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  • 06/06/2019

    Union Pacific (UP) Chicago Intermodal Service Changes

    Dear Valued Customer,   As part of an effort to streamline operating strategy and provide better on time arrivals and departures, Union Pacific Railroad (UP) has recently announced several changes to their Chicago intermodal complex to affect the Global 2 (Northlake), Global 3 (Rochelle) and Global 4 (Joliet) facilities.   The most significant of these changes will be the idling of Global 3 ramp which as of early July, will no longer handle containerized cargo. Additionally, Global 2 will discontinue handling of international cargo and convert to an exclusively domestic ramp while Global 4 will be the sole international hub for UP international cargo in the Chicago area.  The current schedule of effective dates for these service changes are as follows:   July 8, 2019 - Last ramp operations for import IPI containers July 15, 2019 - Last gate operations for export cargo  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 OEC Group 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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  • 06/04/2019

    Update: Section 301 List 3 Tariff 25% Duty Increase Extended

    Dear Valued Customer,    In the beginning of May, the Office of the United States Trade Representative (USTR) announced List 3 Tariffs will increase to a duty rate of 25% for imports departing China on or after May 10, 2019. USTR has since released clarification regarding which duty rate will be applied, including additional consideration for destination arrival time.   Originally, imports with a departure date prior to May 10, 2019 and arrival date prior to June 1, 2019 were eligible for 10% duty rate; this has since been extended. Now, shipments eligible for 10% duty rate are those that departed prior to May 10, 2019 and arrived at Ocean Port of Discharge (POD) prior to June 15, 2019. All other List 3 impacted shipments that do not meet both conditions will be subject to the 25% duty rate. For more information, please follow the link below:   Official U.S. Customs and Border Protection notice: https://csms.cbp.gov/viewmssg.asp?Recid=24266&page=&srch_argv=19-000274&srchtype=all&btype=&sortby=&sby= 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 OEC Group 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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  • 05/16/2019

    Update: Section 301 Proposed List 4

    Dear Valued Customer,    On Monday, May 13, the USTR issued a notice to impose tariffs of up to 25% on an additional List 4 of goods valued at approximately $300 billion. Commodities on this list include but are not limited to livestock, foodstuffs, chemicals, plastics, garments, footwear, housewares, ceramics, glass, steel, iron, aluminum, tools, machinery, electronics, computers, toys, and exercise equipment.   Please see the below schedule for public hearings held by the Section 301 committee under docket number USTR-2019-0004. At this time, the effective date of List 4 tariffs remains unknown and is dependent on the progress of the hearings. Based on the history of List 2 and 3 proceedings, duty became effective 23-25 days from the due date for submission of post-hearing rebuttal comments. However, it's possible the effective date will be sooner.   OEC Group is following this case closely and will further explain the implications as more information is made available.   For more information, please follow the links below:   Official USTR notice: Office of the United States Trade Representative Request for Comments Concerning Proposed Action Pursuant to Section 301: China's Acts, Policies, and Practices Related to Technology Transfer, Intellectual Property, and Innovation https://ustr.gov/sites/default/files/enforcement/301Investigations/May_2019_Proposed_Modification.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 OEC Group 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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  • 05/13/2019

    Update: Section 301 List 3 Duty Increase - Export Date Given Consideration

    Dear Valued Customer,    Pursuant to our May 8 advisory regarding the Section 301 tariff increase from 10% to 25% on List 3, the US Trade Representative (USTR) has provided the below update:   List 3 goods entered for consumption, or withdrawn from warehouse for consumption, on or after 12:01 a.m. EST on May 10, 2019, and before June 1, 2019, and exported to the United States before May 10, 2019 will be subject to the 10% duty rate. If exported to the US after May 10, 2019, duty rate will be subject to 25%.   Further enforcement by way of a fourth round of tariffs impacting the remaining $325 billion in Chinese imports to the US is a possibility. Potential List 4 impacted commodities can include but are not limited to: apparel, footwear, kitchenware, toys, imitation jewelry, festive articles, plastic food containers, and more.   OEC Group is following this case closely and will further explain the implications as more information is made available.   For more information, please follow the links below:   Official USTR notice: Office of the United States Trade Representative Notice of Modification of Section 301 Action: China's Acts, Policies, and Practices Related to Technology Transfer, Intellectual Property, and Innovation https://ustr.gov/sites/default/files/enforcement/301Investigations/Implementing_Modification_to_Section_301_Action.pdf   Summary of implications: U.S. Customs agency issues tariff increase notice, allows grace period https://www.reuters.com/article/us-usa-trade-china-tariffs/us-customs-agency-issues-tariff-increase-notice-allows-grace-period-idUSKCN1SF2DV  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 OEC Group 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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  • 05/09/2019

    Update: Section 301 List 3 - Duty Increase from 10% to 25%

    Dear Valued Customer, The United States Trade Representative (USTR) released an announcement this morning confirming President Trump's Twitter post of his intentions to increase the tariff rate on List 3 from 10% to 25% this Friday, May 10th. The duty increase was originally set for the start of 2019, but was postponed as trade talks between the US and China continued.    Our OEC Group Brokerage team determined that the US Customs and Border Protection has updated their database to reflect the duty increase to 25% on List 3 shipments arriving on or after May 10th. As the situation remains fluid, OEC Group anticipates the US government will release additional details in the coming days.    OEC Group is following this case closely and will further explain the implications as more information is made available.   For more information, please follow the link below:  https://s3.amazonaws.com/public-inspection.federalregister.gov/2019-09681.pdf Office of the United States Trade Representative Notice of Modification of Section 301 Action: China's Acts, Policies, and Practices Related to Technology Transfer, Intellectual Property, and Innovation  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 OEC Group 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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