Since March, there have been several updates made to the U.S.-Mexico-Canada Agreement (CUSMA). The following is a timeline of all of the major announcements that we’ve been tracking here at Carson International.

March 14 – CUSMA is Approved April 23 – COAC Recommends Delaying CUSMA Entry into Force Until 2021

In March, Prime Minister Justin Trudeau announced that Canada was considering closing the Canada-U.S. border in an effort to help halt the spread of COVID-19. At the same time, the House of Commons passed legislation that would ratify the newly established North American trade deal. In turn, the Senate signed the bill that would approve the CUSMA.

You can read more about this update at the following link: https://www.carson.ca/fr/2020/03/usmca-approved/

April 23 – COAC Recommends Delaying CUSMA Entry into Force Until 2021

The Commercial Customs Operations Advisory Committee (COAC) suggested delaying CUSMA’s entry into force until at least January 1, 2021. COAC also recommended providing a period of implementation or transition to consider USCMA compliance for NAFTA-qualifying goods that have compliant certificates of origin. Originally, the CUSMA was to go into effect on June 1, but lawmakers and others have cited complications regarding COVID-19 as the reason for the recommended delay.

You can read more about this update at the following link: https://www.carson.ca/2020/04/coac-recommends-delaying-cusmas-entry-into-force-until-2021/

April 27 – CUSMA Trade Agreement to Take Effect on July 1

In late April, U.S. Trade Representative Robert Lighthizer announced to Congress that the CUSMA would go into effect on July 1, one month later than it was originally planned for implementation.

You can read more about this update at the following link: https://www.carson.ca/2020/04/usmca-trade-agreement-to-go-into-effect-july-1/

May 8 – New De Minimis Thresholds Announced

In early May, Canada agreed to adhere to a de minimis threshold of a minimum of CAD$150.00 and CAD$40.00 for customs duties and taxes, respectively. Apart from this, no other changes went into effect around the current de minimis framework in Canada under the CUSMA. The thresholds were set to go into effect the same date as the CUSMA on July 1.

You can read more about this update at the following link: https://www.carson.ca/2020/05/what-are-the-new-de-minimis-thresholds-under-cusma-usmca/

May 12 – US Dept. of Homeland Security Receives Criticism for Inadequate CUSMA Implementation

After the DHS failed to implement CUSMA enforcement through the establishment of a designated task force by the deadline of April 28, Democrats on the House Ways and Means Committee pushed the Trump administration to implement enforcement as soon as possible. The delay in U.S. implementation of enforcement is a particularly sensitive matter considering the CUSMA is scheduled to go into effect by July 1.

You can read more about this update at the following link: https://www.carson.ca/2020/05/department-of-homeland-security-criticized-for-lack-of-usmca-enforcement-implementation/

May 19 – Auto Manufacturers Reopen in North America Amid Challenges Around CUSMA

Automakers are resuming auto manufacturing operations throughout North America, but they anticipate certain challenges that will arise from the reliance on Canada and Mexico and more remote workplaces. Meanwhile, Mexico planned to resume operations on June 1 or sooner, depending on the ability to create safe workspaces.

You can read more about this update at the following link: https://www.carson.ca/2020/05/automakers-reopen-across-north-america-while-bracing-for-challenges-ahead-of-cusma-usmca/

Come back to Carson International for additional updates around the CUSMA, or visit our newsroom. We will continue to provide more information as we receive it.

Many businesses working with a small number of products and trade lanes can benefit from working with their freight forwarder,

International trade across the world’s longest border is a complex industry full of shifting regulations and rapidly evolving technology. Customs brokers navigate the ever-changing world of shipping for you, to help individuals and businesses clear customs with ease. Reliable customs brokers will have all of the resources needed to help your business stay up-to-date regarding any technological or regulatory changes

There are certain specific benefits of working with a customs broker. The following are a few of the key ways your business can experience improved operations.

Enhanced Risk Management

Customs brokers can help make sure that importers are in compliance with the latest customs regulations. A good broker will also be able to address and handle any complexities and inform you about how to further reduce your tax burden and duties. In turn, you’ll be able to minimize the risks associated with importing and exporting.

Reduction of Fixed Costs

Customs brokers possess all of the technology and tools required to transfer documentation and maintain communication with customs. As a result, you don’t need to worry about procuring the software or hardware or performing any maintenance, which helps reduce the costs that you would otherwise see when operating entirely in-house.

