Tanzania Freight Forwarding Services
Air & Sea Freight Between Tanzania and the UK

NYK - the argument now is over what a normal year looks like

NYK has raised its dividend to ¥330 a share on a year swollen by the closure of the Strait of Hormuz and strong container rates, but its own guidance has second-half profit falling by more than 40%. Morgan Stanley values the company on a normal year worth less than half of this one and sees a risk the dividend is cut in the year to March 2028; JP Morgan's valuation sits close to the share price, and NYK's own ...

Tougher rules for US imports on DDP put pressure on buyers and suppliers

US companies buying goods on Delivered Duty Paid (DDP) terms have been urged to examine who is responsible for their customs declarations, after US Customs and Border Protection (CBP) introduced new requirements for foreign importers of record (IORs). The interim final rule, published in the Federal Register last week takes effect on 5 January, with new conditions for foreign IORs making both formal and informal entries into the US, as well as additional verification responsibilities for licensed customs brokers. Under the rule, a foreign IOR validated under the Customs-Trade Partnership Against Terrorism (CTPAT) programme can make entries itself, or appoint a licensed customs broker that does not have to be CTPAT-validated. A foreign IOR without CTPAT must designate a broker that is both licensed and CTPAT-validated to make the entry or act as IOR. Where the foreign party is not the owner or purchaser of the goods, the designated broker must act as the importer of record. However, the rule also establishes stricter criteria for determining whether a business qualifies as a US IOR. An individual must be a US citizen or lawful permanent resident, while a company must be organised under US law, located in the country, and at least 51% of its beneficial owners must be US citizens or permanent residents who control the business, or who directly own a significant amount of unencumbered US real estate. Licensed customs brokers will have to verify a client's eligibility before declaring it to be a US IOR. They must request and review supporting records, which could include corporate documents, financial statements, and proof of citizenship or permanent residence. Verification records must then be retained for five years. The development follows CargoTrans's recent tariff webinar, which examined the risks associated with DDP arrangements, noted that in theory an overseas supplier typically arranging import clearance and paying duties and taxes, offered the US buyer a seemingly simpler route to receiving goods. But CargoTrans co-CEO Nunzio De Filippis said the new rule made that convenience harder to achieve, adding: "So that easy button that we spoke about just got harder to press." He advised buyers to establish exactly who is responsible for the import process when their overseas supplier sells on DDP terms. "You have to ask them who is the importer record, who is the customs broker, what does that arrangement look like, and does it meet the new requirements?" he said. "Welcome to the age of strengthening customs enforcement," he added. CBP explained the measures were intended to improve visibility of foreign importers, strengthen accountability, and help ensure duties are collected. The agency highlighted difficulties pursuing unpaid duties and enforcing customs requirements against foreign entities with few US assets. Brokers may request delayed compliance with the new verification requirements before 5 January, but all must be fully compliant by 6 May next year. Comments on the interim final rule are due by 5 January. For US buyers, the update means a DDP quotation alone is no guarantee that the underlying import arrangements meet the new requirements. Buyers should establish who is named as the IOR, which broker is filing the entry, and whether the relevant parties satisfy CBPconditions.

WorldACD reports steep declines in Asia-Europe cargo demand in October

Air cargo volumes from China and Hong Kong to Europe continued to come under pressure in October, while companies are reporting a structural shift in e-commerce supply chains to the continent. Figures from data firm WorldACD show that overall air cargo volumes from China & Hong Kong to Europe in October were down by 17% year on year. Air cargo volumes from China origins to Europe were down by 8% year on year, while volumes from Hong Kong, described by WorldACD as "a strong origin point for e-commerce platforms", were down by 32%. The decline comes after the European Union introduced a €3 charge for items with a value of less than €150 in July as it sought to tackle the deluge of e-commerce goods being imported into the bloc. However, far from a temporary dip, WorldACD suggests that the decline could be structural. "Many European e-commerce air logistics specialists believe the developments reflect a structural shift, as major international e-commerce platforms make greater use of consolidated business-to-business (B2B) import models for low-value shipments, including via ocean or other transport modes, rather than flying individual business-to-consumer (B2C) parcel shipments," WorldACD said. "An additional €2 per item handling fee for EU imports from 1 November is expected to further limit EU e-commerce air import volumes, which had been a key driver of China-Europe air cargo growth in recent years, although seasonal demand and the continued strength of underlying European e-commerce demand are expected to partly offset that effect." While demand from China to Europe declined, airfreight rates continued to rise, increasing 9% in October compared with September and up 14% year on year to $4.85 per kg. The increase will have been influenced by fast rising jet fuel prices as a result of the conflict in the Middle East. In contrast, total air cargo tonnages from China and Hong Kong to the US in October were up by 8% year on year, with growth from mainland China of 9% and Hong Kong of +4%. "These growth figures are notable, because October last year saw strong volumes when demand had rebounded following the initial challenges posed by last year's fast-changing import tariffs and de minimis rules in the US." From China to the US, rates increased by 7% in October, month on month, to $6.47 per kilo, taking them 30% higher than in October last year. Overall air cargo tonnages for the month were up 6% year on year, WorldACD said.