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February 2016

News and Views for the clients of Universal Logistics

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U.S. office authorized to handle interstate commerce
by motor carriers in the United States

Truck crossing bridge

Our ongoing effort to offer complete logistics services through our U.S. office in Buffalo took an important step forward with the attainment of an FMCSA Truck Broker License. This means our U.S staff can now handle domestic truck shipments to or from any point in the USA.

Having operated as a U.S. customs broker since 2009, last year we received an FMC License, which authorized us to operate as a licensed Ocean Freight Forwarder and a Non-Vessel Operating Common Carrier (NVOCC) in the U.S..

Contact Lisa Fertita, General Manager – Freight Services by email or phone (716-882-4100, ext. 1002) to learn more about the many client benefits we can offer though our office in Buffalo, a key international trade and logistics gateway within 500 miles of 40% of the continental North American population.

West Coast Port update

In November 2015, the GCT Deltaport Intermodal Yard Reconfiguration Project commenced at Vancouver’s Deltaport container terminal. This project is expected to be approximately twenty months in duration and will result in much improved handling efficiencies at the terminal.

Rail handling capacity is expected to increase by 50%, coupled with intermodal capacity increasing by 600,000 TEUs to 2.4 million TEUs per year. The project will focus on rail track reconfiguration and the replacement of terminal cranes used to offload vessels. During the construction phase delays are to be expected, as container dwell times will be affected as well as creating challenges with railcar switching.

Port Metro Vancouver

Port Metro Vancouver is also planning a $320 million expansion ofits Centerm container terminal, increasing capacity by 66 per cent – from 900,000 TEUs to 1.5 million TEUs, with a target completion date of 2019.

Another project in Prince Rupert, BC will increase capacity by 500,000 TEUs by 2018, ahead of a larger expansion planned for the early 2020s.

For more information, contact David Lychek, Manager – Ocean & Air Services.

Canada normalizes trade with Iran

Canada has agreed to end economic sanctions against and normalize relations with the Islamic Republic of Iran after Tehran agreed by treaty to curb its nuclear program.

Canada has also announced that it will reopen its embassy in Tehran, which will support potential trade as well as support Canadians who visit Iran and ensure we have a dialogue with Iran.

Declarations for US-bound air shipments reinstated

Airplane landing

Effective January 29, 2016, all air shipments destined to the United States must be tendered with a written declaration stating that the shipper has reviewed all available documentation. The shipper must also determine that none of the cargo being offered in the consignment or consolidation has originated in, transferred from, or transited through any point in Somalia, Syria, Yemen or Egypt. Here is the exact wording:

  • "Name of entity" has reviewed all available documentation and has determined that none of the cargo being offered in this consignment or consolidation has originated in, transferred from, or transited through any point in Somalia, Syria, Yemen or Egypt."

For more information, contact Debbie McGuire, Manager – Freight Solutions

Merger leads to creation of new Chinese shipping giant

Container ship

Two major Chinese shipping companies, China Ocean Shipping (Group) Company (Cosco) and China Shipping Container Lines Co., Ltd. (CSCL), are merging to form what will be one of the world’s top shipping giants.

Operating under the name China Cosco Shipping Corp., the merger will create the world’s fourth-largest container line, after CMA CGM (No. 3), Mediterranean Shipping Co. (No. 2), and Maersk Line as the largest.

For more information, contact David Lychek, Manager – Ocean & Air Services.

Canada locked into Trans-Pacific Partnership (TPP)

The Trans-Pacific Partnership deal will go ahead if it is approved by the United States, Japan and four other countries. Canada does not have a veto or the right to renegotiate the terms. There is some opposition to the deal in the United States, where leading presidential candidates have questioned whether the deal is beneficial.

For more information, contact Brian Rowe, General Manager – Customs Consulting Services.

Terminology Explained

Incoterms –If you ship or receive international freight, you need to be aware and understand Incoterms.

Incoterms were created in 1936 by the International Chamber of Commerce (ICC) to provide an interpretation of the most commonly used terms in foreign trade. Since that time, they have been updated six times to keep pace with the development of international trade, with the most recent publication in 2010.

This set of 11 internationally recognized standard rules outlines the tasks, responsibilities, costs and risks involved in the transportation and delivery of goods from sellers to buyers.

Using clearly written sales contracts will avoid risks whereby even a simple misunderstanding of Incoterms can end up costing you thousands of dollars in surprise charges including additional transportation and insurance costs.

To learn more about Incoterms, contact David Lychek, Manager – Ocean & Air Services or visit the ICC’s website.

Global Spotlight Quiz
Global Spotlight
This mystery country is home to one
the world’s oldest continuous civilizations,

dating back to 4000 BC.

Global Spotlight Quiz

What mystery city is the capital of a country that has 10% of the world’s total oil reserves?

See if you can name the capital city of this country after looking over the following clues:

  • Carpets are the second most important export after oil.
  • One of the world’s largest producers of caviar, pistachios, and saffron.
  • The typical home in this country does not have a kitchen table and chairs, as most citizens prefer to sit on cushions when they eat.
  • Shia Muslims (89%) and Sunni Muslims (9%) make up 98% of the population, making Islam the dominant religion.
  • Nearly half of the country is an arid desert.
  • Satellite television is banned in households.

Click here to see the answer

For more information about freight to/from this city, contact Debbie McGuire, Manager – FreightSolutions.

Quick Tip

Are you using the latest Incoterms?

Make sure your contracts of sale include the appropriate trade term in conjunction with the words “Incoterms 2010”, which came into effect January 2011. Using the proper Incoterm is necessary to ensure:

  • there is a clear division of responsibilities between the seller and buyer
  • an earlier version of Incoterms is not applied

Bonnie Moore – Ocean Services, Montreal
Bonnie Moore –
Ocean Services, Montreal

At Your Service: Bonnie Moore – Ocean Services, Montreal

Once again, we are able to highlight a key individual, integral to the success of our branch offices. Working out of our Montreal office, Bonnie Moore coordinates both ocean export & import shipments.

As a long standing employee of Universal Logistics, Bonnie’s industry knowledge is second to none
and a key reason why she is able to handle any issue or challenge with confidence and poise. Bonnie has always put our client’s needs first, which is reflected in the confidence our clients have in her abilities, knowing they are in very good hands.

Bonnie can be reached by phone (514) 842-8915 or by email.

February 2016

is produced monthly for the clients of Universal Logistics. Reader comment and story ideas are welcome. Comments of general interest to all Route readers will, with the permission of the writer, be published. Copyright ©
Universal Logistics Inc. All rights reserved. Reproduction for any commercial use is strictly prohibited.

Route is produced by Universal Logistics. Editor: Bettina Scharnberg. While every effort has been made to ensure the accuracy of information contained herein, Universal Logistics accepts no responsibility or liability for errors or omissions. Written correspondence should be forwarded to:

Universal Logistics Inc.
125 Commerce Valley Drive West
Suite 750, Thornhill, Ontario L3T 7W4
Tel: 905-882-4880 Fax: 905-882-2250
Attention: Bettina Scharnberg
Universal Logistics

News and Views for the
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