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U.S. Customs & Border Protection
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World Customs
Organization Endorses CBP
Global Trade Principles
Commissioner Bonner
also signs anti-terrorist agreement with Jordan
(12/10/2004)
The World
Customs Organization (WCO) for the first time ever endorsed a
Framework of Standards to secure and facilitate global trade that is
based upon principles designed and implemented by the U.S. Customs and
Border Protection (CBP).
CBP Commissioner
Robert C. Bonner, joined by WCO Secretary General Michel Danet, WCO
Policy Chairman and South African’s Revenue Service Commissioner
Pravin Gordhan, and the Director General of Jordanian Customs Mahmoud
Qteishat announced the approval at a joint press conference in Amman,
Jordan.
The WCO represents
164 Customs administrations from around the world and accounts for 99
percent of all global trade.
“The action taken
today by the WCO will, not only build a system that enhances the flow
of legitimate trade, but it builds a global security system – growing
all economies, strengthening international partnerships, and securing
the world against terrorism. I applaud the leadership demonstrated by
the WCO,” Commissioner Bonner stated.
The WCO Framework
is designed to encourage cooperation between worldwide customs
administrations to secure international supply chains and facilitate
the movement of goods. The use of advanced electronic information and
smarter, more secure containers are vital components.
Additionally, the
framework will create an international, consistent system for
identifying businesses that offer a high degree of security. In return
they receive tangible benefits including the speedy clearance of low
risk cargo through customs.
While also in
Jordan, Commissioner Bonner signed a Customs Mutual Assistance
Agreement (CMAA) with Director General Qteishat of Jordan’s Customs
Department to improve trade and secure it against terrorism. The CMAA
will allow CBP to exchange information, intelligence, and other
assistance with Jordan.
“International
trade is increasing rapidly and terrorism is a global threat. It is
now critical that Customs agencies around the world share information,
not only to improve the flow of trade, but also to secure trade
routes,” Commissioner Bonner said. “Everyone wins when we establish
consistent standards to promote international trade, thwart criminal
activity, and defeat terrorism."
Additionally, the
agreement provides a basis for cooperation and investigation in the
areas of commercial fraud, smuggling, export controls, and related
security. The CMAA will be mutually beneficial to the U.S. and Jordan
by enhancing their abilities to enforce customs laws. Currently, U.S.
domestic laws, and most foreign national laws, do not permit
disclosure of much information in the absence of a formal agreement or
treaty.
“The signing of
this mutual agreement recognizes an excellent existing working
relationship and further acknowledges Jordan as a strong, strategic
partner,” Commissioner Bonner stated.
CBP has signed
agreements with a number of other customs administrations worldwide.
As of today, 54 agreements have been signed.
Return to Newsletter Front Page
U.S. and India Sign
Pact to Improve Trade and Fight Criminal Activity
Tuesday, December 21, 2004
Washington, D.C. -- The Department of Homeland
Security announced that the United States has signed an
agreement with the government of India that is designed to assist the
two nations in preventing, investigating, and suppressing Customs
offenses.
The agreement, a
Customs Mutual Assistance Agreement (CMAA), will allow two Homeland
Security agencies, U.S. Immigration and Customs Enforcement (ICE) and
U.S. Customs and Border Protection (CBP), to exchange information,
intelligence, and other data with India in order to enhance the
enforcement of Customs laws.
The Honorable U. S.
Ambassador to New Delhi, Dr. David C. Mulford, and the Chairman of the
Central Board of Excise & Customs, Mr. Shri Ajay Kumar Singh, signed
the English and Hindi language versions of the Document in a signing
ceremony in New Delhi, India, on December 15, 2004.
“This agreement
will allow our nations to strengthen ties in the law enforcement and
trade arenas. It helps ensure that international borders do not serve
as barriers to the effective enforcement of Customs laws. The CMAA
also provides the framework for U.S. and Indian law enforcement to
work together on issues affecting the security of both nations,” said
Michael J. Garcia, the Homeland Security Assistant Secretary for U.S.
