<div class="phx-topic abstract-wrapper">I&amp;rsquo;ve been getting a lot of questions recently about the impact on East Coast ports that may not be fully &amp;ldquo;ready&amp;rdquo; for the Panama Canal to expand in 2014.
 
 </div>

I&rsquo;ve been getting a lot of questions recently about the impact on East Coast ports that may not be fully &ldquo;ready&rdquo; for the Panama Canal to expand in 2014.

<div>I&amp;rsquo;ve been getting a lot of questions recently about the impact on East Coast ports that may not be fully &amp;ldquo;ready&amp;rdquo; for the Panama Canal to expand in 2014.For example, New York-New Jersey is signaling that it won&amp;rsquo;t be able to raise the <a>Bayonne Bridge</a> until 2016, while the Georgia Ports Authority is indicating that completion of its <a>48-foot project</a> may also come after the expansion opening date. <a>Baltimore</a> may have 50-feet by 2012 but won&amp;rsquo;t have its CSX National Gateway rail route into the Midwest by 2015.But does any of this it really matter? I don&amp;rsquo;t think so. A...

I&rsquo;ve been getting a lot of questions recently about the impact on East Coast ports that may not be fully &ldquo;ready&rdquo; for the Panama Canal to expand in 2014. For example, New York-New Jersey is signaling that it won&rsquo;t be able to raise the Bayonne Bridge until 2016, while the Georgia Ports Authority is indicating that completion of its 48-foot project may also come after the expansion opening date. Baltimore may have 50-feet by 2012 but won&rsquo;t have its CSX National Gateway rail route into the Midwest by 2015. But does any of this it really matter? I don&rsquo;t think so. A year or two in the world of container shipping isn&rsquo;t a lot of time. I keep hearing that when the canal expands the size of the ships will indeed go up, but only from the 4,500 TEU maximum size of today to 6-8,000 20-foot equivalent container units, not the 12,000 TEUs maximize size that the canal will be able to accommodate. As World Shipping Council president Chris Koch testified in Congress Wednesday, &ldquo;it seems probable that 6‐8,000 TEU ships will become common for several years after the canal is expanded.&rdquo; Well, 8,000 TEU ships are already coming to the coast, whether in the Europe market or from Asia via the Suez canal. They are restricted by height or by draft depending on the tide, and thus getting them in and out of ports not fully able to handle them 24-7 is a challenge. But they are coming despite navigational restrictions at some ports. In other words, this business about ports not being &ldquo;ready&rdquo; for the canal expansion is overblown. -- Peter Tirschwell is senior vice president of strategy at UBM Global Trade. Contact him at ptirschwell@joc.com , and follow him at twitter.com/PeterTirschwell .

Maritime

Forwarding

Port News

Not Ready for Post-Panamax Ships by 2014? Relax.

<div class="phx-topic abstract-wrapper">The parcel giant saw its forwarding and third-party logistics business drop in the fourth quarter due to higher tariffs, and says the weakness will carry over into the first quarter of 2026. </div>

The parcel giant saw its forwarding and third-party logistics business drop in the fourth quarter due to higher tariffs, and says the weakness will carry over into the first quarter of 2026.

