The U.S. State Department told Federal Maritime Commissioner Will Doyle that China is preparing a "circular to address the issues in the transportation and logistics sector" in response to the application of Chinese Value Added Taxes (VAT) to freight charges, he said in a press release. "According to the State Department, any guidance and clarification provided with respect to the VAT circular would have a retroactive application to August 1, 2013," he said. Freight charges recently said to be subject to a new 6 percent tax after the expansion of China VAT raised red flags at the FMC and among shipping companies (see 13080111).

The Federal Maritime Commission will interview applicants for the position of Inspector General on Dec. 10 during a closed meeting, the agency said.

The Federal Maritime Commission voted to request further information on the proposed P3 Network Vessel Sharing Agreement, it said. A coming Federal Register notice will announce a 15-day public comment period and mention the FMC's request for additional information, though the "request itself is not available to the public," said the FMC. The "request for additional information delays the effectiveness of the proposed agreement," it said. "After the parties have submitted the requested information and documents, a new 45-day regulatory review period will begin." The agency recently announced a regulatory summit to discuss the issue (see 13120311). The proposed alliance would align the three largest container carriers: Maersk Line, CMA-CGM, and Mediterranean Shipping Company.

The Federal Maritime Commission scheduled a meeting at 10 a.m. Dec. 11 at its First Floor Hearing Room in Washington, D.C. Agenda items include: (1) Briefing on U.S. - China Bilateral Maritime Agreement Annual Consultation; (2) Update on Economic and Liner Trade Conditions; and (3) Staff Recommendation on Show Cause Order Concerning an Ocean Transportation License Revocation.

There was a small improvement in air freight growth in October, compared to October 2012, according to International Air Transport Association figures. It said global freight ton kilometers (FTK) grew 4% over the year ago period, with growth in all regions except Africa. It attributed the improvement, which began in the third quarter, to better economic confidence and improved consumer demand.

The Federal Maritime Commission released a notice of the filing of the following agreements under the Shipping Act of 1984. Interested parties may submit comments on the agreement to the Secretary, Federal Maritime Commission, Washington, DC 20573, within 10 days.

Members of the G6 Alliance said they will expand their cooperation to the Asia-North America West Coast and Trans-Atlantic trade lanes, in a press release. It said the agreement means that on the Asia-North America West Coast trade, each G6 Alliance member will be able to offer almost twice as many sailings as are currently offered separately by the New World Alliance and the Grand Alliance. The G6 Alliance plans to deploy about 76 ships across 12 services connecting 27 Asian and North America West Coast ports, it said, and about another 42 ships will be deployed across five services in the Trans-Atlantic trade lane. The new services are scheduled to begin in the second quarter of 2014, pending regulatory approval.

The Federal Maritime Commission plans a global regulatory summit Dec. 17 to discuss global regulatory issues such as carrier alliances, vessel sharing agreements and the impact of those agreements on international trade, it said. The FMC said it expects attendees to include international regulators from China and the European Union.

International Civil Aviation Organization members should use standard international codes for screening technologies and protocols, and develop global standards and guidance referencing currently utilized screening requirements such as explosive trace detection and the use of canines, as well as protocols, said the Global Air Cargo Advisory Group in a new position paper.

The global Transportation Safety and Transportation Security Market is expected to grow from $37.8 billion in 2013 to $62.96 billion in 2018, according to a MarketsandMarkets forecast. The North American market is expected to be the biggest, according to the report. The major drivers of growth of the market are the constant need of public safety, massive infrastructural development, higher return on investment (ROI) from enhanced security, and business continuity, it said.