<div class="phx-topic abstract-wrapper">FORMER SENATOR ELECTEDTO CHEVRON BOARDLOS ANGELES - Chevron Corp. announced that former U.S.</div>

FORMER SENATOR ELECTEDTO CHEVRON BOARDLOS ANGELES - Chevron Corp. announced that former U.S.

<div>FORMER SENATOR ELECTEDTO CHEVRON BOARDLOS ANGELES - Chevron Corp. announced that former U.S. Sen. J. Bennett Johnston has been elected to Chevron's board of directors.Mr. Johnston, a Democrat from Louisiana, served in the U.S. Senate for 24 years until his recent retirement.He played a key role in the 1992 passage of the National Energy Security Act.DELAYED SUGAR DELIVERYMAY RESULT IN PENALTYNEW DELHI - India's State Trading Corp. may have to pay a penalty for failing to complete sugar exports to Pakistan by Jan. 22, a senior trader official said.State-run STC delivered some 4,000 metric tons of sugar out of 25,000...

FORMER SENATOR ELECTED TO CHEVRON BOARDLOS ANGELES - Chevron Corp. announced that former U.S. Sen. J. Bennett Johnston has been elected to Chevron's board of directors. Mr. Johnston, a Democrat from Louisiana, served in the U.S. Senate for 24 years until his recent retirement. He played a key role in the 1992 passage of the National Energy Security Act. DELAYED SUGAR DELIVERY MAY RESULT IN PENALTY NEW DELHI - India's State Trading Corp. may have to pay a penalty for failing to complete sugar exports to Pakistan by Jan. 22, a senior trader official said. State-run STC delivered some 4,000 metric tons of sugar out of 25,000 metric tons it contracted to export by the Jan. 22 deadline.The original deadline stood at Jan. 11, which has now been put back once again to Jan. 29.

BRIEFS

<div class="phx-topic abstract-wrapper">The terminal, jointly owned by Ports America and MSC’s Terminal Investment Limited, unveiled new container handling equipment as part of a growth drive to increase capacity by 40%.</div>

The terminal, jointly owned by Ports America and MSC’s Terminal Investment Limited, unveiled new container handling equipment as part of a growth drive to increase capacity by 40%.