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<div class="phx-topic">United Parcel Service saw financial results in its supply chain division fall during the fourth quarter of 2025 amid the pullback in international freight. Although it expects results to improve through the year, UPS said the first quarter of 2026 is still being buffeted by last year’s big changes to US trade policy. UPS reported Monday that its supply chain business saw fourth-quarter revenue decline 12.7% to $2.7 billion, largely due to the impact of lower rates in its air and ocean forwarding business. The segment was also hit with lower volumes for delivering parcel shipments to US Postal service. Operating income for the segment rose 16% thanks to last year’s acquisition of healthcare logistics provider Andlauer, and strong growth in reverse supply chain solutions and in its same-day delivery app usage. The company’s parcel business saw a slight decline in the fourth quarter as higher revenue in its international business rose but could not offset the volume and revenue declines in its US parcel business. <h3>Expects ‘extreme weakness’ in international business </h3>During an earnings call Monday, UPS CFO Brian Dykes said the company’s results are still being impacted by higher US tariffs, the Trump administration’s threats to existing trade agreements with Canada and Mexico, and the end of tariff-free shipments on low-value, international goods that came into the US under the de minimis exemption. Dykes said the company is expecting “extreme weakness” in its international business during the first quarter due to changing North American trade flows and the higher tariffs the US put on Chinese goods. While UPS is pivoting to handle shipments from other Asian countries to the US, the margins on that business are not as high as its China-to-US business. ”There was a lot of pressure both from Canada and Mexico, as well as continued decline in our China-to-US lanes, and really all of our US inbound lanes,” Dykes said. “That’s going to roll over into the first quarter as well.” ”We are going to see extreme weakness in the first quarter that kind of gradually recovers,” he added. “We will lap the tariff impact in May and start to see positive growth from that. And then we’ll lap the de minimis impact in September.” Dykes said the UPS supply chain business should grow by high single-digits in 2026, thanks in part to the Andlauer acquisition. “(But) looking at the first quarter, we expect revenue to be approximately flat with a year-over-year decline in operating profit due to changes in trade lanes and tough comps from the front-running of tariffs and de minimis changes in 2025,” he said. UPS said it’s responding to the changing trade environment by investing outside of US trade lanes. UPS Vice President Kathleen Gutmann said on the call the company has a new air hub in Vietnam that’s operating at 80% capacity. She said the company is still seeing double-digit growth for shipments out of Asia, but “they’re going to Europe and India.” Contact Michael Angell at <a href="mailto:michael.angell@spglobal.com">michael.angell@spglobal.com</a></div>

United Parcel Service saw financial results in its supply chain division fall during the fourth quarter of 2025 amid the pullback in international freight. Although it expects results to improve through the year, UPS said the first quarter of 2026 is still being buffeted by last year’s big changes to US trade policy. UPS reported Monday that its supply chain business saw fourth-quarter revenue decline 12.7% to $2.7 billion, largely due to the impact of lower rates in its air and ocean forwarding business. The segment was also hit with lower volumes for delivering parcel shipments to US Postal service. Operating income for the segment rose 16% thanks to last year’s acquisition of healthcare logistics provider Andlauer, and strong growth in reverse supply chain solutions and in its same-day delivery app usage. The company’s parcel business saw a slight decline in the fourth quarter as higher revenue in its international business rose but could not offset the volume and revenue declines in its US parcel business. Expects ‘extreme weakness’ in international business During an earnings call Monday, UPS CFO Brian Dykes said the company’s results are still being impacted by higher US tariffs, the Trump administration’s threats to existing trade agreements with Canada and Mexico, and the end of tariff-free shipments on low-value, international goods that came into the US under the de minimis exemption. Dykes said the company is expecting “extreme weakness” in its international business during the first quarter due to changing North American trade flows and the higher tariffs the US put on Chinese goods. While UPS is pivoting to handle shipments from other Asian countries to the US, the margins on that business are not as high as its China-to-US business. ”There was a lot of pressure both from Canada and Mexico, as well as continued decline in our China-to-US lanes, and really all of our US inbound lanes,” Dykes said. “That’s going to roll over into the first quarter as well.” ”We are going to see extreme weakness in the first quarter that kind of gradually recovers,” he added. “We will lap the tariff impact in May and start to see positive growth from that. And then we’ll lap the de minimis impact in September.” Dykes said the UPS supply chain business should grow by high single-digits in 2026, thanks in part to the Andlauer acquisition. “(But) looking at the first quarter, we expect revenue to be approximately flat with a year-over-year decline in operating profit due to changes in trade lanes and tough comps from the front-running of tariffs and de minimis changes in 2025,” he said. UPS said it’s responding to the changing trade environment by investing outside of US trade lanes. UPS Vice President Kathleen Gutmann said on the call the company has a new air hub in Vietnam that’s operating at 80% capacity. She said the company is still seeing double-digit growth for shipments out of Asia, but “they’re going to Europe and India.” Contact Michael Angell at michael.angell@spglobal.com

