Dear valued clients and partners,
As we conclude the second quarter of 2024, it's clear that this year is bringing unprecedented challenges and changes. The political landscape is more unpredictable than ever, and such uncertainty can significantly impact our industry.
At ITC Diligence International, we’ve seen a lot over the past 30 years. From shifting trade policies to economic upheavals, our experience has equipped us to navigate through these complex times.
We’ve refined our core values and our mission statement to better reflect our commitment to integrity, client success, and innovation. We’ve moved to a larger office in Lakewood to better serve our clients and support our growing team. Additionally, we’re expanding eastward with a new office in Texas, enhancing our capabilities and reach.
We’re constantly monitoring changes, ready to adapt our strategies to ensure your operations remain compliant and efficient. Our commitment to innovation and excellence means we are always prepared to tackle new challenges head-on.
In addition to the political changes, the global trade environment is also evolving. Recent events such as disruptions in the Red Sea due to shipping attacks have caused significant supply chain delays and increased shipping costs for many sectors. Furthermore, international trade growth is projected to increase significantly this year, driven by low inflation and a recovering global economy. However, risks remain, and it’s crucial for businesses to stay agile and prepared for these shifts.
Your trust in us is something we deeply value. It drives us to work harder, innovate further, and stay ahead of the curve. Together, we will not only navigate these turbulent times but also find opportunities for growth and success.
Thank you for your continued partnership. Here’s to facing the future with confidence and resilience.
Warm regards,
David Harlow
President & CEO, ITC Diligence International
Summary of ITC’s Changes
We're excited to share some big updates at ITC Diligence! Here's what's new and how we're growing to better serve you.
Core Values
We prioritize integrity, resilience, resourcefulness, commitment, and leadership. These values guide us daily, ensuring we act transparently, deliver excellent outcomes, and stay ahead with creative solutions.
Mission Statement
“We deliver unparalleled global trade services throughout the international trade community while providing leadership through advocacy for today and tomorrow.”
New Office Suite in Lakewood, CA
We’ve moved to a larger office in Lakewood, equipped with advanced facilities to better serve our clients and support our growing team. This new space enhances our ability to deliver top-notch services.
New Office in Fort Worth, TX
We’re excited to expand eastward with a new office in Fort Worth, Texas, improving our reach and capabilities in the region. This allows us to offer more localized support and faster response times for our clients in the eastern U.S.
Upcoming Video
Stay tuned for a sneak peek of our new video, showcasing our services, our dedicated team, and the exciting future we envision. We can’t wait to share it with you!
We're thrilled about these changes and look forward to continuing to serve you with the same dedication and excellence. Stay tuned for more updates and exciting developments at ITC Diligence International!
Merchandise Processing Fee Increase
Starting October 1, 2024, the U.S. Customs and Border Protection (CBP) will adjust the Merchandise Processing Fee (MPF) cap for inflation, raising it from $614.35 to $634.62.
This increase, while accounting for inflation, will affect businesses using Foreign Trade Zones (FTZs), especially those benefiting from the weekly entry program.
Key Points:
Current Cap: $614.35, affecting values up to $177,000.
New Cap: $634.62, affecting values up to $183,000.
Impact:
The higher cap reduces cost savings for businesses that consolidate multiple shipments into a single entry under the weekly entry program. Companies will hit the maximum fee threshold sooner, leading to slightly higher costs.
Industry Response:
The FTZ community is concerned about the added financial burden. Though the increase seems minor, it can significantly affect large-scale importers over time.
Action Steps:
Businesses should reassess import strategies and consult with trade compliance experts, like ITC Diligence International, to mitigate potential cost increases.
Meet Tiffany: A Key Player at ITC
We’re excited to introduce you to Tiffany Turner, a vital member of our team at ITC Diligence International Tiffany's journey in the professional world started with assisting her father in his two businesses.
This early experience ignited her interest in business operations, leading her to graduate from the Fashion Institute of Design & Merchandising (FIDM) with a degree in merchandise marketing.
Tiffany then spent ten years as an assistant at Aisin World Corp of America, a sister company of Toyota. This role allowed her to deepen her understanding of corporate dynamics and strategic planning.
Her career took a pivotal turn when she met David Harlow, President of ITC Diligence International. Impressed by his genuine approach and the company’s mission to support businesses through innovative trade services, Tiffany joined the ITC team.
What Tiffany loves most about working at ITC is seeing David in action. She appreciates his extensive industry knowledge and his collaborative leadership style, which fosters a productive and forward-thinking work environment.
Outside of her professional life, Tiffany enjoys a range of activities including bowling, shooting pool, and showing off her skills at Topgolf. She also loves attending both her sons soccer games, which adds a fulfilling balance to her life. One of her adventurous goals is to skydive in Peru, reflecting her fearless and ambitious spirit.
We’re glad to have Tiffany on our team and look forward to her continued contributions to our success.
Fun Fact
Did you know that the customs broker licensing exam, administered by U.S. Customs and Border Protection (CBP), has a pass rate of around 10-15%? This challenging exam ensures that only highly knowledgeable individuals become licensed customs brokers, reflecting the complexity and importance of the profession.
