Feb 14 2025 42 mins 1
Topic of the Week (2/14/25):
Is the FMC the backup quarterback for the Panama Canal discussions? The answer isn’t no, and it might just be yes. Let’s talk about it.
⚓ The Maritime Professor® presents By Land and By Sea Podcast 🎙️ – an attorney breaking down the week in supply chain
with Lauren Beagen (Founder of The Maritime Professor® and Squall Strategies®)
Let’s dive in...
🔹 Top Three Stories of the Week:
1️⃣ GAO Report on MARAD Workforce Challenges
📉 MARAD faces staffing shortages with a 12.3% vacancy rate—GAO calls for a workforce strategy to close skill gaps.
2️⃣ FMC Enforcement Action Against Florida NVOCC
⚖️ Double Ace Cargo Inc. fined $50K for repeated violations—now required to self-finance compliance monitoring, a first for the FMC.
3️⃣ Premier Alliance Agreement Taking Effect
🚢 A new vessel-sharing alliance between HMM, ONE, and Yang Ming begins February 9, 2025, following FMC review.
Deep Dive: FMC’s Authority on Panama Canal Issues
Former President Trump referenced "powerful action" regarding Panama. While the Panama Neutrality Treaty is the obvious reference, the FMC has its own authority to act on unfair foreign shipping practices.
▶️ Foreign Shipping Practices Act of 1988 (FSPA):
🔴 Allows the FMC to investigate foreign policies that harm U.S. carriers
🔴 Authorizes port access limits, contract suspensions, and fines up to $1M per voyage
▶️ Section 19 of the Merchant Marine Act of 1920:
🔴 Gives the FMC power to correct unfair shipping conditions—no full investigation needed
The FMC’s role in global shipping is bigger than many realize. Could it play a key role in the Panama Canal discussions? Stay tuned!
🔹 The Maritime Professor® provides training and education for global supply chain professionals. Learn more: www.TheMaritimeProfessor.com
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❗ This content is for educational purposes only and is not legal advice. There is no attorney-client privilege created by this video or podcast. If you need an attorney, contact an attorney.
#ByLandAndBySea #FMC #MaritimeLaw #SupplyChain