Air Cargo Carriers News

Air Cargo

Supply chain

Changes in US trade policy hitting UPS’ supply chain business

<div class="phx-topic abstract-wrapper">Railroads are restricting train speeds and building shorter trains to reduce the potential for breakdowns and derailments in the bitter cold. </div>

Railroads are restricting train speeds and building shorter trains to reduce the potential for breakdowns and derailments in the bitter cold.

<div class="phx-topic">US Class I railroads on Wednesday remained in recovery mode after severe winter weather impacted a large swath of the country over the weekend, with shippers seeing delays as trains operate at slower speeds as a safety precaution. Railroads have also shortened the average train length to prevent equipment breakdowns in frigid temperatures. Frontline workers must inspect tracks, which contract in the extreme cold and could result in a derailment if not caught in time. Terminals must also slow operations because overhead cranes, lift machines, and hostlers that move containers within the facilities are susceptible to malfunctioning in the cold. Union Pacific Railroad (UP) said the biggest disruptions are happening in Arkansas, Louisiana and Texas, impacting trains to Dallas-Ft. Worth, New Orleans, and Shreveport. There have also been disruptions in Little Rock, Arkansas, where UP handles non-intermodal manifest trains. UP said the West Coast was not impacted, while the northern part of its network recovered quickly. “In that central-east and southern part, they’ve done a spectacular job of recovering,” UP CEO Jim Vena said Tuesday during the company’s fourth-quarter earnings call. “Where it would have taken us weeks to get back [to normal], we should see that ... after a few days.” The railroad said it was 70% recovered as of Tuesday and should be back to normal in terms of infrastructure on Thursday or Friday. BNSF Railway saw the biggest impact on terminals in Haslet, outside of Dallas-Ft. Worth, and Memphis. COFC Logistics, a partner of BNSF for domestic intermodal, warned customers to expect delays getting domestic boxes through those two terminals in the short term. “The overall network is expected to stabilize by the end of the week, with full recovery anticipated early next week,” COFC wrote in an advisory to customers Tuesday afternoon. “Crews continue working through lingering ice in Tulsa, Memphis, and North Fort Worth. Another surge of arctic air is expected Friday into Saturday, and BNSF is positioning additional locomotives where train‑length restrictions will be required.” Norfolk Southern Railway suspended the lifting of international containers on and off trucks in Atlanta on Sunday and Monday, extending free time for any impacted cargo owners. It has since returned to normal operations. <h3>Cutting train lengths </h3>Aside from slowing trains for safety, railroads are running shorter trains because various components such as air and brake systems, bearings, wheels, and locomotives can freeze, crack, or lose power in extreme cold. The longer the train, the greater the risk. Data from rail visibility platform RailState shows the median intermodal train length fell more than 20% in Ohio, 10% in Pennsylvania and 1.4% in Indiana on Sunday and Monday compared with before the storm. In the case of Ohio, the median train length is 1,479 feet shorter post-storm versus pre-storm, which equates to approximately 25 fewer containers on a single-stack train, or 50 boxes if containers are piled two high. The result is that more boxes will be left behind at origin, which means slower trains and longer dwells will create more delays for intermodal shippers in the impacted regions. <h3>Storm impact on truck market </h3>Meanwhile, it is likely the truckload spot market will see an upward pop in rates due to the snowstorm, much like after a hurricane or tornado. Data from providers such as DAT Freight and Analytics is calculated on a rolling three-day and seven-day average, so more information should be available in the coming days. Ken Adamo, DAT’s chief of analytics, does not believe the impact will be as severe as February 2021 when snow, ice, frigid temperatures, and a prolonged blackout in Texas gridlocked truck and rail freight for weeks. “Beyond the precipitation and blowing snow, the deep arctic chill that has settled into a large portion of the country has spiked demand for protect-from-freeze loads and slowed storm cleanup,” Adamo wrote on LinkedIn Wednesday morning. “As a result, the seasonal freefall of rates has abated and shot back up.” Contact Ari Ashe at <a href="mailto:ari.ashe@spglobal.com">ari.ashe@spglobal.com</a>.</div>

