<div class="phx-topic abstract-wrapper">While Ocean Network Express is waiving detention penalties tied to the coronavirus, other ocean carriers have not shown as much flexibility when cargo owners cannot return empty boxes during the supply chain disruption.</div>

While Ocean Network Express is waiving detention penalties tied to the coronavirus, other ocean carriers have not shown as much flexibility when cargo owners cannot return empty boxes during the supply chain disruption.

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<div>Shippers and truckers are raising the alarm on how blank sailings linked to the coronavirus disease 2019 (COVID-19) will cause a rash of detention penalties between $100 to $200 per day if it remains difficult to return empty containers to terminals in Los Angeles and Long Beach.While Ocean Network Express (ONE) is waiving detention fees, according to a Feb. 25 advisory from the company, other steamship lines haven’t provided such amnesty, say motor carriers. Container lines may be reluctant to waive such fees, considering the volume slump caused by COVID-19 is costing them $300 to 350 million weekly, according to...

Shippers and truckers are raising the alarm on how blank sailings linked to the coronavirus disease 2019 (COVID-19) will cause a rash of detention penalties between $100 to $200 per day if it remains difficult to return empty containers to terminals in Los Angeles and Long Beach. While Ocean Network Express (ONE) is waiving detention fees, according to a Feb. 25 advisory from the company, other steamship lines haven’t provided such amnesty, say motor carriers. Container lines may be reluctant to waive such fees, considering the volume slump caused by COVID-19 is costing them $300 to 350 million weekly, according to consultancy Sea-Intelligence Maritime Consulting. There are limits to the leniency carriers will show, however, with ONE saying it won’t reimburse for storage or escalating fees. That resistance is causing trucker and cargo owner frustration about being penalized for factors they argue are beyond their control. “From an administrative standpoint, the other steamship lines are making it an onerous process to dispute detention/per diem right now,” said Robert Loya, vice president of CMI West, a drayage provider in Southern California owned by NFI Industries. Most of the container terminal operators in the Los Angeles-Long Beach port complex began to manage the return of empty boxes last month in order to avoid yard congestion. “If you fill up a terminal with empties, you don’t have enough space to handle the containers that are coming in. That’s the issue,” said Ed DeNike, president of SSA Containers. Some terminals last month began notifying beneficial cargo owners (BCOs) they would only issue appointments to return empty containers if the trucker retrieved a full container, known as a dual transaction. Other terminals began to refuse returns of all empty containers. Several terminal operators told JOC.com that is necessary because of the reduction of outbound vessel capacity needed to return the empties to Asia, and available terminal space is becoming scarce. Blank sailings have also reduced import volumes so much that work shifts in Los Angeles-Long Beach have been canceled over the past couple of weeks, ostensibly to save on longshore labor costs. According to a schedule of gate closures shared with JOC.com, individual terminals in Los Angeles-Long Beach have announced 25 day or evening work shifts that will be canceled this week from Monday through Friday. The semantics game on fee waivers Photo credit: Noatum Logistics. During the Federal Maritime Commission’s investigation into detention and demurrage, ocean carrier sources told JOC.com it’s common to extend free time when a terminal is completely closed. If a hurricane shuts down a terminal, for example, a BCO shouldn’t lose a free day to pick up or return containers. The coronavirus detention discussion, however, is more complicated because restrictions, such as a dual transaction requirement, are different than closures. Even eliminating one shift isn’t the same as a shutdown; limited access is different than no access. Even if one terminal isn’t accepting an empty, that doesn’t mean an ocean carrier can’t push back on detention. “That assumes it’s the only location taking the empty [box]. If the steamship line gives you three locations and one is closed or not taking the empty, you’ve got two other options,” Loya said. “What is happening right now, though, is the first may not take the empty, the second has no available appointments, and the third requires a dual transaction.” BCOs and truckers can argue that it’s unreasonable to charge detention/per diem. An ocean carrier, however, can counter that drayman has a responsibility to book an appointment before the slots fill up, or to schedule a dual transaction, thus penalties shouldn’t be waived. Address disruptions in service contracts What a BCO can do to dispute detention/per diem penalties depends on the contract. If the ocean carrier bills the motor carrier under merchant haulage, then the Uniform Intermodal Interchange and Facilities Access Agreement (UIIA) is an avenue to resolve the dispute. If the ocean carrier bills the BCO under a door delivery, the UIIA doesn’t apply. Lori Fellmer, vice president of logistics and carrier management with BassTech International, recommends BCOs address disruptions in their service contract. Even if the coronavirus is an extraordinary event, there have been enough disruptions in Southern California that a BCO should negotiate the issue. “Not every BCO has the leverage to get language into a contract,” Fellmer said. “But you can have these conversations with your steamship lines, even if it’s not in your contract. Unfortunately, a steamship line can, at any moment, publish something in a tariff that puts the BCO on the hook if all else fails.” Keeping documents is also crucial to fighting a detention/per diem penalty, sources say. They recommend saving emails, taking screenshots if a portal shows no available appointments, and following up phone calls with an email summarizing the contents of the conversation. “We always ask the recipient in a follow-up email to let us know if there is anything we misunderstood,” said Rachael Acker, logistics manager with Wolverine Worldwide, Inc. “That way, both sides have a common understanding of what was discussed on the phone call.” Contact Ari Ashe at ari.ashe@ihsmarkit.com and follow him on Twitter: @arijashe .

North American ports

US truckers, shippers resist coronavirus-linked detention fees

<div class="phx-topic abstract-wrapper">The ocean carrier and logistics provider has big investments in Panama already but may lack dedicated berth space for ships if MSC swoops in on two big container terminals there.</div>

The ocean carrier and logistics provider has big investments in Panama already but may lack dedicated berth space for ships if MSC swoops in on two big container terminals there.

