January 2020
Coronavirus quarantines may upset global manufacturing for an extended period of time.
The graph shows the effect of Chinese New Year (January/February) on Chinese Factory Output from 2010 - 2020.
Manufacturers already gripe about the effect of the Lunar New Year holiday, which falls in January or February, on their business as Chinese factories shutter. But the public health response to the virus this year effectively means extending the holiday. China’s industrial output could be running at a similarly low level for a much longer period.
As the spread of the new coronavirus in China causes more factory shutdowns, the effect on global industrial supply chains could linger for years.
The above content was sourced from: WSJ.com
Read the full article by Mike Bird from January 31, 2020 here.
Incoterms®: New Year, New Rules and What You Need to Know
An Overview of Incoterms® and how they impact your shipment?
International Commercial Terms are essential for the sale of goods and define responsibilities of buyers and sellers. Some of the differences are FCA, DPU, and CIP. We can help you determine the best option for your shipment.
What are Incoterms®?
As defined by International Chamber of Commerce (ICC), “the Incoterms rules define important responsibilities of buyers and sellers for the delivery of goods under sales contracts. They are the authoritative rules for determining how costs and risks are allocated to the parties. Incoterms rules are regularly incorporated into contracts for the sale of goods worldwide and have become part of the daily language of trade.”
Incoterm rules provide exporters, importers, transporters, insurers and lawyers with guidelines in an ever changing trade territory. These rules have been provided by the ICC for over 80 years.
Why Incoterms® 2020?
Effective January 1, 2020, this new set of rules makes the latest developments in commercial practices easier to use. The ICC rules of use for the 11 Incoterms should make reference to the Incoterms® 2020 rules as the latest version of the Incoterms rules.
We are here to help
Defining the responsibilities of buyers and sellers can be a complicated task, especially in the less than typical trade climate we are experiencing today. Our team of experts at JF Moran can present you with options that best fit your needs. Reach out to us today to discuss the best solution for your shipment.
Additional Info: Rules trademark & copyright policy
JF Moran puts the “one” in Foreign Trade Zone
As reported on January 10, 2020 by Providence Business News writer Elizabeth Graham, Only J.F. Moran Co. in Smithfield has taken advantage of the statewide designation to earn its own credentials as a foreign trade zone.
Excerpt below is from the previously noted Providence Business News article.
Rhode Island’s designation as a foreign trade zone was approved in September 2018 by the U.S. Foreign Trade Zones Board. The statewide status is possible thanks to a rule that allows foreign trade zones to encompass a 60-mile stretch outside of a customs hub. In Rhode Island’s case, that’s T.F. Green Airport in Warwick.
The label allows any business to apply for its own designation as a subzone. Newly created zones would add to the state’s longtime foreign trade zones at ProvPort, the Quonset/Davisville area and the Airport Business Park near T.F. Green.
The process requires subzone approval from the U.S. Foreign Trade Zones Board, which typically takes about 60 days, Riendeau said. The second phase, an application to U.S. Customs and Border Protection to become an authorized zone user to receive and store imported goods, can take as long as six months.
Only J.F. Moran Co. in Smithfield has taken advantage of the statewide designation to earn its own credentials as a foreign trade zone.
The Smithfield-based Customs Broker, freight forwarder and trucking company handles both imports and exports. It officially opened its foreign trade zone earlier this month. Now, customers can “assemble, further manufacture or process the goods, and the duty will be based on the most favorable rate when the goods are withdrawn,” said Betty Robson, J.F. Moran’s owner and president.
The new service was generating questions from companies months before the final paperwork was in place, she said.
“From our clients, there’s a lot of interest,” Robson said, although she did not name companies that had inquired about the zone.
“If they’re warehousing or storing goods here, it makes sense,” she said.
Have questions?
Reach out to us, to learn more about the benefits of using a Foreign Trade Zone.