Thursday, July 26, 2012

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Report accuses Canadian ports of poaching U.S. shipments

The U.S. Federal Maritime Commission on Tuesday voted to approve a report that is criticizes Canada's West Coast ports, especially the new container terminal at Prince Rupert, alleging Canada is unfairly and deliberately attracting cargo business away from the U.S.

The report will be sent to Congress, which in 2011 asked the agency to investigate charges made by two Washington state senators that Canadian ports were trying to undermine and lure business away from U.S. ports. These allegations have caused some U.S. senators to consider attaching a $140 per-TEU levy to any cargo that passes through British Columbia's ports on the way to the U.S.

The matter has been a U.S.-Canada trade problem since Washington senators Patty Murray and Maria Cantwell asserted that Canadians were unfairly subsidizing the rerouting of container ships away from U.S. competitors, especially in Prince Rupert. They noted that the U.S. Harbor Maintenance Tax, used for dredging U.S. West Coast ports, is not collected at border crossings when cargo enters the country on trains from Canada after arriving via Canadian ports, and that perhaps it should be.

For more of the Vancouver Sun story: vancouversun.com

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