May 2006         

H O M E          L A T E   B R E A K I N G   N E W S            P A S T   N E W S L E T T E R S

M . E .   D E Y    N E W S    &    E V E N T S

Please come visit us on May 9, 2006 at the
42nd Annual Wisconsin International Trade Conference
Italian Community Center, Milwaukee

The Wisconsin International Trade Conference is the largest gathering of international trade professionals in the state.
China, the Middle East and North Africa, NAFTA, Brazil, Russia, and India will be highlighted.  The Governor's Export Achievement Awards and the SBA Exporter of the Year Award will be presented during the day.

For more information and to register visit the MWTA or the MMAC

http://www.mwta.com/Events/WITrade2006.pdf

http://mmac.org/display/router.asp?docid=757


21st Annual Small Business Awards Presentation Breakfast, May 19th

http://www.sba.gov/idc/groups/public/documents/wi_milwaukee/wi_awardbreakfast.pdf

Small Business Exporter  Robert Gardenier • M E Dey & Co., Inc. • Milwaukee


Now in our 99th year of business, M. E. Dey & Co. continues to expand our office space and staff to maintain the great service that we're known for around the world.

We've just completed our latest office expansions as well as additions and upgrades to the state of the art services we offer.

Call us or stop by to find out more  800-635-5537


ANTIDUMPING AND COUNTERVAILING DUTY ORDERS IN PLACE AS OF FEBRUARY 16, 2006, BY COUNTRY

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T R A N S P O R T A T I O N


Panama set for US$5.25BN canal expansion

(Source: Maritime Global Net)  April 25, 2006

PANAMA Canal Authority (ACP) has announced that, as expected, it is recommending the building of a new lane along the Panama Canal that will double capacity at an estimated cost of US$5.25bn. The ACP says the expansion "will be paid entirely by users of the Canal through a graduated toll system".

The recommendation was formally put to the Panamanian government in a set-piece ceremony yesterday. ACP chairman Ricaurte Vasquez submitted the proposal to President Martin Torrijos at a Town Hall meeting in Panama City.

Dr Vasquez said: "Today is an historic moment for the Panamanian people and the global shipping and maritime industry. After several years of analyzing and reviewing hundreds of studies and projections, we are recommending the expansion of the Panama Canal. Our vision is clear - this project will be for the benefit of the people of Panama and world trade. Panama's geographic location is its destiny - we aim to be at the centre of global trade and become a great maritime hub. The time is right and the time is now."


eyefortransport    (4/26/2006)

Three new shipping services launched by CKYH, OOCL and Senator Lines

The CKYH Alliance plans to launch a new Asia-US East Coast service in July, OOCL will start a new Gulf-India-Straits service next month, and Senator Lines’ new Asia-Mediterranean service will begin next week.

The CKYH Alliance (COSCON, K-Line, Yang Ming Line, and Hanjin Shipping) will deploy a total of eight Panamax 4,000 TEU containerships (two each) to jointly operate the new AWE (All Water Express)-5 service on the Asia-US East Coast trade.

This is the fifth CKYH loop between Asia and US East Coast ports. CKYH will start to offer direct calls in Houston and Miami from Asia. The service will also provide one of the shortest transit times (22 days) from Shanghai to Savannah in the industry.

The CKYH Alliance plans to launch the service by deploying KYH vessels first from the beginning of July. COSCON will phase in its vessels from Q4.

The AWE-5 port rotation will be: Hong Kong > Yantian > Shanghai > Ningbo > Savannah > Miami > Houston > Hong Kong.

Orient Overseas Container Line (OOCL), in co-operation with Simatech Shipping, will launch a new weekly service linking the Middle East to India, Pakistan and Singapore / Malaysia, called the Gulf-India-Straits Service (GIS).

