New tariffs and import rules are creating challenges for e-commerce businesses by closing a significant trade loophole. Find out how these changes affect companies and how Clearit USA can help you adapt.

Recent Mexican customs rule changes are putting a burden on US importers using Mexico as a transfer point for shipments from Chinese manufacturers. On December 19, 2024, Claudia Sheinbaum raised tariffs on Chinese apparel imports to 35%. Under the IMMEX program, certain goods meant for re-export can now be imported duty-free into Mexico.

The new rules are part of a more considerable realignment in US-Mexico-China trade dynamics. Importers in the United States and China have been using Mexico as a waystation for goods in recent years. A US-China trade war made importers look for options besides China in an attempt to cut costs and dodge high tariffs on Chinese merchandise. From 2023, Mexican imports grew from 13% to 15%, as Chinese imports dropped from 22% to 14%. Trade-wise, Mexico now holds the spot of the biggest trading partner for the United States.

Mexico has been levying duties on uncountable Chinese goods since 2023, despite increasing trade relations with China.

However, recent tariff increases and changes to IMMEX could disrupt these trade relations. The price of e-commerce goods has risen significantly, especially for textiles and clothes. A number of the companies that had set up distribution centres in Mexico to benefit afterwards from the duty-free shipments under the de minimis exemption will have to reconsider their options.

What is Section 321?

Several U.S. customs rules allow low-cost shipments to arrive in the country without being taxed. Section 321 is one such rule. This principle is mainly applied to digital commerce vendors to minimize customs fees on goods they have purchased from overseas. Implementing Section 321 helps importers bypass the need for high tariffs, decrease the cost of the process, and simplify customs clearance.

For several businesses, particularly those shipping supplies from China through Mexico, Section 321 has been the basis of their efficiency in duty savings and the quick delivery of orders in the U.S. The de minimis rule under Section 321 is also advantageous for products being directed through Mexico, as it allows them to be imported into the U.S. tariff-free only if they reach the value limit.

New Mexican customs rules, which raise tariffs and alter the IMMEX program rules, have posed challenges for enterprises using this strategy. These new policies will highlight the fact that the majority of e-commerce companies will be dealing with increased expenses and logistical barriers, especially when it comes to low-value shipments. For the same reason, businesses must adjust their supply chains to comply with changing trade dynamics and be profitable.

Benefits of Section 321

In the U.S. customs tariffs of $800 and less merchandise are not collected duty-free, giving an overall reduction in costs besides the removal of customs duties. 

By speeding up the customs process, companies can deliver their goods to their American customers instantly. Such tax-free provisions result in significant savings. For many small and medium businesses these savings are the things that make a critical difference for them not to go broke and be able to compete.

Another important aspect is the reduced paperwork. As Section 321 deliveries do not go through the customs procedures that require shipment and the attachment of invoices, the companies can avoid the time-consuming and demanding tedious process of documentation. This is especially important for companies that send directly to the US from Mexican warehouses. 

What’s Changing?

Mexico has revised its IMMEX program, which previously allowed certain imports destined for the U.S. to bypass duties. With these changes, importers may face higher costs and more complex processes. These updates add pressure on businesses that depend on duty-free exemptions and low-value shipments to maintain profitability. Adjusting to these shifts will require flexibility and careful planning in supply chains.

These alterations accentuate the necessity to achieve greater supply chain flexibility in 2025. Importers must be informed about regulatory updates to adapt quickly and have operations flow smoothly. It will be vital for businesses in this intricate field to be able to manage the problematic trend of cost-effective and compliant global trade by finding appropriate and reliable solutions.

What Does This Mean for E-commerce Brands and Low-Value Shipments?

For the textile and apparel e-commerce brands, especially those in Mexican regulation, the recent situation has become quite difficult. The higher tariffs and adjustments to the IMMEX program are leading to increased costs of products transported through Mexico. The companies that used to rely on the duty-free exemptions in Section 321 are now the ones that may see decreased profit margins and the ones which may be the first ones to face supply chain disruptions.

