Administration of Quality Supervision, Inspection and Quarantine of the phased-in approach that will be used to implement this policy change:
a. Phase I: The CFIA is now notifying Canadian importers that as of September 1, 2009, a valid IPPC mark is the only accepted treatment certification method for wood packaging material from China.
b. Phase II: Starting June 1 and until September 1, 2009, phytosanitary certificates that are presented in lieu of valid IPPC marks will be verified.
c. Phase III: Starting September 1, 2009, the new policy change will be fully enforced. The Canada Border Services Agency will refuse the entry of any wood packaging material certified with a Chinese phytosanitary certificate in lieu of a valid IPPC mark.
4. For examples of valid IPPC marks, please consult the IPPC’s Web site at http://www.ippc.int.
Wednesday, March 4, 2009
Border Rules Could Gum up Flow of Trade
(Barrie McKenna — Globe & Mail)
The fuss over the Buy American provision in the monster U.S. stimulus package has faded a bit, but not Canadian fears about protectionism.
Just ask David Bradley, chief executive officer of the Canadian Trucking Alliance. The chief lobbyist for Canada’s trucking industry is always on the lookout for new rules and legislation that could gum up the flow of trade across the Canada-U.S. border.
And these days, he doesn’t have to look very far.
His latest headache is the innocuously named Our Nation’s Trade Infrastructure, Mobility and Efficiency Act of 2009 – ON TIME for short.
The bill, co-sponsored by California Republican Ken Calvert and Illinois Democrat Jesse Jackson Jr., would slap a levy on every shipment in – and out – of the United States to help pay for “transportation trade corridors” – roads, ports and the like. The fee would be set at 0.075 per cent of the market value of all traded goods, up to a maximum of $500 (U.S.) a shipment.
The bill would raise as much as $5-billion a year for infrastructure projects.
Based on Canada’s historic share of two-way trade, Canadian importers and exporters would have to pay roughly 20 per cent of those fees. (In 2008, Canada accounted for 18 per cent of U.S. imports and 20 per cent of U.S. exports).
It’s too early to tell whether the legislation has momentum. It’s been sent to the ways and means and foreign affairs committees in the U.S. House of Representatives for further study. Many pieces of legislation die in committee. Read more here.
The fuss over the Buy American provision in the monster U.S. stimulus package has faded a bit, but not Canadian fears about protectionism.
Just ask David Bradley, chief executive officer of the Canadian Trucking Alliance. The chief lobbyist for Canada’s trucking industry is always on the lookout for new rules and legislation that could gum up the flow of trade across the Canada-U.S. border.
And these days, he doesn’t have to look very far.
His latest headache is the innocuously named Our Nation’s Trade Infrastructure, Mobility and Efficiency Act of 2009 – ON TIME for short.
The bill, co-sponsored by California Republican Ken Calvert and Illinois Democrat Jesse Jackson Jr., would slap a levy on every shipment in – and out – of the United States to help pay for “transportation trade corridors” – roads, ports and the like. The fee would be set at 0.075 per cent of the market value of all traded goods, up to a maximum of $500 (U.S.) a shipment.
The bill would raise as much as $5-billion a year for infrastructure projects.
Based on Canada’s historic share of two-way trade, Canadian importers and exporters would have to pay roughly 20 per cent of those fees. (In 2008, Canada accounted for 18 per cent of U.S. imports and 20 per cent of U.S. exports).
It’s too early to tell whether the legislation has momentum. It’s been sent to the ways and means and foreign affairs committees in the U.S. House of Representatives for further study. Many pieces of legislation die in committee. Read more here.
Canada Feeling Backlash from EU Trade Deal with CARICOM
(Embassy – Lee Berthiaume)
Canada’s chances of securing a free trade agreement with the Caribbean Community may have been inadvertently damaged by fallout over a similar deal the European Union signed with the 15-nation bloc last year.
Last month, Peter Kent, Canada’s minister of state for the Americas, toured Guyana, Suriname and Trinidad and Tobago, the latter of which will host April’s Summit of the Americas. Mr. Kent met senior officials from all three countries as well as Organization of American States Secretary-General José Miguel Insulza and the secretary-general of CARICOM, Edwin Carrington.
In a teleconference call from the capital of Trinidad and Tobago on February 18, the minister said he impressed upon all those he met “that the time is right to engage in, at least before the summit, a preliminary round of negotiations on the free trade agreement.”
