The White House, in a blog post that noted some wins for easing port congestion, said Congress should provide the Federal Maritime Commission with "an updated toolbox to protect exporters, importers, and consumers from unfair practices." It said that the Ocean Shipping Reform Act, a bipartisan bill introduced in the House in August (see 2108100011), "includes good first steps towards the type of longer-term reform to shipping laws that would strengthen America’s global competitiveness."
China dwelled on trade more than the U.S. did in the countries' respective summaries of the more than three-hour call between their presidents. But one think-tank author said China would like the tariffs to go away, "but will not pay too much to make it happen."
The Biden administration will allow increased flexibility for existing port grants and support new pop-up container yards for the Port of Savannah as part of a new Biden-Harris Action Plan for America’s Ports and Waterways announced in a fact sheet Nov. 9. The plan “will mobilize federal agencies and lay the foundation for successful implementation of the historic Bipartisan Infrastructure Deal,” which includes $17 billion in funding to improve supply chain infrastructure, the White House said.
The Commerce and State departments will jointly oversee an “early alert system” to better manage potential semiconductor supply chain disruptions “linked to public health developments in key trading partners,” the White House said Sept. 23. The alert system, announced after the administration met with semiconductor industry representatives to discuss supply chain issues, will allow the government to better anticipate and detect supply chain issues and increase engagement with foreign governments and industry, the White House said.
John Porcari, a Transportation Department deputy secretary and chief operating officer during the Obama administration, has been named port envoy to the Biden administration's Supply Chain Disruptions Task Force. Porcari, who was Maryland's transportation secretary and chairman of the Maryland Port Commission before joining the federal government, has been working in the private sector in recent years, including leading the U.S. division of an Israeli company that sells artificial intelligence solutions for traffic congestion.
Vice President Kamala Harris, in a speech in Singapore, said that Singapore's government is beginning a dialogue "on how our two countries can better work together to strengthen supply chain resiliency in this region." Harris said that the pandemic revealed the vulnerability of supply chains for protective gear and for semiconductor chips. "You just ask anybody who's thinking about trying to buy a new car or a used car, and it is more difficult than it has been in a long time because, of course, supply chain issues impact production lines and impact goods getting to market," she said. "I will be meeting with key business leaders here in Singapore to discuss what more we can do together in this region of the world, with private and public sectors, including our own in the United States, to shore up supply lines and supply chains."
President Joe Biden signed an executive order July 9 that calls for the Federal Maritime Commission to "consider further rulemaking to improve detention and demurrage practices and enforcement of related Shipping Act prohibitions." The FMC should also "vigorously enforce the prohibition of unjust and unreasonable practices in the context of detention and demurrage" and request recommendations on the subject from the National Shipper Advisory Committee. The EO also suggests that the U.S. Department of Agriculture "consider initiating a rulemaking to define the conditions under which the labeling of meat products can bear voluntary statements indicating that the product is of United States origin, such as 'Product of USA.'” The EO addresses a wide range of issues meant to improve and promote competition in the U.S. economy, the White House said in a fact sheet.
President Joe Biden plans to issue a wide-ranging executive order this week that will address anti-competitive practices, including those affecting traders in the ocean and rail shipping industries, The Wall Street Journal reported July 8. Although White House Press Secretary Jen Psaki said the order will address broad wage and labor issues, it will also call on the Federal Maritime Commission to help traders overcome challenges that have impeded the flow of goods for months, the report said.
The Wall Street Journal reported July 1 that the 20 largest economies in the world, including India, one of the countries that has proposed a digital services tax, have agreed to the U.S. proposal that all companies would pay at least 15% corporate income taxes in every country where they operate. The Biden administration hopes that this agreement will be paired with an agreement to roll back DSTs, which Americans say are discriminatory toward large American companies. The Office of the U.S. Trade Representative has identified hundreds of products that could face U.S. tariffs if a DST solution is not found. The top Republican on the House tax-writing committee, Ways and Means, expressed dismay at the news. Kevin Brady, R-Texas, issued a statement that said this is a “global minimum tax structure that favors foreign-headquartered companies and workers over American ones. This is a dangerous economic surrender that sends U.S. jobs overseas, undermines our economy, and strips away our U.S. tax base. “Further, any agreement at the [Organization for Economic Cooperation and Development] must result in immediate repeal of all existing digital taxes and prevent any new digital taxes by the EU or others.”
The White House is nominating Max Vekich to serve on the Federal Maritime Commission.