Duty Deferrals, ACH Wire Payments, CargoWise Bond Partnership, and Other Industry Updates
As COVID-19 continues to have an impact on the trade community, IB&M stands with our clients and partners to ensure consistent service during this difficult time. We will continue to underwrite and approve bonds as well as insurance requests without interruption.
90 Day Duty Deferrals by CPB
U.S. Customs and Border Protection will be postponing for 90 calendar days the deadline for payment for the deposit of certain estimated duties, taxes, and fees for importers experiencing a significant financial hardship due to the coronavirus disease.
We recommend having a discussion with your importing client to ensure they meet the criteria laid out by CBP prior to proceeding with deferral requests. Read More…
CSMS #42421561 and this PMS Overview are helpful resources that can assist you with questions regarding the PMS.
CBP has an FAQ page to address additional questions the Trade may have. Questions can be submitted to email@example.com and firstname.lastname@example.org.
ACH Wire Payments for Customers
In an effort to support convenience for customers during this crisis, IB&M is promoting the use of ACH payments for clients on our website. For more information please email email@example.com.
CargoWise Bond Integration Partnership
IB&M was chosen to partner with CargoWise in piloting new bond integration technology. We’re excited to announce that this feature is now available for all CargoWise customers and provides increased efficiency and simplicity. Email firstname.lastname@example.org for more information.
Demurrage at Ports
The economic impact of the coronavirus has greatly affected the consumer market. Even though China has begun manufacturing again, the lack of worldwide demand has slowed down the supply chain. Importers are cancelling orders, delaying shipments, diverting cargo, and looking to store cargo at destination ports. There is a demand for space at these ports since retailers and manufacturers are abandoning freight and warehouses are closed because they are not considered essential services.
Some Professional Liability Policies may protect a Logistics Company for a limited amount demurrage charges if the Policy contains an Uncollected Cargo/Abandoned Cargo provision. This clause will typically respond if the Assured is named as the consignee on the Master Bill of Lading and the actual consignee and/or consignee agent fails to take delivery of a shipment. As always the Terms & Conditions of the Policy apply.
For more information, see this article from the JOC.