May 2026 Import Updates: Tariffs, Cargo Theft, Chassis Changes and Global Shipping Risks
Global Shipping Risk Is No Longer Limited to One Chokepoint
Global shipping has always depended on a few key waterways, including the Panama Canal, Suez Canal, Strait of Hormuz, and Strait of Malacca. When one of these areas is disrupted, the effect can move far beyond that single location. Cargo may be rerouted, vessel schedules may shift, and other trade lanes may become more crowded as carriers adjust.
For importers, the important point is not to panic. It is to understand that global routing has become more connected. A delay in one part of the world can place added pressure on another route, another port, or another inland network. This is especially important as companies begin planning inventory for the second half of the year.
The concern is no longer just whether one canal or waterway is open. The bigger question is how carriers respond when routes become less predictable. A change in routing can affect transit time, fuel costs, vessel space, equipment balance, and arrival schedules.
This is why importers should give themselves more room in the planning process. Booking earlier, reviewing realistic transit times, watching documentation closely, and staying flexible on routing can help reduce last minute surprises. For companies moving goods from Asia, Europe, the Middle East, or other high volume trade regions, small planning decisions can make a big difference once cargo is already in motion.
At Southern Star Navigation, we help clients look beyond the sailing schedule. Our role is to help coordinate the full movement, watch for changes that may affect routing or timing, and keep clients informed before small issues become larger delays. Global shipping will always involve moving parts, but with the right planning and communication, importers can make better decisions and keep freight moving with more confidence.
Section 122 Tariff Fight Moves to Appeal
On May 7, 2026, the U.S. Court of International Trade issued an important ruling involving the 10% temporary import surcharge imposed under Section 122 of the Trade Act of 1974. The surcharge was created under Proclamation No. 11012 and applied to many imported goods beginning February 24, 2026. The court ruled that Proclamation No. 11012 was invalid because the administration did not meet the legal requirements needed to use Section 122 for this type of tariff. Section 122 is tied to specific international payment problems, such as a large and serious balance of payments deficit. The court found that it could not be used as a broad tariff tool simply because of general concerns about trade deficits or the U.S. trade position. This ruling was important for importers, but the issue is not finished. On May 12, 2026, the U.S. Court of Appeals for the Federal Circuit temporarily stayed the CIT judgments and permanent injunctions while it considers the government’s request for a stay pending appeal. In simple terms, the earlier ruling has been paused while the appeal process moves forward.
That means importers should be careful not to assume that collection has stopped or that refunds will happen automatically. The CIT ruling granted relief to specific plaintiffs, including Burlap & Barrel, Inc., Basic Fun, Inc., and the State of Washington. The claims of the other state plaintiffs were dismissed for lack of standing. Now that the Federal Circuit has stepped in, the final outcome remains active and subject to further court action. For now, the practical takeaway is to stay organized. If your company paid the 10% Section 122 duty, you should identify the affected entries and review them with your customs broker, trade counsel, or internal compliance team. Key items to check include liquidation status, protest deadlines, possible post summary correction opportunities, duty payment records, supporting customs documents, and future CBP or court updates. This is another reminder that tariff recovery is not just about watching headlines. It requires clean entry data, organized records, and timely action. Once protest deadlines or correction windows pass, refund opportunities may become harder to protect, even when litigation is still moving through the courts. Southern Star Navigation will continue monitoring this issue and sharing updates as more guidance becomes available. If your company imports goods that may have been affected by the 10% Section 122 surcharge, now is the time to review your entries and make sure your documentation is in order. To read the May 7 Court of International Trade decision, visit: https://www.cit.uscourts.gov/sites/cit/files/26-47.pdf
A Major Chassis Change Is Coming to LA and Long Beach
A major chassis change is coming to the Ports of Los Angeles and Long Beach on June 1, and many shippers may not realize how it could affect their freight. A chassis is the wheeled frame used to move an ocean container from the port or rail ramp to its final delivery point. For years, the Southern California Pool of Pools helped make that process easier by allowing motor carriers to use shared chassis across the port complex.