Prime Minister Stephen Harper announced the launch of negotiations in July 2007 during a trip to the region, but they have since stalled, with no formal round of talks actually held. The EU, meanwhile, managed to secure what an Economic Partnership Agreement last year with the CARICOM nations and the Dominican Republic.
That EPA, however, caused a split within CARICOM. Large portions of the private sector felt the Caribbean countries gave away more than they gained, while even some government officials in various member states questioned the deal. Read more here.
Canada’s chances of securing a free trade agreement with the Caribbean Community may have been inadvertently damaged by fallout over a similar deal the European Union signed with the 15-nation bloc last year.
Last month, Peter Kent, Canada’s minister of state for the Americas, toured Guyana, Suriname and Trinidad and Tobago, the latter of which will host April’s Summit of the Americas. Mr. Kent met senior officials from all three countries as well as Organization of American States Secretary-General José Miguel Insulza and the secretary-general of CARICOM, Edwin Carrington.
In a teleconference call from the capital of Trinidad and Tobago on February 18, the minister said he impressed upon all those he met “that the time is right to engage in, at least before the summit, a preliminary round of negotiations on the free trade agreement.”
Prime Minister Stephen Harper announced the launch of negotiations in July 2007 during a trip to the region, but they have since stalled, with no formal round of talks actually held. The EU, meanwhile, managed to secure what an Economic Partnership Agreement last year with the CARICOM nations and the Dominican Republic.
That EPA, however, caused a split within CARICOM. Large portions of the private sector felt the Caribbean countries gave away more than they gained, while even some government officials in various member states questioned the deal. Read more here.
ITC’s New HTS Online Reference Tool
(CSCB)
The U.S. International Trade Commission (ITC) today released its new HTS Online Reference Tool, a comprehensive website for users of the Harmonized Tariff Schedule of the United States (HTS).
The ITC is mandated by Congress to maintain the HTS, which provides the tariff rates and statistical categories for all merchandise imported into the United States. The tariff schedule is a vital tool for importers, customs brokers, carriers, the government, and the public.
The new HTS Online Reference Tool provides a web-based source for HTS-related information and offers current, accurate, and user-friendly electronic access to the 3,000-page HTS.
The HTS Online Reference Tool features direct links to:
• classification rulings by Customs and Border Protection (CBP) users will be able to jump directly from a specific HTS item to the Customs Ruling Online Search System (CROSS) for determinations on product classification for that HTS item, and users will be able to access the most current ruling for any product;
• HTS Chapter 99, enabling users to move from an HTS item in chapters 1-97 to the temporary, seasonal, or special situation tariff that applies for that item as listed in chapter 99; and
• footnotes, allowing users to move from the footnote number in the text directly to the footnote itself. In addition, users can now search the HTS by word, word combinations, or HTS number, and they can use common terminology to do so. The HTS Online Reference Tool includes an expanding thesaurus that will help users search the HTS and locate an item even if they don’t know the precise classification language used in the document. For example, users will be able to search the word “cars,” which does not exist in the HTS, and be directed automatically to the HTS provisions covering “motor vehicles.” The thesaurus is in its early stages and will be enriched continually to reflect common terminology if a user searches on a term that is not currently included, that term will be added to the thesaurus. Over time, this regular updating will result in a rich, complex search engine that will make the HTS Online Reference Tool even more user-friendly.
“We’re excited to bring this comprehensive HTS tool to the trade community and the public,” said ITC Chairman Shara L. Aranoff. “The HTS Online Reference tool has been well-received by our colleagues at Customs as well as customs brokers and other users who have seen it demonstrated. It meets a long-standing need for easier, electronic access to the HTS, and we look forward to user review and input to keep it as useful and up-to-date as possible.”
Built by the ITC, the system is still evolving. Future enhancements include electronic access to the complete legal text and notes of the HTS and the ability for the ITC and CBP to convert the HTS to formats necessary for computerized operations at the borders and elsewhere.
The ITC’s HTS Online Reference Tool can be found at http://hts.usitc.gov.
The U.S. International Trade Commission (ITC) today released its new HTS Online Reference Tool, a comprehensive website for users of the Harmonized Tariff Schedule of the United States (HTS).
The ITC is mandated by Congress to maintain the HTS, which provides the tariff rates and statistical categories for all merchandise imported into the United States. The tariff schedule is a vital tool for importers, customs brokers, carriers, the government, and the public.