Feature image

<div class="phx-topic">Newark — The Port of New York and New Jersey’s third-busiest marine terminal on Wednesday unveiled $100 million in new container handling equipment and related facilities, the first step in a $1 billion plan to add a new berth and more rail capacity for its main customer, Mediterranean Shipping Co. Port Newark Container Terminal (PNCT) held a ribbon-cutting ceremony at a new maintenance shop designed for the terminal’s new, larger straddle carriers, which can span four-high container stacks. Along with the new shop, PNCT took delivery of the first 15 of the straddle carriers, with another 20 set for delivery by early 2027. The new yard equipment and shop are the first phase of PNCT’s plan to increase container volumes by 40% over the next three years, its Chief Executive Jim Pellicio told the Journal of Commerce. PNCT, jointly owned by Ports America and MSC’s Terminal Investment Limited (TiL), eventually plans to replace its entire fleet with 150 of the new straddle carriers, effectively increasing yard capacity by nearly a third through higher stacks. The new fleet will also be entirely diesel-electric hybrid as PNCT switches an increasing amount of its energy use to renewables. Over the past decade, PNCT has installed a solar array over its truck lanes and parking lot that takes up the equivalent of 12 acres of land, Pellicio said, generating half of the terminal’s energy. “This $100 million is a down payment on where PNCT has to go next,” Pellicio said. “The maintenance facility is built to support a much larger terminal than what we have today.” PNCT’s last upgrade cycle started in 2014, with a <a href="https://www.joc.com/article/upgrade-boosts-nynjs-pnct-terminal-capacity-5224445">$600 million investment</a> that included adding about 17 acres of terminal space, strengthening its three berths for larger ships, and <a href="https://www.joc.com/article/new-cranes-put-ny-nj-port-on-track-to-handle-more-ultra-large-ships-by-2025-5226275">adding two ultra-large ship cranes</a>. By 2020, that project had increased PNCT’s nominal capacity to about 2 million TEUs, up from 1.4 million TEUs. The next investment cycle will bring PNCT’s capacity to about 2.8 million TEUs, Pellicio said, adding that the terminal could add another 150 longshore jobs by 2029 due to the expansion. A big part of that upgrade will be an additional 68 acres on the terminal’s eastern end. The new space will come from <a href="https://www.joc.com/article/newark-port-project-to-give-mscs-terminal-more-room-to-grow-5703152">the Port Authority of New York and New Jersey’s $198 million rehabilitation</a> of a general cargo berth on the Newark peninsula’s southeastern end, along with the relocation of other port tenant properties to make way for container operations. The rehabilitation of Newark’s southeastern portion will provide PNCT another 400 feet of berth space on its eastern end by 2028. PNCT is also renovating another 700 feet of berth space on its western end, which will turn it into a four-berth facility. Pellicio said the additional space would allow PNCT to handle two 18,000-TEU ships simultaneously, along with a 9,000-TEU ship. Currently, its three berths can handle two 9,000-TEU ships and one 18,000-TEU ship. Although ships of that size will also require further dredging of the NY-NJ port to a 55-foot depth, Pellicio said it’s important to have PNCT ready for that next step. “There are no ships that need a 55-foot depth today, but you better build it today because they won’t come otherwise,” he said. <h3>Will add on-dock rail yard </h3>Along with the new equipment and berth, PNCT plans to add an on-dock rail yard at its eastern end, which should allow containers to move more easily to railcars. PNCT currently relies on yard hostlers to ferry containers over a flyover bridge to its rail yard adjacent to the New Jersey Turnpike. PNCT already leads the port in terms of inland cargo moves, with about 24% of its containers moving out on rail compared with a port-wide average of about 15%. Pellicio said the terminal needs more intermodal capacity because “MSC has a significant amount of rail containers.” “The shipping company might say ‘just take my New York boxes and leave the rail boxes for Savannah or Baltimore,’” Pellicio said. “I’m saying to them with this investment, take all the boxes off at PNCT. We will have the berths to do it and the rail to do it.” Contact Michael Angell at <a href="mailto:michael.angell@spglobal.com">michael.angell@spglobal.com</a>. </div>

Newark — The Port of New York and New Jersey’s third-busiest marine terminal on Wednesday unveiled $100 million in new container handling equipment and related facilities, the first step in a $1 billion plan to add a new berth and more rail capacity for its main customer, Mediterranean Shipping Co. Port Newark Container Terminal (PNCT) held a ribbon-cutting ceremony at a new maintenance shop designed for the terminal’s new, larger straddle carriers, which can span four-high container stacks. Along with the new shop, PNCT took delivery of the first 15 of the straddle carriers, with another 20 set for delivery by early 2027. The new yard equipment and shop are the first phase of PNCT’s plan to increase container volumes by 40% over the next three years, its Chief Executive Jim Pellicio told the Journal of Commerce. PNCT, jointly owned by Ports America and MSC’s Terminal Investment Limited (TiL), eventually plans to replace its entire fleet with 150 of the new straddle carriers, effectively increasing yard capacity by nearly a third through higher stacks. The new fleet will also be entirely diesel-electric hybrid as PNCT switches an increasing amount of its energy use to renewables. Over the past decade, PNCT has installed a solar array over its truck lanes and parking lot that takes up the equivalent of 12 acres of land, Pellicio said, generating half of the terminal’s energy. “This $100 million is a down payment on where PNCT has to go next,” Pellicio said. “The maintenance facility is built to support a much larger terminal than what we have today.” PNCT’s last upgrade cycle started in 2014, with a $600 million investment that included adding about 17 acres of terminal space, strengthening its three berths for larger ships, and adding two ultra-large ship cranes . By 2020, that project had increased PNCT’s nominal capacity to about 2 million TEUs, up from 1.4 million TEUs. The next investment cycle will bring PNCT’s capacity to about 2.8 million TEUs, Pellicio said, adding that the terminal could add another 150 longshore jobs by 2029 due to the expansion. A big part of that upgrade will be an additional 68 acres on the terminal’s eastern end. The new space will come from the Port Authority of New York and New Jersey’s $198 million rehabilitation of a general cargo berth on the Newark peninsula’s southeastern end, along with the relocation of other port tenant properties to make way for container operations. The rehabilitation of Newark’s southeastern portion will provide PNCT another 400 feet of berth space on its eastern end by 2028. PNCT is also renovating another 700 feet of berth space on its western end, which will turn it into a four-berth facility. Pellicio said the additional space would allow PNCT to handle two 18,000-TEU ships simultaneously, along with a 9,000-TEU ship. Currently, its three berths can handle two 9,000-TEU ships and one 18,000-TEU ship. Although ships of that size will also require further dredging of the NY-NJ port to a 55-foot depth, Pellicio said it’s important to have PNCT ready for that next step. “There are no ships that need a 55-foot depth today, but you better build it today because they won’t come otherwise,” he said. Will add on-dock rail yard Along with the new equipment and berth, PNCT plans to add an on-dock rail yard at its eastern end, which should allow containers to move more easily to railcars. PNCT currently relies on yard hostlers to ferry containers over a flyover bridge to its rail yard adjacent to the New Jersey Turnpike. PNCT already leads the port in terms of inland cargo moves, with about 24% of its containers moving out on rail compared with a port-wide average of about 15%. Pellicio said the terminal needs more intermodal capacity because “MSC has a significant amount of rail containers.” “The shipping company might say ‘just take my New York boxes and leave the rail boxes for Savannah or Baltimore,’” Pellicio said. “I’m saying to them with this investment, take all the boxes off at PNCT. We will have the berths to do it and the rail to do it.” Contact Michael Angell at michael.angell@spglobal.com .