Lastly, small-value shipments were a favoured route to fulfil U.S. orders. It wasn’t as easy a runners-up as you can imagine. This means businesses must consider other methods, change pricing, and find new distribution or transporting models to stay competitive. For the sake of avoiding delays and unnecessary costs, these adjustments emphasize the necessity for adaptability and a deeper understanding of the regulations.

Stay Prepared with Clearit USA

A proactive approach is necessary to adapt to and comply with the new regulations, and that’s where Clearit USA comes in. With our customs brokerage and compliance expertise, we offer tailored solutions to help our customers meet the challenges posed by these changes.

Clearit USA ensures seamless customs clearance and efficient supply chain management by handling all necessary documentation and compliance with the latest regulations. Our streamlined online platform simplifies the entire process, allowing you to focus on growing your business while we manage the complexities of cross-border shipping.

Impact on US Imports and Accessibility Challenges

The closure of the Port of Baltimore due to the Key Bridge collapse presents significant challenges for US imports, particularly those destined for the East Coast. As one of the largest ro-ro ports in the United States, Baltimore handles a substantial portion of imports, with approximately 70% of its volume dedicated to inbound cargo. This closure disrupts the usual flow of goods into the region, affecting businesses and consumers reliant on timely imports.

With the port’s container terminals rendered inaccessible by the bridge collapse, importers face a critical logistical hurdle. The inability to unload incoming shipments directly at the Port of Baltimore disrupts supply chain continuity and complicates inventory management for businesses across various sectors.

Impact on Importers:

  1. Delayed Deliveries: Importers reliant on goods arriving through the Port of Baltimore are likely to experience delays in receiving their shipments. The rerouting of vessels to alternative ports, combined with potential congestion and increased transit times, prolongs the delivery process.
  2. Inventory Management Challenges: The unpredictability of delivery times and potential congestion at alternate ports pose challenges for importers in managing their inventory effectively. The inability to access goods as planned may disrupt production schedules and impact sales forecasts.
  3. Increased Costs: Rerouting cargo to alternative ports involves additional transportation expenses, such as trucking or rail fees. Importers may also face higher freight rates due to increased demand for transportation services and potential congestion-related surcharges.
  4. Supply Chain Disruptions: The disruption in the flow of imports can ripple through supply chains, affecting downstream operations and customer satisfaction. Industries reliant on just-in-time inventory systems or perishable goods may face heightened challenges in maintaining operations.

Addressing Accessibility Challenges:

To mitigate the impact of the Port of Baltimore’s inaccessibility, importers may explore alternative transportation routes and modes. This could involve diverting shipments to nearby ports with available infrastructure or leveraging intermodal transportation solutions, such as rail and trucking, to transport goods to their final destinations.

Additionally, close collaboration and communication with logistics partners and carriers are essential for devising contingency plans and adapting to evolving circumstances. Importers may need to reassess their supply chain strategies and prioritize flexibility to navigate the challenges posed by the temporary closure of the Port of Baltimore effectively.

Importing car parts into the USA involves several steps and adherence to regulations set by various federal agencies, including the Environmental Protection Agency (EPA), the Department of Transportation (DOT), and US Customs and Border Protection (CBP). 

Here’s an overview of the process and when specific forms such as the EPA and HS-7 forms are required.

Determine Applicability of Regulations

For commercial importers, it’s important to understand which federal regulations apply based on the type of parts (e.g., engine components, safety equipment) and their intended use.

Some exemptions may apply if you’re importing automotive parts for personal use, but it’s crucial to verify which regulations affect the import of your car parts.

Environmental Protection Agency (EPA) Requirements

The EPA regulates the import of any vehicle or engine to ensure it meets U.S. emissions standards as set by the Clean Air Act.

The EPA Form 3520-1 is required for all vehicles and engines entering the United States. This includes both complete vehicles and engines intended for road use.

If you’re importing parts that include engines (for example, a replacement engine), the EPA’s regulations apply. You must prove that the engine meets EPA emissions standards, which often requires certification or proof of equivalence to U.S. models.