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<div class="phx-topic">Maersk signaled its interest in helping develop the Panama Canal’s yet-to-be built container terminals, as the carrier faces the prospect of its former alliance partner Mediterranean Shipping Co. (MSC) taking control of Panama’s current terminal assets. Speaking at an event Oct. 9 sponsored by Denmark’s embassy in Colombia, Maersk Chief Executive Vincent Clerc said his company may invest in the new terminals the Panama Canal Authority (ACP) hopes build on both sides of the canal. This summer, <a href="https://www.joc.com/article/panama-canal-mulls-developing-corozal-to-allay-neutrality-fears-over-hutchison-deal-6023330">the ACP said it was looking to develop container terminals</a> on the Pacific side at Corozal and on the Atlantic side near Colon. According to local press reports about the event, the ACP is starting its outreach to ocean carriers and terminal operators about the new terminal concessions, with a formal tender expected in the second half of 2026. The new terminals are part of Panama’s response to US government concerns about Chinese conglomerate CK Hutchison owning terminals on both sides of the canal. President Donald Trump has repeatedly pressured Panama’s government about selling the terminals to a non-Chinese firm, despite <a href="https://www.joc.com/article/panama-canal-transit-data-belies-trumps-claims-of-chinas-control-project44-5948559">no evidence of US-bound ships receiving less preferential treatment for canal transits</a>. ACP President Ricuarte Vasquez Morales has said the canal needs more common carrier terminal capacity. MSC’s Terminal Investment Limited subsidiary and BlackRock’s Global Infrastructure Partners have emerged as the leading bidders for the terminals in Colon and Balboa. The sale, though, faces a lengthy regulatory review, plus the potential inclusion of Cosco Shipping as another partner as <a href="https://www.joc.com/article/beijing-issues-warning-over-hutchisons-proposed-sale-of-panama-ports-company-5962910">a sop to China for approving Hutchison’s sale of the terminals</a>. Hutchison has confirmed that a “major strategic investor from China” was looking to be part of a Hutchison acquisition. An MSC takeover of the two terminals could shut out Maersk from an important transshipment point for its north-south services. Over the past 12 months, Maersk-operated containerships have made 1,345 calls to Panama’s ports, according to data from SeaWeb, a sister product of the Journal of Commerce within S&amp;P Global. MSC, as well, is a heavy user of Panama’s terminals, with 1,563 calls over the same time. In April, <a href="https://www.joc.com/article/apm-acquires-first-railroad-asset-with-deal-for-panama-canals-short-line-5975493">Maersk bought the Panama Canal Railway</a>, the short-line railroad that links the ports of Balboa and Colon. Maersk, which is the railway’s largest customer, also operates a logistics park in the country. Contact Michael Angell at <a href="mailto:michael.angell@spglobal.com">michael.angell@spglobal.com</a> </div>

Maersk signaled its interest in helping develop the Panama Canal’s yet-to-be built container terminals, as the carrier faces the prospect of its former alliance partner Mediterranean Shipping Co. (MSC) taking control of Panama’s current terminal assets. Speaking at an event Oct. 9 sponsored by Denmark’s embassy in Colombia, Maersk Chief Executive Vincent Clerc said his company may invest in the new terminals the Panama Canal Authority (ACP) hopes build on both sides of the canal. This summer, the ACP said it was looking to develop container terminals on the Pacific side at Corozal and on the Atlantic side near Colon. According to local press reports about the event, the ACP is starting its outreach to ocean carriers and terminal operators about the new terminal concessions, with a formal tender expected in the second half of 2026. The new terminals are part of Panama’s response to US government concerns about Chinese conglomerate CK Hutchison owning terminals on both sides of the canal. President Donald Trump has repeatedly pressured Panama’s government about selling the terminals to a non-Chinese firm, despite no evidence of US-bound ships receiving less preferential treatment for canal transits . ACP President Ricuarte Vasquez Morales has said the canal needs more common carrier terminal capacity. MSC’s Terminal Investment Limited subsidiary and BlackRock’s Global Infrastructure Partners have emerged as the leading bidders for the terminals in Colon and Balboa. The sale, though, faces a lengthy regulatory review, plus the potential inclusion of Cosco Shipping as another partner as a sop to China for approving Hutchison’s sale of the terminals . Hutchison has confirmed that a “major strategic investor from China” was looking to be part of a Hutchison acquisition. An MSC takeover of the two terminals could shut out Maersk from an important transshipment point for its north-south services. Over the past 12 months, Maersk-operated containerships have made 1,345 calls to Panama’s ports, according to data from SeaWeb, a sister product of the Journal of Commerce within S&P Global. MSC, as well, is a heavy user of Panama’s terminals, with 1,563 calls over the same time. In April, Maersk bought the Panama Canal Railway , the short-line railroad that links the ports of Balboa and Colon. Maersk, which is the railway’s largest customer, also operates a logistics park in the country. Contact Michael Angell at michael.angell@spglobal.com

Container lines

Marine terminals

International ports

Maersk considering investment in Panama’s new terminals

<div class="phx-topic abstract-wrapper">Companies large and small — from C.H. Robinson to ShipAngel — are unveiling new suites of AI agents to augment their customers’ capacities and help them organize unstructured data.</div>

Companies large and small — from C.H. Robinson to ShipAngel — are unveiling new suites of AI agents to augment their customers’ capacities and help them organize unstructured data.

