Service, Regulatory Updates and Important Notifications
FedEx International Economy DirectDistribution (IED) is a delivery service of bulk shipments from one origin location to multiple addresses at competitive rates. Shipment clears customs as a single unit and then individual pieces are delivered to multiple addresses, bypassing warehouses and middlemen.
We are pleased to announce that effective November 4, 2019, International Economy DirectDistribution (IED) service will be provided for shipments to and from the following markets:
• To and from Japan and China
• From Korea to Japan
• From China to Korea
• From Hong Kong SAR to Australia
• From Singapore to Australia
• From Singapore to Japan
With the new service launch, based on business requirements, customers can now choose either priority or economy distribution services for these lanes.
The UK Parliament has been granted a further extension until January 31, 2020 to the UK’s exit from the European Union (EU).
What does this mean?
The UK was scheduled to leave the EU at 11pm on October 31, 2019. However, a further extension to Article 50 has now been agreed. This extension will last until January 31, 2020, unless a Brexit deal is ratified with an earlier exit date.
For the duration of the extension, the UK will remain within the EU Single Market and your import and export procedures from/to the UK will remain unchanged.
What happens next?
Until a Withdrawal Agreement is passed by the UK Parliament, the legal default position for the UK remains exiting the EU without a deal at the end of the extension period.
While the process of determining how the UK leaves the EU continues, we will be following the Brexit developments closely, assessing impacts and making necessary arrangements to help you implement any new processes and regulations. Find out more from our Brexit toolkit.
Effective September 30, 2019, the correct postal code will be required when you ship to Saudi Arabia. This will allow us to improve service and satisfy regulatory compliance requirements.
It is important to note that on the effective date, FedEx will accept only shipments that have the correct postal code and postal code format. Without this information, you will no longer be able to generate a shipping label using a FedEx automation solution.
If you frequently use the address book feature or other recipient address source, you will need to update any entries for this country to ensure that the correct postal code and format are saved by September 29, 2019.
We recommend updating your recipient delivery address information now to prevent issues with shipping label generation.
Refer to the following table for the postal formats:
|Country Code||Regions||Postal Format Effective September 30, 2019|
|Middle East||NNNNN (5 digits)|
Thank you for taking the time to make this important change to your address book.
Shipping Regulatory Update
The Office of the U.S. Trade Representative (USTR) issued a notice on an increase in Section 301 tariffs on US $200 billion worth of Chinese imports from 10 percent to 25 percent as of 12:01 a.m. Eastern Standard Time on May 10, 2019.
The impacted categories of goods can be found from the link below: https://www.cbp.gov/sites/default/files/assets/documents/2018-Oct/Section301_HTSUS_Ref-Guide_Oct2-2018.pdf
On May 13, China announced its decision to raise the tariff rate imposed on some imported U.S. products as of June 1, 2019. China had earlier imposed additional tariffs on US $60 billion worth of U.S. imports. The additional tariff rates on some products will be increased to 25 percent, 20 percent, and 10 percent. Those commodities with a 5 percent tariff rate will remain 5 percent.
The impacted categories of goods can be viewed on the below link (For your reference): http://gss.mof.gov.cn/zhengwuxinxi/zhengcefabu/201905/t20190513_3256788.html
There is no change on the shipping process and documents required. However, if you need further assistance, please contact your Sales Representative, call our Customer Service Hotline at 080.023.8000.
From 1 July 2018, the Australian Government will introduce a 10% goods and services tax (GST) on the sale of goods valued at AUD1,000 or less, which have been imported into Australia by consumers.
Overseas merchants with annual sales into Australia of AUD75,000 or more will be required to comply with this new legislation. For details please go to the Australian Tax Office website or send an email to AustraliaGST@ato.gov.au.
This new legislation also requires merchants to provide relevant tax information to the transporter of low value goods. FedEx will collect this information electronically via its FedEx shipping software programs. Please click here for the shipping guide on low value goods to Australia.
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