When importing engines from Canada, for example, while many Canadian vehicles are certified to the same standards as U.S. vehicles, importers must still be able to prove that the vehicle or engine meets emission standards by submitting a letter of compliance or verifying the presence of a vehicle emissions label stating that it is certified to EPA emission standards.

Certain parts not directly affecting emissions may not require EPA documentation, but it’s essential to check the latest EPA guidelines.

Department of Transportation (DOT) Requirements

The DOT oversees the safety standards for vehicles and their components.

The HS-7 form is required for the import of vehicles and equipment subject to Federal Motor Vehicle Safety Standards (FMVSS). If you’re importing car parts that affect the vehicle’s safety features (such as breaking systems, lighting, and tires), you’ll likely need to submit an HS-7 form at customs.

Some automotive parts may be exempt from DOT regulations, such as components not directly related to safety or unregulated parts for older vehicles not originally manufactured to meet FMVSS.

Customs and Border Protection (CBP) Requirements

All imports must clear U.S. Customs. You’ll need to provide the necessary documentation, including commercial invoices, packing lists, and the EPA and DOT forms when applicable.

The HTS groups automotive part imports into six broad product categories: 

Be prepared to pay any applicable customs duties and taxes based on the Harmonized Tariff Schedule (HTS) classification of your parts.

Other Considerations

Intellectual Property Rights (IPR): Ensure the parts you’re importing do not infringe on any U.S. patents, trademarks, or copyrights. This involves conducting thorough due diligence to verify the authenticity and legality of the automotive parts before importing them.

State Regulations: Some states may have additional certification requirements or emissions standards beyond federal regulations. For example, the California Air Resources Board (CARB) regulates vehicle emissions and requires certain aftermarket automotive parts to be certified under the California Vehicle Code (CVC). New York, Massachusetts, Texas, and Washington are other examples of states that have their own emissions testing programs and regulations.

Tips for Successful Import

Research and compliance: Thoroughly research all applicable regulations and ensure full compliance to avoid delays or penalties. Stay up to date on changes to relevant import regulations, tariffs, and trade policies.

Classify products correctly: Determine the correct HTS code to ensure accurate assessment of duties and taxes.

Prepare accurate documentation: Ensure that all import documentation, including invoices, bills of lading, and certificates of origin, is complete and accurate, and be prepared to provide additional documentation if requested by customs.

Budget for duties and taxes: Calculate the estimated duties, taxes, and fees associated with importing, and budget accordingly to avoid unexpected costs and delays in customs clearance.

Plan logistics and shipping: Choose reliable shipping methods and consider factors such as transit times, reliability, and insurance coverage.

Consult with experts: Consider consulting with a customs broker like Clearit or a legal expert specializing in import regulations for personalized advice and assistance.

This overview provides a basic framework, but regulations can change, and specific situations may require additional steps or documentation. Always refer to the latest guidelines from the EPA, DOT, and CBP for the most accurate and detailed information.

The U.S. Department of Transportation’s Maritime Administration (MARAD) announced over $653 million to fund 41 port improvement projects across the country under the Port Infrastructure Development Program (PIDP).

This funding will help grow capacity and increase efficiency at coastal seaports, Great Lakes ports, and inland river ports.

A significant portion of domestic and international U.S. commerce by weight, (over 2.3 billion short tons) moves by water. According to a MARAD press release, the announced port improvement projects will strengthen supply chain reliability, create workforce development opportunities, speed up the movement of goods, and improve the safety, reliability and resilience of ports. These investments are part of the largest dedicated funding for ports and waterways in history – nearly $17 billion through the President’s Bipartisan Infrastructure Law.

“Everything from the food we eat to the cars we drive to the lumber and steel used to build our homes passes through America’s ports, making them some of the most critical links in our nation’s supply chain,” said U.S. Secretary of Transportation Pete Buttigieg. “These investments will help expand capacity and speed up the movement of goods through our ports, contributing to cleaner air and more good-paying jobs as we go.”

The PIDP’s mandate is to improve port and related freight infrastructure to meet the nation’s freight transportation needs. The program provides planning support, capital funding, and project management assistance to improve capacity and efficiency of ports in both urban and rural areas, as U.S. supply chains continue to recover from the pressures put on them by the COVID-19 pandemic.