Commencing on May 10, 2006, the new GIS service will be served with four 1,000 TEU containerships, with a port rotation of Singapore > Pasir Gudang > Port Kelang > Nhava Sheva > Karachi > Jebel Ali > Bandar Abbas > Jebel Ali > Mundra > Cochin > Singapore, for a 28-day roundtrip.

Senator Lines, in collaboration with K-Line and Yang Ming, will expand its seventeen regular services to include a further link with Asia, with its new Asia-Mediterranean Express (NMX), starting at the beginning of May.

The first westbound sailing will be the San Pedro Bridge from Shanghai on May 1st; the first eastbound sailing will be the YM Hiroshima from Genoa on May 4th.

A total of seven 3,500 TEU container ships will run weekly departures to link the industrial centres of Asia and the Mediterranean on the following rotation: Genoa > Fos > Valencia > Port Said > Singapore > Hong Kong > Shanghai > Ningbo > Xiamen > Kaohsiung > Yantian > Singapore > Jeddah > Port Said > Genoa.

Senator Lines plans to extend its north-south services this year, and to expand its operations in the Middle East.

 

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E X P O R T


Wisconsin Exports Soar Above National Average

http://commerce.wi.gov/newsletter/2006/april/exports.html

 

Wisconsin exporters set a record in 2005 by shipping nearly $15 billion worth of products to other countries. State exports grew by 17.45 percent over the previous year and totaled $14,923,486,505. Wisconsin's growth rate exceeded that of the country as a whole by nearly 7 percent. Total U.S. exports grew by 10.57 percent and amounted to $904,379,818,171. Only ten states posted larger total dollar value increases in their exports than Wisconsin.

Of Wisconsin's top 20 export destinations, 16 posted double digit growth rates. Likewise, of the top 20 product categories, 16 also experienced double digit growth. Almost half of Wisconsin's exports stay within North America, however, state firms are able to compete successfully in many parts of the world. Wisconsin is a major producer of capital goods that are in demand around the world as manufacturers in other countries seek to upgrade their facilities and increase their productivity.

Canada continues to be the #1 international destination for Wisconsin products. Our northern neighbors purchased $5,237,727,730 worth of state products, up 7.85 percent over the previous year. Among the 50 states, Wisconsin ranks 10th in exports to Canada. Industrial machinery accounts for nearly 40 percent of Wisconsin exports to Canada. More machinery is shipped to Canada than total exports to Mexico, the state's #2 export destination.

Exports to Mexico grew by 25.24 percent and totaled $1,333,042,573. Electrical machinery grew by 68.17 percent and accounts for 27.5 percent of those shipments. The category continues to be dominated by miscellaneous battery components. Industrial machinery grew by 16.7 percent and accounts for 18.57 percent of the total. Exports of paper were down 9.85 percent while vehicles were up 22.51 percent.

Japan posted an 11.42 percent increase in purchases from Wisconsin, reversing a 23.5 percent decline in 2004. Scientific and medical instruments account for 38.97 percent of Wisconsin exports there and grew by 5.03 percent. Exports of industrial machinery grew by 18.23 percent and electrical machinery by 43.81 percent.

Wisconsin's exports to China grew by 15.51 percent. Industrial machinery exports there grew by 11.49 percent. Over a third of this category is comprised of parts for construction equipment, office machines, and engines. The #2 category of Wisconsin exports to China is medical and scientific instruments. Wisconsin is the #2 state for exports of both X-ray equipment and non-electrical surgical and medical devices.

If the 25 countries of the European Union were counted as a single export destination, they would rank #2 for Wisconsin shipments. Exports to the EU grew by 24.08 percent and totaled $3,180,755,977. Ranked individually, the United Kingdom is #5, up 24.27 percent. Germany is #6, up 19.32 percent. France is #8, up 13.73 percent. Belgium is #9, up 13.55 percent. Wisconsin exports to the EU are dominated by industrial and electrical machinery and scientific and medical instruments. Vehicle exports, the #4 category grew by 67.67 percent and cereals, the #5 category, grew by 75.34 percent.

