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Global Shipping Update

IMO 2020 Sulphur Cap Tariff Change

As part of the shipping industry’s continued efforts to decrease its environmental impact and reduce air pollution, the International Maritime Organization is preparing to roll out a landmark set of regulations to come into effect on January 1st 2020.

IMO Sulphur 2020 will cap the sulphur content in bunker fuel to 0.5% for all commercial shipping vessels (down from its current 3.5%), with a view to reduce overall sulphur oxide emissions from ships by 77%.

While ocean freight is one of the more sustainable shipping alternatives at the moment, the new regulations will further help prevent acid rain, tackling ocean acidification and reducing harm to agriculture, and benefit air quality globally with health benefits felt across coastal communities especially.

To meet the new regulations, marine vessels will either need to fit exhaust gas cleaning systems (known as scrubbers) or switch to more expensive low sulphur distillate fuels or low sulphur fuel oils.

Compliance is estimated to increase the cost of port-to-port moves by 10-20 percent or up to USD 200 per TEU, depending on the carrier, fuel cost locally and routing.

Some carriers are implementing new rates from 1st November 2019, while others will introduce a new recovery fee from 1st December.

Capacity may also be impacted in the short-term and the new regulation will likely impact global freight rates and global fuel supply and demand.

Please contact your local Woodland representative or one of our teams here to discuss how to optimise freight allocation across modes and routes to mitigate the economic impact of the regulations and contact us here to learn more about the environmental impact of your shipments.


US NEWS - Section 301 Duty increase

As a result of the ongoing dispute with the EU over aircraft subsidies at the World Trade Organization (WTO), the United States Trade Representative has announced a duty increase to subject imports of European Union (EU) origin products, with the bulk of the tariffs being applied to imports from France, Germany, Spain and the UK.

The new tariffs will be limited to 10% on large civil aircrafts but increase to 25% on agricultural and other products. Products affected range from books to machinery and tools, a list of which can be viewed here.

The duty increase will take effect on October 18, 2019.

In certain cases, the product description will define and limit the scope of the additional duties and importers can revise and confirm that classifications / country of origin have been correctly determined.

For example, only books with the country of origin being Germany and the UK are subject to the 25% duty increase.

The United States Trade Representative will continually re-evaluate these tariffs based on discussions with the EU.

If you require assistance or further advice on how to navigate these new tariffs, please contact your local Woodland representative or reach out to one of our teams here.



In the run up to Brexit, we make sure you are covered. We want to ensure we have the correct information for you to avoid any potential delay to your shipments going in and out of the EU. 

Please provide answers here so we can minimise any potential disruptions.

Whether No Deal Brexit or not, our Woodland Brexit team can support you and advise on regulations as needed.

Contact our Brexit team here

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