Immigration and Customs Enforcement (ICE).
“International
trade and criminal activity are both increasing rapidly. It is
critical that Customs agencies around the world share information in
order to secure global trade routes and improve the flow of trade,”
said U.S. Customs and Border Protection (CBP) Commissioner Robert C.
Bonner. “Everyone wins when we establish consistent standards to
promote international trade and thwart criminal activity. The signing
of this Mutual Agreement recognizes an excellent existing working
relationship and further acknowledges India as a strong, strategic
partner."
This agreement
provides a basis for cooperation and investigation in the areas of
commercial fraud, smuggling and export controls and related security.
The CMAA will be mutually beneficial to the U.S. and India by
enhancing their abilities to enforce Customs laws. U.S. domestic laws,
and most foreign national laws, do not permit disclosure of much
information in the absence of a formal agreement or treaty.
As of today, 55 agreements have been signed
between Homeland Security entities and other countries.
Return to Newsletter Front Page
First Middle Eastern
Port Formally Commits to Target,
Pre-Screen and Secure Cargo Destined for the U.S.
December 12, 2004
Dubai, UAE
— Dubai Ports, Customs and Free Zone Corporation joined the U.S.
Customs and Border Protection’s (CBP) Container Security Initiative
making it the first Middle Eastern port to participate. CBP
Commissioner Robert C. Bonner and Sultan Ahmed bin Sulayem, Executive
Chairman of the Ports, Customs and Free Zone Corporation, signed a
declaration of principles to acknowledge the agreement that will
enable all cargo destined for the U.S. through the port of Dubai to be
targeted and pre-screened.
“The threat of
terrorism is real and, it’s a global threat. Dubai Customs recognizes
the absolute importance of protecting cargo against the terrorist
threat. I applaud their bold action of assuming a leadership role in
the Middle East,” said Commissioner Bonner.
CBP will deploy a
small team of officers to the port of Dubai, the 6th largest port
operator in the world whose mission will be to target sea containers
destined for the United States. Dubai Customs officials, working with
CBP officers, will be responsible for screening any containers
identified as a potential terrorist threat.
The primary purpose
of CSI is to help protect the global trading system and the trade
routes between CSI ports and the United States. By collaborating with
foreign customs administrations, CBP is working towards a safer, more
secure world trading system.
Under CSI, CBP has
entered into bi-lateral partnerships with other governments to
identify high-risk cargo containers and to pre-screen them before they
are loaded on vessels destined for the United States. Today,
governments representing 21 countries have signed up to implement CSI.
“I congratulate the
Dubai Ports, Customs and Free Zone Corporation on this historic event.
They are now partnering with the United States and are a leader in
protecting the global trading system,” said Ambassador to the UAE
Michele Sison.
CSI did not exist
before 9/ll. It was proposed by Commissioner Bonner and launched in
January 2002. CSI has been accepted globally as a bold and
revolutionary initiative to secure maritime cargo shipments against
the terrorist threat. This initiative will continue to expand to
strategic locations around the world.
The World Customs
Organization (WCO), the European Union (EU), and the G8 support CSI
expansion and have adopted resolutions implementing CSI security
measures introduced at ports throughout the world.
The 32 operational
ports in Europe, Asia, Africa, and North America include: Halifax,
Montreal, and Vancouver, Canada; Rotterdam, The Netherlands; Le Havre,
France; Bremerhaven and Hamburg, Germany; Antwerp and Zeebrugge,
Belgium; Singapore; Yokohama, Tokyo, Nagoya, and Kobe, Japan; Hong
Kong; Gِteborg, Sweden; Felixstowe, Liverpool, Southampton, Thamesport,
and Tilbury, United Kingdom; Genoa, La Spezia, Naples, and Gioia Tauro,
Italy; Busan, Korea; Durban, South Africa; Port Klang and Tanjung
Pelepas, Malaysia; Piraeus, Greece; Algeciras, Spain; and Laem Chabang,
Thailand.
