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QUICKIE: FMC To L.A.-Long Beach Ports: We Want Some Answers
04/03/2008
The Federal Maritime Commission wants to ports of Long Beach to answer some specific questions before it is willing to approve a discussion agreement that will allow the two ports to talk to its terminal operators about implementing the ports' clean truck plans.
Although the two ports plans are different - Los Angeles will require trucking companies serving the port to hire employee-drivers and Long Beach will leave it up to the companies whether they hire company drivers or use owner-operators - many of the elements are the same as are the timetables for enacting them.
Both ports plan to launch the program with a ban on pre-1989 trucks starting in October. The FMC request is expected to push off that already aggressive deadline. No final decision by the FMC will be handed down until 45 days after the ports answer a list of questions posed by the agency.
A sample of questions the FMC wants answered includes:
• What's the impact of the two ports having separate plans?
• Do both ports have to agree on how to implement the plan?
• How many applications for trucking concessions are expected to be submitted to each port?
• Will trucking companies that want to serve both ports have to file separate concession agreements and pay separate fees to each port?
• Will trucking companies with no prior port history be able to obtain a concession?
• What are the non-performance provisions in the concession agreements at each port?
• Describe the reporting requirements and reporting frequency, including record access, recordkeeping, and audit requirements for drayage companies?
• What will all the hardware and software cost for each program?
• How many drivers from the drayage workforce do the ports think they will lose from the program?
• How will long-haul trucks that occasionally visit the ports be treated?
• How much diversion to other ports is expected because of the clean truck plans?
• To what extent are the RFID tags tamper-proof?
• Tell all the reasons why a truck or driver could be denied access at a terminal?
• Compare and contrast how the ports' clean truck plans will differ from similar regulations being put together by the California Air Resources Board.
• What will be the effect at non-container terminals?
Many of these questions are the same ones the trucking industry has been asking since the plan was first unveiled. Many of the details of the plans are still being worked out. Whether the ports can pull something together to satisfy the FMC will be the issue.
Post panamax threat to New York trade
The wider Panama Canal will have serious consequences for the port of New York-New Jersey as larger container vessels will be unable to sail under the city’s Bayonne Bridge. The Port Authority of New York-New Jersey said in a statement that it would engage the US Army Corps of Engineers (Corps) to assess how the Bayonne Bridge will affect future trade. The services of the Corps would cost US$300,000. “The air draft limitations of the Bayonne Bridge have gradually given rise to concerns, as ocean carriers begin introducing or planning for the introduction of vessels with a capacity and size that will require either vessel modifications or favorable tidal conditions in order for vessel operators to take advantage of the planned 50-foot channels at the port,” the statement said.
“The recent decision to widen and deepen the Panama Canal could amplify the significance of the Bayonne Bridge limitation in terms of navigational safety and regional cargo flows.”
The Panama Canal can currently handle ships carrying up to 5,000, TEUs, known as Panamax vessels. However, with wider locks and deeper and wider access channels, the Canal would be able to handle ships carrying 10,000 to 12,000 TEUs, known as post-Panamax vessels. At 151 feet, the air draft of the Bayonne Bridge currently presents a limitation for vessels that carry 6,000 to 8,000 TEUs, depending on vessel design.
“Under this proposed action, the Corps would conduct an analysis of the impact of the Bayonne Bridge air draft on future port trade, navigational safety, security and transportation economics,” the NYNJ statement said.
What's The Buzz.
03/30/2008 The Federal Maritime Commission requested Friday that the ports of Los Angeles and Long Beach provide more information about their plans for regulating port trucks before it gets FMC permission for a discussion agreement with terminal operators... The Port of Seattle will use a 10-acre property at Terminal 10 as an interim parking lot for trucks... The California State Lands Commission last week approved an agreement in which International-Matex Tank Terminals will pay $98,200 for failure to comply with state pipeline testing requirements at the company's Port of Richmond terminal... A private security company at the Port of Tacoma is facing accusations of unfair labor practices from the National Labor Relations Board after some of its guards said they were threatened with the loss of their jobs if they supported a move to join the ILWU.
Port of Long Beach tenants and guests ate with the fishes last week as the port handed out its Green Flag awards at a special dinner in the Long Beach Aquarium of the Pacific... Korry Electronics, which had been in negotiations to build a new facility on Port of Seattle property, announced Thursday that it will relocate its 600-plus Seattle employees to a site in an unincorporated area of Snohomish County in late 2009 or early 2010... Commissioners from the Port of Seattle and the Port of Tacoma will conduct a joint study session on Tuesday to discuss issues they have in common, namely air quality, transportation infrastructure and security.
The California Maritime Academy training ship Golden Bear will become a test bed for ballast water treatment systems under a plan approved last week by the California State Lands Commission... The Port of San Diego is seeking artistic submissions for a project to illuminate the Coronado Bridge... Receipt of a military equipment shipment that spawned days of protests and dozens of arrests in early and mid-November earned the Port of Olympia at least $400,000, according to port financial records obtained by the Olympian newspaper... The Harry Bridges Center for Labor Studies will hold its annual awards celebration from 5-8 p.m. on April 11 at the University of Washington in Seattle.
