Thread by @mercoglianos

1/"Freight industry professionals — and the Federal Maritime Commission — want to know where the twin ports are getting the authority  to levy the surcharges."

FMC waits for details on California port surcharges

freightwaves.com/?p=371661 via @FreightWaves 2

2/This comes after a meeting between @POTUS and the heads of @PortofLA & @portoflongbeach, along with the Supply Chain Task Force and the designated port envoy, John Porcari

Biden Enlists Private Sector Help to Fix Bottlenecks Threatening Holiday Sales

gcaptain.com/biden-elists-p…

3/In June, the @FMC_gov called for a National Shipper Advisory Committee to be formed to "provide information, insight, and expertise pertaining to conditions in the ocean freight delivery system to the Commission." In August they added the port envoy.

fmc.gov/industry-overs…

4/In March 2020, the @FMC_gov conveyed Fact Finding 29 to, "International Ocean Transportation Supply Chain Engagement, in order to identify operational solutions to cargo delivery system challenges related to Coronavirus-19."

fmc.gov/fact-finding-2…

5/In September they issued "Guidance on Complaint Proceedings and Seek Comments on Demurrage and Detention Billings," that specifically targeted escalating fees including demurrage in the ports. So you have the government investigating & meeting on this.

fmc.gov/fmc-to-issue-g…

6/Now you have @PortofLA
& @portoflongbeach approving Hyper-Demurrage after meeting with @POTUS & @FMC_gov, in direct violation of what they are investigating

Ports of Los Angeles and Long Beach Approve Controversial Container Dwell Fee on Ocean Carriers
gcaptain.com/ports-of-los-a…

7/This makes me ask, are the ports doing this on their own and willing to risk the @FMC_gov finding them in violation of excessive fees and fines, which is the basis of Fact Finding 29.

The FMC says that they are gathering information, the initial story...

8/Then when you watch the joint press event by Gene Seroka and John Porcari @PortofLA, it seems that they are well tuned to each others actions and strategies.

Porcari is not the head of @DOTMARAD, who should be the lead, but the new nominee is not even scheduled for a hearing.

9/So, this means either the ports are willing to levy this Hyper-Demurrage in a Hail Mary play & risk the consequences. Or they have tacit government approval for this action & @FMC_gov shock at this event is fein for the overall goal of getting at some of the carriers profits?

10/Either way, it is not clear if the ports will be able to move the containers off any faster. The ports seem not to want to actions, such as limiting return of empties or halting the influx of ships, and instead try to muscle through the situation.

freightwaves.com/news/shippers-…