New FMC Regulations Effective in July! Five Prohibited Practices Freight Forwarders Must Know
The Federal Maritime Commission (FMC) of the United States will implement new regulations in July. Freight forwarders must closely monitor and strictly adhere to these rules to avoid violations. The first red line is false declaration. The new regulations enforce stricter requirements for declaring cargo names, quantities, weights, etc. Any false declarations will subject both freight forwarders and cargo owners to substantial fines and potential blacklisting. Forwarders should intensify information verification from clients and request accurate cargo details.
The second is the failure to submit bill of lading information on time. New regulations shorten submission deadlines, and late submissions will be deemed violations. Forwarders must establish robust information management systems to ensure timely and accurate data entry. The third concerns unreasonable surcharges. The FMC will rigorously review surcharge items imposed by shipping companies and forwarders, banning unjustified fees. Forwarders should standardize charging practices and clarify all fees to clients. The fourth prohibits non-compliance with service contract terms. Service contracts between forwarders and clients must meet FMC requirements; violations will incur penalties. Finally, incomplete or inaccurate data submission—forwarders must regularly report transportation data to the FMC, ensuring its authenticity and comprehensiveness.