US Class I railroads on Wednesday remained in recovery mode after severe winter weather impacted a large swath of the country over the weekend, with shippers seeing delays as trains operate at slower speeds as a safety precaution. Railroads have also shortened the average train length to prevent equipment breakdowns in frigid temperatures. Frontline workers must inspect tracks, which contract in the extreme cold and could result in a derailment if not caught in time. Terminals must also slow operations because overhead cranes, lift machines, and hostlers that move containers within the facilities are susceptible to malfunctioning in the cold. Union Pacific Railroad (UP) said the biggest disruptions are happening in Arkansas, Louisiana and Texas, impacting trains to Dallas-Ft. Worth, New Orleans, and Shreveport. There have also been disruptions in Little Rock, Arkansas, where UP handles non-intermodal manifest trains. UP said the West Coast was not impacted, while the northern part of its network recovered quickly. “In that central-east and southern part, they’ve done a spectacular job of recovering,” UP CEO Jim Vena said Tuesday during the company’s fourth-quarter earnings call. “Where it would have taken us weeks to get back [to normal], we should see that ... after a few days.” The railroad said it was 70% recovered as of Tuesday and should be back to normal in terms of infrastructure on Thursday or Friday. BNSF Railway saw the biggest impact on terminals in Haslet, outside of Dallas-Ft. Worth, and Memphis. COFC Logistics, a partner of BNSF for domestic intermodal, warned customers to expect delays getting domestic boxes through those two terminals in the short term. “The overall network is expected to stabilize by the end of the week, with full recovery anticipated early next week,” COFC wrote in an advisory to customers Tuesday afternoon. “Crews continue working through lingering ice in Tulsa, Memphis, and North Fort Worth. Another surge of arctic air is expected Friday into Saturday, and BNSF is positioning additional locomotives where train‑length restrictions will be required.” Norfolk Southern Railway suspended the lifting of international containers on and off trucks in Atlanta on Sunday and Monday, extending free time for any impacted cargo owners. It has since returned to normal operations. Cutting train lengths Aside from slowing trains for safety, railroads are running shorter trains because various components such as air and brake systems, bearings, wheels, and locomotives can freeze, crack, or lose power in extreme cold. The longer the train, the greater the risk. Data from rail visibility platform RailState shows the median intermodal train length fell more than 20% in Ohio, 10% in Pennsylvania and 1.4% in Indiana on Sunday and Monday compared with before the storm. In the case of Ohio, the median train length is 1,479 feet shorter post-storm versus pre-storm, which equates to approximately 25 fewer containers on a single-stack train, or 50 boxes if containers are piled two high. The result is that more boxes will be left behind at origin, which means slower trains and longer dwells will create more delays for intermodal shippers in the impacted regions. Storm impact on truck market Meanwhile, it is likely the truckload spot market will see an upward pop in rates due to the snowstorm, much like after a hurricane or tornado. Data from providers such as DAT Freight and Analytics is calculated on a rolling three-day and seven-day average, so more information should be available in the coming days. Ken Adamo, DAT’s chief of analytics, does not believe the impact will be as severe as February 2021 when snow, ice, frigid temperatures, and a prolonged blackout in Texas gridlocked truck and rail freight for weeks. “Beyond the precipitation and blowing snow, the deep arctic chill that has settled into a large portion of the country has spiked demand for protect-from-freeze loads and slowed storm cleanup,” Adamo wrote on LinkedIn Wednesday morning. “As a result, the seasonal freefall of rates has abated and shot back up.” Contact Ari Ashe at ari.ashe@spglobal.com .