At one point during the pandemic, more than a hundred ships were waiting to dock at West Coast ports. This contributed to inflationary prices. Today, there has been more than a 90% decrease in the number of container ships waiting for berths at U.S. ports, and global container shipping costs are down by more than 80% from their peak in 2021.

“Modernizing the nation’s port infrastructure is vital to the reinforcement of America’s multimodal system for transporting goods. The advantages of cargo movement on water extend well beyond the maritime domain,” said Maritime Administrator Ann Phillips. “By funding port infrastructure development, the Biden-Harris Administration is ensuring that goods move reliably and in greater quantities, strengthening supply chain resiliency across all modes of transportation, and addressing the negative impacts of port operations on public health and the environment that have harmed communities living near ports.”

Projects were selected based on their ability to improve the safety, efficiency, or reliability of the movement of goods, as well as on how well they would improve port resilience, and how well the project enhanced economic vitality, supported workforce development, addressed climate change and sustainability, and advanced equity.

Ports that will see improvements from the grants include:

Cold Bay, Alaska (Dock Infrastructure Replacement)
This project will include the design, permitting, and construction of a new dock to replace the community’s only existing dock, which is nearing the end of its useful service life.

Long Beach, California (North Harbor Transportation System Improvement Project)The project will add a third intermodal railroad track to the Dominguez Channel Bridge; relocate and modernize Pier B Street, on-dock roadways, and associated utilities; and realign Pico Avenue, including replacing and relocating aging utilities in the area.

Newark, New Jersey (Reconstruction of Berth PN-308 at Port Newark)

The project will reconstruct Berth PN-308. The new berth will have a 75-year service life, increase live load criteria from the current 500 pounds per square foot (psf) to 2,000 psf, and incorporate resiliency enhancements to the new structure such as a high-level platform and prestressed precast concrete planks.

North Bend, Oregon (Ko’Kwel Wharf Improvements Project)

The project will fund repairs to the dock facing Lot 2 of the Ko’Kwel Wharf, bring 800-amp service and a shore power outlet box to the wharf to reduce or eliminate the need for idling diesel engines, and include development phase activities leading to the future extension of the Wharf dock.

Ogdensburg, New York  (Port of Ogdensburg Terminal Expansion Project)

The project includes an approximately 435-linear-foot expansion of the Port of Ogdensburg’s main dock terminal along with installation of a mooring dolphin system and associated dredging necessary to establish a new roughly 100-foot-wide by 500-foot-long berthing area immediately adjacent to the new terminal dock wall structure.

Wabasha, Minnesota  (Wabasha Barge Terminal Project)

This project will construct a new inland river barge terminal at Upper Mississippi River Mile Marker 760 and develop the necessary access road and utilities to support its operation.

Wilmington, North Carolina  (North Gate Relocation and Access Optimization)

The project will construct approximately 4,000 feet of elevated roadway access to the general cargo terminal, relocate the North Gate security checkpoint, install a new gate operating system, improve existing at-grade railroad crossings, construct buildings for badging, guardhouse, and cargo control, construct a truck queuing area, and install EV charging infrastructure and solar panels.

Tacoma, Washington (Port of Tacoma Husky Terminal Expansion Port One) 
The project will reconfigure the Husky terminal yard for better truck circulation, install roughly 40 refrigerated cargo racks and related power supplies, and relocate on-terminal structures.

Freeport, Texas (Velasco Terminal Sustainable Expansion Project)

The project includes construction of a new approximately 36,900-square-foot cross-dock warehouse, related site improvements on a roughly 10-acre site, and a new terminal access truck gate.

Milwaukee, Wisconsin  (Agricultural Maritime Export Facility – Phase 2)
The project will construct two grain storage silos, make electrical service upgrades, and fund purchase of additional grain and cargo handling equipment to expand the capacity of the port to handle the movement of grain commodities.