<div class="phx-topic">The march of artificial AI into the world of logistics is accelerating, specifically around the development of AI agents built directly into standalone software or tools provided by third-party logistics providers (3PLs). Those advancements are impacting key processes in both the international and domestic logistics environment, including demand planning and auditing freight bills, but more broadly agents are popping up in virtually every software platform with which shippers interact. Yet, there remains confusion and residual skepticism about the extent to which AI agents can transform logistics workforces. Most logistics professionals have a sense they are either already using AI agents or interacting with them in an unseen way but aren’t yet experiencing a different way of working. As more major logistics players make investments in agentic AI, that could soon change. The latest example is C.H. Robinson, which on Monday said it has enhanced its ability to use AI to uncover data from sources where it has been traditionally hard to extract and categorize information. C.H. Robinson, the largest US freight broker and a top 10 ocean forwarder, has <a href="https://www.joc.com/article/truckload-brokers-eye-human-technology-balance-as-ai-takes-hold-5876340">leaned heavily into AI</a> over the last few years as a means to reshape its business. “With agentic AI, we’re unlocking the value trapped in unstructured data: phone calls, emails, tribal knowledge,” the company’s chief technology officer, Mike Neill, said in a statement Monday. “In September alone, one of our AI agents captured 318,000 freight tracking updates from a single type of phone call. Previously invisible to our systems, that data now flows to another AI agent that updates our platform, feeding our predictive [estimated times of arrival] and optimizing our customers’ deliveries.” While C.H. Robinson is a prime example of the largest companies in logistics recrafting their service offerings around agentic AI, it is far from alone. Among other large providers, project44 and FourKites have <a href="https://www.joc.com/article/fourkites-exit-from-gartner-visibility-assessment-highlights-evolving-market-5958243">built entire sets of AI agents</a> to support their ambitions to appeal more broadly to shippers. WiseTech Global — provider of the most widely-used freight management software among global forwarders, told the Journal of Commerce in September it is similarly building an array of AI agents to allows its customers to better utilize its customs, tracking and accounting products. And Maersk <a href="https://www.joc.com/article/maersk-launches-ai-customs-tool-to-tackle-rising-regulatory-chaos-6031746">launched an AI customs tool</a> in June designed to benefit from the large datasets that the shipping line’s scale provides. C.H. Robinson, with the largest dataset in truckload brokerage, has made a similar connection. <h3>Wide spectrum of tools </h3>The activity is far from confined to larger players in the market. Last week, ShipAngel, which started as a freight rate management software vendor for shippers, announced it is now offering a more comprehensive set of tools for shippers, all driven by embedded AI agents that can book and track shipments off an already established rate. “Enterprise software is undergoing a once-in-a-generation transformation,” ShipAngel CEO Graham Parker said about what the company is describing as a shift into enterprise resource planning (ERP) specifically built for supply chains. “Monolithic systems are giving way to modular, intelligent architectures.” Parker’s contention is that most shippers are burdened with ERPs that are built mostly for finance and planning teams, not supply chain teams. ShipAngel’s use of AI agents — also known as digital workers — is key to its ability to gather unstructured data that’s often difficult for those teams to gather and make decisions about. In late September, Jason Traff, CEO of transportation management system (TMS) provider Shipwell, told the Journal of Commerce Inland Distribution Conference that the most likely functions to be handed to AI agents are demand planning, truckload scheduling, freight bill auditing, and logistics cost analysis. Traff stressed that AI agents’ strengths lie in adapting to new variables and simulating human-like behavior and reasoning. AI-based workflow automation, on the other hand, is strongest at pattern recognition and handling sets of complex rules. <h3>Accessing unstructured data </h3>At the Virginia Maritime Association’s (VMA’s) International Trade Symposium in Norfolk Thursday, Vijay Harrell, CEO of software provider TradeLanes, described how AI agents within the company’s product allow its exporter customers to get automated messages around vessel schedule amendments or changes to earlier return dates. Those changes have historically been detected by having people — at the exporter or the exporter’s 3PL — periodically check carrier or terminal websites. Paul Albert-Lebrun, CEO of container terminal software provider Nodal, similarly explained on an AI panel how digital workers would help terminal operators get more out of their existing terminal operating systems and extract key pieces of unstructured data from adjacent systems to make informed decisions on things such as labor deployment and crane operations. At the RateLinx Insight Conference Tuesday in Scottsdale, Arizona, CEO Shannon Vaillancourt described how AI helps shippers make informed decisions that have traditionally been negatively affected by human sentiment. For instance, he said people tend to “remember things that didn’t happen and anchor decisions based on irrelevant data.” He also said people resist change because they fixate on bad experiences with transportation vendors that aren’t representative of that vendor’s objective performance. But Mac McCall, a senior research associate at the Virginia Tech Transportation Institute, told the VMA conference that a future based around digital workers need not exclude people. “I’m a Star Trek fan, and if you look at the bridge of the Enterprise, you see the most advanced technology available, but there are still people being presented with information and making decisions,” he said. Contact Eric Johnson at <a href="mailto:eric.johnson@spglobal.com">eric.johnson@spglobal.com</a>. </div>

