June 2018

Liners announce emergency bunker surcharges (From American Shipper)

Carriers announce charges because of rapid rise in fuel costs.

In the wake of rising fuel costs, container carriers, including the three largest–Maersk Line, Mediterranean Shipping Company, and CMA CGM have announced new bunker surcharges.

Earlier this week MSC said in an announcement that “The continued surge in bunker prices has greatly impacted the operating environment for container shipping lines. Fuel prices are up more than 30 percent this year, and almost 70 percent since last June. Prices in Europe exceeded $442 per metric ton last week. With crude oil today hovering around $80 a barrel – the highest since 2014 – the situation is no longer sustainable without emergency action.” For more info, please go to

https://www.americanshipper.com/main/asd/maersk-announces-emergency-bunker-surcharge-71501.aspx?utm_source=AS+Daily+Newsletter&utm_campaign=31cf75cb89-EMAIL_CAMPAIGN_2018_05_25_04_39&utm_medium=email&utm_term=0_485fa13138-31cf75cb89-62946101

ILA USMX reach tentative 6 year contract agreement (From American Shipper)

The International Longshoremen’s Association and the employer group United States Maritime Alliance (USMX) have reached agreement on a tentative master contract that will run through 2024. The deal to replace a contract that expires Sept. 30 still must be approved by rank-and-file members of the union, which represents dockworkers on the East and Gulf coasts.
   “We have reached a tentative agreement on a six-year master contract that is beneficial to both sides,” said Harold J. Daggett, ILA president, and David F. Adam, chairman of USMX, in a joint statement. But they did not reveal any information about future pay increases or other aspects of the agreement. Some 200 ILA wage-scale delegates unanimously approved the terms of the new agreement, following two days of master contract negotiations in Delray Beach, Fla. For more info, please go to

https://www.americanshipper.com/main/full/news-flash-ila-employers-reach-tentative-contract-agreement--71602.aspx?utm_source=AS+Daily+Newsletter&utm_campaign=ee1234e806-EMAIL_CAMPAIGN_2018_06_06_08_32&utm_medium=email&utm_term=0_485fa13138-ee1234e806-62946101

Enforcement Pick Says Self-Initiation of AD/CV Cases a Possibility (From Sandler Travis)

Jeffrey Kessler, nominee to serve as assistant secretary of commerce for enforcement and compliance, told a Senate Finance Committee confirmation hearing June 12 that he would “seriously consider” self-initiating antidumping and countervailing duty investigations in that position.

According to press reports, Kessler said he does not have a “hard and fast rule” for determining whether and when to self-initiate such probes. However, he noted that he would consider self-initiating when doing so would help a domestic industry avoid the threat of retaliation from a foreign country if it pursued an AD or CV duty investigation. Another category “would be if an industry has small companies or is fractured” and is thus unable to meet the statutory threshold for bringing an AD or CV duty case.

Ed. note:  AD/CVD cases are already at an all time high. This could generate even more!  To avoid being assessed unexpected costs of AD/CVD on your imports, we urge you to frequently check the list of Commerce investigations that can be found at

http://enforcement.trade.gov/stats/inv-initiations-2000-current.html

DHS Announces Interest Rates on Customs Duties

DHS has announced the rates used to calculate interest on overdue accounts (underpayments) and refunds (overpayments) of customs duties have increased. For the calendar quarter April 1 through June 30, 2018, the interest rates for overpayments are 4 percent for corporations and 5 percent for non-corporations, and the interest rate for underpayments is 5 percent for both corporations and non-corporations. These interest rates are subject to change for the calendar quarter July 1 through September 30, 2018.

Ed. note:  We strive mightily to make sure you pay the correct duty on each entry. Fortunately, we have been successful and have only had to file a handful of post summary corrections.

Contact us with any questions.

Lee Hardeman       LeeH@LHCB.com                 Direct: 404-477-3452

Sandy Cato           SandyC@LHCB.com                 Direct: 404-477-3454

Brittany Albaneso  BrittanyA@LHCB.com           Cell: 404-401-5950

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