U.S. Customs and
Border Protection (CBP) is the agency within the Department of
Homeland Security charged with the protection of our nation’s borders.
CBP unified Customs, Immigration, and Agriculture Inspectors and the
Border Patrol into one border agency for the United States.
Return to Newsletter Front Page
Homeland Security seeks industry input on
cargo security Plan
By Danielle Belopotosky,
National Journal's Technology Daily
The Homeland Security
Department called on the cargo industry to help develop a
national strategy to ensure the protection of America's supply chain.
"This is a job beyond the scope of one
federal department," Homeland Security Secretary Tom Ridge told a
group of U.S. owners and operators of cargo and distribution
companies. The job also will require the collective efforts of the
private sector, local governments and the international community to
protect America's economic security, he said.
To begin the push for the strategy, Ridge
presented a working paper to cargo industry stakeholders during the
first of a two-day meeting hosted by the Homeland Security Institute,
which provides systems and technological analyses to the department.
"We want you to vet, modify and alter" the
draft paper, he said. "We are looking to you to play an active role"
in developing standards and "best practices" for a national strategy.
More than 20,000 containers enter the United
States daily, Ridge said, and jurisdictions in the distribution
process overlap. Some jurisdictions are beyond U.S. legal control, he
said.
"No one can expect a 100 percent secure
cargo regime," said Randall Yim, director of the institute. But the
mission of the department is to inspect 100 percent of cargo
identified as high-risk. "People are entitled to expect that the
government do its very best."
In securing incoming cargo, the department
recommends that U.S. customs officials create a multilateral
information-sharing system with its foreign trading partners and
establish international standards for security, data and system
architectures.
The majority of cargo, some 9 million
containers, enters the United States by water. The department requires
24 hours notice before any U.S.-bound cargo is loaded onto a vessel.
An international shipping and port security code, called an ISPS, also
has been adopted to enhance maritime security. The code assesses
threats, enables data collection and sharing, and imposes training
requirements.
Technology tools also are needed to secure
cargo, Ridge said. Advanced X-ray and radiation screening equipment
and high-security seals and sensors already are in place, he said, but
even with technology, vulnerabilities remain.
The white paper identifies deficiencies in
data collection, analysis and reporting. Unauthorized access to
computer systems could expose computer systems to hackers, intercepted
e-mails and shipment details, the paper said. The department urges the
federal government to work with the private sector to leverage its
capabilities in data collection and analysis.
"With every step we take to enhance security
throughout the cargo-shipping process," Ridge said, "we are mindful
that security measures must not stifle the free flow of commerce and
goods that drive the economies of the world."
Ridge said a disruption in shipping could
have dire consequences on small-business owners, construction
companies and retailers, and the economic viability of the country.
"We
need partners who will take an active, forward-leaning view at all
times," he said. "We will have to work with you in the end to
implement" the national strategy.
In The News
Foreign Regulatory Changes That Could Affect US Exports
10 Fri 2004, ST&R
According to the DOC’s
National Institute of Standards and Technology (NIST), the WTO has
been notified by the following countries of proposed or final
regulatory changes that may affect US exports of the products
indicated:
• Argentina – Latex
paints
• Argentina – Liquid fuel pumps
• Argentina – Safety auto parts and/or fittings
• Thailand – Hazardous substances
• Zambia – Fertilizers (calcium nitrates)
• Zambia – Kerosene
• Zambia – Petrol
• Zambia – Beer
• Zambia – Fertilizers (single super phosphate)
• Zambia – Plugs, sockets, adaptors, connection units
• Zambia – Used textile products
• Zambia – Motor vehicles
• Zambia – Roofing sheets
• Zambia – Safety belts and harnesses
• Zambia – Jams, jellies, and marmalades
• Zambia – Margarine specification
• Zambia – Electrical appliances
• Zambia – Asbestos-cement pressure pipes
• Zambia – Blankets suitable for use in public sector
• Zambia – Dimensions of bed blankets
• Zambia – Fertilizers (urea)
• Zambia – Fertilizers (ammonium sulphate)
• Zambia – Fertilizers (sulphate of potash)
• Zambia – Fertilizers (potassium chloride)
• Zambia – Fertilizers (magnesium nitrate)
• Zambia – Fertilizers (triple super phosphate)
• Zambia – Automotive gas oil (diesel)
• Zambia – Unleaded petrol
Return to Newsletter Front Page
 Hot
Topic
Ringing out the Old (Textile Quotas)
The
quota system that's dominated trade in textiles and clothing since the
'60s comes to an end with the New Year. China is expected to gain
significant share: The World Trade Organization (WTO) estimates China
will account for 18% of U.S. textile imports (versus 11% now), and
50%
of U.S. apparel imports (now 16%). India is also poised to increase
exports as much as fourfold.