The new HTS Online Reference Tool provides a web-based source for HTS-related information and offers current, accurate, and user-friendly electronic access to the 3,000-page HTS.
The HTS Online Reference Tool features direct links to:
• classification rulings by Customs and Border Protection (CBP) users will be able to jump directly from a specific HTS item to the Customs Ruling Online Search System (CROSS) for determinations on product classification for that HTS item, and users will be able to access the most current ruling for any product;
• HTS Chapter 99, enabling users to move from an HTS item in chapters 1-97 to the temporary, seasonal, or special situation tariff that applies for that item as listed in chapter 99; and
• footnotes, allowing users to move from the footnote number in the text directly to the footnote itself. In addition, users can now search the HTS by word, word combinations, or HTS number, and they can use common terminology to do so. The HTS Online Reference Tool includes an expanding thesaurus that will help users search the HTS and locate an item even if they don’t know the precise classification language used in the document. For example, users will be able to search the word “cars,” which does not exist in the HTS, and be directed automatically to the HTS provisions covering “motor vehicles.” The thesaurus is in its early stages and will be enriched continually to reflect common terminology if a user searches on a term that is not currently included, that term will be added to the thesaurus. Over time, this regular updating will result in a rich, complex search engine that will make the HTS Online Reference Tool even more user-friendly.
“We’re excited to bring this comprehensive HTS tool to the trade community and the public,” said ITC Chairman Shara L. Aranoff. “The HTS Online Reference tool has been well-received by our colleagues at Customs as well as customs brokers and other users who have seen it demonstrated. It meets a long-standing need for easier, electronic access to the HTS, and we look forward to user review and input to keep it as useful and up-to-date as possible.”
Built by the ITC, the system is still evolving. Future enhancements include electronic access to the complete legal text and notes of the HTS and the ability for the ITC and CBP to convert the HTS to formats necessary for computerized operations at the borders and elsewhere.
The ITC’s HTS Online Reference Tool can be found at http://hts.usitc.gov.
Tuesday, March 3, 2009
USTR Lays Out Obama’s Agenda for `Free and Fair’ Trade
(EasyBourse – Tom Barkley, Dow Jones Newswires)
The U.S. Trade Representative’s office said Monday that President Barack Obama would pursue an agenda of “free and fair trade,” with plans to consider changes to pending free trade agreements, the North American Free Trade Agreement and the Doha trade talks.
In its first annual trade policy agenda report to Congress, USTR signaled a shift from the Bush administration’s primary focus on expanding free trade agreements, giving greater emphasis to protecting workers rights and the environment.
“If we work together, free and fair trade with a proper regard for social and environmental goals and appropriate political accountability will be a powerful contributor to the national and global well being,” the report said.
The administration plans “extensive outreach and discourse with the public” to determine whether three holdover trade pacts – with Colombia, Korea and Panama – are in the best interest of the U.S. and its trading partners. While planning to move on Panama “relatively quickly,” USTR plans to set up benchmarks for progress on the other two.
The administration also reaffirmed its intention to make good on Obama’s campaign pledge to push Canada and Mexico to agree to stronger worker and environmental protections in NAFTA “without having an adverse effect on trade.” Read more here.
The U.S. Trade Representative’s office said Monday that President Barack Obama would pursue an agenda of “free and fair trade,” with plans to consider changes to pending free trade agreements, the North American Free Trade Agreement and the Doha trade talks.
In its first annual trade policy agenda report to Congress, USTR signaled a shift from the Bush administration’s primary focus on expanding free trade agreements, giving greater emphasis to protecting workers rights and the environment.
“If we work together, free and fair trade with a proper regard for social and environmental goals and appropriate political accountability will be a powerful contributor to the national and global well being,” the report said.
The administration plans “extensive outreach and discourse with the public” to determine whether three holdover trade pacts – with Colombia, Korea and Panama – are in the best interest of the U.S. and its trading partners. While planning to move on Panama “relatively quickly,” USTR plans to set up benchmarks for progress on the other two.
The administration also reaffirmed its intention to make good on Obama’s campaign pledge to push Canada and Mexico to agree to stronger worker and environmental protections in NAFTA “without having an adverse effect on trade.” Read more here.
Monday, March 2, 2009
Report Says Canada’s Border Too Porous, Cites Nuclear Exports
(The Canadian Press)
Canada’s border agency allows some strategic nuclear and military equipment to leave the country without checking whether rogue countries or terrorists are the buyers, a new report suggests. The finding comes shortly after Prime Minister Stephen Harper assured U.S. President Barack Obama that Canada takes border security seriously.