To put this into perspective, let's compare it to other professional exams:
Bar Exam: The pass rate for the bar exam, which is required to practice law, varies by state but typically ranges from 60% to 70%.
Nursing (NCLEX): The pass rate for the National Council Licensure Examination (NCLEX) for nurses is around 88%.
Teacher Certification: Pass rates for teacher certification exams vary by state but often exceed 70%.
The customs broker exam stands out due to its low pass rate, highlighting the depth of knowledge and expertise required. Candidates must be well-versed in a range of topics including import and export regulations, tariff schedules, valuation, and classification, among others.
For those who succeed, the certification opens doors to a rewarding career, playing a critical role in international trade by ensuring compliance with laws and facilitating smooth customs processes.
This fun fact underscores the dedication and expertise of our licensed customs brokers at ITC Diligence International, who navigate complex trade regulations to support our clients every day.
Client Spotlight: Innovating Logistics with UNIS
UNIS, a leader in the logistics industry, has been transforming how businesses manage their supply chains since its founding. With a commitment to innovation, efficiency, and customer satisfaction, UNIS offers comprehensive logistics solutions that include warehousing, transportation, and technology-driven services. Their approach ensures that goods move smoothly and efficiently from manufacturers to consumers, reducing costs and improving delivery times.
Collaboration with ITC Diligence International
Our partnership with UNIS began in January 2024, when they became an FTZ Operator. ITC Diligence International plays a crucial role in helping UNIS navigate the complexities of international trade and regulatory compliance. Leveraging our expertise in foreign trade zones (FTZs), we assist UNIS in optimizing their logistics strategies, ensuring efficient and compliant operations across borders.
Benefits and Impact
The collaboration between ITC Diligence International and UNIS exemplifies our commitment to supporting forward-thinking companies in the logistics sector. We provide UNIS with essential guidance on customs compliance and the effective use of FTZs, facilitating their ability to offer top-notch services to their clients. This strategic partnership enhances UNIS's operational efficiency and aligns with our mission to foster seamless international trade for innovative logistics solutions.
By working closely with ITC, UNIS can expand its market reach and improve service delivery, ensuring that their logistics operations are both efficient and legally compliant. This partnership underscores our dedication to supporting businesses in leveraging global trade benefits and driving growth in the logistics industry.
ITC University
Introducing ITC University
At ITC Diligence International, we are excited to announce the upcoming launch of ITC University, a new video-based training portal set to debut before the end of the year.
ITC University will provide businesses with in-depth training on Foreign Trade Zones (FTZs) and other critical areas of international trade through a collection of informative videos available on a membership or individual purchase basis.
What is ITC University?
ITC University is an advanced training platform designed to offer comprehensive video content that delves deeper into FTZ concepts and strategies.
While there will be some overlap with our existing FTZ Academy, ITC University aims to provide more extensive and detailed training materials to help businesses master the complexities of international trade.
Benefits of ITC University:
Comprehensive Video Content: ITC University will offer a wide range of videos covering various aspects of FTZ operations, compliance, and strategic planning.
Expert-Led Training: Our videos are created and led by industry experts with decades of experience, ensuring that participants receive high-quality, practical insights.
Flexible Access: Users will be able to access the training materials through a membership plan or purchase individual videos, allowing for flexible learning tailored to their needs.
Enhancing Your Business
Utilizing ITC University can lead to significant benefits for your business, including cost savings, improved compliance, and enhanced logistical efficiency.
By providing a deeper understanding of FTZ operations and international trade regulations, ITC University equips businesses with the knowledge they need to excel in the global market.
Stay tuned for the launch of ITC University and take advantage of this invaluable resource to elevate your business’s performance in international trade.
Recent Advancements in Logistics and Trade
The logistics and trade industry has seen several noteworthy advancements in the past few months:
AI Integration: Companies are increasingly adopting AI to optimize supply chain operations. AI-driven predictive analytics help forecast demand, manage inventory, and streamline logistics.
For example, AI tools can predict inventory needs based on past data, ensuring that products are available when and where they are needed, thus reducing costs and increasing efficiency. According to Supply Chain Dive, AI in supply chain management can reduce forecasting errors by 20-50% and decrease lost sales by up to 65%.
Sustainability Initiatives: Major players like Amazon and CJ Logistics are investing heavily in sustainable practices. Amazon's Climate Pledge aims for carbon neutrality by 2040, including a significant investment in electric delivery vehicles and renewable energy sources.
CJ Logistics is leading the way with eco-friendly packaging solutions, using recyclable materials and reducing waste. A report from Logistics Management highlights how these initiatives are not only reducing environmental impact but also enhancing brand reputation and customer loyalty.
Technological Innovations: DHL's Vision Picking Pilot uses augmented reality (AR) to enhance warehouse operations. Workers equipped with AR smart glasses receive digital picking lists and optimal routing directions, which has led to a 25% reduction in error rates and significant improvements in efficiency.
This innovative approach is detailed in DHL's official press release, showcasing the potential of AR in transforming logistics operations.
