Canadian customs brokerage Farrow bought CK Logistics, a San Antonio-based brokerage, Farrow said in a Jan. 2 press release (here). CK Logistics, which will be rebranded to Farrow U.S. within 18 months, has locations in San Antonio and Houston, the release said. "This acquisition provides us with a strong presence in the U.S. southwest, one of the fastest growing markets in the U.S.," said Richard Farrow, CEO of Farrow. "Further, it provides us with a local presence for some relatively new large volume clients in the region." The purchase price wasn't disclosed.
FedEx agreed to buy third-party logistics company Genco for an undisclosed amount, the companies said Dec. 15 (here). Genco specializes in "reverse logistics, providing triage, test and repair, remarketing and product liquidation solutions," the companies said. "As e-commerce continues to grow, customers of both companies will reap the benefits from the broadened capabilities and powerful new services,” said FedEx CEO Frederick Smith. The deal, expected to be completed in 2016, is subject to U.S. and Canadian regulatory closing conditions, the companies said.
DHL's Customs Brokerage groups "are working to assist importers and exporters to become aligned with the United States’ 'Single Window' International Trade Data System (ITDS)," the company said in a press release (here). "Importers and exporters are going to need guidance on this new electronic interface that will be carried out in phases by the U.S. government," said DHL. The company's combination of supply chain management and customs experience make for a useful tool, it said.
The American Apparel & Footwear Association (AAFA) published the 15th edition of its Restricted Substances List (here), which provides information on regulations and laws that restrict or ban certain chemicals and substances in finished home textile, apparel, and footwear products around the world. The AAFA generally releases the list every six months. “The AAFA Restricted Substances List has assisted the industry in creating an even safer and more sustainable supply chain," said Juanita Duggan, the group's CEO, in a press release (here).
CBP approved OHL's request for Customs-Trade Partnership Against Terrorism (C-TPAT) participation, the company said in a press release (here). The validation comes after the company submitted a security plan in 2013, it said. The company said the validation process was rigorous and included the vetting of OHL customers and vendors.
Technology trade association TechAmerica will begin work to form a position on the classification of smartwatch products for customs purposes, the group said (here). TechAmerica's Customs Committee formed a working group "to develop common positions to provide in advocacy efforts" with CBP and other countries' customs officials, it said. The effort comes in preparation of the World Customs Organization Harmonized System Committee meeting coming in March, during which one or more smartwatches will be classified, it said.
C.H. Robinson will buy Freightquote for $365 million in cash, said C.H. Robinson in a press release (here). The deal is subject to closing conditions, including regulatory approval, said C.H. Robinson. Freightquote, a privately held freight brokerage with about 1,000 employees, is based in Kansas City, Missouri. “Freightquote brings synergies to our less than truckload and truckload businesses as well as a talented technology team with expertise developing a great e-commerce store front experience," said C.H. Robinson CEO John Wiehoff.
Canadian logistics company Milgram finished its purchase of M.O.T. Intermodal Shipping, a Canadian freight forwarder that also has offices in the U.S., said Milgram (here). The M.O.T.'s American operations include a customs brokerage and freight forwarding from two offices, one in New York and one in Texas, said Milgram. The purchase marks a strategic expansion with a number of benefits, said Milgram's press release. "It gives us added strength in the European market; it gives us a physical presence in the USA; it compliments our US customs brokerage service by adding a license in the USA; it gives us exposure to important new clients; it significantly increases our standing in the export market; and it strengthens our management team as well," the company said. The price was not disclosed.
KPMG acquired the Global Trade Management Practice of EntryPoint Consulting, which specializes in technology integration consulting, for an undisclosed amount, said KPMG on Nov. 3 (here). The EntryPoint practice will join KPMG's Trade and Customs Practice and enable "KPMG to provide both regulatory and technology consulting under one umbrella," said KPMG. The new practice "will strengthen KPMG's proficiency in assisting multinationals enhance their investment in global trade management systems," it said. "This includes the ability to manage global import and export control risks and realize cost savings and efficiencies throughout the supply chain."
Livingston International faces an 85 million Canadian dollar ($75.5 million) class action lawsuit in Canada for its alleged failure to pay its brokerage employees for overtime work. According to a complaint filed Oct. 1 at the Ontario Superior Court of Justice, the customs brokerage and freight forwarder discouraged its employees from seeking overtime compensation. Livingston also instituted policies to discourage them from making overtime claims, such as requiring advance approval for overtime even though the nature of the brokerage industry often requires its employees to work extra hours on short notice, says the complaint.