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OSRA leads to Bureau of Enforcement

In a constructive effort to enforce the Ocean Shipping Reform Act of 2022, the FMC has formed the Bureau of Enforcement, Investigations, and Compliance. Called “a body with teeth,” the Bureau will have the power to hold carriers accountable after years of limited oversight and out-of-control market conditions have left them raking in record profits with rock bottom service levels. 

“Robust enforcement of the Shipping Act is absolutely key to the effectiveness of the Federal Maritime Commission,” said Chairman Daniel B. Maffei, as quoted in Maritime Executive. “This reorganization has the support of all five commissioners and creates a structure better suited to meeting the mandate the President and Congress have given this agency to prioritize enforcement. Specifically, it enhances FMC’s capacity to closely scrutinize the conduct of the ocean carrier companies and marine terminal operators to ensure compliance with the law and fairness for American importers and exporters.”

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Peak season hits the east coast hard

As the congestion built up on the West Coast, shippers moved what cargo they could to the East and Gulf ports to avoid the delays. Apart from the increase in inbound cargo headed to the US, our record import numbers since the pandemic started have pushed the Ports of Los Angeles and Long Beach straight to the breaking point more than once. That the overflow is just currently getting attention as it stacks up along the eastern seaboard and gulf shores should sting those logistics professionals who avoided this from the very start of the pandemic. 

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Los Angeles and Long Beach postpone dwell fee until 7/29

Pending a 30 day notice of appeal, on September 1, 2022, the Port of New York and New Jersey will implement a new quarterly container imbalance fee for ocean carriers to try and incentivize container recovery. 

Read the port announcement

BNSF has announced the end of their embargo on containers moving west. As the extreme congestion of the pandemic starts to clear up at ports on the west coast, many rail yards are finally feeling the space open up as containers flow more freely. 

Learn more about rail issues

Belly capacity is returning to pre-pandemic levels, per Lufthansa. When the pandemic began, the reduction in passenger traffic cut deeply into the space available for air shipments before passenger planes were re-outfitted to be "pfreighters".  

Learn more about air capacity
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