That model is now changing. The Pool of Pools began in 2015 with about 80,000 chassis. Today, it is down to about 25,000. Flexi Van exited the pool in 2025, and TRAC is scheduled to leave on June 1, 2026. Once TRAC exits, DCLI will be the only remaining provider in the cooperative structure. This is not just a small operational update. It reflects a larger shift in how chassis are controlled in Southern California, with more equipment now owned or leased by trucking companies instead of managed through the shared pool.
For importers, the concern is not only whether a chassis exists. The bigger issue is whether the right chassis is available at the right place, at the right time, under the right billing rules. Open questions remain around rail ramp access, containers already moving before June 1, return locations, billing on longer inland moves, and how delays could affect demurrage or extra drayage costs. A missed chassis connection can quickly turn into a missed appointment, a delayed delivery, or added fees.
The impact may not show up on every shipment, but when it does, it can create delays quickly. A container can arrive on time and still run into trouble if the right chassis is not available, if the return location changes, or if the move involves both a marine terminal and an inland rail ramp. That is why importers should treat this as a planning issue, not just a port operations update.
For importers using Los Angeles and Long Beach, this is exactly where a freight forwarder adds value. A shipment may look simple on paper, but one change in chassis access, return rules, rail ramp availability, or drayage timing can affect delivery costs and create delays. Southern Star Navigation helps manage these moving parts by coordinating with drayage, rail, and trucking partners so door to door shipments stay on track.
Cyber Cargo Theft Is Rising, and Importers Need to Stay Alert
Cyber enabled cargo theft is becoming a bigger concern for companies that ship, receive, deliver, or insure freight. In a recent public service announcement, the FBI warned that criminal groups are using more advanced tactics to impersonate legitimate businesses, gain access to broker and carrier systems, and redirect shipments before anyone realizes something is wrong. The FBI reported that estimated cargo theft losses in the U.S. and Canada reached nearly $725 million in 2025, a 60% increase from 2024. Confirmed cargo theft incidents also increased by 18%, and the average value per theft rose to $273,990.
What makes this risk different is that the theft does not always begin at the warehouse gate or on the road. In many cases, it starts with a spoofed email, a fake link, a compromised carrier account, or a fraudulent load board posting. The FBI explained that criminals may impersonate brokers or carriers, trick users into downloading malicious files, and then use that access to pose as a trusted company. From there, they can accept real loads, alter paperwork, change delivery instructions, and move cargo away from its intended destination.
For importers, this is a reminder that freight security is not only about locks, seals, and insurance. It is also about verification. Familiar company names, known email addresses, and normal looking paperwork are no longer enough on their own. The FBI recommends independently verifying shipment requests and pickups through secondary methods, using multi-channel verification, and maintaining detailed documentation such as driver photos, licenses, vehicle details, license plates, truck numbers, DOT numbers, and communication records.
The good news is that many of these risks can be reduced with strong processes and careful communication. Importers should be cautious with unexpected links, requests to download documents, sudden changes to pickup or delivery instructions, and emails that use slightly altered domains or free email providers. At Southern Star Navigation, we understand that protecting cargo means watching the full movement, from documentation and booking details to carrier coordination and final delivery. As cargo theft schemes become more sophisticated, working with experienced logistics partners and verifying key shipment details can help keep freight moving safely and reduce costly surprises. Read the FBI alert here
New Tariff Risk Is Still Building
The U.S. Trade Representative is holding Section 301 hearings focused on global manufacturing overcapacity. The investigation covers 16 economies, including China, the European Union, Mexico, Japan, South Korea, Vietnam, India, Taiwan, Thailand, Malaysia, Cambodia, Indonesia, Singapore, Switzerland, Norway, and Bangladesh. The concern is that excess production in key manufacturing sectors may be hurting U.S. industry and changing global trade patterns.