Flexibility of Staff 

With a customs broker behind customs, you can also avoid the need to look for licensed specialists or brokers on staff, which gives you more time and energy to focus on other more important aspects of your business. Customs brokers are also responsible for continually monitoring shipments to ensure they avoid any potential issues along the way. Subsequently, you won’t need to rely on staff to monitor your shipments at any point, which frees them up to perform other tasks.

Each of these benefits makes it worthwhile to hire a customs broker to handle imports. In the process, you’ll be able to avoid potential importing issues and save more money and time.

The Benefits of Hiring Carson to Be Your Customs Broker

If you’re in need of a customs broker you can trust to manage imports without issue, Carson International is here to give you everything you need as a U.S. and Canadian customs brokerage with over 50 years of experience serving the International Trade community.

Carson’s compliance solutions offer the ideal combination of flexibility and reliability, whether you’re a startup or a global company.

We are committed to maintaining compliance and remaining up-to-date on all of the latest regulations and technology in the industry. With our services behind your business, you can focus on growing and leave the customs process to us. We have all of the knowledge and data necessary to keep the process efficient and error-free, with total transparency that enables you to maintain complete visibility of the supply chain.

We’ll work with you to exceed your expectations and help your business maintain compliance, efficiency, and cost-effectiveness.

While freight forwarders and logistics companies may seem similar or even synonymous, there are some differences between the two to keep in mind. Unlike logistics companies, freight forwarders might be partners with a network of logistics companies, but they do not own any assets themselves.

What Is a Freight Forwarding Company?

Freight forwarders tend to partner with several logistics companies either nationally or internationally, which means that price checking capabilities are far better and more thorough than what you would get when working directly with one logistics company. Freight forwarders also have more knowledge and experience around specialty companies, which often vary greatly regarding types of transport, house moving, fragile goods, and lead times, among other elements.

What Is a Logistics Company?

Logistics companies, unlike freight forwarders, own all of their own assets including intermodal fleets of trucks, boats, or planes, but without any access to actual shipping routes. Logistics companies often specialize in specific areas such as dry box, long haul, cold storage, intracity, or large scale. At the same time, they’ll attempt to cover every aspect of the supply chain.

Generally, a logistics company is responsible for managing goods’ physical movement along the supply chain. In some cases, they may also manage documentation.

What are the Benefits of a Freight Forwarder?

There are multiple benefits of working with a freight forwarding company as opposed to a logistics company. The advantages include:

• A network of multiple logistics companies that helps reduce prices with more diversity
• Technology-based freight forwarders can provide instant quotes

• Pricing is more transparent, as most freight forwarders will provide customers with in-depth breakdowns of all costs
• Maintain data regarding specialty routes along with route optimization to help minimize delays and ensure timely arrival of goods
• Have a good understanding of logistics companies in many different specialty areas, including household goods, fragile goods, cold storage, and others

In addition to these benefits, freight forwarders can also handle all of the paperwork associated with freight forwarding, including customs documentation, bills of lading, shipper’s export declarations, insurance forms, and letters of invoice.

Why You Should Turn to Carson for Reliable Freight Forwarding

Supply chains need freight forwarders that have a good understanding of the goods involved, along with the various suppliers and trade routes. Carson International can give you top-tier customer service and dependable solutions regardless of your needs. Some of the specific advantages you’ll get with Carson include:

North American Coverage

With offices located in Toronto, Montreal, Washington, and Vancouver, Carson can meet all international freight needs.

Global Coverage

Carson has a dedicated network of logistics partners all over the world, which provides optimal international coverage via all major global logistics hubs.

Asia-Pacific Specialists 

Carson specializes in cargo management through the Asia-Pacific logistics hub, with many years of experience using this trade lane.

Best-in-Class Tracking Software

We maximize the visibility of your shipment across the supply chain using some of the best tracking software available. You can easily access and view all shipment documentation, reports, and billing information using our convenient web app.

Customizable Solutions

Depending on your specific needs, we can customize a solution to proactively identify and resolve issues anywhere in your supply chain.

All of these advantages can make Carson International an invaluable asset to your operations as a leading freight forwarder.

If you’ve decided to work with a customs broker to help maintain compliance, it’s important to find the right broker. Taking the following steps can help you make the right selection and find a customs broker you can trust.

Find a Broker with Industry Experience

While a broker might be dependable and have plenty of experience in a variety of industries, you need to find a broker that has more experience in your specific industry. You might have specific products that you work with that a general customs broker might be more unfamiliar with, which could lead to problems.

Keep in mind that different brokers will have experience with different types of products or agencies, meaning that you need to find one that knows how to work with your products and meet your needs.