Rail News

Surface

US rail networks recovering after weekend snowstorm, but delays persist

<div class="phx-topic abstract-wrapper">The latest in a series of extreme winter storms is blowing through the region, this one in southwestern Europe that is suspending terminal operations and halting ferry traffic. </div>

The latest in a series of extreme winter storms is blowing through the region, this one in southwestern Europe that is suspending terminal operations and halting ferry traffic.

<div class="phx-topic">Gale force winds and heavy seas across southwestern Europe have forced container terminals in the West Mediterranean hubs of Tanger-Med and Algeciras to suspend operations. A severe Atlantic storm hit the region earlier this week and is expected to intensify in the coming days and move northward, with gale warnings issued in the Bay of Biscay and the UK. “Terminals in the West Mediterranean have stopped operations with no clear indication of when operations can start again,” Maersk told customers in an advisory Wednesday, warning that weather conditions are expected to worsen. “This situation is affecting the entire industry, and due to the severity and uncertainty of the conditions, we expect delays and closures to continue to impact vessels and terminals across the board,” the carrier added. Waves of up to seven meters on the Atlantic coast and in the Strait of Gibraltar have also halted all ferry traffic between Tangier and southern Spain, with logistics providers reporting a significant buildup of cargo trucks at the Spanish hub of Algeciras. <h3>Weather disruptions in Northern Europe </h3>Europe has been battered by a series of severe winter storms in January, with extreme weather conditions also <a href="https://www.joc.com/article/severe-winter-storm-disrupts-north-europe-port-inland-operations-6148334">disrupting terminal operations at Hamburg, Rotterdam and Antwerp</a>. Kuehne + Nagel’s visibility platform SeaExplorer is reporting “heavily disrupted operations” at Hamburg, with trucks backed up at the CTA and CTB terminals. SeaExplorer said low temperatures are forecast for the rest of this week, and current transport conditions are expected to remain. Freezing temperatures, snow and ice are also impacting terminal and landside operations at Maersk’s Polish hub of Gdansk. “Frozen equipment, together with snow and ice on the roads and railways, are restricting the delivery and collection of cargo,” Maersk said in a separate customer advisory Wednesday. “Truck slots are fully booked, and trains are being delayed or canceled,” the carrier said. “Waterside cargo operations are limited, with reduced container moves per hour due to heavy snowfall and frozen equipment.” Contact Greg Knowler at <a href="">greg.knowler@spglobal.com</a>. </div>

Gale force winds and heavy seas across southwestern Europe have forced container terminals in the West Mediterranean hubs of Tanger-Med and Algeciras to suspend operations. A severe Atlantic storm hit the region earlier this week and is expected to intensify in the coming days and move northward, with gale warnings issued in the Bay of Biscay and the UK. “Terminals in the West Mediterranean have stopped operations with no clear indication of when operations can start again,” Maersk told customers in an advisory Wednesday, warning that weather conditions are expected to worsen. “This situation is affecting the entire industry, and due to the severity and uncertainty of the conditions, we expect delays and closures to continue to impact vessels and terminals across the board,” the carrier added. Waves of up to seven meters on the Atlantic coast and in the Strait of Gibraltar have also halted all ferry traffic between Tangier and southern Spain, with logistics providers reporting a significant buildup of cargo trucks at the Spanish hub of Algeciras. Weather disruptions in Northern Europe Europe has been battered by a series of severe winter storms in January, with extreme weather conditions also disrupting terminal operations at Hamburg, Rotterdam and Antwerp . Kuehne + Nagel’s visibility platform SeaExplorer is reporting “heavily disrupted operations” at Hamburg, with trucks backed up at the CTA and CTB terminals. SeaExplorer said low temperatures are forecast for the rest of this week, and current transport conditions are expected to remain. Freezing temperatures, snow and ice are also impacting terminal and landside operations at Maersk’s Polish hub of Gdansk. “Frozen equipment, together with snow and ice on the roads and railways, are restricting the delivery and collection of cargo,” Maersk said in a separate customer advisory Wednesday. “Truck slots are fully booked, and trains are being delayed or canceled,” the carrier said. “Waterside cargo operations are limited, with reduced container moves per hour due to heavy snowfall and frozen equipment.” Contact Greg Knowler at  greg.knowler@spglobal.com . 

