Biden signs ocean shipping bill in bid to reduce export backlogs

By David Shepardson
WASHINGTON (Reuters) -President Joe Biden on Thursday signed laws to enhance oversight of ocean delivery, which lawmakers say will assist curb inflation and ease export backlogs.
The bipartisan invoice handed the U.S. Home of Representatives on a 369-42 vote earlier this week. Biden mentioned he had “promised to crack down on ocean carriers whose worth hikes have harm American households.”
The brand new regulation boosts the investigatory authority of the Federal Maritime Fee (FMC), the U.S. company that oversees ocean delivery, and will increase transparency of trade practices.
“It may assist to start to decrease delivery prices,” Biden mentioned.
The regulation will permit the FMC to launch probes of the enterprise practices of ocean widespread carriers, a time period that broadly refers to cargo vessels working on the excessive seas.
It should additionally be capable to apply enforcement measures and require the vessels to report back to the FMC “complete import/export tonnage” every calendar quarter. The regulation would bar ocean carriers from unreasonably declining alternatives for U.S. exports below new guidelines to be decided by the FMC.
The World Delivery Council mentioned it would work with the FMC to implement the invoice “in a approach that can reduce disruption in our provide chain.”
Nevertheless, it added: “Ocean carriers proceed to maneuver document volumes of cargo and have invested closely in new capability – America must make the identical dedication and spend money on its landside logistics infrastructure.”
The White Home mentioned the regulation will “make progress lowering prices for households and guaranteeing truthful remedy for American companies, together with farmers and ranchers.”
Congress has few instruments to fight inflation, which hit 8.6% within the 12 months by means of Could, in line with the U.S. client worth index. Past the delivery invoice, Democrats are additionally pushing measures to decrease prescription drug costs.
Imports within the nation’s main retail container ports are anticipated to succeed in near-record quantity in June as retailers search to fulfill client demand and defend themselves from disruptions in West Coast ports, the Nationwide Retail Federation mentioned in a press release final week.
(Reporting by David Shepardson; Enhancing by William Maclean and Richard Pullin)