Antwerp

ICS2 Phase 2: What you need to know and how we can help

On 4th December 2024, Phase 2 of the Import Control System 2 (ICS2) was deployed, requiring maritime and inland waterways house-level filers, including Metro, to directly submit detailed safety and security data to EU customs authorities.

ICS2 is the EU’s advanced customs system designed to enhance supply chain security and facilitate smooth trade across its external borders. By collecting and analysing cargo data in advance, ICS2 allows customs authorities to identify risks early, ensuring efficient processing of low-risk goods while prioritising inspections for high-risk consignments.

Key benefits of ICS2

ICS2 streamlines customs procedures while securing the supply chain by:
Proactively identifying high-risk consignments for early intervention.
Reducing delays and costs through faster and smoother cross-border clearance.
Simplifying data exchange between Economic Operators (EOs) and customs authorities.

Enhanced data requirements
To comply with ICS2, all exporters and logistics providers must provide comprehensive data via the Entry Summary Declaration (ENS), including:

6-digit Harmonised System Code.
Commercial descriptions of goods.
EU-registered EORI numbers.

Complete details of the seller, buyer, and consignee.Prompt submission of this data enables accurate risk assessments, helping to avoid shipment delays.

ENS filing timelines

For maritime transport, ENS submissions must adhere to strict timelines:
1. Two hours before arrival at the first EU port of entry for goods from nearby regions (e.g., Greenland, Morocco, or the Mediterranean) with journeys under 24 hours.
2. Four hours before arrival for bulk cargo in other cases.
3. 24 hours before loading for containerised cargo on longer journeys.

Please note, some carriers may require submissions earlier, such as 24 hours before the estimated time of arrival (ETA) at the port of departure.

Implementation timeline
ICS2 is being deployed in three stages:

1.3rd June 2024: Maritime and inland waterways carriers.
2.4th December 2024: Maritime and inland waterways house-level filers.
3.1st April 2025: Road and rail carriers.

Since 4th December, Metro has been filing directly with EU customs authorities, ensuring compliance and early clearance of shipments. Non-compliance or incomplete ENS submissions can result in shipment delays, stops, and fines.

How we support your compliance

To simplify your compliance with ICS2 Phase 2, we’ve adapted our CuDoS customs brokerage platform to integrate seamlessly with the Shared Trader Interface (STI). This ensures your shipments are cleared early in the process, avoiding costly disruptions.

Our dedicated brokerage team is here to:
Guide you through ICS2 requirements.
Assist with data provision and ENS submissions.
Provide comprehensive support for import and export documentation across the EU.

Don’t let delays or penalties impact your operations. EMAIL Andy Fitchett today to learn how we can help ensure a seamless transition to ICS2 Phase 2 and keep your supply chain moving smoothly.

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2024: Reflecting on a Dynamic Year in Global Supply Chains

As 2024 comes to an end, we look back at a year filled with extraordinary events that shaped the global supply chain landscape. From geopolitical challenges to shifts in logistics trends, the past year has underscored the importance of resilience, adaptability, and innovation in our industry.

Here are just a few of the major supply chain developments we covered and that defined 2024:

Houthi attacks in the Red Sea: The crisis continues, forcing vessels to divert around the southern tip of Africa, creating new delays and challenges for global trade.

Global RoRo capacity shortages: The shipping of automobiles was heavily impacted as carriers grappled with fleet reductions from the pandemic.

Labour unrest: Strikes surged 42% year-over-year, including a six-week standstill at the Ports of Los Angeles and Long Beach.

Port of Baltimore closure: The collision and collapse of the Francis Scott Key Bridge caused a three-month disruption.

eCommerce growth: Air freight demand soared on Asia-North America lanes as online shopping reached new heights.

ILA strike: A three-day US East Coast dockworker strike in October highlighted ongoing tensions over automation, with another strike looming in January 2025.

Global reefer shortages: The demand for refrigerated containers remains unmet, impacting perishable goods transport.

Political shifts: The re-election of Donald Trump signals potential changes in trade policies, with protectionism and tariffs on the horizon.

Shipping alliances: New alliances reshaped container shipping routes, including Maersk’s departure from Felixstowe.

Metro’s Highlights

2024 was also a year of achievements for Metro Shipping:

Air Freight Business of the Year: We were proud to receive this accolade at the Logistics UK Awards.

Road freight expansion: Our growing road freight division continues to support our clients’ evolving needs.

Publishing sector portfolio launch: We introduced tailored logistics solutions for the publishing industry.

Great Place to Work: Metro was officially accredited, reflecting our commitment to a positive and empowering workplace culture.

As we get ready to step into 2025, we are prepared to face challenges head-on, supporting our customers with expert insights, seamless operations, and innovative solutions.

Thank you for your trust and partnership in 2024.

Wishing you a wonderful holiday season and a successful year ahead.

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Preparing for Chinese New Year: Avoiding supply chain disruption in 2025

Chinese New Year (CNY) is a time of celebration across China but presents significant challenges for shippers and careful planning is essential to navigate the disruption effectively.

In 2025, the holiday officially runs from 29th January to 4th February, with its effects on production and logistics stretching weeks before and after these dates.