Request References and Reviews 

Don’t choose a broker based solely on what they have to say about their services and reliability. You can verify their legitimacy and reputation by finding out what their past and existing clients have to say about them. Requesting a reference is an important way to understand your providers expertise in the Customs Brokerage environment.

Make Sure the Broker Can Accommodate a Large Volume of Goods

If you’re working with a wide variety or a large volume of products, try to find a broker that can handle them. Brokers should have a good understanding of your company’s needs and all requirements in place for imports and exports. The right broker will be able to properly allocate budget, time, and effort.

Select an Approved Broker

Brokers should use approved customs declaration systems that utilize up-to-date technology along with in-house management. Also, make sure the broker is either a licensed customs broker or a registered declaration bureau authorized to work in your jurisdictions.

Approved brokers will have all of the technology required for efficient transferral of documentation such as customs permits, packing lists, and invoices.

Contrast and Compare Brokers

When looking for the perfect customs broker for your business, don’t settle for the first broker you find, regardless of how compatible they might seem. Look around and compare pricing and other aspects such as specialization and experience.

Look for a Customs Broker that Adapts to Your Needs

It doesn’t matter if you’re a mult-national corporation with containers to move, or a single entrepreneur that needs to ship product orders for their start up–the world of international shipping is complex, and you need to partner with someone that will customize a solution exactly to your business’ unique needs. If you work with a broker that can provide 24/7 service, 7 days a week, they can stay up to date on order tracking and solve any potential problems or delays as they happen–not just during office hours. Selecting a customs broker that truly listens to your needs, and adapts their services to help satisfy them can mean the difference between satisfying your customers and wowing them. 

Taking all of these steps will help narrow down your selection when searching for the right broker. Once you locate a good customs broker, you’ll be able to benefit from consistent compliance and cost-effectiveness.

In today’s modern supply chain, a variety of flexible freight solutions exist to meet the unique business needs of organizations around the world. Depending on your products, suppliers, and trade patterns, you may need one, or a combination of freight options to get your shipments where they need to go. With the help of professional logistics experts, you can take advantage of these efficient trade solutions to get your goods anywhere in the world.

Air Freight Shipping: Air Freight and Cargo

Air freight shipping involves the transportation of goods by charter or commercial air carriers. Along with being the fastest way to move products around the world, which is ideal for time-critical cargo, this form of shipping allows goods to be delivered to a wide range of locations, both nationally and internationally.

Because their shipping times are quite short, air freight services often have low insurance premiums. Additionally, since air freight travels through highly-secured airports, this freight option offers enhanced security.

Ocean freight shipping: Sea Cargo

Sea freight shipping uses ocean carriers to transport goods packed in large standardize size cargo containers. Generally, cargo containers are picked up by shipping vessels at major ports around the world and travel through specific freight lanes to reach their target destination. 

Although ocean freight shipping takes longer than air freight shipping, it’s often recommended for heavy and bulky shipments because it’s usually less expensive. While air freight shipping factors weight into the total cost, ocean freight shipping charges only by container. In general, a full container (standard size 20’ or 40’x 40’) is charged a single flat rate, while less than container loads (LCL) are charged by cubic meters. If you go the LCL route, your goods will be packed with other shipments in the same container.

Ground Transportation: Land Freight

Ground shipping involves the movement of goods by railway or by truck. While this type of shipping can be used on its own, it is often used in combination with air freight or ocean freight services to move cargo before or after the airport or seaport. When multiple shipping methods are used, it is referred to as intermodal freight transport. Ground transportation services can take cargo directly from the good’s origin to its required destination, which is often referred to as door-to-door shipping. Ground shipping options include:

Rail freight shipping

Freight train shipping uses extensive railway systems to ship cargo to its intended destination. A flexible option that is usually cheaper and more environmentally friendly than other options, railway shipping can carry standard size cargo containers, bulk commodities, vehicles, and other specialized options.

Less Than Truck Load Shipping (LTL)

LTL shipping is a great option for customers who have smaller loads to ship because this method combines shipments from several customers into one truck trailer. Customers using this method pay for the portion their freight takes up in a standard trailer.

Full Truckload Freight Shipping (FTL)

FTL is when one customer uses up the entire space in a standard truck trailer to carry their goods to a destination. Some customers may also put a partial load on its own in one truckload. This option is generally quicker than LTL because it’s only used by one customer for one destination.

You don’t have to figure out the right freight option to use on your own. Carson International’s freight experts can help you determine the best option for your supply chain demands. Get a quote for free.