Blencoe, Iowa  (Port of Blencoe Infrastructure Development Project) 

The project will establish a new port at a site along the Missouri River. The project will consist of constructing a new commodity handling facility, storage for liquid commodities, receiving and handling equipment, conveyors, elevating legs, and additional infrastructure development such as internal road construction and site leveling to accommodate use of the southern side of the property for heavy industrial use.

Fort Smith, Arkansas (River Valley Slackwater Harbor Project)
The project will construct a slackwater harbor off the main channel of the Arkansas River. The harbor will be approximately 1,000 feet long and 200 feet wide and have the capacity to moor and offload up to eight barges at a time.

To stay informed on trade news and other important updates, stay connected with a customs broker.

The Department of Energy (DOE) has identified the materials that it considers critical to global clean energy technology supply chains for 2023 through to 2035. The list includes any non-fuel mineral, element, substance, or material that has a high risk of supply chain disruption, and are essential to clean energy technologies.

In addition to informing crosscutting DOE priorities including the Critical Materials Research, Development, Demonstration, and Commercialization Application Program (RDD&CA), the DOE Critical Materials List will inform eligibility for tax credits under the Inflation Reduction Act 48C.

“As our nation continues the transition to a clean energy economy, it is our responsibility to anticipate critical material supply chains needed to manufacture our most promising clean energy generation, transmission, storage and end-use technologies, including solar panels, wind turbines, power electronics, lighting, and electric vehicles,” said Alejandro Moreno, Acting Assistant Secretary for DOE’s Office of Energy Efficiency and Renewable Energy. “Ultimately, identifying and mitigating material criticality now will ensure that a clean energy future is possible for decades to come.”

Highlights of findings from this 2023 canaltaronja.cat CMA include the following:

The full list of critical materials is below:

Critical materials for energy

Critical minerals

Aluminum, antimony, arsenic, barite, beryllium, bismuth, cerium, cesium, chromium, cobalt, dysprosium, erbium, europium, fluorspar, gadolinium, gallium, germanium, graphite, hafnium, holmium, indium, iridium, lanthanum, lithium, lutetium, magnesium, manganese, neodymium, nickel, niobium, palladium, platinum, praseodymium, rhodium, rubidium, ruthenium, samarium, scandium, tantalum, tellurium, terbium, thulium, tin, titanium, tungsten, vanadium, ytterbium, yttrium, zinc, and zirconium.

For each of the critical materials identified in this Assessment, the DOE will develop an integrated strategy to address material-specific risks.

Source: energy.gov

Market updates since the previous report

You can read the full Critical Materials Assessment here.

To stay informed on supply chain news and other important updates, stay connected with a customs broker.

If the United Parcel Service (UPS) strike goes ahead on Aug. 1, supply chains will see significant disruptions. But even if the strike is averted, experts say it’s still a good idea for shippers to be prepared in the event of such disruptions.

How? By diversifying your carrier mix to mitigate exposure to single-carrier disruptions and capacity restraints.

The most vulnerable UPS shippers are those without alternative carriers in place to handle diverted packages, experts say. It gets even harder if they don’t have enough volume and financial muscle to compel other carriers to make extra room in their networks at the last minute.

“If I’m in a logistics professional’s shoes right now that’s sourced with UPS, I’m doing everything I can for the next couple of weeks to get something in place to ensure I’ve got a way to deliver packages to my customers,” Trevor Outman, founder of Shipware, told Supply Chain Dive.

Diverting packages to other carriers will ensure your goods still get to their destination on time in the event of a service disruption – that is, if the other carriers still have capacity.

According to Supply Chain Dive, carriers generally have capacity to spare as delivery demand has cooled from its pandemic-driven heights. However, Michael Foy, director of business development at Inmar Intelligence, said FedEx and other carriers will limit how much diversion activity they’re willing to accept. Volume shifts will be easier for shippers that have existing business with UPS competitors.

“You can’t just all of a sudden start getting contracts in place in the next three weeks — it’s nearly impossible,” Foy said. “But, if you’re a retailer and you’ve got 70% of your business with UPS, maybe 10% with a regional carrier and 10% with the Postal Service, then you have a little bit more leverage.”

