The Federal Maritime Commission is considering whether to push back the effective date of a final rule it issued in February that set new demurrage and detention billing requirements (see 2402230049), it said in a notice released June 7. The commission said the Ocean Carrier Equipment Management Association asked it to extend the rule’s May 28 effective date “by at least 90 days or such longer period as may be deemed appropriate.” The FMC is accepting public comments by July 1 about whether it should delay the rule.
The Federal Maritime Commission has approved a confidential settlement between Access One Transport and Zim Integrated Shipping Services and dismissed Access One’s complaint against Zim. The settlement, approved June 4, comes after Access One accused Zim in April of charging unfair detention and unfair chassis, storage, stop-off and redelivery fees for containers that couldn't be returned due to lack of appointments or terminal closures out of its control (see 2404230050).
The Federal Maritime Commission is hoping to release a rule this fall that would create a registry for national shipping exchanges, FMC Chair Daniel Maffei said during a May 29 event hosted by the Consumer Technology Association. The Ocean Shipping Reform Act of 2022 gave the FMC until June 2025 to craft the rule, and lawmakers have called on the FMC to provide a counterbalance to China's Shanghai Shipping Exchange, which they said is poised to become a monopoly without more competition (see 2402020060).
Detention and demurrage billings appear to have returned to pre-pandemic levels after spiking during the last few years, said Jason Guthrie, an official with the Federal Maritime Commission's Bureau of Trade Analysis.
The Federal Maritime Commission collected more than $2.3 million in fines after entering into compromise agreements with three companies, the FMC said May 29. The companies, CMA-CGM, Vangaurd Logistics Services and Shipco Transport, paid money to resolve various allegations of shipping violations that had been investigated by the commission’s Bureau of Enforcement, Investigations and Compliance.
A Flexport spokesperson this week disputed U.S.-based Giti Tire's allegations that Flexport violated U.S. shipping laws (see 2405200019), saying the logistics company tried "everything" to resolve the dispute, but Giti "refused to pay their obligations."
The Federal Maritime Commission's recently issued final rule on detention and demurrage billing requirements was "silent" on some of the recommendations the National Shipping Advisory Committee has offered in recent months (see 2403070061), said Rich Roche, NSAC member and senior vice president at Mohawk Global.
The Federal Maritime Commission is investigating conditions imposed by the Canadian government that "may adversely affect" the operation of U.S. carriers in the U.S.-Canada Great Lakes trade, the FMC said. The new Canadian regulations, which are set to take effect in September, would require U.S. vessels to install new ballast water management systems, the FMC said in a notice released May 21.
Flexport violated U.S. shipping laws by charging unfair detention and demurrage fees and millions of dollars in other "accessorial charges" at unreasonable rates, U.S.-based Giti Tire said in a complaint filed with the Federal Maritime Commission May 16. It alleged Flexport's invoices lacked required information, were "excessive and unreasonable" and duplicated charges also invoiced to another party, leading to $12.7 million in damages.
The Senate on May 14 retroactively confirmed the ongoing terms of Daniel Maffei as chair of the Federal Maritime Commission and Rebecca Dye as FMC commissioner. Maffei's term expires June 2027 and Dye's term expires June 2025. Neither FMC official had their appointment confirmed by the Senate at the beginning of their current terms.