Port News

Port infrastructure

North American ports

Marine terminals

Maritime

NY-NJ’s Port Newark terminal takes first steps in next big expansion

<div class="phx-topic abstract-wrapper">The company is one of several LTL carriers reporting growing volumes, although its daily shipments are still down year over year.</div>

The company is one of several LTL carriers reporting growing volumes, although its daily shipments are still down year over year.

<div class="phx-topic">After three years of depressed demand, freight is returning to US less-than-truckload (LTL) networks, with daily volumes climbing month to month from January through April at several large LTL carriers. Those trucking companies haven’t entirely escaped the freight trough, but they’re getting closer to its edge as demand continues to accelerate. “While our first quarter revenue declined on a year-over-year basis, demand for our service improved as the quarter progressed,” Kevin “Marty” Freeman, president and CEO of Old Dominion Freight Line, said Wednesday during a first-quarter earnings call. Stronger demand contributed to sequential tonnage growth in February and March at the second-largest US LTL provider, Freeman said. ODFL’s daily volume dropped 7.9% year over year in the first quarter to 41,037 shipments per day, while tonnage per day fell 7.7%. But tonnage increased month by month, CFO Adam Satterfield told Wall Street analysts during the call. In January, tonnage dropped 3.4% from December, but it rose 4.9% in February from January, he said. The trend continued in March, when tonnage climbed 4.6% from February, said Satterfield. “Our volumes are still down on a year-over-year basis,” he said, but he expects that to flip as sequential month-to-month increases continue. The freight market “definitely feels like it’s continued to improve” in the early second quarter, Satterfield said. <h3>Truckload reversal </h3>Some of the general increase in tonnage and shipments may be attributable to freight shift rather than fresh demand, with truckload freight being redirected to LTL trailers. As truckload rates hit lows over the past few years, some shippers consolidated LTL freight and shifted it to truckload carriers to take advantage of lower pricing. “That trend has reversed,” Satterfield said. Freight optimization tools are making it easier for shippers and third-party logistics providers (3PLs) to shift freight among modes, he said. <a href="https://www.joc.com/article/soaring-truck-rates-power-major-rebound-in-domestic-intermodal-volume-6208736">Intermodal rail providers</a> are benefiting from freight shifts as well. To date in 2026, much of the improvement in volume at ODFL has come from retail customers, not traditional industrial shippers, Satterfield said. “Most of our positive performance over the past five months has been in that retail side of our business,” he said, which does not represent the majority of their freight. “We’re starting to see some early indications of industrial starting to turn the corner as well,” Satterfield said, with the Institute for Supply Management (ISM) Purchasing Managers’ Index (PMI) in expansion territory for three consecutive months as of March. <div class="wrapper-narrow"><dynamic-object type="jocchartid" resource-id="16105334-c54a-4d51-9403-6d5bac8369c4"></dynamic-object></div>As the ISM PMI rises, “We expect to see the weight per shipment continuing to tack higher,” he said. “Right now, we’re at about 1,490 pounds per shipment. In really strong markets, we’ve been more like 1,600 pounds per shipment.” In terms of daily shipment count, “we need to get our numbers back to neutral year over year, and start getting back to what we do best, which is growth,” he said. <h3>‘Constructive’ conditions </h3>The improvement ODFL sees in the market is visible in other LTL carrier earnings. TFI International, the parent of national US LTL carrier TForce Freight, saw LTL daily volume drop 10% year over year in January and then go flat in February before rising 8% year over year in March, company executives said during a first-quarter earnings call this week. “We saw notable improvement during the quarter as weather improved, with shipments per day in March considerably stronger than January and February, and this trend continued into April,” TFI CEO Alain Bédard told analysts. “We’re starting to see a little bit of light at the end of the tunnel in terms of the demand.” Transportation and logistics provider ArcBest on Tuesday said daily shipment counts at LTL provider ABF Freight System rose 1.8% in the first quarter from a year ago. Tonnage per day rose 6.5% year over year in the quarter, indicating ABF is capturing heavier freight. “While the timing and pace of a broader recovery remains difficult to predict, conditions are becoming more constructive,” said Seth K. Runser, who succeeded Judy McReynolds as CEO of ArcBest in January. “Leading indicators of manufacturing activity have moved into expansion, which is supportive of future freight demand,” Runser told analysts on the company’s earnings call. Privately owned regional carrier Pitt Ohio sees <a href="https://www.joc.com/article/freight-returning-to-us-ltl-market-as-pricing-fuel-costs-climb-higher-6207125">daily shipment counts rising</a> as well. Contact William B. Cassidy at <a href="mailto:bill.cassidy@spglobal.com">bill.cassidy@spglobal.com</a>. </div>