“If you’re 99% UPS [deliveries] and it’s the week before the strike, you don’t have a lot of options.”

US parcel delivery volume in 2022

Source Max Garland / Supply Chain Dive

To stay informed on supply chain news and other important updates, stay connected with a customs broker.

The U.S. International Trade Commission (ITC) has published a report detailing the significant impact that the COVID-19 pandemic had on U.S. supply chains. The document, titled Recent Trends in U.S. Services Trade: 2023 Annual Report, includes specific discussions on retail supply chains, e-commerce, logistics, warehousing, maritime shipping, port services, trucking and rail, air cargo, and express delivery via drone.

Impacts of pandemic on transportation

The transportation services sector experienced multiple economic shocks related to the COVID-19 pandemic. These included a consumer shift from in-person purchases to online retail purchases, volatile fuel prices, and disruptions to global value chains.

A large increase in consumer demand for retail goods in the wake of the pandemic initially overwhelmed global supply chains, causing shipping and airfreight rates to spike and resulting in historic profits for ocean carriers.

U.S. cross-border exports of sea transport services changed little during 2017–20, declining at an average annual rate of 0.8% during the period, but grew by 10.2% to $19.6 billion in 2021. U.S. cross-border imports, on the other hand, grew by 63.6% to $55.9 billion in 2021, substantially faster than mymedic.es the 2.9%average annual growth rate during 2017–20.

These rate and profit increases, in turn, spurred governments to review maritime freight transport rules. Demand for goods transport via airfreight rose significantly. Firms in the e-commerce and maritime shipping sectors have recently established or significantly expanded their air cargo operations, as well as their investments in the logistics and warehousing services industries.

Increased goods imports in the United States also resulted in heavy port congestion and significant delays, concurrently spurring long-term investments in port automation and expansion.

Labor-related issues in the rail and trucking industries, resulting from worker demands for higher pay and better working conditions, have underscored the economic importance of these industries.

The delivery of goods via drone has developed more slowly than industry participants predicted. Product offerings in a few U.S. and overseas locations are limited, but firms continue to pilot new drone delivery projects.

Effect of the pandemic on imports

U.S. goods imports fell by $86 billion from first quarter of 2020 to the second quarter of 2020, representing a decline of 14.4%. However, good imports quickly returned to pre-pandemic levels by the third quarte of 2020, increasing at a faster rate than during the pre-pandemic period.

Goods services also recovered at a faster rate than service imports.

This rapid recovery in goods imports likely reflects the sharp swings in U.S. consumer demand during the pandemic. Consumer preferences shifted from purchasing services (like travel) toward recreational goods (like consumer electronics and sporting equipment). Purchases of durable goods likely also rose during the pandemic because of an increase in disposable incomes resulting from stimulus payments and other fiscal policy measures.

You can read the full report here.

To stay informed on trade news and other important updates, stay connected with a customs broker.

The Transportation and Infrastructure Committee has voted to approve several measures to strengthen the country’s supply chain and guard against future supply chain disruptions.

The approved legislation includes:

The Soo Locks Security and Economic Reporting Act of 2023

Directs a federal study of potential security risks of the Soo Locks in Sault Ste. Marie, Michigan – a critical supply chain link between the U.S. and Canada – and the economic ramifications in the event of their operational failure.

The Ocean Shipping Reform Implementation Act of 2023

Builds upon the Ocean Shipping Reform Act of 2022, including by allowing the Federal Maritime Commission (FMC) to review complaints about market manipulation and anti-competitive operations of maritime exchanges, and strengthening the FMC’s authority to crack down on unfair trade practices.

The Truck Parking Improvement Act

Expanding access to parking options for commercial trucks by increasing resources for the construction of new Commercial Motor Vehicle (CMV) parking, adding additional parking at current CMV parking areas, and making improvements to existing CMV parking.  It also requires CMV parking spaces constructed to be accessible to all CMVs without charge.

The Licensing Individual Commercial Exam-takers Now Safely and Efficiently (LICENSE) Act of 2023

Eliminates regulatory barriers and addresses truck driver shortages by making permanent two waivers issued by the Federal Motor Carrier Safety Administration (FMCSA) during the COVID-19 pandemic to allow for more efficient Commercial Driver’s License (CDL) testing.