Excel spreadsheets showing Wisconsin exports from 1996-2005 by product categories and by destinations are available on-line at the Department of Commerce website.

-- Stanley Pfrang


Railroads on track to revival

Freight boom benefits Chicago; tie-ups show infrastructure needs

By Greg Burns     Tribune senior correspondent     March 27, 2006

 

As a 1 1/2-mile-long freight train rumbled past a towering stack of green containers marked "China Shipping" last week, Neil Doyle, aboard his CenterPoint Properties helicopter, swooped in for a closer look.

"That line right there is L.A. to Chicago," he told a pair of Wal-Mart executives riding with him just above one of the world's busier train yards in far southwest suburban Elwood.

After generations of job cuts, consolidation and retrenchment, an old industry is growing anew. Railroads have become hot properties, hauling not only the familiar cargo of coal, grain and domestic products but also the mountain of goods pouring into California ports from Asian factories.

Huge investments in tracks, locomotives, electronic switches and sprawling facilities such as the Elwood hub at the former Joliet Arsenal suddenly make good sense as demand surges and railroad stocks soar.

Chicago stands to reap benefits. Railroads practically created the city in its early days, and it remains the point where East meets West and all six major freight lines come together before heading off again.

An estimated one-third of U.S rail cargo, from corn to clothing, flows through the tangle of track that covers the map of Chicago and its collar counties like spaghetti--creating notorious traffic jams along the way. Trains that take two days to arrive from California might take another two to go a few miles through the Chicago bottleneck.

The industry's boom underscores the need for better infrastructure, but it also raises questions about how much taxpayers should chip in. An ambitious public-private plan that targets the worst of Chicago's train-track entanglements got only a fraction of the federal funding its boosters expected in last year's pork-laden transportation bill.

While the project would help the public by shortening commuting times, improving safety at intersections and reducing exhaust emissions, the $1.5 billion cost presents a big barrier.

"Railroads are the primary economic beneficiaries," said John Gates, retired co-chairman of CenterPoint, which is developing the Joliet Arsenal site. "It's a difficult project for the public sector."

For years, the railroads have threatened to divert traffic from the area to avoid its congestion, but those threats ring hollow in the face of recent investments confirming Chicago's status as the centerpiece of the nation's rail system.

In a matter of months, CSX Corp. is expected to announce plans for another big hub in southern Cook County, industry sources say. That's on top of Union Pacific's giant new hub in Rochelle, Ill., and less-conspicuous local projects undertaken by other lines as well.

At the Joliet Arsenal site run by BNSF Railway Co., which includes the old Burlington Northern and Santa Fe lines, expansion continues on a vast scale.

Last week, Commerce Secretary Carlos Gutierrez toured the facility, telling a hometown crowd, "You've got a great advantage." He also voiced confidence in the economy despite the loss of manufacturing jobs in the face of overseas competition.

"This is the future," said Gutierrez, former chief executive of cereal-maker Kellogg Co. "It's all about trading with the rest of the world. This is the best example I can think of."

Construction expands facility

Outside the warehouse where he spoke, construction hummed at a 3.4 million-square-foot Wal-Mart distribution center slated to open this summer. At the rail yard surrounding it, BNSF expects to handle 800,000 containers this year, up from 275,000 in 2004. It might do a million next year, said John Clement Jr., the railroad's senior manager of hub operations.

"We are ahead of the growth," he said. "We know what's coming. We're going to spend the money so we can be there for ourselves and our customers."

The Association of American Railroads expects that this year the major freight lines will invest a record $8.2 billion in new track, buying equipment and improving infrastructure, up more than 20 percent from a strong 2005.

It's a historic shift after many decades when railroads couldn't make enough money to cover their cost of borrowing it, which discouraged capital spending in one of the more capital-intensive businesses.

"My railroad for the first time in maybe half a century will earn its cost of capital," noted Chicagoan Robert Krebs, retired chief executive of BNSF. "It's a vibrant company now."

