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  • 04/20/2018

    Update: Generalized System of Preferences (GSP) Renewal

    Update: Generalized System of Preferences (GSP) Renewal   Dear Valued Customer,   The renewal of the Generalized System of Preferences (GSP) will go into effect April 22, 2018. Customs Border Protection (CBP) will begin issuing GSP refunds on qualified goods shortly after the effective date, but will not offer any interest payments. Refund requests must be submitted to your broker prior to September 19, 2018.   Duty payments will terminate on April 22nd, but until then, importers should continue to flag GSP-eligible importations as Special Program Indicator (SPI) "A" and expect to pay normal duty rates. Entry summaries submitted during the lapse period with a special program indicator "A" will be eligible for refund.   Entry summaries submitted by importers during the lapse period wherein a special program indicator "A" was not transmitted are still eligible to submit a refund request, known as a post-importation GSP claim. According to CBP; letters, Post Summary Corrections (PSC) or Protests are all acceptable ways to submit duty refund requests.   Should you have any questions regarding this update, please contact your brokerage representative at OEC Group.     Sincerely yours,    OEC Group    The information contained herein is provided as a public service with the understanding that OEC Group makes no warranties, either expressed or implied, concerning the accuracy, completeness, reliability, and suitability of the information. Nor does OEC Group warrant that the use of this information is free of any claims of copyright infringement. http://www.oecgroup.com

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  • 04/18/2018

    May 1, 2018 General Rate Increase (GRI)

      Dear Valued Customer,    Effective May 1, 2018 General Rate Increase (GRI) has been filed for all cargo imported from Asia ports of loading, to U.S.A., Canada, and Mexico ports/ramps of discharge.   The proposed increases are as follows: General Rate Increase - May 1, 2018 USD         900 / 20' USD       1000 / 40' USD       1125 / 40' HQ USD       1125 / 40' Reefer USD       1266 / 45' USD        18 / LCL   As it is not possible to predict the future market based on the current trade conditions, OEC Group will continue to monitor the situation as it develops.   Should you have any questions regarding this update, please contact your Sales or Customer Service representative.   Sincerely yours,    OEC Group  The information contained herein is provided as a public service with the understanding that OEC Group makes no warranties, either expressed or implied, concerning the accuracy, completeness, reliability, and suitability of the information. Nor does OEC Group warrant that the use of this information is free of any claims of copyright infringement. http://www.oecgroup.com   

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  • 04/17/2018

    Canadian Pacific Rail (CP) Strike

    Dear Valued Customer,   Last Friday, Canadian Pacific Railway (CP) conductors and locomotive engineers voted to authorize a strike action, and CP has announced that its services may be interrupted as early as April 21, 2018 due to this labor unrest.    Among other conditions for an amicable collective agreement, CP employees are demanding more predictable work schedules to combat job-related fatigue and are opposing any further cuts and concessions requested by CP. Should a conclusion not be reached by the April 21 deadline, 3,000 CP workers are planning to walk off the job.    In the event of a strike, container traffic through Vancouver will be seriously affected as the strike will only exacerbate the current port congestion there. We also anticipate the shipments through Prince Rupert, though not directly impacted as rail service in Prince Rupert is by Canadian National Railway (CN), will also experience some delays.     OEC Group is closely monitoring the situation as it continues to develop.     For more information on this topic, please follow the below link: http://www.farrow.com/news-20180409-cp-union-members-authorize-strike    Should you have any questions regarding this update, please contact your sales representative.     Sincerely yours,   OEC Group      

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  • 04/13/2018

    Update: Section 301 Proposed Tariffs

    Dear Valued Customer,   Following the recent release by the United States Trade Representatives indicating a "possible" 25% additional tariff on selected products imported from China, OEC Group is assessing the potential impact this may have on your future shipments. Please be advised that this is a "proposed determination of action" published by USTR that is subject to change through bilateral dialogues. Therefore, the situation is fluid at the moment. With so many geopolitical factors affecting the outcome of negotiations between the USA and China, there is no way of knowing which items, if any at all, will ultimately be applicable to this measure.   The USTR proposed list covers 1,300 tariff numbers including but not limited to the following affected products: 29 - Chemicals30 - Medicines40 - Some rubber, tires & conveyor belts72 - Iron / non alloy steel73 - Alloy steel76 - Aluminum84 - Machinery and mechanical appliances, including machinery used in manufacturing textiles and apparel85 - Electrical machinery, television image and sound recorders and reproducers86 - Railway / tramway87 - Motor vehicles88 - Planes and helicopters89 - Boats90 - Glass and microscopes93 - Guns94 - Seats for aircraft, part of seats for motor vehiclesPlease see the original publication by The Office of The United States Trade Representative via below link: https://ustr.gov/sites/default/files/files/Press/Releases/301FRN.pdf    OEC Group is committed to keeping our customers informed on current market conditions and will continue to monitor the situation as it develops.   Should you have any questions regarding this update, please contact your customs house brokerage representative.   Sincerely yours,   OEC Group    The information contained herein is provided as a public service with the understanding that OEC Group makes no warranties, either expressed or implied, concerning the accuracy, completeness, reliability, and suitability of the information. Nor does OEC Group warrant that the use of this information is free of any claims of copyright infringement. http://www.oecgroup.com   

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  • 04/01/2018

    Update: State of US Domestic Trucking

    Dear Valued Customer,    Pursuant to our previous advisory in January on the state of US domestic trucking following the implementation of ELD regulations, we continue to observe major strains in the market. The fundamental issues that plague the industry seem to pose long-term challenges for all stakeholders that will require sweeping changes.    According to the American Trucking Association, the US is currently short of 30,000 to 35,000 drivers. This figure is expected to increase in the coming years.  Additionally, the average age of a commercial truck driver is 55 years old, as reported by the Bureau of Labor Statistics. This is expected to compound the driver shortage problem as retiring drivers are not being replaced by new recruits.   The looming April 1st deadline for full ELD installment will likely put further pressure on the climate as non-compliant drivers risk their licenses. Fewer drivers on the road with stricter working hours means that the trucking operators are becoming more selective about who they do business with.   Another market trend we have noticed in the last quarter is that the national standard for delivery "free time" is decreasing to one hour from the previous two hour standard. Though "free time" in the past has not been consistent across trucking companies/markets, the current market trend is slowly moving towards one hour of loading/unloading time. We expect this may cause additional detention fees in the near future as the market adjusts to the new norm.    Please refer to the following tips on how to avoid additional detention charges:     1.    Make sure your facility is prepared and appropriately staffed to load/unload your cargo when the trucker arrives. Palletizing your cargo whenever possible can help improve loading/unloading time.   2.    Create your delivery schedule in advance with your trucker or freight forwarder to give your facility enough time to prepare for the incoming trucker.   3.    Be as flexible as possible when anticipating a drop-off or pick-up. The more flexibility your team can offer, the more you will be able to save on additional detention costs.   For additional information please refer to the following: https://www.forbes.com/sites/theyec/2018/02/08/the-four-biggest-freight-transportation-trends-to-watch-for-in-2018/#514c6283f16a   OEC Group is committed to keeping our customers informed on current market conditions and will continue to monitor the situation as it develops.   Should you have any questions regarding this update, please contact your Sales or Customer Service representative.     Sincerely yours,   OEC Group      The information contained herein is provided as a public service with the understanding that OEC Group makes no warranties, either expressed or implied, concerning the accuracy, completeness, reliability, and suitability of the information. Nor does OEC Group warrant that the use of this information is free of any claims of copyright infringement. http://www.oecgroup.com   

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