Production and logistics in China begin slowing well before the official holiday period. Workers start taking leave in early January, significantly reducing manufacturing output by mid-month. During the official CNY public holidays, factories, ports, and freight services shut down entirely. Although operations resume after the Lantern Festival on 12th February, it can take until mid-March for production and shipping networks to return to normal capacity.

This extended downtime creates a ripple effect across industries dependent on Chinese manufacturing, including electronics, textiles, toys, and automotive parts. The period is characterised by delayed production schedules, increased freight costs, and severe supply chain bottlenecks.

Key challenges during CNY
1. Severe delays: Factory closures lead to delayed production and delivery schedules, particularly for industries with complex supply chains.

2. Increased costs: Freight rates spike before the holiday due to high demand, often including peak season surcharges. Post-CNY, container shortages and port congestion further inflate costs.

3. Labour shortages: Even after the holiday ends, the staggered return of workers impacts production capacity, causing additional delays.

4. Inventory challenges: Businesses relying on “just-in-time” manufacturing face stock shortages as lead times lengthen significantly.

Mitigation strategies for businesses
To minimise disruption, businesses must adopt proactive strategies to maintain continuity during and after the CNY period.

Plan shipments early: Secure carrier bookings well in advance to avoid delays or last-minute surcharges. Less-than-container loads (LCL) can offer flexibility if full container capacity is unavailable.

Diversify suppliers and routes: Reduce dependency on single suppliers or ports. Consider alternative shipping methods, such as air freight, to mitigate delays.

Optimise inventory management: Build up stock levels for high-demand products before January to account for production slowdowns.

Enhance communication: Collaborate with suppliers, logistics providers, and customers to align timelines and contingency plans. Clear communication ensures all parties are prepared for potential delays.

Post-holiday recovery: Prepare for a gradual return to normalcy by staggering production schedules and allocating resources to handle delayed shipments.

Key dates to consider
22nd January to 9th February 2025: Potential for reduced production.
29th January to 4th February 2025: Official public holidays.
12th February 2025: Lantern Festival; operations typically resume.

Metro’s proactive strategies, powered by our advanced MVT technology, keep your supply chain running smoothly during Chinese New Year.

With our MVT technology, vendor management is seamless and fully transparent down to SKU level. This powerful tool empowers you to monitor every milestone in your supply chain, enabling timely and informed decisions to effectively navigate challenges.

Chinese New Year doesn’t have to disrupt your operations. With Metro’s expertise, global partnerships, and cutting-edge MVT technology, you can avoid delays, optimise costs, and maintain critical inventory levels.

EMAIL Andrew Smith, Chief Commercial Officer, today to discover how Metro can support your supply chain through Chinese New Year 2025.

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FTSE 100 firms identify supply chain threats as a principal risk

A recent study by the Boston Consulting Group, reveals that 72% of FTSE 100 companies now identify supply chain threats as a principal risk to their operations.

This heightened concern follows significant disruptions such as the Suez Canal blockage, the COVID-19 pandemic, and the Red Sea shipping crisis, which have exposed vulnerabilities in global supply chains.

Despite widespread acknowledgment of these risks, only 54 of the FTSE 100 companies have provided shareholders with detailed information on their mitigation strategies. This lack of transparency underscores the need for more robust communication regarding risk management practices.

To address these challenges, companies are implementing various strategies:

  • Supplier engagement: Regular meetings with suppliers to monitor and share potential risks.
  • Risk documentation: Compiling and updating ‘risk registers’ to document supplier-specific risks.
  • Inventory management: Maintaining higher levels of ‘buffer’ stock to mitigate short-term crises.
  • Diversification: Expanding supply chain streams to prevent business interruptions.

Technological solutions are also being leveraged to enhance resilience. Companies are implementing robust cybersecurity measures, utilising artificial intelligence for supply chain design and monitoring, deploying algorithms to identify high-risk raw materials, and conducting comprehensive assessments of suppliers’ financial resilience and infrastructure.

Supply chain risks have now reached the boardroom, with discussions taking place within executive and audit committees. This elevation in priority reflects the critical importance of supply chain stability to overall business operations.

The findings emphasise the necessity for businesses to prioritise transparency, technological innovation, and strategic planning in their supply chain management. As risks continue to evolve, proactive risk management has become a vital component of corporate governance.

Metro’s advanced supply chain technology

Metro’s proprietary cutting-edge supply chain technology has been conceived and designed to enhance visibility, control, and efficiency. The AI-driven solutions provide real-time insights into supply chain operations, enabling companies to anticipate disruptions and respond swiftly. Features include comprehensive purchase order management, multi-modal track and trace capabilities, and consignment management tools. Additionally, the MVT ECO platform allows shippers to forecast, measure, and offset global supply chain emissions, supporting sustainability goals. By integrating these technologies, businesses can strengthen their supply chain resilience and maintain operational continuity in an increasingly complex global environment.

Metro is leading the industry in developing the technologies and platforms that simplify and support the development of resilient, agile and adaptable supply chains.

Visibility, control, environmental, and customs modules, blend together with integrations of critical digital trade documents, to provide an unparalleled supply chain platform.

EMAIL Ian Powell for further Information on our digital capabilities and how we can protect and enhance your global trade and business growth ambitions.