As rates rally, the FMC enforcement offensive hits critical mass...

In a nutshell: In six months the Commission has levied over $68 million in combined awards against MSC, OOCL, and Maersk, with an Evergreen court win reinforcing its hand. The question now: is OOCL's constitutional challenge capable of stopping the train? For decades, disputing a detention or demurrage invoice from an ocean carrier was roughly as productive as shouting into a fog horn at slack tide. The carrier billed, the trucker or forwarder paid, and the Federal Maritime Commission ...

CBP's new 'forced labor' rules burden every link in the chain

Key takeaway: The agency's consolidated guidance makes explicit what was only implied: if an importer can't document every supplier in a production chain, every single one, goods are denied entry. For forwarders and BCOs, this rewrites the economics of sub-tier visibility. There is a passage buried in U.S. Customs and Border Protection's new, roughly 80-page 'Forced Labor Enforcement Operational Guidance' for Importers that should make every logistics executive reading this set down their coffee. It is not a new ...

Putzger perspective: Shots from the hip

In a global environment where disruption has become the new normal, the advance of AI is accelerated by its promise to help businesses navigate around obstacles before they even emerge. By tapping into vast flows of data, it can alert to wear and tear in equipment as well as emerging choke points for cargo traffic before the problems emerge. But how can AI anticipate erratic actions by governments and factor these into its forecasts? The challenge only increases if government agencies are out of tune with the industries they control. Hopes that the change at the head of the US Department of Homeland Security might usher in an attitude more attuned to economic and business needs were resoundingly dashed when the new security chief threatened to withdraw personnel from "sanctuary city" airports, a scenario that would cripple processing of travellers as well as cargo, effectively shutting down major US gateways for international operations. Predictably, the announcement triggered an angry chorus of protests from the aviation sector and beyond. At a time when the US hospitality industry was preparing for a mega-event bringing large numbers of visitors to the nation and to reverse the steep drop in tourists, the announcement revealed a stunning indifference to (or ignorance of) the large number of fans visiting the US for the FIFA World Cup 2026, not to mention the disruption for businesses waiting for their imports. There is a reason why people pay extra money to move goods by air, but the benefit of speed becomes elusive if government agencies crank up uncertainty with decisions that fail to consider the likely repercussions. Taken on its own, the announcement was alarming enough for stakeholders in air cargo and travel. As it were, they were already rattled by noises that the administration was planning to cut its transport budget and hand over some of the activities of the Transportation Security Agency to the private sector. As the Airforwarders Association pointed out, the passenger and cargo security regimes established after September 2001 under federal auspices were developed to address systemic weaknesses in the prior set-up, when outsourced security contracts had often prioritised cost over effectiveness. "The air cargo industry has shown that public-private partnerships can work, but only when there is strong federal oversight setting the standards and enforcing compliance," commented AfA executive director Brandon Fried. It would help if government officials consulted with industry before shooting from the hip.