Container lines

Asia-Europe

International ports

New Atlantic storm shuts West Mediterranean container hubs

<div class="phx-topic abstract-wrapper">The latest orders increase Evergreen’s capacity backlog to 926,000 TEUs, boosting the carrier’s total capacity on the water and on order to almost 2.85 million TEUs and making it the world’s fifth-largest container line.</div>

The latest orders increase Evergreen’s capacity backlog to 926,000 TEUs, boosting the carrier’s total capacity on the water and on order to almost 2.85 million TEUs and making it the world’s fifth-largest container line.

<div class="phx-topic">Taiwan's Evergreen Marine is continuing to lock in new tonnage after approving a pair of shipbuilding orders with two Chinese shipyards worth up to almost $1.5 billion for 23 vessels. Both contracts were approved by Evergreen directors at a meeting Tuesday. The larger of the two deals was placed with CSSC Huangpu Wenchong Shipbuilding for 16 3,100-TEU container ships. Evergreen said the order is worth between $736 million and $896 million. The second contract, valued at between $469 million and $574 million, is for seven 5,900-TEU ships that will be constructed by Jiangsu New Yangzi Shipbuilding. Evergreen did not specify the fuel type the ships would use, when they would be delivered or where they would be deployed. Shipbrokers, though, said the ships are likely to join the Evergreen fleet in 2028 and 2029. The carrier <a href="https://www.joc.com/article/evergreen-to-expand-latin-america-middle-east-services-6087379">said in September</a> that it would deploy 3,000-TEU capacity ships on Caribbean services by 2030. <div class="wrapper-narrow"><dynamic-object type="jocchartid" resource-id="b329b55b-f24b-4c28-90ae-63ad99a09181"></dynamic-object></div>The new deals approved Tuesday follow contracts <a href="https://www.joc.com/article/evergreen-says-will-spend-almost-3-billion-on-14-new-lng-fueled-ships-6114739">Evergreen inked in November</a> worth almost $3 billion for 14 14,000-TEU LNG-powered container ships. The latest orders increase Evergreen’s capacity backlog to 926,000 TEUs, boosting the carrier’s total capacity on the water and on order to almost 2.85 million TEUs and making it the world’s fifth-largest container line, according to data from Sea-web, a sister company of the Journal of Commerce within S&amp;P Global. Evergreen is still some way behind fourth-placed Cosco Shipping Holdings, which has a total capacity comprising ships in service and on order by Cosco Shipping and its Hong Kong affiliate OOCL of 4.2 million TEUs. The latest Evergreen orders also boost the total container ship order book to 1,275 ships totaling 11.5 million TEUs, equivalent to more than 34% of the existing fleet, to be delivered between 2026 and 2030, according to the latest data from British shipbroker Clarksons. Contact Keith Wallis at <a href="mailto:keithwallis@hotmail.com">keithwallis@hotmail.com</a>.</div>