The internal evaluation found that exporters of strategic equipment that’s subject to strict controls too often file their own paperwork after hours at border crossings – without inspections by the Canada Border Services Agency.
“Exporters continue to have a choice of submitting their export declaration in paper format,” says the document, dated November 2008. “Paper . . . forms are reported at a CBSA-designated export office where exporters use a self-serve stamp machine and reports are left unsecured after-hours at certain offices . ...” “If a declaration was submitted outside the CBSA’s hours of operation, there will have been no verification.”
Since the terrorist attacks of September 11, 2001, trading nations such as Canada have taken more responsibility for vetting their exports to identify potentially dangerous goods, rather than leaving the problem to importing countries.
Most exporters in Canada file their declarations electronically ahead of shipping, allowing the border agency to better manage inspections and to red-flag suspicious cargo. But about 15% of all exports from Canada are reported on a paper form, which hobbles the inspection process. The United States and the European Union, on the other hand, require all export declarations to be made electronically in advance of shipping.
“The CBSA has yet to develop a plan for implementing mandatory pre-departure electronic reporting of exports,” says the document. The report calls for an end to antiquated paper forms, just as paper forms have been eliminated for import declarations in Canada since 2004. Read more here.
Canada’s border agency allows some strategic nuclear and military equipment to leave the country without checking whether rogue countries or terrorists are the buyers, a new report suggests. The finding comes shortly after Prime Minister Stephen Harper assured U.S. President Barack Obama that Canada takes border security seriously.
The internal evaluation found that exporters of strategic equipment that’s subject to strict controls too often file their own paperwork after hours at border crossings – without inspections by the Canada Border Services Agency.
“Exporters continue to have a choice of submitting their export declaration in paper format,” says the document, dated November 2008. “Paper . . . forms are reported at a CBSA-designated export office where exporters use a self-serve stamp machine and reports are left unsecured after-hours at certain offices . ...” “If a declaration was submitted outside the CBSA’s hours of operation, there will have been no verification.”
Since the terrorist attacks of September 11, 2001, trading nations such as Canada have taken more responsibility for vetting their exports to identify potentially dangerous goods, rather than leaving the problem to importing countries.
Most exporters in Canada file their declarations electronically ahead of shipping, allowing the border agency to better manage inspections and to red-flag suspicious cargo. But about 15% of all exports from Canada are reported on a paper form, which hobbles the inspection process. The United States and the European Union, on the other hand, require all export declarations to be made electronically in advance of shipping.
“The CBSA has yet to develop a plan for implementing mandatory pre-departure electronic reporting of exports,” says the document. The report calls for an end to antiquated paper forms, just as paper forms have been eliminated for import declarations in Canada since 2004. Read more here.
Canada’s GDP Drops 3.4% in Q4 from Last Year
(The Canadian Press)
Canada’s economy shrank by 3.4% cent in the fourth quarter from the same period a year before. That compares with a 6.2% decline in the U.S. economy during the same period, a 5.9% drop in the European Union and a 12.7% plunge in Japan.
Canada’s gross domestic product declined 0.8% from the previous quarter, weakening progressively each month for the sharpest quarterly decline since 1991. Statistics Canada reports declines in exports, capital investment and personal expenditures all contributed to the economic contraction.
The agency says the GDP declined one per cent in December from the month previous. GDP growth for the year was positive at 0.5%, a sharp deceleration from 2.7% in 2007.
The volume of imports fell faster than exports but both registered their largest quarterly decline since 1982. Prices of imports climbed, notably because the Canadian dollar depreciated 14% in the quarter relative to its U.S. counterpart, its largest quarterly depreciation since Canada returned to a floating exchange rate in 1970.
Declines in the production of goods, down 2.4% were widespread as domestic and foreign demand weakened. Except for agriculture, all other goods-producing sectors receded. At -4.3%, manufacturing led the downturn, its sixth straight quarterly decline.
Exports of goods and services were down 4.7%, their sixth consecutive quarterly decline and a first in Canada since quarterly estimates began over 60 years ago. Automotive products were down 19%, accounting for nearly half of the quarterly decline in total exports. Industrial goods and materials also decreased significantly in the fourth quarter.
Imports dropped 6.4% in the fourth quarter. Declines were registered for both goods and services imports, as domestic demand faltered and prices for imported goods and services rose.