China's gain will be somebody's
loss. Local producers in North America and the European Union will
surely feel the impact of heightened competition, as will the
(generally less developed) countries that have enjoyed an unrestricted
(quota-less) status
In
October, a coalition of six U.S. trade associations and one labor
union
announced
it had filed petitions for threat-based special textile China
safeguards covering 15 product categories on which quotas are to be
lifted. The petitioners may yet get some antisurge quotas, as
permitted by the WTO to moderate spikes in imports - a prospect that
troubles Chinese producers and U.S. retailers. Still, any safeguards
would be temporary.
Other factors will shape long-term
trends. Key among them: Fashion is a perishable good. Clothing makers
proximate to high-end markets have an edge with buyers who want to
capitalize on the latest trend. Speed and flexibility count as much as
production costs when catering to fashionistas, says the WTO. This
should minimize losses for Latin America, and, in particular, Mexico,
which broke into the top 10 of clothing exporters in 2002, mainly on
the strength of NAFTA commerce.
Textiles and clothing are "footloose" industries. Low start-up costs
make them the first rung on the industrial development ladder. For the
same reason, production can shift quickly when the market changes. You
can read more about the WTO's assessment of the likely impact of
lifting quotas in its Discussion Papers No. 5. To order a hardcopy, or
download an electronic copy for free,
click here.
You
can keep track of the big changes about to take place in the American
market for textiles and clothing month-by-month with PIERS U.S. import
data. And PIERS international databases provide accurate, up-to-date
information on strategic markets in Latin America and Asia. For more
information, or to request a free sample of PIERS information,
register online at
http://www.piers.com/register/
or call +1 800 952 3839, ext. 7128.
Return to Newsletter Front Page
TSA
Announcement: 2005 Rate Increases
Container shipping lines in
the Transpacific Stabilization Agreement (TSA) have completed a
detailed assessment of market, operational and infrastructure
conditions in the Asia-US container freight market, and finalised
pricing plans for 2005 tariffs and service contracts.
The carriers reported that
aggregate operating costs in the Pacific continue to rise, and will
increase next year by at least 11-12 per cent, depending on route and
transport mode. Port and inland congestion in the US and Asia, and
delays moving through the Panama Canal, have made the situation worse,
the group said in a statement.
In response, TSA lines have
recommended the following increases in current freight rates,
effective in carrier tariffs and upon renewal of service contracts, by
no later than May 1, 2005:
A US$285 per FEU increase will
be imposed on US west coast and "Group 4" western US shipments. A $350
per FEU for inland point intermodal (IPI) and minilandbridge (MLB)
cargo charge will also kick in next year.
In addition, a $430 per FEU
rise for all-water shipments to the US east coast and Gulf ports via
the Panama and Suez Canals is to be added.
Carriers further recommended
retaining a peak season surcharge (PSS) of $400 per FEU, applicable to
shipments from June 15, 2005 through November 30, 2005.
