News Updates
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DGX - Dependable Global Express
9/16/2016
The following rate changes apply by
origin/destination, respectfully:
Rate Changes
RATE NAME
|
EFFECTIVE DATE
|
APPLIES TO
|
AMOUNT
|
GRI
|
10/15/2016
|
USA
West, Gulf, and East Coasts to Australia/New Zealand
|
FCL:
$200/20' $400/40' LCL: $8WM
|
GRI
|
10/5/2016
|
US
East Coast or Gulf Coast to Asia/FarEast and US West Coast to Asia/FarEast
|
FCL
$240/20' $300/40' LCL $6WM
|
GRI
|
10/1/2016
|
ALL
US Origins to Asia, Middle East and Far East destinations
|
FCL:
$80/20' $100/40'&45'
LCL:
$2WM
|
Low
Sulfur Surcharge (LSS) Increase
|
10/1/2016
|
For
cargo loading from the USA and Canada, from both WC and EC to AUS/NZ, Fiji,
Tahiti and Papua New Guinea destinations
|
FCL:
$21/20` $42/40` LCL: $1 WM (remains the same)
|
EFAF/BAF
Increase
|
10/1/2016
|
USA
West, Gulf, and East Coasts to Australia/New Zealand
|
FCL: $338/20’ $676/40’
LCL:
$10 WM (remains the same)
|
Hanjin Receivership
The Hanjin receivership is
causing widespread disruption to supply chains in the U.S. and elsewhere.
While a bankruptcy filing is expected in the U.S. (and ship-owners have already
filed claims in the U.S. against Hanjin in light of Hanjin’s
filing), the receivership was filed in South Korea. Given the breadth and
scope of Hanjin’s operations, our contacts indicate that the proceedings
will take time to develop to the point where specific operational guidance is
available. In any event, it remains to be seen whether and to what extent
commercial parties in the U.S., and other foreign jurisdictions will abide by
any guidance provided by a South Korean court.
In the interim, commercial parties are
choosing how to address the filing with little or no guidance. As such,
reports are that terminal operators are refusing to load or
offload Hanjin vessels. With respect to cargo and containers
that are already located in the U.S., we are hearing that container yards are
refusing to accept the return of Hanjin empties, which is causing
drayage carriers to refuse to retrieve cargo in Hanjin containers for
delivery.
All of this is causing problems for the
transportation companies in numerous ways, including the following:
1. Hanjin “House” Carriers. Those motor
carriers that operate, as house carriers to Hanjin, appear to be hardest hit
with large receivables owed by Hanjin.
2. Other
Drayage Carriers. Even those carriers that are not retained
by Hanjin directly are facing problems if they are unable to return
empty Hanjin containers. Technically, these carriers could face
per diem charges related to containers outgated longer than the allowable free
time.
3. Non-Vessel
Operating Common Carriers like DGX. NVOCC companies are dealing with
numerous issues including:
a. Having
to retrieve freight already tendered to Hanjin (which might require
payment of freight charges to Hanjin notwithstanding the fact
that Hanjin has not provided services) so that the cargo can be
tendered to other carriers. (Such NVOCCs should review their bills of
lading and tariffs to determine whether and to what extent incremental costs
caused by Hanjin’s failure can be passed through to customers.)
b. Dealing
with cargo that is sitting on Hanjin vessels, which could ultimately
result in missed deliveries, and potential claims related to deterioration.
c. Inability
to find drayage carriers willing to accept cargo
in Hanjin containers.
There is no playbook for how parties
affected by the filing should proceed. We are diligently making every reasonable effort to minimize disruption to our
customer's affected shipments. The Hanjin vessels could be at risk
for ship arrest or being prevented access to port facilities. This could
result in additional charges being assessed against affected containers, such
as (but not limited to), port and terminal demurrage, equipment detention,
equipment repositioning charges, etc. If you have cargo insurance for
affected shipments, your insurance policy may provide coverage for such extra
expenses incurred as a result of vessel operator financial insolvency.
We will
contact any affected customers with further relevant details as the situation
develops and look forward to the opportunity to assist affected customers
during this challenging situation.
China Modifies Inspection Rule Aimed at Zika
China has now decided that vessels originating
from the United States, other than the state of Florida, do not require
disinsection certification, according to an update from the U.S. Department of
Agriculture’s (USDA) Foreign Agricultural Service (FAS). For
additional information regarding the updated rule, please refer to the link below:
[ http://www.fas.usda.gov/sites/default/files/2016-09/a_fas_update_on_chinas_zika_requirements_09_02_2016_v6clean_2.pdf ]
Brown Marmorated Stink Bug
2016-2017 Season Measures
Please be advised the
Brown Marmorated Stink Bug (BMSB) season
began September 1, 2016 and will end April 31, 2017. During this period all high-risk commodities
(see link below for full listing of commodities) are required to be fumigated
at origin to avoid delays and extra costs upon arrival in Australia. As mentioned above, the fumigation costs at in
the USA are approximate $250-$450 per container depending on the size of the
container (fumigation and drayage).
For additional information
regarding the measures for both break bulk and containerload shipments, please
refer to The
Department of Agriculture and Water Resources
website:
[ http://www.agriculture.gov.au/import/before/pests/brown-marmorated-stink-bugs/season-measures?wasRedirectedByModule=true#summary-of-measures ].
Should you have additional questions, please
contact your local representative or call our Corporate office at
1-888-488-4888 or 1-310-669-8888.
Thank you for your business - we appreciate it!
Sincerely,
Brad Dechter