The State Department has adopted a policy of "denial with certain exceptions" regarding arms exports for the security firm EP Investments, LLC or EPI, (a/k/a Blackwater). While the Department recognizes Blackwater's recent creation of its Export Compliance Committee and will work with them allowing certain exceptions to be made, the "presumption of denial" is necessary to provide the U.S. Government with assurance that EPI is both capable and willing to comply with the AECA (Arms Export Control Act) and ITAR (International Traffic in Arms Regulations) and will do so.

Given Blackwater's sometimes high profile activities around the world, this new policy seems geared toward making certain the company operates within the applicable laws. The policy does state exports may still take place under certain conditions with approval on a case by case basis as long as specific procedures are followed which are carefully outlined.

Link: Source
Link: Blackwater Export Compliance Committee

Clean diesel Kenworth trucks for Ports of LA and Long BeachThe Ports of Los Angeles and Long Beach are instituting a Clean Trucks Program to improve the port environment. JCPenny and Pacer have begun taking steps to comply with the program with delivery of clean diesel Kenworth tractors to replace older trucks in their fleets. If you operate trucks around these terminals, you need to be aware of the details of the program and begin your transition as older trucks will over time be progressively banned from entering the port area.

Press release follows:

J. C. Penney Company, Inc. and PDS Trucking, Inc., a subsidiary of Pacer Distribution Services, Inc., have taken a major step toward achieving their goal to convert 100 percent of the truck fleet handling JCPenney imports at the ports of Los Angeles and Long Beach to low-emissions, clean-diesel technology. The companies announced today the delivery of more than 20 new Kenworth T-800 tractors that will replace aging diesel trucks currently in use by independent owner-operators in Pacer’s port network.

“We’re committed to clearing the air around the ports by putting clean trucks on the road as quickly as we can,” said Marie Lacertosa, senior vice president and director of logistics for JCPenney. “This fleet conversion demonstrates that the private sector is capable of implementing sustainable, long-term solutions to port environmental issues that also preserve jobs and maintain the efficient flow of goods.”

Kent Prokop, president of PDS Trucking, added: “We are very pleased to be supporting our customer JCPenney and the Coalition for Responsible Transportation (CRT) in their efforts to reduce emissions by adding clean trucks to our owner-operator fleet. Pacer will be taking delivery of up to 230 of these trucks by early 2009.”

As members of CRT, JCPenney and Pacer have committed to sponsoring the fleet conversion to support the Los Angeles and Long Beach ports’ 2012 air quality goals. The companies expect the fleet hauling JCPenney merchandise to meet the ports’ emissions goals by early 2009, well ahead of the ports’ deadlines, while also helping to preserve the livelihoods of independent owner-operators in the port trucking community.

The voluntary truck replacement program is based on a leasing model providing owner-operators with new, clean trucks through a private-sector financial arrangement. The financing model represents an innovative and cost-effective way for the private sector to meet recently adopted goals for the retirement of pre-2007 diesel trucks at the Ports of LA and Long Beach.

Independent owner-operators will begin using the trucks in early December to move containers of JCPenney merchandise out of the ports, where a substantial portion of the retailer’s apparel, home furnishings, footwear and accessories arrive from the Asia-Pacific region. The new T-800 trucks, with a 38-inch Aero sleeper, are powered by a Cummins ISX clean-diesel engine capable of operating on ultra-low-sulfur diesel fuel or B20 biodiesel. Each clean-diesel truck with the Cummins ISX engine reduces nitrogen oxide emissions by 78 percent and particulate matter emissions by 90 percent compared with a typical truck it replaces.

Maersk ShippingThe recent dramatic rise in piracy in many locations around the world has prompted Maersk to re-route part of its fleet to avoid the Gulf of Aden, a particular hot spot, and seek alternative routing south of the Cape of Good Hope and east of Madagascar. This will primarily affect their tanker operations, though one would expect all shipping routes to be examined for potential risk.

In order to continuously ensure the safety of our crews as well as vessels and cargo, A.P. Moller - Maersk has updated the policy for vessels entering the Gulf of Aden and off the coast of East Africa. The update is a consequence of the recent development in piracy hijackings in the area.