The PSS covers higher
contingency planning and operating costs during periods of full vessel
utilization, such as have been experienced in 2004. It also addresses
the structural costs to carriers of maintaining year-round vessel and
equipment fleets and schedules. Sustained peak period conditions
during 2004 have prompted TSA lines, in a separate action, to
recommend extending the current PSS for US-east coast all-water
shipments through January 31, 2005.
TSA members include: APL, "K"
Line, CMA-CGM, MOL, Cosco, NYK, Evergreen Marine, OOCL, Hanjin
Shipping Co., P&O Nedlloyd , Hapag Lloyd, Yangming Marine Transport
Corp. and Hyundai Merchant Marine.
Return to Newsletter Front Page
Port security Update
Feds 'Still Fighting Last War' On Terror
Ports 'Scraping Bottom Of Barrel', Port Security
Council Chief Says
Despite accounting for more than
one-quarter of U.S. gross domestic product, America's seaports and
related industries "have been virtually cast adrift by the federal
government when it comes to homeland security spending," said Jay B.
Grant, director of the Port Security Council.
"The U.S. Coast Guard's own
conservative estimates say that $1 billion was needed in port security
funding for Fiscal 2005, with a multi-year estimate of $7 billion,"
Grant said in prepared remarks for delivery before the annual meeting
of the Information Sharing and Analysis Center Council, held Monday at
the George Mason University campus in Arlington. "That number could be
as high as $15 billion."
"However, the fiscal 2005 homeland
security bill passed by Congress and signed into law by President Bush
authorized just about one-third of the $400 million the country's
seaports say was absolutely the minimum necessary to protect their
facilities for terrorist attack," Grant added.
"The current 'Band-Aid approach' to
homeland security spending has to come to an end--the country cannot
afford it." Grant said.
The Port Security Council was
created in May by leading sectors of the U.S. maritime industry to
address terrorist threats to the nation's seaports and the maritime
transportation system through the promotion of greater public and
official awareness of the dangers posed to these facilities, and the
need for them to receive greater federal support.
The mission of the ISAC Council is
to promote physical and cyber security of North American critical
infrastructure sectors by establishing and maintaining a framework for
meaningful interaction between and among its members and with the
federal government.
In prepared remarks, Grant pointed
out that the nation's seaports, one of the country's most critical
infrastructure sectors, account for more than one-quarter of U.S. GDP
and that any attack on them could have far-reaching consequences.
"As we saw during the 2002 West
Coast ports shutdown, a terrorist attack on one or more major maritime
facilities could cripple the U.S. economy," Grant said. "Nonetheless,
as dire as the needs are, and despite the rhetoric of the 2004
political campaign, Congress and the Administration have not stepped
up to the plate to make the kind of effort that is needed to protect
the ports."
"The problems faced by America's
seaports are not just problems for the port authorities to address, or
only those of the maritime community-they are national problems that
need to be addressed nationally," Grant said. "The ports are
protecting America's commerce pipeline."
The needs faced by the ports
continue to grow, Grant added, and are in part the effect of
legislative mandates from Washington, such as the Maritime
Transportation Security Act of 2002, which went into effect this year.
"As a result in Fiscal 2006, it is
likely that the total port security funding requested may be more than
double, as much as $1 billion," Grant said.
Despite numerous studies, such as
the final report of the official 9/11 commission, which point out that
Washington may have overreacted on aviation security funding, thus
squandering money on efforts that amount to nothing less than
"fighting the last war, critical needs such as those of the ports are
left scraping the bottom of the barrel for economic and security
sustenance," Grant said.
"Spending billions of dollars on
programs making all airline passengers remove their shoes at airports,
or giving chemical protection suits to firefighters in remote areas of
the country does not add any real value to fighting terrorism," Grant
said. "A much wiser approach would be to identify areas-either
geographically or according
to other quantifiable criteria, that warrant extra efforts and then
spend scare taxpayers' dollars accordingly.