PIERS TI™ Opens Web Access to Latest U.S. Export Trade DataNewark, N.J. – October 17, 2007.
PIERS® Global Intelligence Solutions, a division of Commonwealth Business Media, Inc., today announced it will deliver current and historical U.S. export trade data via its Web-based trade intelligence product, PIERS TI™. PIERS TI has, since 2004, been the consistent market leader in providing online access to the latest available U.S. import data, down to transaction detail — including names and addresses, detailed cargo descriptions, estimated value and volume of shipments.
“Starting Monday, October 22, PIERS TI will offer U.S. export data as well as import data,” says PIERS President and COO Brendan McCahill, who explains that PIERS has previously been providing export data in its monthly Export Bulletin CD. Along with the expanded access to both import and export data, the new PIERS TI will also offer search engine enhancements and new report generation capabilities — including the option of creating trending reports that track month-by-month fluctuations in U.S. export trade by country, commodity or U.S. exporter.
Founded over 30 years ago, the PIERS database is a unique resource for trade intelligence. PIERS gathers the data directly from the manifests and bills of lading that document importexport activity, and then adds value by auditing, standardizing and validating the data and by assigning harmonized tariff codes to all manifest commodity descriptions.
“PIERS TI makes our database a uniquely accessible resource,” McCahill says. “Our Webbased service enables subscribers to run highly refined searches of our import-export data, sort and filter results, generate a range of reports, download results to their applications, and securely store their research online for later retrieval.
Oportunity Alert
SARS is to blame for the cancellation of an estimated 20% of Asia-North America and Asia-Europe passenger flights, and 50% of intra-Asia flights in late May, reports The Journal of Commerce.
Heightened risks of meeting with disaster (not to mention the mundane need to trim T&E budgets) have businesspeople grounded ... and looking for ways to deal with each other at an often-considerable distance.
Email, fax, and phone work - up to a point. But what is the substitute for being there when it comes to finding new sources for global supply chains? PIERS Overseas Supplier Profiles.
PIERS West Coast Sales Representative Joe Davis reports a surge in requests for supplier data from manufacturers and importers of furniture, auto parts, and appliances that rely on Asian sources. "Our information is very timely and very detailed, down to contact names and addresses in some cases," he says. "Sales volumes, market reach, product descriptions, other companies they are supplying to - all the critical business information needed to identify and qualify potential suppliers can be drawn from the PIERS database."
Hot Topic
A record trade deficit, a falling dollar, emerging Asian markets - and new, lower-cost ways to reach them: It's not the early '00s but the late 1980s ... ...that's when Yan Cheung saw the opportunity to set up her Pomona, Calif., business exporting a soon-to-be high-demand commodity: U.S. wastepaper. Back then, trans-Pacific shippers, eager to fill empty containers headed back to Asia for more imports, were launching vessels that were, among other things, better able to handle bulky scrap. These post-Panamax vessels were too wide for the Panama Canal - but they didn't have to go further than the Port of Los Angeles, with its new truck-and-rail "land bridge" to the East Coast. Recycling was on the rise. Wastepaper sales to timber-poor Taiwan, Korea, Japan, and Mexico were growing. And China was finally on track to industrialization. Fast forward to 2002: Cheung's company, America Chung Nam Inc., is the leading U.S. direct exporter by volume - shipping 156,500 TEUs, twenty-foot-equivalent units, almost exclusively to China - according to The Journal of Commerce annual special report on top 100 U.S. importers and exporters (based on PIERS data). Nine other Southern California wastepaper exporters also made the top 100. They shipped an additional 143,700 TEUs to Asia in 2002, again, most of it to China, which also bought 2.3 million metric tons of scrap iron and steel, and 450,000 tons of scrap plastic from the U.S. last year.
It's easy - looking back - to see the opportunity seized by Yan Cheung. Much harder to look ahead and spot the next opportunity as it takes shape. Where to start looking? PIERS Senior Economist Salma Ehsanuddin notes that the IMF projects 7.5% economic growth for China, the leading destination for U.S. containerized goods in 2002. She adds that PIERS research indicates that trend will hold through the next two years. Growth in GDP in the range of 4% to 6% is forecast for such Asian markets as Malaysiaand India. The IMF is also bullish on Brazil, the biggest South American market for U.S. exports. Meanwhile, the drop in the value of the dollar is expected to make U.S. products more price competitive in export markets across the Pacific and the Atlantic. And what to look for? It depends. The economics of overseas transport (like the new all-water services from Asia to the East Coast), the efficiencies of local warehousing and distribution (new cold storage facilities in Gulf ports to handle rising poultry exports to South America), sales volumes and market trends (a growing taste for dairy products among the Chinese), how and where your competition is selling ... these factors - and more - work together to flatten demand in one market while they create fresh selling opportunities elsewhere. The trick is to detect the shifting patterns in a welter of data. PIERS can help here. PIERS has comprehensive, accurate, and timely trade information you won't find anywhere else. Just as important, PIERS Global Intelligence Solutions can help you sift and analyze the data to get a clear picture of your strategic opportunities in U.S. import-export trade.