USMCA Agreement Reached (From NCBFAA)
Democratic members of the House of Representatives and the White House came to an agreement this morning [Dec 10] to move forward on the USMCA trade agreement. House Ways and Means Committee Chairman Rep. Richard E. Neal and House Speaker Nancy Pelosi held a joint press conference announcing the two sides had come to terms on issues including workers’ rights, the environment, and prescription drugs.
Major news outlets are reporting that trade officials from the U.S., Mexico, and Canada are scheduled to meet in Mexico City this afternoon to celebrate the new agreement. The USMCA is set to modernize the old NAFTA agreement and, according to the Office of the U.S. Trade Representative (USTR), will “support mutually beneficial trade leading to freer markets, fairer trade, and robust economic growth in North America.” For more info, please go to:
Brexit still uncertain (From American Shipper)
Follows are a few excerpts from an interview in American Shipper.
Brits head to the polls next week (Dec. 12) in a general election which should bring more clarity to the endless Brexit saga ahead of the U.K.’s scheduled departure from the European Union (EU) at the end of January.
AS: Brexit was delayed again at the end of October until Jan. 31, 2020. But for shippers, has anything practically changed in how they organize shipments between the U.K. and the rest of the world since the original referendum in 2016?
It’s a good question Mike, and many companies based in the U.S. are thinking quite justifiably that something must have changed… However, nothing has changed both in terms of logistics and Customs procedures for U.K. importers and exporters and they won’t change, until we [the U.K.] either leave the EU with a deal, or we opt for a so-called “hard-Brexit,” where the U.K. then becomes a third country and defaults to World Trade Organization (WTO) rules. If we do leave with a deal, a transitionary period of 12 months will kick in where everything stays the same, and talks over the actual trading relationship will begin, although that transition period will most likely need to be extended given the size of the task!
AS: What should shippers in the U.S. be doing to prepare for a no-deal Brexit?
They need to be talking to their U.K. sites to satisfy themselves that their U.K. operation is prepared and their EU customers are clear on the terms and costs of future purchases, and also, most importantly, delivery times. This is an area we have come across several times, where the front-line shipping/logistics operation in the U.K. tells their senior management that they’re ready, but when you conduct an analysis of the basics, they just aren’t ready, and they haven’t covered all the bases I referred to earlier.
For more info, please go to
https://www.freightwaves.com/news/brexit-explained-what-us-shippers-need-to-know?utm_campaign=American%20Shipper%20Week%20in%20Review&utm_source=hs_email&utm_medium=email&utm_content=80443979&_hsenc=p2ANqtz--_Fp9a6R2VgdPsV4JmuIQ5_aRXKVrJBodB4EDd8q9c2SxNszycNDCtnWrYRKN3pXd_YnTthJPjzKbki4G0i-k2AOKsaQ&_hsmi=80443979
Ed. note: This is a very fluid situation, and we will keep you apprised as it develops further.
Contact us with any questions.
Lee Hardeman LeeH@LHCB.com Direct: 404-477-3452
Sandy Cato SandyC@LHCB.com Direct: 404-477-3454
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