U.S. Senator Maria Cantwell (D-Wash.), Chair of the Committee on
Commerce, Science, and Transportation, will convene an Executive Session
at 10 a.m. on Thursday, March 3, 2022, to consider several presidential
nominations. Immediately following the Executive Session, the Committee
will hold a full committee
hearing
on the Ocean Shipping Reform
Act,
introduced by Sens. Amy Klobuchar (D-Minn.) and John Thune (R-S.D.).
The Ocean Shipping Reform
Act,
co-led by Senator John Thune (R-S.D.) and cosponsored by Senators Tammy
Baldwin (D-Wisc.), John Hoeven (R-N.D.), Debbie Stabenow (D-Mich.),
Roger Marshall (R-Ks.), Gary Peters (D-Mich.), Jerry Moran (R-Ks.),
Richard Blumenthal (D-Conn.), Todd Young (R-Ind.), Mark Kelly (D-Az.),
Marsha Blackburn (R-Tenn.), Cory Booker (D-N.J.), and Joni Ernst
(R-Iowa), would address these supply chain challenges by making it
harder for ocean carriers to arbitrarily turn away goods at ports that
are ready to be shipped abroad. It would also give the Federal Maritime
Commission (FMC), the federal agency responsible for the regulation of
oceanborne transportation, greater authority to regulate harmful
practices by carriers. Similar legislation was led in the House by
Representatives John Garamendi (D-CA) and Dusty Johnson (R-SD) and
passed the House with overwhelming bipartisan support by a vote of
364-60.
“Congestion at ports and increased shipping costs pose unique challenges
for U.S. exporters, who have seen the price of shipping containers
increase four-fold in just two years. Meanwhile, ocean carriers have
reported record profits,” said Klobuchar. “This legislation will help
level the playing field for American exporters so they can get their
goods to market in a timely manner for a fair price. As we work to
improve our supply chains, I’ll keep fighting to establish trade
opportunities for the U.S.”
“I want to thank Senators Klobuchar and Thune for their introduction of
the Ocean Shipping Reform Act. For far too long, American entrepreneurs
have been at the mercy of ocean shippers, and their exorbitant fees.
This bill, and the House companion, would bring much needed relief to
the pocketbooks of American innovators and consumers,” said Gary
Shapiro, President and CEO of the Consumer
Technology Association.
“The Minnesota Soybean Growers Association deeply appreciates the
bipartisan work on the difficulties Minnesota’s soybean growers have had
with container exports. Container access in Minnesota historically has
been difficult and that difficulty has increased in the past years to a
near impossibility. Export markets are vital to Minnesota’s specialty
soybean growers. Balancing the power of shippers and guaranteeing fair
access to ships is vital to the agriculture sector of Minnesota’s
economy. MSGA thanks Senator Klobuchar for her
work on these difficult issues,” said Mike Skaug, President of the
Minnesota Soybean Growers Association.
“The Minnesota Corn Growers Association (MCGA) thanks Senator Klobuchar
and Senator Thune for this bipartisan bill to ensure an efficient,
competitive and economical transportation system for crops and other
export-bound goods. Exports are a key market for Minnesota’s corn
farmers, and MCGA supports efforts to ensure
affordable and dependable shipping options for their crop,” said Bryan
Biegler, President of the Minnesota Corn Growers Association.
The Ocean Shipping Reform Act would:
- Require ocean carriers to certify that late fees —known in maritime
parlance as “detention and demurrage” charges—comply with federal
regulations or face penalties;
- Shift burden of proof regarding the reasonableness of “detention or
demurrage” charges from the invoiced party to the ocean carrier;
- Prohibit ocean carriers from unreasonably declining shipping
opportunities for U.S. exports, as determined by the
FMC in new required rulemaking;
- Require ocean common carriers to report to the
FMC each calendar quarter on total
import/export tonnage and 20-foot equivalent units (loaded/empty) per
vessel that makes port in the United States; Authorize the
FMC to self-initiate investigations of ocean
common carrier’s business practices and apply enforcement measures, as
appropriate; and
- Establish new authority for the FMC to
register shipping exchanges.
The Ocean Shipping Reform Act is supported by the Agriculture
Transportation Coalition (AgTC), the National Retail Federation, the
National Industrial Transportation League, the Home Furnishings
Association, the Hardwood Federation, National Milk Producers
Federation, American Trucking Associations (ATA),
ADM, National Milk Producers Federation, U.S.
Dairy Export Council, Tyson Foods, the American Home Furnishings
Alliance, Auto Care Association, International Association of Movers,
Harbor Trucking Association, American Apparel and Footwear Association,
Travel Goods Association, American Pyrotechnics Association, National
Association of Chemical Distributors, American Equipment Manufacturers,
National Marine Manufacturers Association, ATA
Agriculture and Food Transporters Conference,
ATA Intermodal Motor Carriers Conference,
California Automotive Wholesalers’ Association, DairyAmerica, Fragrance
Creators Association, Association of Bi-State Motor Carriers, California
Dairies, Inc., Sartori Cheese, Upstate Niagara Cooperative, Inc.,
International Ingredient Corporation, Associated Milk Producers,
American Bankers Association, International Warehouse Logistics
Association, Institute of Scrap Recycling Industries, Agri-Mark, Inc.,
Northeast Dairy Cooperatives, Retail industry Leaders Association,
Association of Home Appliance Manufacturers, United Dairymen of Arizona,
Maryland and Virginia Milk Producers Cooperative, Midwest Dairy
Coalition, International Dairy Foods Association, High Desert Milk, the
Consumer Technology Association, Northwest Dairy Association, Darigold,
Schreiber Foods, Dairy Farmers of America, First District Association,
the Minnesota Soybean Growers Association, Leprino Foods Company, the
North American Meat Institute, Meat Import Council of America, Leather
and Hide Council of America, Milk Specialties Global, Minnesota Corn
Growers Association, South Dakota Soybean Association, Pet Food
Institute, Western Growers, Allports Forwarding Inc., California Fresh
Fruit Association, Capay Canyon Ranch, Double River Forwarding
LLC, Fornazor International,
IMC Companies, International Fresh Produce
Association, National onion Association, Pacific Northwest Asia Shippers
Association, Pandol Bros. Inc., SB&B Foods
LLC, ShoEi Foods
USA, Specialty Crop Trade Council, Specialty
Soya & Grains Alliance, Total Logistics Resources Inc., Williams Clarke
Company, Inc, and California Farm Bureau.
Senate Commerce, Science, and Transportation Committee
253 Russell
03/03/2022 at 10:00AM