The march of artificial AI into the world of logistics is accelerating, specifically around the development of AI agents built directly into standalone software or tools provided by third-party logistics providers (3PLs). Those advancements are impacting key processes in both the international and domestic logistics environment, including demand planning and auditing freight bills, but more broadly agents are popping up in virtually every software platform with which shippers interact. Yet, there remains confusion and residual skepticism about the extent to which AI agents can transform logistics workforces. Most logistics professionals have a sense they are either already using AI agents or interacting with them in an unseen way but aren’t yet experiencing a different way of working. As more major logistics players make investments in agentic AI, that could soon change. The latest example is C.H. Robinson, which on Monday said it has enhanced its ability to use AI to uncover data from sources where it has been traditionally hard to extract and categorize information. C.H. Robinson, the largest US freight broker and a top 10 ocean forwarder, has leaned heavily into AI over the last few years as a means to reshape its business. “With agentic AI, we’re unlocking the value trapped in unstructured data: phone calls, emails, tribal knowledge,” the company’s chief technology officer, Mike Neill, said in a statement Monday. “In September alone, one of our AI agents captured 318,000 freight tracking updates from a single type of phone call. Previously invisible to our systems, that data now flows to another AI agent that updates our platform, feeding our predictive [estimated times of arrival] and optimizing our customers’ deliveries.” While C.H. Robinson is a prime example of the largest companies in logistics recrafting their service offerings around agentic AI, it is far from alone. Among other large providers, project44 and FourKites have built entire sets of AI agents to support their ambitions to appeal more broadly to shippers. WiseTech Global — provider of the most widely-used freight management software among global forwarders, told the Journal of Commerce in September it is similarly building an array of AI agents to allows its customers to better utilize its customs, tracking and accounting products. And Maersk launched an AI customs tool in June designed to benefit from the large datasets that the shipping line’s scale provides. C.H. Robinson, with the largest dataset in truckload brokerage, has made a similar connection. Wide spectrum of tools The activity is far from confined to larger players in the market. Last week, ShipAngel, which started as a freight rate management software vendor for shippers, announced it is now offering a more comprehensive set of tools for shippers, all driven by embedded AI agents that can book and track shipments off an already established rate. “Enterprise software is undergoing a once-in-a-generation transformation,” ShipAngel CEO Graham Parker said about what the company is describing as a shift into enterprise resource planning (ERP) specifically built for supply chains. “Monolithic systems are giving way to modular, intelligent architectures.” Parker’s contention is that most shippers are burdened with ERPs that are built mostly for finance and planning teams, not supply chain teams. ShipAngel’s use of AI agents — also known as digital workers — is key to its ability to gather unstructured data that’s often difficult for those teams to gather and make decisions about. In late September, Jason Traff, CEO of transportation management system (TMS) provider Shipwell, told the Journal of Commerce Inland Distribution Conference that the most likely functions to be handed to AI agents are demand planning, truckload scheduling, freight bill auditing, and logistics cost analysis. Traff stressed that AI agents’ strengths lie in adapting to new variables and simulating human-like behavior and reasoning. AI-based workflow automation, on the other hand, is strongest at pattern recognition and handling sets of complex rules. Accessing unstructured data At the Virginia Maritime Association’s (VMA’s) International Trade Symposium in Norfolk Thursday, Vijay Harrell, CEO of software provider TradeLanes, described how AI agents within the company’s product allow its exporter customers to get automated messages around vessel schedule amendments or changes to earlier return dates. Those changes have historically been detected by having people — at the exporter or the exporter’s 3PL — periodically check carrier or terminal websites. Paul Albert-Lebrun, CEO of container terminal software provider Nodal, similarly explained on an AI panel how digital workers would help terminal operators get more out of their existing terminal operating systems and extract key pieces of unstructured data from adjacent systems to make informed decisions on things such as labor deployment and crane operations. At the RateLinx Insight Conference Tuesday in Scottsdale, Arizona, CEO Shannon Vaillancourt described how AI helps shippers make informed decisions that have traditionally been negatively affected by human sentiment. For instance, he said people tend to “remember things that didn’t happen and anchor decisions based on irrelevant data.” He also said people resist change because they fixate on bad experiences with transportation vendors that aren’t representative of that vendor’s objective performance. But Mac McCall, a senior research associate at the Virginia Tech Transportation Institute, told the VMA conference that a future based around digital workers need not exclude people. “I’m a Star Trek fan, and if you look at the bridge of the Enterprise, you see the most advanced technology available, but there are still people being presented with information and making decisions,” he said. Contact Eric Johnson at eric.johnson@spglobal.com .

Forwarding

Truck brokers

Logistics Technology News

AI agents proliferate in logistics despite skepticism

<div class="phx-topic abstract-wrapper">The top ocean carriers serving Colombo have kept their calls intact while others are skipping calls. </div>

The top ocean carriers serving Colombo have kept their calls intact while others are skipping calls.

<div class="phx-topic">A surge of cargo has congested Sri Lanka’s Colombo Port and spurred some container lines to skip the transshipment gateway. On Friday morning, the port had about 15 container ships waiting at anchor for berth, but the queue had fallen to 10 by Monday. Eight ships were being worked at marine terminals.“Terminal operations have been adversely affected due to high yard congestion, increased transshipment volumes and unfavorable weather conditions,” global forwarder Kuehne + Nagel said in a report. Industry sources confirming recent Colombo call omissions included the NIX (China-India Express) loop that Israeli liner Zim Integrated Shipping Services operates jointly with other intra-Asia operators. Zim has also reportedly halted Indian bookings out of Colombo on the NIX. Ocean Network Express (ONE) has, according to industry sources, issued a “Colombo skip” advisory for its intra-Asia “CIP” (China-India-Pakistan) string. But, while incurring some delays, the top carriers serving Colombo — Maersk, Hapag-Lloyd, Mediterranean Shipping Co. and CMA CGM — have mostly kept their calls intact, seemingly thanks to priority handling. The Sri Lanka Ports Authority did not respond to a request for comment. Colombo logged volume peaks in August and September — 741,124 TEUs and 742,116 TEUs, respectively, marking 2025 monthly highs, according to industry sources. <h3>A house of cards </h3>Colombo terminals have been operating well above 80% capacity for some time, so any cargo influxes from diversions of regional trades <a href="https://www.joc.com/article/indias-ban-on-pakistan-cargo-raises-disruption-risk-5997588">and other geopolitical factors</a> place heavy pressure on the infrastructure there, sources say. A bout of heightened terminal delays in early 2025 sparked a large number of vessel omissions for Colombo. And the latest disruption comes <a href="https://www.joc.com/article/adani-opens-colombos-fifth-box-terminal-with-maersk-trial-call-for-gemini-5980314">despite the phase 1 launch</a> of the Colombo West International Terminal (CWIT), developed by India’s Adani Group, raising more questions over chronic inland capacity issues. “Unlike at Indian ports, import cargo is not moved off site at Colombo after landing,” said a Colombo port official who didn’t want to be identified. “So, if cargo is not picked up timely, terminals get choked up.” Contact Bency Mathew at <a href="mailto:bencyvmathew@gmail.com">bencyvmathew@gmail.com</a>. </div>