Though some believe the current railroad boom represents the peak of an economic cycle, others see a longer-term change. After 90 years, the railroads finally have run out of excess capacity. That in turn has restored their ability to raise rates, according to James Valentine, a research analyst for Wall Street giant Morgan Stanley.

"These positive trends in pricing and better returns are likely to continue for years, maybe decades," Valentine said.

Because "all roads lead to Chicago," he added, the region will get a generous slice. "It should receive a disproportionate benefit from the railroads' resurgence."

To a degree, the industry owes today's recovery to a drastic deregulation plan implemented a quarter-century ago.

The 1980 Staggers Rail Act came in the midst of severe financial troubles for the industry.

The government had prevented railroads from setting their rates, closing unprofitable tracks and consolidating networks. Service was terrible, and long-haul truckers gained market share.

Deregulation went hand-in-hand with additional consolidation. Major freight lines once numbering in the dozens combined into the mere half-dozen left today. Employment plunged from 458,000 when Congress approved Staggers to 165,000 as of 2005.

That difficult period left scars, including strained relations with workers and ultracautious management.

Over time, the railroads have increased efficiency by adopting so-called intermodal systems, which enable freight to move from point of origin to distribution destination without being removed from a trailer or giant container. It is more reliable and cheaper than transport over long stretches of highway.

Demand for the coal used to fuel power plants grew as well, and grain shipments remained a steady and important source of railroad profits.

The promise of continued growth makes straightening out Chicago's rail network all the more urgent. But the region's $1.5 billion public-private plan lost its political champion with the retirement in January 2005 of Rep. William Lipinski, a Chicago Democrat known for his transit clout. Just recently the plan suffered another blow when Canadian National Railway Co. withdrew from it.

Because none of the plan's initial construction projects would benefit its line, CN could not justify putting up money for it, a spokesman said. It might rejoin later, he added.

Indeed, the plan is far from dead. The $100 million in federal funding it managed to obtain, coupled with support from the other five railroads, has paid for mapping, surveying and engineering work in anticipation of eventual funding.

Yet it could be stuck in neutral for some time.

Not a priority

"The state has higher priorities, the city has higher priorities, the railroads individually have higher priorities, and it's still needed," said Jim LaBelle, deputy director at Metropolis 2020, a civic group backing the measure.

Meantime, out at the Joliet Arsenal site, BNSF's Clement is doing what he can to keep up with demand. He is adopting electronic systems for speeding the flow of some 2,500 trucks that visit the facility each day, using a software program designed specifically for rail-yard management. Also on the way: global positioning system technology for tracking the thousands of containers piled high on the sweeping expanse of blacktop Clement calls "the parking lot."

The other railroads are on the move too. CSX expects to add 3,500 to its 30,000-plus workforce this year, said spokeswoman Kim Freely. It is increasing capacity by adding 10,000-foot sidings every 15 miles or so on its Chicago-to-Florida run, which will enable slower trains to pull over as needed. Freely confirmed that CSX is looking for a new intermodal site south of the city but declined to elaborate or comment on timing. It has two such sites in the Chicago area.

One emerging threat: Re-regulation. Some coal and chemical shippers, feeling burned as the railroads flex their newfound power to raise freight rates, have started complaining to Congress. It's a struggle that has flared on and off for more than 150 years, and it could flare anew as these old companies continue shifting into a higher gear.

gburns@tribune.com    
Copyright © 2006, Chicago Tribune

 

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S E C U R I T Y


Implementation of a Mandatory Secure Internet Portal

April 21, 2006

U.S. Customs and Border Protection (CBP) Customs-Trade Partnership Against Terrorism (C-TPAT) program announces the upcoming implementation of a new C-TPAT Internet Application and Communications Portal. The C-TPAT Security Link Portal will be a significant advancement in the evolution of the C-TPAT program. It will enhance and improve the processing and communication for all C-TPAT participants and certified C-TPAT members.