"I believe that the Department of
Homeland Security should subject all of its efforts to means-based
risk analysis, ordering is priorities and spending its resources on
where the threat is most critical and where the challenge to them can
be remedied," Grant said. He added that the part of the Port Security
Council's 2005 lobbying strategy is to move legislation "beyond
'gates, guns and guards' and the chimera of 100 percent container
screening, to investments in costly but also cost-efficient
technology."
Import tariff to go down to 9.9%
www.chinaview.cn 2004-12-21
BEIJING, Dec. 21 (Xinhuanet)
-- The Tariff Policy Commission of the State Council has announced
that China will further cut import tariffs on more than 900 products
beginning January 1 of 2005.
This will lower the
general level of import tariffs to 9.9 percent from the current level of
10.4 percent.
Meanwhile, China will
resume the collection of export tariffs on resource-related products from
January 1, 2005, which analysts say is a move to meet strong domestic
demand.
China will also start
collecting specific export tariffs on six kinds of textile products,
resume collection of export tariffs on high-energy consumption products
and impose a three-month interim export tariff on urea, a synthetic
fertilizer, from January 1, 2005.
After the adjustment,
the average import tariff for farm produce will drop from 15.6 percent to
15.3 percent; industrial goods from 9.5 percent to 9.0 percent.
Among them, the
import tariff for textiles and clothing will be11.4 percent; chemical
products 6.9 percent; vehicles 13.3 percent; machinery 8.0 percent and
electronic products 9.1 percent.
From January 1, 2005,
China will levy specific export tariffs on six kinds of textile products,
including coats and skirts.
The tariff will help
encourage the export of high value-added products and optimize the mix of
Chinese textile exports, Chong, an official with the Ministry of Commerce
said. The tariff rate "will be set by considering the conditions of
textile manufacturers."
"It is also a
self-regulation act to avoid anti-dumping actions of other countries,"
said an official with the General Administration of Customs of China.
Return to Newsletter
Front Page
Taiwanese Official Pushes for FTA with US
14 Dec 2004,
ST&R
Taiwanese Minister of
Economic Affairs Ho Mei-yueh was in Washington to meet with government and
industry officials and discuss ways to improve bilateral economic ties. Ho
indicated that Taiwan intends to lobby harder for a free trade agreement (FTA)
with the US, a development it appears to feel is more likely now that it
has taken a number of measures in recent months to address US concerns on
intellectual property rights (IPR), pharmaceuticals, and agriculture. Ho
acknowledged that it will take “enormous efforts” to reach an FTA but said
she would press her US counterparts to “speed up preparatory work.” US
business groups, who say they are encouraged by the fact that the White
House has not ruled out a bilateral deal, plan to start building support
in Congress in hopes of launching negotiations within the next two years.
Return to Newsletter
Front Page
 Canadian
National's commitment in Wisconsin questioned
Posted on Tuesday, December 14
www.railforum.com
MILWAUKEE, Wisc. --
Reacting to increases in shipping fees on the Canadian National Railway
Co. and an aborted move by the railroad to cut service, some business
executives are questioning the firm's commitment to northern Wisconsin.
The developments have
sparked formation of an informal coalition of rail users and a state study
on the economic importance of the railroad in the region.
Some immediate fears were
allayed when Canadian National, a publicly traded company that runs a
transcontinental rail system, reversed course on plans last summer to trim
service in Rhinelander from five days a week to three.
Those plans were
derailed, but executives and others fear they presage cutbacks down the
line.
"The concern is really
about the future of rail in Wisconsin and particularly in northern
Wisconsin and in rural Wisconsin," said Patrick Schillinger, president of
the Wisconsin Paper Council, a trade association for the pulp and paper
industry.
Canadian National, which
became the state's largest railroad with its $1.2 billion purchase of the
Wisconsin Central Ltd. three years ago, says it is committed to northern
Wisconsin.
At the same time, CN
consultant and lobbyist Kevin Soucie said rail lines have a future only if
they are profitable. Though he would not say whether they were making
money now, Soucie said some of the lighter-density northern Wisconsin
lines, when CN acquired them, were not viable over the long term.
