With 364 votes in favor and 60 against, the House of Representatives has approved the Ocean Shipping Act (OSRA21). According to its proposers, Democrat John Garamendi and Republican Dusty Johnson, this should give the FMC (Federal Maritime Commission) greater powers to control anti-competitive practices and ocean carrier tariffs, while also introducing stricter regulations on Demurrage & Detention.
In fact, the bill, which will now go to the Senate for final consideration, will impose “minimum service standards” on ocean carriers that safeguard clients’ interests. They will also be required to certify that D&D charges comply with federal regulations, or they will be subject to penalties. The onus of demonstrating the tariffs charged are reasonable will be on the liners themselves.
According to Mr. Garamendi, this result is one step closer to protecting American consumers and businesses from price increases by foreign-flagged ocean carriers.
The bill also prohibits ocean carriers from unreasonably reducing the space available on-board ship for U.S. exports. Finally, ocean carriers will be required to report quarterly to the FMC the total import/export tonnage, as well as loaded and empty TEUs, for each vessel calling at U.S. ports
The World Shipping Council is objecting, saying the bill was passed without proper debate or committee process.
Translation by Giles Foster