A surge of cargo has congested Sri Lanka’s Colombo Port and spurred some container lines to skip the transshipment gateway. On Friday morning, the port had about 15 container ships waiting at anchor for berth, but the queue had fallen to 10 by Monday. Eight ships were being worked at marine terminals. “Terminal operations have been adversely affected due to high yard congestion, increased transshipment volumes and unfavorable weather conditions,” global forwarder Kuehne + Nagel said in a report. Industry sources confirming recent Colombo call omissions included the NIX (China-India Express) loop that Israeli liner Zim Integrated Shipping Services operates jointly with other intra-Asia operators. Zim has also reportedly halted Indian bookings out of Colombo on the NIX. Ocean Network Express (ONE) has, according to industry sources, issued a “Colombo skip” advisory for its intra-Asia “CIP” (China-India-Pakistan) string. But, while incurring some delays, the top carriers serving Colombo — Maersk, Hapag-Lloyd, Mediterranean Shipping Co. and CMA CGM — have mostly kept their calls intact, seemingly thanks to priority handling. The Sri Lanka Ports Authority did not respond to a request for comment. Colombo logged volume peaks in August and September — 741,124 TEUs and 742,116 TEUs, respectively, marking 2025 monthly highs, according to industry sources. A house of cards Colombo terminals have been operating well above 80% capacity for some time, so any cargo influxes from diversions of regional trades and other geopolitical factors place heavy pressure on the infrastructure there, sources say. A bout of heightened terminal delays in early 2025 sparked a large number of vessel omissions for Colombo. And the latest disruption comes despite the phase 1 launch of the Colombo West International Terminal (CWIT), developed by India’s Adani Group, raising more questions over chronic inland capacity issues. “Unlike at Indian ports, import cargo is not moved off site at Colombo after landing,” said a Colombo port official who didn’t want to be identified. “So, if cargo is not picked up timely, terminals get choked up.” Contact Bency Mathew at bencyvmathew@gmail.com .

Port News

Container Shipping News

Maritime

Cargo surge congests Colombo as some carriers avoid

<div class="phx-topic abstract-wrapper">But freighter operators were prepared for the frontloading, and no capacity shortages are being reported on China-US routes, according to Tiaca.</div>

But freighter operators were prepared for the frontloading, and no capacity shortages are being reported on China-US routes, according to Tiaca.

<div class="phx-topic">Air freight demand on the trans-Pacific has risen sharply as shippers advance orders following a threat by President Donald Trump to impose an additional 100% tariff on Chinese goods from Nov. 1. There has been no official announcement on the new tariff levels announced by the White House on Oct. 10 in response to Beijing’s plan to raise export controls on rare earth minerals, a crucial commodity primarily used in high-tech, renewables and defense industries. Still, jittery US importers were taking no chances, and with little time to frontload trans-Pacific ocean freight, they have turned to air cargo. “Many shippers are rushing to get their airfreight shipments into the US prior to Nov. 1 to beat the additional 100% tariffs that were announced recently,” said Sanjay Tejwani, CEO of 365 Logistics. “But I think this is a negotiating tactic to get China to review its recent regulations on the export of rare earth minerals,” he added. Kathy Liu, vice president of global sales and marketing at Dimerco Express Group, said air freight volume booked for this week into the US was “surging” ahead of the potential tariffs from Nov. 1. The Oct. 10 tariff announcement saw an initial 19% increase in rates compared with the previous week to $5.30 per kilogram, but rates have remained mostly flat since then, according to Freightos. Analysts expect to have a better idea of how rising demand is impacting pricing later this week. One factor preventing rates from spiking despite the rising demand is the available air freight capacity on the trans-Pacific. Glyn Hughes, director general of The International Air Cargo Association (Tiaca), said freighter operators were prepared for the frontloading and there were no capacity shortages on China-US routes. “This is the third round of such actions so to some degree it was expected and carriers were able to mobilize capacity on the trans-Pacific trade lane,” he told the Journal of Commerce Monday. In the week after the tariff announcement, available air freight capacity on China-US routes increased 24% compared with the previous week, according to data from air cargo analyst Rotate. Capacity deployed on the routes is currently up 21% year over year. Hughes said maritime supply chains were longer and slower to respond to deferred or implemented tariff decisions, with shippers preferring to take a “wait and see” approach and loading urgent consignments by air as required. “Overall, though, these constant frontloading spikes in capacity demand do not provide for a consistent operational environment conducive to rate stability and regularized network connectivity,” he added. Contact Greg Knowler at <a href="mailto:greg.knowler@spglobal.com">greg.knowler@spglobal.com</a>. </div>

Air freight demand on the trans-Pacific has risen sharply as shippers advance orders following a threat by President Donald Trump to impose an additional 100% tariff on Chinese goods from Nov. 1. There has been no official announcement on the new tariff levels announced by the White House on Oct. 10 in response to Beijing’s plan to raise export controls on rare earth minerals, a crucial commodity primarily used in high-tech, renewables and defense industries. Still, jittery US importers were taking no chances, and with little time to frontload trans-Pacific ocean freight, they have turned to air cargo. “Many shippers are rushing to get their airfreight shipments into the US prior to Nov. 1 to beat the additional 100% tariffs that were announced recently,” said Sanjay Tejwani, CEO of 365 Logistics. “But I think this is a negotiating tactic to get China to review its recent regulations on the export of rare earth minerals,” he added. Kathy Liu, vice president of global sales and marketing at Dimerco Express Group, said air freight volume booked for this week into the US was “surging” ahead of the potential tariffs from Nov. 1. The Oct. 10 tariff announcement saw an initial 19% increase in rates compared with the previous week to $5.30 per kilogram, but rates have remained mostly flat since then, according to Freightos. Analysts expect to have a better idea of how rising demand is impacting pricing later this week. One factor preventing rates from spiking despite the rising demand is the available air freight capacity on the trans-Pacific. Glyn Hughes, director general of The International Air Cargo Association (Tiaca), said freighter operators were prepared for the frontloading and there were no capacity shortages on China-US routes. “This is the third round of such actions so to some degree it was expected and carriers were able to mobilize capacity on the trans-Pacific trade lane,” he told the Journal of Commerce Monday. In the week after the tariff announcement, available air freight capacity on China-US routes increased 24% compared with the previous week, according to data from air cargo analyst Rotate. Capacity deployed on the routes is currently up 21% year over year. Hughes said maritime supply chains were longer and slower to respond to deferred or implemented tariff decisions, with shippers preferring to take a “wait and see” approach and loading urgent consignments by air as required. “Overall, though, these constant frontloading spikes in capacity demand do not provide for a consistent operational environment conducive to rate stability and regularized network connectivity,” he added. Contact Greg Knowler at greg.knowler@spglobal.com .