After three years of depressed demand, freight is returning to US less-than-truckload (LTL) networks, with daily volumes climbing month to month from January through April at several large LTL carriers. Those trucking companies haven’t entirely escaped the freight trough, but they’re getting closer to its edge as demand continues to accelerate. “While our first quarter revenue declined on a year-over-year basis, demand for our service improved as the quarter progressed,” Kevin “Marty” Freeman, president and CEO of Old Dominion Freight Line, said Wednesday during a first-quarter earnings call. Stronger demand contributed to sequential tonnage growth in February and March at the second-largest US LTL provider, Freeman said. ODFL’s daily volume dropped 7.9% year over year in the first quarter to 41,037 shipments per day, while tonnage per day fell 7.7%. But tonnage increased month by month, CFO Adam Satterfield told Wall Street analysts during the call. In January, tonnage dropped 3.4% from December, but it rose 4.9% in February from January, he said. The trend continued in March, when tonnage climbed 4.6% from February, said Satterfield. “Our volumes are still down on a year-over-year basis,” he said, but he expects that to flip as sequential month-to-month increases continue. The freight market “definitely feels like it’s continued to improve” in the early second quarter, Satterfield said. Truckload reversal Some of the general increase in tonnage and shipments may be attributable to freight shift rather than fresh demand, with truckload freight being redirected to LTL trailers. As truckload rates hit lows over the past few years, some shippers consolidated LTL freight and shifted it to truckload carriers to take advantage of lower pricing. “That trend has reversed,” Satterfield said. Freight optimization tools are making it easier for shippers and third-party logistics providers (3PLs) to shift freight among modes, he said. Intermodal rail providers are benefiting from freight shifts as well. To date in 2026, much of the improvement in volume at ODFL has come from retail customers, not traditional industrial shippers, Satterfield said. “Most of our positive performance over the past five months has been in that retail side of our business,” he said, which does not represent the majority of their freight. “We’re starting to see some early indications of industrial starting to turn the corner as well,” Satterfield said, with the Institute for Supply Management (ISM) Purchasing Managers’ Index (PMI) in expansion territory for three consecutive months as of March. As the ISM PMI rises, “We expect to see the weight per shipment continuing to tack higher,” he said. “Right now, we’re at about 1,490 pounds per shipment. In really strong markets, we’ve been more like 1,600 pounds per shipment.” In terms of daily shipment count, “we need to get our numbers back to neutral year over year, and start getting back to what we do best, which is growth,” he said. ‘Constructive’ conditions The improvement ODFL sees in the market is visible in other LTL carrier earnings. TFI International, the parent of national US LTL carrier TForce Freight, saw LTL daily volume drop 10% year over year in January and then go flat in February before rising 8% year over year in March, company executives said during a first-quarter earnings call this week. “We saw notable improvement during the quarter as weather improved, with shipments per day in March considerably stronger than January and February, and this trend continued into April,” TFI CEO Alain Bédard told analysts. “We’re starting to see a little bit of light at the end of the tunnel in terms of the demand.” Transportation and logistics provider ArcBest on Tuesday said daily shipment counts at LTL provider ABF Freight System rose 1.8% in the first quarter from a year ago. Tonnage per day rose 6.5% year over year in the quarter, indicating ABF is capturing heavier freight. “While the timing and pace of a broader recovery remains difficult to predict, conditions are becoming more constructive,” said Seth K. Runser, who succeeded Judy McReynolds as CEO of ArcBest in January. “Leading indicators of manufacturing activity have moved into expansion, which is supportive of future freight demand,” Runser told analysts on the company’s earnings call. Privately owned regional carrier Pitt Ohio sees daily shipment counts rising as well. Contact William B. Cassidy at bill.cassidy@spglobal.com .