H.R. 3318, establishing a 10% axle weight variance for dry bulk

Allows for a 10% axle variance for dry bulk, without any increase in the overall federal gross vehicle weight (GVW) limit.  The bill makes an allowance for the fact that dry bulk – nonliquid cargos such as grains, plastic pellets, and aggregates – can shift during transportation and redistribute a truck’s weight.  The bill ensures trucks don’t have to unnecessarily reduce their loads.

Streamlining the environmental review process for major projects

Extends One Federal Decision (OFD) environmental review streamlining provisions – such as combining environmental documents among agencies, concurrent agency reviews, creating reasonable page limits for documents, and reasonable time limits for reviews – to port, aviation, and pipeline projects, as applicable. OFD was already approved in law for highway projects under the Infrastructure Investment and Jobs Act.

The Supply Chain Improvement Act

Ensures that priority consideration is given to projects that would improve or build resiliency into the supply chain under the INFRA and MEGA discretionary grant programs, and prioritizes infrastructure projects that improve the supply chain for certain U.S. Department of Transportation grant programs.

The Intelligent Transportation Integration Act

Directs the Secretary of Transportation to create and implement a program to bolster transportation management and the efficiency of Federal-aid highways by leveraging third-party data.

The Motor Carrier Safety Selection Standard Act

Increases efficiency and highway safety in the supply chain network by requiring the Federal Motor Carrier Safety Administration (FMCSA) to develop a new Safety Fitness Determination process to change the way a motor carrier is rated.

The Rolling Stock Protection Act

Closes a legal loophole and prohibits four public transportation agencies from continuing to use Federal Transit Administration (FTA) funds to procure rolling stock from State Owned Enterprises (SOEs), including a Communist Chinese-controlled manufacturer.

Establishing a safety data collection program for certain 6-axle vehicles

Establishes a voluntary 10-year pilot program for states to increase truck weights on federal interstates up to 91,000 pounds on six axles.

The Carrying Automobiles Responsibly and Safely (CARS) Act

Allows automobile transporters to continue carrying the same number of vehicles as they currently do.  The bill addresses the increasing weight of newer vehicles, allowing a 10% weight increase for certain types of automobile transporters.

To stay informed on trade news and other important updates, stay connected with a customs broker.

The Department of Transportation’s Freight Logistics Optimization Works (FLOW), has developed a data exchange to pool information on the movement of goods, including container volumes and available logistics equipment.

According to a press release, such data sharing across the supply chain industry and alongside the federal government has never been done before, and has vast potential for increased collaboration that will help improve the supply chain and bring down costs for Americans in the long term.

FLOW, which was launched in March 2022, is a partnership between the US government and dozens of supply chain companies with the aim of developing new shared data infrastructure to give companies information to proactively address supply chain challenges (such as the structural weaknesses that were exposed by the COVID-19 pandemic) through an integrated view of container volumes and equipment in the US, which will hopefully help speed up the movement of goods and reduce costs.

The Department of Transportation is serving as an independent data steward for participants to exchange supply and demand information to be aggregated, anonymized, and returned for a holistic view of freight movement. Depending on the participant, data exchange may involve total incoming container demand or available supply-side assets, as measured by the availability of different assets to move goods including terminal slots, tractors, chassis, and warehouse space. Current FLOW participants have access to this shared aggregate view, which will continue to be developed further with participants in the coming months.

FLOW has grown to 53 member companies since launching with just 18 founding members. To learn more about FLOW, including how to join, visit bts.gov/flow.

To stay informed on trade news and other important updates, stay connected with a customs broker.

Following a recent meeting between President Biden and Canadian Prime Minister Justin Trudeau, the US and Canadian governments released a joint statement reaffirming their commitment to a mutually beneficial partnership to support green energy trade initiatives.

Highlights include:

Read Prime Minister Trudeau and President Biden’s full joint statement here.

To stay informed on trade news and other important updates, stay connected with a customs broker.