Vessels without adequate speed or freeboard will for the time being avoid the Gulf of Aden and seek alternative routing south of the Cape of Good Hope and east of Madagascar. However, based upon availability of escorts these vessels may join naval convoy transit in the Gulf of Aden.

“The policy change will primarily impact our tanker vessels. Only three container vessels will be affected and we expect to further limit the impact by redeployment.

In general and for vessels entering the Gulf of Aden, we have safety and security procedures in place. We continue to monitor the situation and regularly update our procedures and policies.

We believe that piracy in the Gulf of Aden is a threat to important international trade lanes and therefore an international security issue. It must be addressed by relevant authorities and the international community. It is not a problem that A.P. Moller - Maersk or the shipping industry can solve alone”, says Søren Skou, partner and member of the Executive Board in A.P. Moller - Maersk.

This is probably not the last we'll see of shipping companies adapting to the pirate's activities.

Link: Maersk

Transportation Workers ID Credential Problems

by Paul - Export Logistics Guide

in Logistics

TWIC technical problems slowing implementationThe Transportation Workers Identification Credential program is running into technical problems. According to a report from the National Maritime Security Advisory Committee's TWIC Working Group, the biometric ID card is plagued with slow delivery time, inability of scanners to record fingerprints, incorrect information on the card, darkened photos, expiration date errors, and security features failing to print.

Applicants report waiting for hours at enrollment centers and they are often required to make multiple visits. The TWIC website has had maintenance issues, navigation issues, password problems and incorrect information.

Port workers initially were supposed to begin using their cards for entry to secure port facilities by September, but the deadline was pushed back to April 2009 for much of the country.

Link: Federal Computer Week
Link: TWIC Program

The Alliance of Automobile Manufacturers and the Association of International Automobile Manufacturers joined 40 other trade associations in efforts to stop the implementation of the "10+2" rule. The rule requires the collection of 10 new categories of data 24 hours before cargo is loaded on U.S. bound ships in foreign countries, also required will be location information once on board and any movement of those containers during shipment.

The primary issue raised by automakers is how it would interfere with "just in time" parts shipments, potentially adding days to the process. Besides the delay and additional cost of providing the large amount of data, they argue it would do little to enhance security.

The government estimates the rules would apply to 11 million cargo containers shipped by 1,200 carrier companies that make 50,000 trips annually. ...

The automakers say the proposal would require "the submission (and resubmission) of hundreds of millions of data elements at a tremendous cost to the government and trade community without offsetting benefits to security," the joint letter said. The reality, the letter says, is "that millions of containers enter the United States annually without causing any harm, but it would result in assigning excessive resources to low-risk threats at the expense of high-risk ones."

Though the rule has been in the works for nearly 6 years, the U.S. Customs and Border Protection Bureau wants a final regulation by November.

Link: Detroit News

Port of Los Angeles Clean Trucks Program

If your company has trucks operating at the Port of Los Angeles you need to be aware of the Clean Trucks program which progressively bans older trucks from operating at the port. To assist truckers in their transition to the new rules, which start October 1, 2008, the port is now offering financial assistance to upgrade older trucks, subsidies of as much as 80 percent are available.

The rules will take effect in stages, the first step on October 1st, bans 1988 and older trucks, the rules will be fully implemented for all trucks on January 1, 2012.

Press release with full details follows: [click to continue…]

If you have questions about high technology trade between the U.S. and Israel, The U.S.- Israel High Technology Forum (HTF) to be held in Arlington, VA on September 9, 2008 is an opportunity to find the answers. The aim of the event is to facilitate and enhance secure high technology trade and investment between the two countries. It also provides a forum for the U.S. and Israeli private sectors to discuss the opportunities and challenges related to high technology trade, development, and investment.

To register, visit NDIA’s website, www.ndia.org.

Container cranes collapse in Jacksonville

A fast moving storm caused 2 container cranes to collapse on Blount Island, Jacksonville, Florida. No one was hurt when the 200 foot tall $6 million cranes fell to the ground. The exact cause of the structural failure has yet to be determined. Port operations have resumed in all other areas.