Taiwan's Evergreen Marine is continuing to lock in new tonnage after approving a pair of shipbuilding orders with two Chinese shipyards worth up to almost $1.5 billion for 23 vessels. Both contracts were approved by Evergreen directors at a meeting Tuesday. The larger of the two deals was placed with CSSC Huangpu Wenchong Shipbuilding for 16 3,100-TEU container ships. Evergreen said the order is worth between $736 million and $896 million. The second contract, valued at between $469 million and $574 million, is for seven 5,900-TEU ships that will be constructed by Jiangsu New Yangzi Shipbuilding. Evergreen did not specify the fuel type the ships would use, when they would be delivered or where they would be deployed. Shipbrokers, though, said the ships are likely to join the Evergreen fleet in 2028 and 2029. The carrier said in September that it would deploy 3,000-TEU capacity ships on Caribbean services by 2030. The new deals approved Tuesday follow contracts Evergreen inked in November worth almost $3 billion for 14 14,000-TEU LNG-powered container ships. The latest orders increase Evergreen’s capacity backlog to 926,000 TEUs, boosting the carrier’s total capacity on the water and on order to almost 2.85 million TEUs and making it the world’s fifth-largest container line, according to data from Sea-web, a sister company of the Journal of Commerce within S&P Global. Evergreen is still some way behind fourth-placed Cosco Shipping Holdings, which has a total capacity comprising ships in service and on order by Cosco Shipping and its Hong Kong affiliate OOCL of 4.2 million TEUs. The latest Evergreen orders also boost the total container ship order book to 1,275 ships totaling 11.5 million TEUs, equivalent to more than 34% of the existing fleet, to be delivered between 2026 and 2030, according to the latest data from British shipbroker Clarksons. Contact Keith Wallis at keithwallis@hotmail.com .

Container Shipping News

Evergreen adds to order backlog with deals for 23 ships worth up to almost $1.5 billion

<div class="phx-topic abstract-wrapper">The logistics payments vendor has partnered with fellow software provider Gnosis Freight to enable payments at other stages of a containerized shipment lifecycle.</div>

The logistics payments vendor has partnered with fellow software provider Gnosis Freight to enable payments at other stages of a containerized shipment lifecycle.

<div class="phx-topic">Logistics payment software vendor PayCargo on Wednesday said it is broadening its reach to underpin a wider range of international transportation transactions. The company has traditionally focused on facilitating payments tied to cargo release from third-party logistics companies to ocean carriers, first as a pure payments transaction portal and then by established direct feeds with customers and shipping lines. The expansion announced Wednesday will see PayCargo enable payments in adjacent transactions, particularly around storage fees that accrue at various points in the lifecycle of a containerized shipment. PayCargo CEO Eduardo Del Riego told the Journal of Commerce the new capability has been co-developed with fellow software vendor Gnosis Freight, whose container lifecycle management product is primarily aimed at beneficial cargo owners (BCOs). The two companies had worked in partnership over the last year in co-developing a payment portal for Hapag-Lloyd that the shipping line’s customers could use to pay invoices. The two will now co-sell the ability to use PayCargo’s extended payment capabilities to their respective customer bases: PayCargo to the 40,000 regular logistics service provider users of its platform, and Gnosis to its BCO customers. “It’s an opportunity for us to execute additional payments,” Del Riego said. <h3>Goal is to ‘go global’ </h3>The extended product also introduces accounts payable automation designed to let PayCargo’s customers manage more payments without increasing headcount. The automation pulls accrued amounts from the payer’s systems and matches it with the prospective invoiced amount from the shipping line or other payee, with the intent to eliminate errors before an invoice is issued. The AP automation was built as PayCargo realized it “had to bring something other than payment” to scale the business, Del Riego said. “The goal is broader relationships with existing customers and to go global.” He said 90% of PayCargo’s business is North America-based, but the company has plans to grow in Europe and Asia, with a 30-member team based out of Madrid to provide 24-hour customer service. The Hapag-Lloyd portal, meanwhile, is being rolled out globally, and Del Riego said “the goal is to have more customers like that. We follow where our customers want us to be.” Contact Eric Johnson at <a href="mailto:eric.johnson@spglobal.com">eric.johnson@spglobal.com</a>.</div>

