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FMC to determine if supply chain congestion warrants issuance of emergency order requiring information sharing

The US Federal Maritime Commission (FMC) is seeking public comment on whether supply chain congestion has created conditions warranting the issuance of an emergency order requiring common carriers and marine terminal operators to share key information with shippers, truckers and railroads.

The Ocean Shipping Reform Act of 2022 (OSRA) authorises the FMC to issue such an emergency order after seeking comments from the trade on three questions: Has congestion created an emergency situation of a magnitude such that there exists a substantial, adverse effect on the competitiveness and reliability of the international ocean transportation supply system? Would an emergency order issued by the commission alleviate the emergency? What would be the appropriate scope of an emergency order issued by the commission?

If the commission issues an emergency order, common carriers and terminal operators would be required to share directly with relevant shippers, rail carriers or motor carriers information relating to cargo throughput and availability. The order would remain in effect for not longer than 60 days, though the commission could renew the order.

Issuing an emergency order and a renewal of an emergency order requires a unanimous vote by the commission.

Interested parties will have 30 days from when the request for public comment is published in the Federal Register to submit their views to the commission. Commenters are asked to limit their observations to the need and benefits of an emergency order at this time.

Kim Biggar

Kim Biggar started writing in the supply chain sector in 2000, when she joined the Canadian Association of Supply Chain & Logistics Management. In 2004/2005, she was project manager for the Government of Canada-funded Canadian Logistics Skills Committee, which led to her 13-year role as communications manager of the Canadian Supply Chain Sector Council. A longtime freelance writer, Kim has contributed to publications including The Forwarder, 3PL Americas, The Shipper Advocate and Supply Chain Canada.

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