For importers, this is worth watching because Section 301 can lead to new tariffs, added restrictions, or future changes in sourcing strategy. Companies that rely on imported manufactured goods should pay attention to whether their products, suppliers, or countries of origin are part of the discussion.
Even when no immediate action is taken, these investigations can signal where future trade pressure may be headed. Importers should keep their HTS codes, country of origin records, supplier details, and landed cost calculations current so they are not caught off guard if new tariff actions are announced.
Latest Trade Data Shows Import Demand Remains Strong
The latest U.S. trade data shows that import activity remained strong heading into spring. March imports rose to $381.2 billion, up from $372.5 billion in February, while the overall goods and services trade deficit increased to $60.3 billion. Although the data reflects March activity, it was released in May and gives importers a current look at how inbound trade was moving before the summer shipping season.
For importers, the message is not just that more goods entered the country. Higher import levels can affect port flow, customs activity, warehouse timing, drayage demand, and inland transportation planning. When cargo volumes rise, small issues with documents, customs clearance, chassis access, or delivery appointments can create bigger delays once freight reaches the port.
This is also happening while importers are watching tariff changes, court rulings, and new trade policy reviews. That combination makes early planning even more important. Companies with seasonal goods, retail inventory, production materials, or tariff sensitive products should review their shipment timing, landed costs, and documentation before cargo is already on the water.
China Import Volumes Show a Shift in Demand
Recent import data shows that China to U.S. container volumes are running lower than normal for this time of year. China origin imports have been trending lower, with April volumes down from both March and the prior year. LA and Long Beach import volumes are also tracking toward the lower side of recent patterns.
For importers, this does not mean freight planning should slow down. It means there may be a window to review routing, timing, supplier strategy, and landed cost before peak season pressure builds. Softer volume can sometimes create more room for planning, but conditions can change quickly if bookings rise, tariffs shift, or carriers adjust service.
This is a good time for companies to look at upcoming purchase orders, compare routing options, and confirm whether current transit times and costs still make sense. Even in a softer import market, strong planning helps protect against last minute changes once cargo is ready to move. For help reviewing your upcoming China imports, call Southern Star Navigation at 833-782-7628.
Airfreight Remains Important for Time-Sensitive Imports
Airfreight continues to play an important role for importers with urgent cargo, production needs, or high value goods. Recent market data showed China to U.S. airfreight rates rising for the week ending May 3, with that lane still running well above last year’s level. At the same time, rate movement across other lanes remains uneven, which means airfreight costs can vary widely by origin, destination, and urgency.
For importers, the key is to use airfreight carefully. It may not be the right fit for every shipment, but it can be valuable when ocean delays, production deadlines, launch dates, or customer commitments make timing more important than cost alone.
Companies should review which products truly need expedited movement and which can still move by ocean or other planned options. A good freight plan does not rely on one mode. It matches the shipment to the timeline, budget, and business need.
CBP Reports Progress on IEEPA Tariff Refunds Through CAPE
CBP’s latest court filing shows that the CAPE refund process is continuing to move forward. In a May 12, 2026 declaration filed with the Court of International Trade, CBP stated that the first phase of CAPE became available in ACE on April 20, 2026, and that 126,237 CAPE declarations had been submitted as of 7:00 a.m. ET on May 11. Of those, 86,874 declarations passed CBP’s file validations.
The filing also shows meaningful progress at the entry level. CBP reported that accepted CAPE declarations covered 15,123,221 entries that passed entry specific validations and were accepted for IEEPA duty removal. Of those accepted entries, 8,338,081 have already been liquidated or reliquidated without IEEPA duties. CBP estimated the anticipated refund and interest amount for those liquidated or reliquidated entries at approximately $35.46 billion.
One important item for importers to watch is ACH banking information. CBP stated that 1,880 consolidated refunds had not yet been sent to Treasury because ACH account information had not been provided by the importer of record or its authorized CBP Form 4811 designee. This is a positive reminder that CAPE is active and refund processing is underway, but clean records, correct banking information, and continued follow up remain important for importers waiting on refunds.
Read the full CBP Status update