Imports of automotive products declined 16% while other consumer goods were down nine per cent, reflecting a downturn in consumer spending.
After decelerating since the start of the year, personal spending fell for the first time since the fourth quarter of 1995. Both goods and services contributed to the 0.8% decline.
Read more here. Summary statistics and a link to the data files are on the Statistics Canada website at Statistics Canada website.
Canada’s economy shrank by 3.4% cent in the fourth quarter from the same period a year before. That compares with a 6.2% decline in the U.S. economy during the same period, a 5.9% drop in the European Union and a 12.7% plunge in Japan.
Canada’s gross domestic product declined 0.8% from the previous quarter, weakening progressively each month for the sharpest quarterly decline since 1991. Statistics Canada reports declines in exports, capital investment and personal expenditures all contributed to the economic contraction.
The agency says the GDP declined one per cent in December from the month previous. GDP growth for the year was positive at 0.5%, a sharp deceleration from 2.7% in 2007.
The volume of imports fell faster than exports but both registered their largest quarterly decline since 1982. Prices of imports climbed, notably because the Canadian dollar depreciated 14% in the quarter relative to its U.S. counterpart, its largest quarterly depreciation since Canada returned to a floating exchange rate in 1970.
Declines in the production of goods, down 2.4% were widespread as domestic and foreign demand weakened. Except for agriculture, all other goods-producing sectors receded. At -4.3%, manufacturing led the downturn, its sixth straight quarterly decline.
Exports of goods and services were down 4.7%, their sixth consecutive quarterly decline and a first in Canada since quarterly estimates began over 60 years ago. Automotive products were down 19%, accounting for nearly half of the quarterly decline in total exports. Industrial goods and materials also decreased significantly in the fourth quarter.
Imports dropped 6.4% in the fourth quarter. Declines were registered for both goods and services imports, as domestic demand faltered and prices for imported goods and services rose.
Imports of automotive products declined 16% while other consumer goods were down nine per cent, reflecting a downturn in consumer spending.
After decelerating since the start of the year, personal spending fell for the first time since the fourth quarter of 1995. Both goods and services contributed to the 0.8% decline.
Read more here. Summary statistics and a link to the data files are on the Statistics Canada website at Statistics Canada website.
Sunday, March 1, 2009
Harper in New York: Interview with Fox Business
(Video: Fox Business • Story: Canadian Press)
Prime Minister Stephen Harper was in the Big Apple on Monday [February 23], capitalizing on the goodwill from last week's presidential visit to extol Canada's virtues to American business representatives.
Harper began his day with an interview with Fox News, where he reminded an American audience of the value of the relationship between the two countries - even if one of them isn't prone to blowing its own horn very much. Read more here.
Prime Minister Stephen Harper was in the Big Apple on Monday [February 23], capitalizing on the goodwill from last week's presidential visit to extol Canada's virtues to American business representatives.
Harper began his day with an interview with Fox News, where he reminded an American audience of the value of the relationship between the two countries - even if one of them isn't prone to blowing its own horn very much. Read more here.
U.S. Security Chief Seeks to Ease Canadian Fears
(Tonda MacCharles — Toronto Star)
Border review doesn’t mean ‘thickening’ of checkpoints ex-governor says
The new boss of the U.S. homeland security department rejects suggestions Canada and the United States have a “thickened border” because of excessive security regulation since 9/11.
Still, Homeland Security Secretary Janet Napolitano, speaking to Canadian reporters in a conference call from Washington, signalled an important shift in American rhetoric from the Bush years, going out of her way to say an “important balance” between trade and security at the border needs to be struck.
Napolitano refused to divulge the “preliminary” results of a review she ordered of the Canada-U.S. border's “vulnerabilities.” She portrayed it as an information-gathering exercise.
But she sought to allay Canadian fears that her review meant a further “thickening” of the border.
Asked whether the Obama administration would give new emphasis to economic security and ease cross-border trade, Napolitano disputed the term “thickening border” – coined by Canadian business and political leaders and embassy staff in Washington – saying it is not “an accurate characterization.”
“What I will say is I am very cognizant of the balance that must be struck between good security measures and trade and commerce, that things like having to wait in long lines to get through a port are very problematic for supply chains.” Read more here.
Border review doesn’t mean ‘thickening’ of checkpoints ex-governor says
The new boss of the U.S. homeland security department rejects suggestions Canada and the United States have a “thickened border” because of excessive security regulation since 9/11.