Trucking News

Surface

ODFL sees signs of growing LTL demand in sequential volume gain

<div class="phx-topic abstract-wrapper">DSV CEO Jens Lund, speaking during the company’s first-quarter earnings call Wednesday, said the integration of Schenker has been completed in more than 50 countries, with full integration still on tap by the end of this year.</div>

DSV CEO Jens Lund, speaking during the company’s first-quarter earnings call Wednesday, said the integration of Schenker has been completed in more than 50 countries, with full integration still on tap by the end of this year.

<div class="phx-topic">Some 7,000 full-time employees have been laid off amid the ongoing integration of DB Schenker into forwarding giant DSV, with another 1,000 expected to lose their jobs in the second quarter, DSV CEO Jens Lund said Wednesday. Lund, speaking during DSV’s first-quarter earnings call, said integration of the two companies has been completed in more than 50 countries. Full integration should be completed by the end of this year, he reiterated. Integration will create $1.5 billion in synergies next year, while integration costs are still estimated at $1.7 billion, Lund said. DSV CFO Michael Ebbe, meanwhile, said further acquisitions are likely in the future, but he ruled out any immediate deals while the company continued to digest the Schenker acquisition. “Consolidation is here to stay, and I’m confident we’ll be part of that going forward,” Ebbe told the Journal of Commerce in an interview Wednesday ahead of the results briefing. Ebbe said while DSV is “not looking at anything else,” expansion could come from the acquisition of a large regional player or a large forwarder specializing in specific logistics markets. <h3>Q1 net profit down sharply </h3>DSV’s net profit dropped 42% to $256 million in the first quarter, while revenue climbed 69% to $11 billion. The company didn’t say explicitly why profit fell, but it took a very big hit on costs — direct costs were up to $8 billion from $4.6 billion, staff costs increased to $1.4 billion from $688 million, and other external costs doubled to $382 million. DSV’s air and ocean segment posted a 20% year-over-year increase in gross profit to $1.2 billion, while revenue surged 43% to $5.7 billion. Highlighting the Schenker effect, DSV saw airfreight volumes surge 55% to 518,000 metric tons in the first quarter, while ocean freight volumes increased 50% to 976,000 metric tons. Lund said sea freight volumes last year were buoyed by the frontloading of cargo ahead of the introduction of US tariffs last April. Overall, DSV expected the global air and sea freight markets to grow between 2% and 3% this year, in line or slightly below global GDP forecasts. The Schenker merger also drove a 128% rise in revenue at road logistics to $3.6 billion and a 107% increase in contract logistics revenue to $2 billion. DSV did not give tonnage figures for either division. Meanwhile, inflation and elevated interest rates are dampening the demand outlook for the global logistics sector, while tariff policies and geopolitical uncertainty are also providing headwinds, Lund said. “It’s a volatile environment we’re looking at,” he said. Contact Keith Wallis at <a href="mailto:keithwallis@hotmail.com">keithwallis@hotmail.com</a>.</div>