Logistics payment software vendor PayCargo on Wednesday said it is broadening its reach to underpin a wider range of international transportation transactions. The company has traditionally focused on facilitating payments tied to cargo release from third-party logistics companies to ocean carriers, first as a pure payments transaction portal and then by established direct feeds with customers and shipping lines. The expansion announced Wednesday will see PayCargo enable payments in adjacent transactions, particularly around storage fees that accrue at various points in the lifecycle of a containerized shipment. PayCargo CEO Eduardo Del Riego told the Journal of Commerce the new capability has been co-developed with fellow software vendor Gnosis Freight, whose container lifecycle management product is primarily aimed at beneficial cargo owners (BCOs). The two companies had worked in partnership over the last year in co-developing a payment portal for Hapag-Lloyd that the shipping line’s customers could use to pay invoices. The two will now co-sell the ability to use PayCargo’s extended payment capabilities to their respective customer bases: PayCargo to the 40,000 regular logistics service provider users of its platform, and Gnosis to its BCO customers. “It’s an opportunity for us to execute additional payments,” Del Riego said. Goal is to ‘go global’ The extended product also introduces accounts payable automation designed to let PayCargo’s customers manage more payments without increasing headcount. The automation pulls accrued amounts from the payer’s systems and matches it with the prospective invoiced amount from the shipping line or other payee, with the intent to eliminate errors before an invoice is issued. The AP automation was built as PayCargo realized it “had to bring something other than payment” to scale the business, Del Riego said. “The goal is broader relationships with existing customers and to go global.” He said 90% of PayCargo’s business is North America-based, but the company has plans to grow in Europe and Asia, with a 30-member team based out of Madrid to provide 24-hour customer service. The Hapag-Lloyd portal, meanwhile, is being rolled out globally, and Del Riego said “the goal is to have more customers like that. We follow where our customers want us to be.” Contact Eric Johnson at eric.johnson@spglobal.com .

Logistics Technology News

PayCargo expanding footprint beyond ocean freight cargo release

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The only editorially independent conference for the breakbulk & project cargo industry

Breakbulk Conference - Rectangle Box

Attend Breakbulk26

The latest port news from the Journal of Commerce spans the globe from North Carolina and Florida to Shanghai and Singapore. Port news includes port automation, terminal construction projects, the future of decarbonization and net-zero shipping, dredging, port hinterland connectivity, labor, disruption, port congestion and cargo flow.

Marine terminals

Longshore labor

Drayage

Port infrastructure

Breakbulk ports

North American ports

Stay informed on port news worldwide with Journal of Commerce. From decarbonization to labor updates, get insights on global developments.

Port News | Journal of Commerce

The Journal of Commerce is the industry’s source for maritime news and analysis about ocean container shipping, logistics, supply chains, global shipping ports, shipping technology solutions and end-to-end connectivity. Coverage tracks the movement of containerized cargo — from origin to destination — handled by marine terminals in the US and abroad, depots, container ports, container lines, drayage, consignees and shippers, forwarders, non-vessel operating common carriers (NVOs) and off-dock warehousing providers, as well as pricing, capacity, volume and reliability on the trans-Pacific, Asia–Europe, North America–Caribbean, Central and South American and intra-Asia trades.

Discover comprehensive trucking news and trends with Journal of Commerce - from trucking LTL to regulation and trucking supply and demand.

Breakbulk News shipping | Journal of Commerce

Breakbulk News

Container shipping news and analysis of ocean container shipping, logistics, supply chains, technology and end-to-end connectivity.

Container Shipping News | Journal of Commerce

News and analysis of ocean containerized cargo movement, logistics, supply chains, technology, and end-to-end connectivity. Maritime news and analysis of containerized ocean cargo movement, breakbulk and roll-on and roll-off shipping from origin to destination.

Latest News

More News & Analysis

Changes in US trade policy hitting UPS’ supply chain business

US rail networks recovering after weekend snowstorm, but delays persist

New Atlantic storm shuts West Mediterranean container hubs