Electronic Components Industry Association (ECIA) is supporting its distributor members to appeal to their small parcel freight providers to develop a cost effective way to move bonded freight from a FTZ to a US domestic location for export. Members are asked to urge the small parcel carriers to consider the scope and need of the distribution community with respect to this challenge and help bring forth a solution that emulates current, domestic small parcel service as much as possible at a cost that will not be prohibitive. There is an urgent need for a solution in this space which has benefits for all.
The distribution community, represented by the ECIA, ultimately wish to minimize the impact of any supply chain changes to their respective customers. They are therefore appealing to small parcel delivery providers for help with the specific challenge of moving domestic in bond shipments, which occurs from operating out of a foreign trade zone.
Their customer base, especially those who operate along the southern border regions or who service Latin America, want the flexibility afforded to them by small parcel service all the while expecting to be sheltered from Section 301 tariffs. This means there is a need to be able to move a small parcel shipment in bond from a US foreign trade zone (FTZ) to various locations along the border, subsequently to be exported by our customer or their freight forwarder into Mexico. This service doesn’t seem to exist with small parcel carriers today, unless the carrier is also responsible for the exportation of the goods.
ECIA encourages those carriers in the small package industry to support our members and others who are seeking a cost effective and sustainable solution to the challenge of moving bonded freight from an FTZ to a US domestic location for export.
For more information, ECIA distributor members are encouraged to login to MyECIA and find the resources available to address this urgent challenge.