From Oversight to Action: How the FMC Enforces OSRA 2022 Against Non-Compliant NVOCCs

Annual-report data for fiscal years 2022, 2023, and 2024 show that the Federal Maritime Commission (FMC), emboldened by the Ocean Shipping Reform Act of 2022 (OSRA 2022), is systematically expelling non-compliant non-vessel-operating common carriers (NVOCCs) and other ocean-transportation intermediaries (OTIs) from U.S. trades. License revocations, tariff cancellations, and public “watch lists” now reinforce 46 C.F.R. parts 515 and 520-532 (FMC 61st Ann. Rep. 32-33 (2022); FMC 62d Ann. Rep. 32-33 (2023); FMC 63d Ann. Rep. 34-35 (2024)).

Pandemic Surge and Compliance Gaps
By the end of September 2022 the agency regulated “over 9,000” OTIs (over 5,000 U.S. OTIs and more than 4,000 foreign NVOCCs. This was a dramatic jump attributed to post-COVID pent-up demand (FMC 61st Ann. Rep. 32 (2022)). Many newcomers lacked the three-year , qualifying individual, or surety bond required by part 515, and thousands had never published automated tariffs under part 520 (id.).

Compliance Audits Ramps Up
The Commission’s compliance audit program “reviews the operations of NVOCCs and ocean freight forwarders, identifies aspects of their practices that are noncompliant,” and even examines firms “that hold themselves out as ocean carriers but do not appear to conduct vessel operations.” In FY 2022 the Bureau of Enforcement, Investigations and Compliance (BEIC) opened 103 audits and completed 93, with 10 still pending at year-end; it also logged 191 investigations, 204 enforcement activities, 59 compliance matters, and three formal enforcement proceedings (FMC 61st Ann. Rep. 37 (2022)).

FMC’s Transformation From Judicial to Enforcement Agency
OSRA 2022 converted the FMC “from an agency that primarily regulated through adjudications to a proactive agency,” adding staff to the Bureau of Trade Analysis (BTA) and requiring carrier vetting of every NVOCC before a service contract may be signed (FMC 62d Ann. Rep. 32 (2023)). The BTA now issues industry alerts, enforces tariff maintenance, and posts weekly lists of non-compliant intermediaries (FMC 63d Ann. Rep. 34 (2024)).

FY 2023 Crack-Down on Non-Compliant NVOCCs
In FY 2023 the Commission “took approximately 900 actions to revoke or terminate licenses for OTIs no longer maintaining financial responsibility” and coordinated with tariff publishers to delete unbonded NVOCCs (FMC 62d Ann. Rep. 32-33 (2023)). 11 small carriers that had entered the trans-Pacific during the rate spike were monitored; all left the trade and canceled tariffs by September 2023 (id. 32).

FY 2024 Consistent Crack-Downs Continue
At FY 2024’s close about 8,600 NVOCCs remained active, yet BTA referred nine repeat offenders to the Bureau of Certification and Licensing for license revocation after tariff non-compliance, while “645 actions” removed OTIs that had allowed bonds to lapse, or had failed to file their triennial renewals (FMC 63d Ann. Rep. 34-35 (2024)).

Conclusion
OSRA 2022 has reshaped FMC oversight. Staffing has grown, audits intensified, and non-compliant intermediaries are now removed swiftly. The agency’s weekly disclosures and relentless license-revocation program confirm that the Bureau of Enforcement, Investigations and Compliance is executing Congress’s mandate to police the OTI sector aggressively.

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