specialreport PORTS
view that any change in U.S. tax policy will have no impact
on shippers’ routing decisions,” the National Retail
Federation (NRF) said in its comments.
Washington state port executives have a different view.
“It’s difficult to believe … that any factor that can increase
the cost of moving a container by $150 plays no role,” said
Sean Eagan, director of governmental affairs for the Port of
Tacoma, in an e-mail interview.
Ironically, the haggling is not over torrents of U.S.-bound
cargo pouring into Canada. According to the Canadian
Embassy, just 2. 5 percent of U.S. containerized imports
moved through Canadian ports in 2010. By contrast, about
6 percent of Canada’s containerized imports passed
through U.S. ports, according to data from the embassy.
WHAT IF …
Puget Sound groups argue the tax should be structured in a
way that does not put U.S. gateways at a competitive disad-
vantage to Mexican and Canadian ports. In its comments to
the FMC, the Port of Seattle said, “User fees must be applied
universally and equitably to all U.S.-bound cargo.” The
Seattle Metropolitan Chamber of Commerce and the
Washington Public Ports Association want the U.S. govern-
ment to close the “land-border loophole” by imposing the
HMT or an equivalent fee on international cargo passing
from Canada by land across the U.S. border. However, such
a move could invite retaliation from Ottawa, leading to a
potentially costly trade war between two closely aligned
trading partners, according to Friedmann.
DOMESTIC DEBATE
For all the discussion about Canada and Mexico, the HMT
uproar may be as much about U.S. domestic tax and infra-
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