Trans-Pacific

Air Cargo

China air freight demand, rates surge on new 100% US tariff

<div class="phx-topic abstract-wrapper">The Virginia Port Authority said the longshore union’s lawsuit alleging violations of the master contract doesn’t give clear picture of when it knew about the new rail gantry cranes. </div>

The Virginia Port Authority said the longshore union’s lawsuit alleging violations of the master contract doesn’t give clear picture of when it knew about the new rail gantry cranes.

<div class="phx-topic">The Port of Virginia argues the International Longshoremen’s Association (ILA) knew two years ago about the rollout of new rail-mounted stacking cranes, despite the union saying it didn’t know about them until this year. The port made the claim as it seeks to dismiss the union’s lawsuit alleging a violation of the new master contract’s provisions on technology deployments. As part of an earlier motion to dismiss the lawsuit, the Virginia Port Authority (VPA) last week attached minutes from a May 2023 meeting of its board of commissioners at which the purchase of 36 automated stacking cranes had been discussed. According to the minutes, the meeting was attended by four ILA officials from two local chapters that represent about 1,500 of the port’s approximately 2,800 longshore workers. In August, <a href="https://www.joc.com/article/ila-suing-virginia-port-chief-executive-over-rollout-of-new-rail-cranes-6070318">the ILA sued the VPA</a> for what the union said was a violation of the new master contract ratified in March 2025. While the VPA is not a party to that contract, the union alleged the violation was done through the port’s control of stevedore Virginia International Terminals (VIT), which is the port’s actual employer. The union’s lawsuit said its members were only made aware of the new cranes as the first batch began to be installed in April 2025. The ILA claimed VIT did not bargain with the national union and its local unions about the new cranes as required under the master contract. Instead, the VIT deferred the matter to the VPA because it bought the cranes, the union’s lawsuit said. “If the ILA was to share the actual timeline surrounding the purchase of the RMG [rail-mounted gantry] cranes, it would reveal that the purchase took place in 2023 under a prior Master Contract and with the knowledge of the ILA,” the VPA’s filing said. The RMG cranes, purchased from Konecranes for $149 million, are part of a $650 million northern expansion of Norfolk International Terminals (NIT) <a href="https://www.joc.com/article/port-of-virginia-readies-more-cranes-for-ultra-large-container-ships-5985615">that will add two new super-post-Panamax berths and bring NIT’s capacity to 3.6 million TEUs by 2027</a>. <h3>RMGs long a bane of ILA </h3>Virginia is the first US port credited with implementation of RMG technology, <a href="https://www.joc.com/article/ila-targets-rail-mounted-gantry-cranes-amid-impasse-in-port-labor-talks-5874742">having rolled it out in 2007</a>. RMGs allow for more densely-stacked container yards than using rubber tire gantry cranes or straddle carriers, which require more room to operate. Across both terminals, Virginia will have 152 RMGs in place by 2027. Despite being called “automated stacking cranes,” RMGs are still operated by a human, either in a cab or remotely. Even so, the ILA’s leadership has viewed RMGs as threatening other skilled operator jobs at the ports. One issue at the heart of local contract negotiations has been staffing machines such as RMGs. Maritime employers won the right to implement remotely-controlled RMGs, which should save time during shift changes or rest breaks. For its part, the ILA secured guarantees for one longshore operator on each RMG, as opposed to one operator on multiple RMGs. The federal judge overseeing the case can either rule directly on VPA’s motion to dismiss or schedule a hearing for both sides, according to the ILA’s legal representative. But there is no specific timeline for either action. Contact Michael Angell at <a href="mailto: michael.angell@spglobal.com">michael.angell@spglobal.com</a>. </div>

The Port of Virginia argues the International Longshoremen’s Association (ILA) knew two years ago about the rollout of new rail-mounted stacking cranes, despite the union saying it didn’t know about them until this year. The port made the claim as it seeks to dismiss the union’s lawsuit alleging a violation of the new master contract’s provisions on technology deployments. As part of an earlier motion to dismiss the lawsuit, the Virginia Port Authority (VPA) last week attached minutes from a May 2023 meeting of its board of commissioners at which the purchase of 36 automated stacking cranes had been discussed. According to the minutes, the meeting was attended by four ILA officials from two local chapters that represent about 1,500 of the port’s approximately 2,800 longshore workers. In August, the ILA sued the VPA for what the union said was a violation of the new master contract ratified in March 2025. While the VPA is not a party to that contract, the union alleged the violation was done through the port’s control of stevedore Virginia International Terminals (VIT), which is the port’s actual employer. The union’s lawsuit said its members were only made aware of the new cranes as the first batch began to be installed in April 2025. The ILA claimed VIT did not bargain with the national union and its local unions about the new cranes as required under the master contract. Instead, the VIT deferred the matter to the VPA because it bought the cranes, the union’s lawsuit said. “If the ILA was to share the actual timeline surrounding the purchase of the RMG [rail-mounted gantry] cranes, it would reveal that the purchase took place in 2023 under a prior Master Contract and with the knowledge of the ILA,” the VPA’s filing said. The RMG cranes, purchased from Konecranes for $149 million, are part of a $650 million northern expansion of Norfolk International Terminals (NIT) that will add two new super-post-Panamax berths and bring NIT’s capacity to 3.6 million TEUs by 2027 . RMGs long a bane of ILA Virginia is the first US port credited with implementation of RMG technology, having rolled it out in 2007 . RMGs allow for more densely-stacked container yards than using rubber tire gantry cranes or straddle carriers, which require more room to operate. Across both terminals, Virginia will have 152 RMGs in place by 2027. Despite being called “automated stacking cranes,” RMGs are still operated by a human, either in a cab or remotely. Even so, the ILA’s leadership has viewed RMGs as threatening other skilled operator jobs at the ports. One issue at the heart of local contract negotiations has been staffing machines such as RMGs. Maritime employers won the right to implement remotely-controlled RMGs, which should save time during shift changes or rest breaks. For its part, the ILA secured guarantees for one longshore operator on each RMG, as opposed to one operator on multiple RMGs. The federal judge overseeing the case can either rule directly on VPA’s motion to dismiss or schedule a hearing for both sides, according to the ILA’s legal representative. But there is no specific timeline for either action. Contact Michael Angell at michael.angell@spglobal.com .