Still, Homeland Security Secretary Janet Napolitano, speaking to Canadian reporters in a conference call from Washington, signalled an important shift in American rhetoric from the Bush years, going out of her way to say an “important balance” between trade and security at the border needs to be struck.
Napolitano refused to divulge the “preliminary” results of a review she ordered of the Canada-U.S. border's “vulnerabilities.” She portrayed it as an information-gathering exercise.
But she sought to allay Canadian fears that her review meant a further “thickening” of the border.
Asked whether the Obama administration would give new emphasis to economic security and ease cross-border trade, Napolitano disputed the term “thickening border” – coined by Canadian business and political leaders and embassy staff in Washington – saying it is not “an accurate characterization.”
“What I will say is I am very cognizant of the balance that must be struck between good security measures and trade and commerce, that things like having to wait in long lines to get through a port are very problematic for supply chains.” Read more here.
Friday, February 27, 2009
U.S. Claims Victory in Lumber Case Against Canada
(Reuters)
An international tribunal has ruled for the United States in a dispute with Canada over a softwood lumber deal struck in 2006, the U.S. Trade Representative’s Office said on Thursday.
The decision requires Canada to fix its breach in the agreement within 30 days, acting U.S.
Trade Representative Peter Allgeier said in a statement. Ottawa also must collect an additional 10% export charge on softwood lumber shipments from Eastern Canadian provinces until C$68.26 million ($54.8 million at current exchange rates) has been accumulated, he said.
“We are pleased with the tribunal’s decision,” Allgeier said. “This dispute settlement proceeding is now at an end. We look forward to Canada working quickly to cure the breach.”
Canadian officials said they were disappointed with the ruling and would discuss with Canadian industry and provinces how to implement it. Read more here.
An international tribunal has ruled for the United States in a dispute with Canada over a softwood lumber deal struck in 2006, the U.S. Trade Representative’s Office said on Thursday.
The decision requires Canada to fix its breach in the agreement within 30 days, acting U.S.
Trade Representative Peter Allgeier said in a statement. Ottawa also must collect an additional 10% export charge on softwood lumber shipments from Eastern Canadian provinces until C$68.26 million ($54.8 million at current exchange rates) has been accumulated, he said.
“We are pleased with the tribunal’s decision,” Allgeier said. “This dispute settlement proceeding is now at an end. We look forward to Canada working quickly to cure the breach.”
Canadian officials said they were disappointed with the ruling and would discuss with Canadian industry and provinces how to implement it. Read more here.
Thursday, February 26, 2009
Napolitano: DHS Likely to Miss Cargo Scanning Deadline
(NextGov.com – Juliana Gruenwald, CongressDaily)
In her first hearing before Congress since being confirmed, Homeland Security Secretary Janet Napolitano today pledged to make progress in addressing the significant challenges facing the department. But she acknowledged her department is unlikely to meet a 2012 deadline for scanning all U.S.-bound cargo containers in foreign seaports.
“To do 100% scanning requires lots of agreements” with other countries, Napolitano said in response to a question from Rep. Peter DeFazio, D-Ore., who said the Bush administration did not push hard enough to meet a deadline it said was not doable. She noted there are many differences between scanning and screening – which does not require a physical examination of the cargo – and said “we’re close to 100% screening.”
But, she added, “my initial review is that the 2012 deadline [for scanning] won’t be reached under the current state of the program.” Republicans had opposed such a deadline, and a minority committee aide disputed DeFazio’s claim that the Bush administration did not work hard enough to meet the 2012 deadline. Read more here.
In her first hearing before Congress since being confirmed, Homeland Security Secretary Janet Napolitano today pledged to make progress in addressing the significant challenges facing the department. But she acknowledged her department is unlikely to meet a 2012 deadline for scanning all U.S.-bound cargo containers in foreign seaports.
“To do 100% scanning requires lots of agreements” with other countries, Napolitano said in response to a question from Rep. Peter DeFazio, D-Ore., who said the Bush administration did not push hard enough to meet a deadline it said was not doable. She noted there are many differences between scanning and screening – which does not require a physical examination of the cargo – and said “we’re close to 100% screening.”
But, she added, “my initial review is that the 2012 deadline [for scanning] won’t be reached under the current state of the program.” Republicans had opposed such a deadline, and a minority committee aide disputed DeFazio’s claim that the Bush administration did not work hard enough to meet the 2012 deadline. Read more here.
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