The C-TPAT Security Link Internet Portal will be mandatory for all eligible C-TPAT Participants. The Security Link Portal will be available in May 2006. Specific implementation and access information will be provided to all current C-TPAT participants.

Questions and Answers

http://www.cbp.gov/xp/cgov/import/commercial_
enforcement/ctpat/implement_portal/portal_qa.xml


"Non-C-TPAT importers have their shipments stopped by CBP for enforcement examinations six times more often than C-TPAT importers, and four times more often for trade-compliance issues.  That's measurable.  That has a large financial impact on these companies.  It allows them to be more productive with the timeliness issues."

Todd Owen, acting executive director for cargo and security conveyance for CBP


U.S. Customs and Border Protection Explosive Detector Dog
'Rocky' Nominated for Paws to Recognize Tribute

Washington, D.C. —  U.S. Customs and Border Protection (CBP) Acting Commissioner Deborah J. Spero announced that Rocky, a four-year-old chocolate Labrador retriever mix, and CBP Canine Officer Eva Lingenfelter were selected from over 1,100 CBP canine teams to represent CBP in the Paws to Recognize tribute to working dogs.

Rocky is an explosive detector dog at the Port of Los Angeles. Rocky's route to CBP was like many that are part of the force. Unable to keep him, Rocky's owner consulted with the Lake Erie Labrador Retriever Rescue. To the benefit of all Americans, the Rescue recommended Rocky for the life of a Customs and Border Protection detector dog.

"Rocky follows in the footsteps, or maybe I should say 'paws prints' of some very prestigious CBP canine teams," Spero said. "The CBP dogs are great assets in our arsenal against drugs, smuggled illegal aliens, and all other illegal and prohibited items."

The three previous CBP candidates, Jacko, Trouble, and Crazy Joe, were all voted 'Top Dog' winners. "All of the dogs nominated in this competition are impressive and deserving of this award for the service they do; however, Rocky has a very explosive personality and should do well in the competition," Lingenfelter said.

After graduating from a 15-week course at the Canine Enforcement Training Center, in Front Royal, Va., in December 2003, the team headed to their duty station in California. Rocky works now searching for explosives in a variety of environments such as cargo, luggage, buildings, passengers, trains, aircraft, and land and sea containers. On an average day, Rocky screens thousands of international passengers, as well as thousands of pieces of checked and hand-carried luggage and cargo.

The Paws to Recognize program showcases the valuable contributions that thousands of professionally trained service dogs make in our daily lives. The winner of the competition will be announced in a "top dog" awards ceremony at their hometown in September.

There are more CBP canine enforcement detector dog teams working to keep our country safe than any other law enforcement agency. At a time when homeland security is a major national and international concern, CBP's elite and highly trained canines are in the forefront of protecting our country.  CBP detector dogs receive specialized training to detect and alert to odors, such as humans, narcotics, chemicals, explosives, currency, or agricultural items.

At U.S. borders and checkpoints, CBP canines can screen a vehicle in seconds and do a thorough exam in minutes. Even a cursory search by a CBP Officer would require at least 20 minutes. These dogs are also able to check packages in a fraction of the time needed by mail examiners – saving time, money, and people. CBP canine officers and Border Patrol agents use these dogs to combat terrorist threats at our nation's borders, interior checkpoints, land ports, seaports, international airports, and international mail facilities, as well as to interdict illegal immigrants and contraband.

For more information on the U.S. Customs and Border Protection Canine Enforcement Program, visit our Web site at www.cbp.gov. Choose "border security" located at the top and then choose "canines" in the left column.


U.S. Customs and Border Protection (CBP) is the unified border agency within the Department of Homeland Security charged with the management, control, and protection of our Nation's borders at and between the official ports of entry. CBP is charged with keeping terrorists and terrorist weapons out of the country while enforcing hundreds of U.S. laws.

