August ’24 at-a-glance … supply chain

No progress in contract negotiations at East and Gulf Coast ports 

No negotiations are scheduled with the master contract set to expire Sept. 30 between the International Longshoremen’s Association (ILA) and the U.S. Maritime Alliance (USMX). The contract impacts all ports on the U.S. East and Gulf coasts. ILA members are set to meet next month to discuss a strike plan. NAFEM and nearly 200 other organizations urged President Biden and numerous cabinet members to intervene in the stalled negotiations. 

IPEF working to safeguard supply chains from future global disruptions 

The 14 partners in the Indo-Pacific Economic Framework for Prosperity (IPEF) announced further progress after recent inaugural meetings. Together they established the Supply Chain Council, the Crisis Response Network and the Labor Rights Advisory Board. Partners also signed Clean Economy and Fair Economy agreements as they work collaboratively to strengthen the resilience and competitiveness of critical supply chains. Partners include Australia, Brunei Darussalam, Fiji, India, Indonesia, Japan, the Republic of Korea, Malaysia, New Zealand, the Philippines, Singapore, Thailand, the U.S. and Vietnam.  

Federal Maritime Commission clarifies rule on refusing vessel space 

A new Federal Maritime Commission (FMC) rule that takes effect Sept. 23 clarifies rules for cargo space use. The new rule defines the terms for implementing the Ocean Shipping Reform Act of 2022 prohibition against unreasonable refusals of cargo space accommodations when available, and unreasonable refusals to deal or negotiate with respect to vessel space accommodations by ocean common carriers. Not all refusals will constitute a violation if the ocean common carrier can prove there was a reasonable basis for refusing to negotiate or carry cargo. 

Senators looking to modernize, streamline customs process 

Two senators from opposite sides of the aisle proposed the Customs Facilitation Act of 2024 to modernize U.S. customs laws and streamline the processing of goods and services. Sens. Bill Cassidy, R-La. and Catherine Cortez Masto, D-Nev., are calling for a “simple and workable” trade system that “protects consumers and makes it easier for American businesses to move goods around the world.”