Supply Chain Council of European Union | Scceu.org
Transportation

Biden and the Source of Rising Shipping Rates

Stacked containers at the Port of Los Angeles, Nov. 2021.



Photo:

MIKE BLAKE/REUTERS

In “Waiting With Biden” (Business World, Dec. 29), Holman Jenkins wrongly states that the Federal Maritime Commission (FMC) refutes President Biden about what has caused the increased cost for shipping containerized cargo. While it is true that Covid-related demand has far outstripped ocean capacity, that does not mean the FMC has ruled that “nefarious” acts on the part of shipping lines have played no role. In fact, the FMC is pursuing enforcement investigations involving three ocean carriers.

This is in addition to other actions taken in response to escalating shipping costs, such as investigating carrier-added fees and surcharges, auditing compliance with the rule on detention and demurrage and adjudicating complaints brought by shippers.

Though Mr. Jenkins characterizes the FMC as one of the president’s “own agencies,” the commission is an independent executive branch regulatory agency. It comprises a bipartisan mix of five commissioners, currently with a Republican majority.

Daniel B. Maffei

Chair, Federal Maritime Commission

Washington

I sometimes wonder if the better analogy for Mr. Biden’s presidency isn’t the 1979 movie “Being There.” Chance, the gardener, later known as

Chauncey Gardiner

and played by

Peter Sellers,

rises to the top of Washington society and, potentially, the White House, despite being oblivious to the world. The chattering classes at the time saw Chauncey as a stand in for

Ronald Reagan.

Now the shoe is on the other foot.

Michael Cannon

Houston

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