InfoMail January 2018
Ladies and Gentlemen,
USA: Trucking Customs
Currently, several factors are simultaneously influencing the trucking freight market in the USA: State regulations, sudden weather changes, a shortage of drivers and increased demand. Right now, one needs patience and strong nerves.
Trucks in the USA have been required since December 2017 to document carrying electronic instruments for recording worked hours. These ELDs (electronic logging devices) are linked with the motor and record the truck’s data. Within a transitional period, older so-called AOBRD (automatic on-board recording devices) will be accepted by law makers.
Most of all this leads to longer running times, less free capacity and higher prices. One of the goals is to increase safety on roads. Where longer routes used to be covered in a day, they are now covered in two.
The other aspects mentioned are intensifying the situation. This rather strong cocktail requires timely planning. Any added costs such as demurrage & detention, warehousing fees, etc. will be charged by ship owning companies, terminals, airlines and other participants to the freight payers.
Customs: Form A is now REX
Documentation of preferences was largely done up to now using the so-called Form A. In some areas it has already been replaced and is now generally a model on the way out. In the future, exporters will have to be registered in the country of origin in the REX database (Registered Exporter System). Details about this can be found at the: https://ec.europa.eu/taxation_customs/business/calculation-customs-duties/rules-origin/general-aspects-preferential-origin/arrangements-list/generalised-system-preferences/the_register_exporter_system_en
Air Freight: Frankfurt is normal again
The chaos of the last weeks has cleared up. The Frankfurt Airport can once again be regarded as what it really is: Figurehead and hub for air cargo. Ground and air traffic has recently resumed its normal daily routine.
Consequences will come from the experiences of this past year. Efforts are being made to improve the inflow and outflow of cargo. One measure: Free storage periods in export shall be shortened in all areas. In import this will be 24 hours. Export is also getting closer and closer to this goal.
Air cargo: New air security law
Is after chaos just before more chaos? Many experts are asking themselves this very question. The next severe test is in the offing. At least for export. Authorities are hardly able to keep up with processing the "Züp“ reliability test. All parties involved in the security chain for air cargo must now pass this test.
The new Air Safety Act brings with it some considerably more stringent inspections. They now also apply for truckers and other workers who come into contact with air cargo. Security agencies in the States of Germany will have to process around 100,000 Züp-applications. In each case that takes more than three months.
Even with minor errors in a resume will result in rejection. Applicants must present documentation such as police certificates of good conduct for the last ten years. This is especially time-consuming for persons employed abroad. Shippers and carriage haulers are already appealing to the States Ministers of the Interior to reduce the processing times. Until now this has been unsuccessful.
Anyone who cannot present the new Züp by 03.04.2018 may no longer be assigned to air cargo as before. The new rule takes effect then.
Hamburg: Slot procedure
It has been running since November 2017… trucking companies have to book a time window electronically in advance at all container terminals in the harbor – the slot procedure.
…just not well, yet. The effort required is tremendous. Software and interfaces have to be set up, personnel have to be trained and assigned. The first companies are beginning to pass along the expenses involved. Even the terminals are beginning to consider imposing a fee.
One example is Progeco: Strictly a ship owner's warehouse / empty depot on Ellerholzdamm in the Port of Hamburg. Here a booking fee is already being charged for every movement.
We will continue to keep you informed.
Your SENATOR INTERNATIONAL Team