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The world of LTL is slow to embrace change. Business anachronisms permeate current supply chain processes. These vestiges of the way things used to work define the LTL freight transportation procurement process of many modern shippers.David Knuth, logistics specialist at IEWC, a global supplier of cable and wire based in Wisconsin, is happy to have modernized the RFP process, automating the entire LTL bidding procedure with Bid$ense, SMC³’s automated truckload and LTL freight transportation sourcing solution. But when prompted, he can still recall what once was.In his previous job, a large part of his duties were consumed by creating an intermodal bid package for carriers. In a spreadsheet, Knuth detailed the company’s volumes lane by lane, taking care to delete any errant keystrokes or misleading data. He would then email out the information to each carrier, taking time to respond to detailed technical questions about the spreadsheet data. Finally, he had to compile all the results, create an algorithm that would compare the carriers on each lane, and award the business.“It was a huge undertaking. It took about four months to do,” Knuth said of the old process. “It was almost a full-time job for that part of the year, every year.”In his new job at IEWC, he sat down with Bid$ense on day one and was amazed at the capabilities. Knuth had never before used a bid tool. SMC³’s latest versions of Bid$ense automate the process even further, taking truckload and LTL RFPs entirely online. The tool draws on RFP best-practices protocols to streamline the bidding communication process, enabling bidding carriers to respond accurately and promptly to shipper requests. The solution also does all the distribution work automatically, electronically submitting shipper bid data to carriers based on their actual service capabilities and performance records. Carriers are alerted with timely prompts for RFP deliverables, so shippers aren’t waiting by the phone for responses.Another benefit of automating the process is the data-cleansing assistance. When Knuth sent spreadsheets to carriers, data errors might cloud the bidding process; he might have to resend data or simply accept a price that did not truly reflect the costs of doing business. Data cleansing is incredibly beneficial, he said.The spreadsheet technique also made bidding analysis an onerous task. Since Bid$ense automates and streamlines the entire RFP process, intensive examination is now simple. SMC³ knows that each bid has more than one best outcome. With uniform responses from each carrier, shippers can quickly rank results and create an unlimited quantity of what-if scenarios to make the optimal procurement decision.Jesse Burnett of Central Garden &amp; Pet experiences many of the same benefits. Founded in 1980, Central Garden &amp; Pet has spent the last three decades growing from a small garden supply company to a provider of a range of products from dog chews and bird seed to soil supplements and natural insecticides. For much of its life, the company shipped these disparate goods via LTL and truckload carriers to retailers throughout the country, relying on each business unit to negotiate directly with their freight transportation providers. This arrangement worked fairly well for a small company, but as Central Garden &amp; Pet expanded, leadership decided to consolidate decision making.Burnett helped centralize the transportation decision making in 2015 with SMC³’s Bid$ense. Before Bid$ense, every business unit operated independently as far as negotiating with carriers.“There were a lot of different things just floating around,” he said. “We didn’t have master agreements in place; no national pricing at all. The pricing from carriers was just all over the place, depending on where you were.”The transformations he saw with Bid$ense were immediate. Burnett has been using the tool about every other year since its implementation at the company. Central Garden and Pet’s $19.6 million 2019 LTL bid saved the company just more than 9 percent when compared to its historical average. For Burnett, though, bid automation extends far beyond savings.“We knew that we weren’t getting the best pricing offer from our carriers just because nothing was centralized,” he continued. “We knew that if we combined everything from all these business units and paired it with one corporate offering, then it would drive some cost benefit with it.”When the company initially decided to centralize bid procurement, executives researched a number of different methodologies and technologies. In the end, though, Burnett found that Bid$ense was both widespread and well known, and that his carrier partners already knew how to use the application. Burnett also highlighted the data-cleansing process as a major benefit, saying the rigorous process ensures that carriers always return the best price.“It definitely has helped drive savings,” he said. “Any time you go out there and you drive that competitiveness with the carriers and they know they’re in a bid environment, it seems to sharpen their pencils.”Transportation procurement is an integral part of the modern supply chain. With Bid$ense, shippers can develop a strategic implementation plan that saves them time and money, but also helps them create strong relationships with their carrier partners. These carriers appreciate the solution’s data-cleansing process; when carriers receive a complete shipment history and future volume forecast, they don’t have to guess on pricing. Carriers that receive more data from shippers get a complete picture of that shipper’s freight, allowing them to accurately plan instead of simply preparing for the worst-case scenario. Clean data presented through an automated system can lead to both bigger shipment savings and a lasting partnership between carrier and customer.Whether customers are looking to streamline over-the-road transportation bidding by automating the RFP process or create an entirely new, centralized sourcing process, Bid$ense has the analytical horsepower to get the job done.SMC³ 2020 Customer Case Study

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Shippers save money, time with automated transportation bidding tools

