Shambles at the ports

[Stalin]

gee..who could have foreseen this..

Trump's draconian new tariffs regime is now being delayed due to a "glitch" that has arisen at U.S. ports, CNBC reported on Friday, in the latest blow that threw even more uncertainty into how markets and international trade are functioning.

An alert sent out to shippers from U.S. Customs and Border Protection "notified users of a glitch in the system that is used to exempt freight from tariffs, including shipments from China that were already on the water at the time of this week’s whipsaw in tariffs policy, and any trade from nations now under the 90-day pause put in place by the Trump administration," reported Lori Ann LaRocco. "The alert explained that U.S. Customs discovered that the entry code for U.S. shippers to use to have their freight exempted is not working and 'the issue is being reviewed.'"

"Normally, when a U.S. importer pays for their freight, they file both the cargo release forms and their financial papers, so they can pay for their cargo. To keep the cargo moving, Customs is advising importers to file the cargo release form now, and file the financial form later, once the glitch is corrected," said the report. "For now, that means the tariffs are not being collected by the U.S. government."

Shippers are expected to follow up with federal officials to pay the back tariffs once the issue is resolved, according to the report.

“It’s a mess, to simply state it,” Dewardric McNeal, managing director and senior policy analyst at Longview Global with a focus on international trade, foreign affairs and defense, told the outlet. “I don’t think it will slow down goods. But it will increase the paperwork for the U.S. companies who are suffering tariff whiplash. These companies will need to refile that at a later date. Trade will flow but at greater complexity.”

'It's a mess': Trump's tariffs 'not being collected' after major glitch hits ports

Trump's draconian new tariffs regime is now being delayed due to a "glitch" that has arisen at U.S. ports, CNBC reported on Friday, in the latest blow that threw even more uncertainty into how markets and international trade are functioning.An alert sent out to shippers from U.S. Customs and...

www.rawstory.com

comrade stalin

 

[Stalin]

Having worked in software for 30 years, I can surmise what has probably happened.

One or more of muskolini's much vaunted tech genius(es) has got his inexperience hands on the software, made
an instant change, and now the system will not accept the exempt code.

These in-adequates with half an idea think they are masters of the universe..

Good work bro...

comrade stalin
moscow

 

[Stalin]

not only at the ports

international shipping has been severely disrupted

The introduction of tariffs comes at a particularly tricky time for many US importers, which traditionally finalise annual long-term shipping contracts with carriers in March and April, to come into force on 1 May. Such contracts are particularly critical for those importing large quantities of goods who need reliable and affordable transport.

“The timing couldn’t be any worse,” said Sand. “Many are holding back if they can and relying more on the spot market, avoiding locking themselves into contracts for volumes on trade lanes that may not be profitable to them a week or a month from now.”

US companies that import from China will undoubtedly be looking at alternative places to source their goods. However, supply chain experts warn it can take years to set up a network of supply chains, and it is not simply a question of finding a different producer.

Businesses are “trying to understand the ramifications of how to manage their supply chain,” said Marco Forgione, the director general of the Chartered Institute of Export & International Trade. “The medium-term strategy to try and reduce exposure to the US market and grow other markets, and that trade diversion is going to happen massively.”

Trade diversion is a concern for other countries, notably the EU. Europe has been warned that if it does not act swiftly to tighten its own trade barriers, it could become the dumping ground for surplus Chinese production.

Indeed, the port of Antwerp-Bruges in Belgium has been battling for several months with huge volumes of arrivals of Chinese-made electric vehicles, even before the latest wave of tariffs.

“The UK, and others, will need to strengthen their guard against an increased focus from Chinese suppliers who have to dispose of product originally intended for the US market,” said Ian Worth, a customs director at the accountancy firm Crowe.

While product dumping could lower prices for consumers in the short-term, it could also “further knock the UK’s manufacturing industry and jeopardise any efforts to onshore manufacturing,” Worth added.

In addition, yet another challenge is steaming into view on the horizon, threatening to disrupt global trade flows further. The Office of the US Trade Representative (USTR) has proposed imposing costly port fees – of about $1m for each port call – on Chinese-built ships in an attempt to revive the US’s shipbuilding industry, at a time when Chinese-made ships constitute most of the fleets of the world’s 10 largest shipping carriers.

The proposals met with significant backlash, as shipping companies and trade groups warned the fees would hurt US farm exports, increase prices for American consumers and threaten the jobs of US dockworkers if vessels called at fewer ports in response. Ships from Asia call on average at four US ports.

Terrible timing and huge uncertainty: how ports and shipping are handling tariff turmoil

As they reel from Trump’s policies, companies say volatile freight costs and congestion are now the norm

www.theguardian.com

comrade stalin
moscow