Photographs are available on the CBP web site at www.cbp.gov 

Please visit the following web site to vote for your favorite CBP Canine - http://www.pedigree.com/PTR/2006/bio_rocky.asp

 

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W E B S I T E S      H O L I D A Y S      E V E N T S


Thailand

May 01  National Labour Day     May 05  Coronation Day
May 12  Substitution for Wisakha Bucha Day      May 13  Leo Holiday

China

Offices closed from 1, May to 7, May, and will resume to work on 8, May

Hong Kong

Holiday only on 1, May, and will resume to work on 2, May

1 May 2006   Labour Day     5 May 2006   Buddha’s Birthday     31 May 2006   Tuen Ng Festival

Japan

A National Holiday - most business are closed from the 3rd (Wednesday) through the 7th (Sunday) of May

Normal operations will resume  on the 8th (Monday)


"The Box That Changed The World" Book launched.

April 11, 2006 | THE US-based Containerization & Intermodal Institute has launched a book on containerization with proceeds being used to support intermodal industry educational outreach programmes.

"The Box That Changed the World" an illustrated history book, tells how this simple commercial innovation "has completely transformed world trade".

The book is available for order at www.containerization.org and was released on April 26, 2006, exactly 50 years to the day the first container-carrying vessel, the Ideal X, sailed from Newark, NJ, for Houston, Texas.

 It has more than 170 historic photos- many not seen before and not easily obtained, as many important shipping industry archives were lost in the World Trade Center in September 2001.

Order here   (Maritime Global Net) https://www.cbizmedia.com/promo/subscribe.cfm?code=9806A0F37E8417556BF67CFA1475BA12


ACE Monthly Newsletter (March 2006)

http://www.customs.ustreas.gov/linkhandler/cgov/toolbox/about/modernization/news_0306.ctt/news_0306.pdf

ACE Monthly Newsletter for March 2006 gives up to date information on e-manifest status at the various ports throughout the United States.

 

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Gas Map - A map of gas prices across the United States

Now you can see what gas prices are around the country at a glance. Areas are color coded according to their price for the average price for regular unleaded gasoline.

TIP: Right click on the map for more information about each county (parrish/borough) or zip.

http://gasbuddy.com/gb_gastemperaturemap.aspx


Business Development Trip to Mexico

Is your company benefiting from three years of double-digit export growth to Mexico? Wisconsin exports last year were up 25 percent, on top of 35 percent and 10 percent growth in 2004 and 2003 respectively. If you would like to expand your sales in Mexico, consider joining us for a Business Development Trip to Mexico City and Guadalajara, capital of Wisconsin Sister-State of Jalisco, in autumn 2006. Wisconsin's trade office in Mexico City will arrange business appointments for you with pre-qualified prospective representatives, distributors or clients. You will have the opportunity to travel with other local exporters, sharing expertise, and learning best practices. Companies in the hardware or restaurant/hotel equipment sectors can also plan to visit the Expo Ferretera or Abastur show during the Mission.

For more information about this Business Development Trip please contact Susan Dragotta, ph: (262) 691-5147, susan.dragotta@wisconsin.gov.


May 19-27, 2006   Australia Trade Mission   Sydney and Melbourne

Whether you already are in Australia or are considering expanding your business into this important market, this regional trade initiative can help you achieve your objectives. This Mission is sponsored by the Council of Great Lakes Governors (CGLG). Member State’s include: Illinois, Indiana, Michigan, Minnesota, New York, Ohio, Pennsylvania and Wisconsin. The Council‘s mission is to encourage and facilitate environmentally responsible economic growth.  Toward this end, the Council and its member States assist small and medium-sized companies enter new markets and expand exports. The Council maintains trade offices in seven foreign markets including Sydney, Australia. Click here for more information.

http://www.commerce.state.wi.us/IE/IE-CGLGAustraliaMisssion.html

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