If there’s one immutable truth in the world of logistics, it’s this: LTL is an inherently complex form of transportation. Tariffs, rates, DIM weights, transit times — it’s enough to confuse even seasoned logistics professionals. The solution to this knowledge gap has historically been on-the-job training or university supply chain education, but for a variety of reasons there is now a pressing need for third-party, remote LTL training that prepares logistics workers for transportation success. Global Scope Can Overlook Local Intricacies In the past, professionals looking to move into a supply chain career learned about the basics of supply chain from universities. However, many of these college supply chain programs are now global in scope, focusing on worldwide supply chain management instead of the intricacies of specialized domestic transportation. And even these programs, which used to be widespread, are becoming less common. LTL is not an industry of broad-brush strokes; supply chain professionals really need a pointillistic understanding of the logistics of LTL in order to excel in the industry. Accelerating Need for Dedicated LTL Education This lack of specified training put the onus on employers to prepare new hires with the LTL knowledge needed to do their jobs. Dedicated LTL study is a necessity, not a luxury. At the same time, changes in LTL and the broader supply chain world are accelerating. The reliance on e-commerce has ballooned since the start of the pandemic, and last-mile LTL shipments and related e-commerce strains on the supply chain won’t diminish once social distancing abates. That genie isn’t going back into the bottle. So supply chain employers need logistics workers that are fully versed in all aspects of the industry, ready to solve unique shipping and delivery problems based on their extensive supply chain knowledge But why care about LTL? It’s been reported that some shippers in today’s world are no longer concerned with what mode is used to ship their goods. A Multimodal Approach Ensures On-Time Delivery This mode agnosticism means supply chain stakeholders have to be well versed in all modes of transportation. As unforeseen weather events and other disruptions, such as protests, become more common, savvy logistics employees will need to be armed with familiarity of all modes, not just the most popular, to ensure that freight is delivered on time, without damage, and in the most financially expedient way possible. Offerings like SMC³’s LTL online education courses cover a wide range of topics from LTL basics and operations to more advanced concepts like pricing analytics and transportation law. The company also has plans to continually refresh content, adding new expert presenters and taking the feedback of students to make the courses even better as time goes on. Learn more about&nbsp;<a href="https://logisticstrainingcenter.com/smc3-courses/" rel="noreferrer" class="joc_admin__link">SMC³’s LTL Online Education program</a>&nbsp;and view the 2021 hybrid schedule, featuring live industry experts,&nbsp;<a href="https://www.smc3.com/onlinelearning2021/" rel="noreferrer" class="joc_admin__link">here.</a>

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Filling the Supply Chain Education Gap with LTL Education Courses

In 1995, we began operations with a clear vision: to grow alongside Mexico and connect the world through our terminals. Our priority has always been to deliver excellence in service, foster economic development, and strengthen our communities. We firmly believe that progress is not only measured in tons of cargo moved, but in the opportunities we create. _______________________________________________________________ This year marks a significant milestone: SSA Marine Mexico celebrates 30 years of presence in the country, having established itself from day one as the leading port operator nationwide. Over the past three decades, we have built a legacy of reliability, innovation, and commitment to Mexico’s growth. Our journey has been defined by continuous evolution and a steadfast dedication to our mission. SSA Marine México currently operates in six of the country’s most important ports: Cozumel, Lazaro Cardenas, Manzanillo, Progreso, Tuxpan, and Veracruz. Additionally, we have signed a concession to operate a new multipurpose terminal in Guaymas, Sonora, expanding our footprint to the north of the country. We serve a wide range of segments including containers, general cargo, automobiles, cruise ships, hydrocarbons, and asphalt. As part of this ongoing commitment, SSA Marine Mexico continues to strengthen its infrastructure and capabilities. International trade remains a key driver of global economic growth, and we are proud to support this momentum. Through our continuous improvement strategy, we invest in cutting-edge technology and equipment to deliver more efficient and competitive services, contributing to the success of Mexican businesses. •	Manzanillo, Colima- Specialized Container Terminal I: On October 13, we celebrated the arrival of two new STS (Ship To Shore) Super Post Panamax dockside cranes. This $21.2 million USD investment significantly boosts our operational capacity, streamlining cargo reception and delivery processes. In line with our modernization efforts, we will also retire four of our oldest cranes, paving the way for a more sustainable and technologically advanced fleet that meets the evolving demands of international trade. With these upgrades, SSA Marine México now operates a total of 16 cranes along our 1,350-meter dock, reaffirming our position as a national benchmark in port <span class="joc_admin__inline-image joc_admin__inline-image-aspect-ratio-4_3 joc_admin__inline-image-position-left joc_admin__inline-image-size-large" data-figure-size="large" data-figure-position="left" data-figure-aspect-ratio="4:3"><img src="/content-assets/1760982635607_Manzanillo.jpg" alt="Image provided by SSA Marine" class="joc_admin__inline-image-inherit"> •	As for the Multipurpose Terminal and Specialized Facility, also in Manzanillo, Colima, improvement and conditioning works are planned, along with the acquisition of four E-RTG (Electric Rubber-Tyred Gantry) cranes to enhance operational efficiency and sustainability. •	At our Automobile and General Cargo Terminal in the port of Veracruz, we continue to lead with specialized value-added services that support our clients’ growth. Recent investments include a new washing cabin and a general cargo warehouse, increasing indoor storage capacity by 67%. •	Lazaro Cardenas, Michoacan – Specialized Automobile Terminal: we are working on the development of an additional 4-hectare storage space within our bonded area and a 10-hectare Vehicle Distribution Center (VDC). These enhancements, along with ongoing personnel and system improvements, will reinforce our leadership in automotive handling across the Mexican Pacific coast.<span class="joc_admin__inline-image joc_admin__inline-image-aspect-ratio-4_3 joc_admin__inline-image-position-left joc_admin__inline-image-size-large" data-figure-size="large" data-figure-position="left" data-figure-aspect-ratio="4:3"><img src="/content-assets/1760982742240_Lazaro.jpg" alt="Image provided by SSA Marine" class="joc_admin__inline-image-inherit"> Through these strategic investments, SSA Marine Mexico reaffirms its commitment to the sustained growth of Mexico’s foreign trade. By expanding capacity, modernizing infrastructure, and diversifying services, we continue to strengthen the country’s competitiveness in global logistics. Today, we celebrate three decades of dedication, innovation, and leadership, with deep gratitude to our employees, clients, and partners for being part of this incredible journey. LINK: https://www.ssamarine.mx/<span class="joc_admin__inline-image joc_admin__inline-image-aspect-ratio-16_9 joc_admin__inline-image-position-left joc_admin__inline-image-size-small" data-figure-size="small" data-figure-position="left" data-figure-aspect-ratio="16:9"><img src="/content-assets/1760982787360_SSA%20Marine%20Mexico%20logo%20150pxW.png" alt="" class="joc_admin__inline-image-inherit">

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SSA Marine Mexico: 30 years growing together.

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