FMC to discuss Chinese carriers’ exemptions, Chinese restrictions
The U.S. Federal Maritime Commission will hold a closed-door meeting March 31 to discuss pending requests made by Chinese carriers for more pricing flexibility. The agency will also discuss Chinese shipping restrictions, requirements and practices.
The talks follow the recent U.S.-China bilateral maritime agreement, which remains to be implemented by each country’s regulator.
The FMC said its meeting agenda will consider three petitions: petition no. P3-99 of China Ocean Shipping (Group) Co. for a partial exemption from the Controlled Carrier Act; petition no. P4-03 of China Shipping Container Lines Co., Ltd. for permanent full exemption from the first sentence of Section 9(c) of the Shipping Act of 1984, dealing with state controlled carriers; and petition no. P6-03 of Sinotrans Container Lines Co., Ltd. also for permanent full exemption from the first sentence of Section 9(c) of the Shipping Act of 1984.
Section 9(c) of the act requires controlled carriers to wait 30 days before they can change their tariff rates, whereas other carriers can change them without any notice period.
The FMC will also hold a portion of its March 31 meeting open to the public. The open part of the meeting will consider the question of a “rider” for proof of financial responsibility of non-vessel-operating common carriers, which would allow U.S. NVOs to trade in China without the need to post a deposit in a Chinese bank.