"The service had to be
adjusted to make them work financially," he said.
That involves a delicate
balancing act: If costs aren't cut enough, or rates aren't high enough,
the railroad loses money. At the same time, service reductions and price
increases can prompt shippers to switch to trucking -- with the reduced
freight volumes further undercutting the line's viability.
That spiral -- leading to
abandonment of lines -- is what some business people fear will happen,
said Jack Sroka, executive director of the Lincoln County Economic
Development Corp.
The Canadian National is
the only railroad across much of the region and is crucial to many
manufacturers, Schillinger said.
"For heavy industrial
users like the paper industry, there is no cost-effective replacement for
rail service," he said. "It's still a very important transportation mode
for our members."
"The biggest problem we
have with the CN is they have a business plan; they don't want to be a
short-line, local district railroad," said Daniel Bruso, manager of the
Oldenburg Group Inc. metal fabrication plant in Rhinelander.
He said CN bought the
Wisconsin Central chiefly for the line between Superior and Chicago.
Acquiring that track plugged a gap in the company's continent-spanning
system and gave it a continuous stretch of CN-owned rail from Canada's
west coast to New Orleans. But CN also picked up hundreds of miles of
shorter lines.
Not so, Soucie said.
"CN is in the railroad
business," he said. "It's in the business of moving freight, and if
someone wants to move freight, as long as it's profitable, CN is
interested in moving it."
But people such as Bruce
Ridley, manager of the Packaging Corp. of America paper mill in Tomahawk,
say CN has balked at offering long-term service commitments. That, Ridley
said, "is disconcerting, to say the least."
The Tomahawk mill employs
480 people turning out "medium" -- the squiggly stuff in the center of a
piece of corrugated cardboard.
The mill ships some of
that to the company's cardboard box plant in Colby, about 120 miles
southwest of Tomahawk, by rail. The mill used to send medium via the CN --
about 20 carloads a month. But in mid-summer, Ridley said, the railroad
raised rates for the company on hauls of less than 500 miles and cut
service to Colby from five days a week to three.
He said the company had
cut back rail shipping elsewhere, too, because of changes by CN. Since
January, Ridley said, the Tomahawk mill has gone from shipping out more
than 650 rail cars a month to about 550.
Bill Johnson, owner of
Johnson Timber Corp., a forest-products company based in Hayward, told a
Wisconsin Assembly committee in August that "CN is continually threatening
to close rail spurs due to lack of volume, or even more disheartening,
hiking prices at these spurs to price themselves out of the marketplace."
Concerns such as Ridley's
and Johnson's have spurred affected businesses to meet informally as a
group and prompted the state Department of Transportation to analyze the
economic effect of rail service in northern Wisconsin.
Return to Newsletter
Front Page
 Federal regulators reject UP
effort to contract out safety inspections to Mexico
Posted on Tuesday, December 21 www.railforum.com
WASHINGTON -- The
following statement was issued by Edward Wytkind, President of the
AFL-CIO's Transportation Trades Department, in response to the U.S.
Department of Transportation's denial of a waiver request, before the
Federal Railroad Administration, by Union Pacific Railroad to allow
safety inspections of its U.S.-bound trains to be performed by private
contractors in Mexico:
"We are pleased that the
Department of Transportation has rejected Union Pacific's (UP) ill-advised
and unsafe proposal to outsource its cross-border train inspection
responsibilities to Mexico.
"We urged the parent
agency, the Department of Transportation, to intervene in this matter with
the Federal Railroad Administration with the sincere hope that our safety
concerns surrounding the UP petition would receive a fair hearing. We are
pleased that the DOT agreed with our view that UP's foreign train
inspection scheme posed far too many safety risks to be ignored.
"Dangerous corporate
maneuvers designed to boost profits at the expense of safety should be
rejected whenever they are brought before federal regulators. We will
remain active in future proceedings for we have probably not seen the last
of these dangerous, self-serving proposals."
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In
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