Some 7,000 full-time employees have been laid off amid the ongoing integration of DB Schenker into forwarding giant DSV, with another 1,000 expected to lose their jobs in the second quarter, DSV CEO Jens Lund said Wednesday. Lund, speaking during DSV’s first-quarter earnings call, said integration of the two companies has been completed in more than 50 countries. Full integration should be completed by the end of this year, he reiterated. Integration will create $1.5 billion in synergies next year, while integration costs are still estimated at $1.7 billion, Lund said. DSV CFO Michael Ebbe, meanwhile, said further acquisitions are likely in the future, but he ruled out any immediate deals while the company continued to digest the Schenker acquisition. “Consolidation is here to stay, and I’m confident we’ll be part of that going forward,” Ebbe told the Journal of Commerce in an interview Wednesday ahead of the results briefing. Ebbe said while DSV is “not looking at anything else,” expansion could come from the acquisition of a large regional player or a large forwarder specializing in specific logistics markets. Q1 net profit down sharply DSV’s net profit dropped 42% to $256 million in the first quarter, while revenue climbed 69% to $11 billion. The company didn’t say explicitly why profit fell, but it took a very big hit on costs — direct costs were up to $8 billion from $4.6 billion, staff costs increased to $1.4 billion from $688 million, and other external costs doubled to $382 million. DSV’s air and ocean segment posted a 20% year-over-year increase in gross profit to $1.2 billion, while revenue surged 43% to $5.7 billion. Highlighting the Schenker effect, DSV saw airfreight volumes surge 55% to 518,000 metric tons in the first quarter, while ocean freight volumes increased 50% to 976,000 metric tons. Lund said sea freight volumes last year were buoyed by the frontloading of cargo ahead of the introduction of US tariffs last April. Overall, DSV expected the global air and sea freight markets to grow between 2% and 3% this year, in line or slightly below global GDP forecasts. The Schenker merger also drove a 128% rise in revenue at road logistics to $3.6 billion and a 107% increase in contract logistics revenue to $2 billion. DSV did not give tonnage figures for either division. Meanwhile, inflation and elevated interest rates are dampening the demand outlook for the global logistics sector, while tariff policies and geopolitical uncertainty are also providing headwinds, Lund said. “It’s a volatile environment we’re looking at,” he said. Contact Keith Wallis at keithwallis@hotmail.com .

Air Cargo

Supply chain

More job cuts in the works for Q2 as DSV-Schenker integration continues: Lund

<div class="phx-topic abstract-wrapper">Highlighting the carrier’s Asia focus and volume growth potential, PIL said it will take delivery of at least two 13,064-TEU container ships this year that could be deployed on long-haul Asia-South America and Asia-Middle East services.</div>

Highlighting the carrier’s Asia focus and volume growth potential, PIL said it will take delivery of at least two 13,064-TEU container ships this year that could be deployed on long-haul Asia-South America and Asia-Middle East services.

<div class="phx-topic">Singapore’s Pacific International Lines (PIL) says it’s set to see further growth in container volumes from new vessel deliveries and service launches this year despite difficult market conditions. “While the year ahead remains challenging amid geopolitical tensions, supply chain disruption and new capacity entering the market, Asia continues to be a key engine of global trade growth,” PIL CEO Lars Kastrup said in an earnings statement Wednesday. Highlighting the carrier’s Asia focus and volume growth potential, PIL said it will take delivery of at least two 13,064-TEU container ships this year, part of an order for five 13,000-TEU ships placed in 2024. The ships, which could be deployed on long-haul Asia-South America and Asia-Middle East services, are part of a fleet expansion that will add 20 vessels totaling 232,000 TEUs in the next three years that will increase PIL’s fleet capacity to more than 700,000 TEUs. The carrier, ranked 12th-largest globally by capacity, according to Alphaliner, will also expand its network next month with the planned launch from May 28 of an Asia-southern Africa express service in association with Taiwan’s Evergreen Marine. The carriers will deploy a total of nine ships varying in size between 4,800 and 5,600 TEUs on what PIL calls its Ubuntu Express (UBX) service. “The Ubuntu Express is introduced in response to growing trade demand between Asia and South Africa, driven by rising consumer markets, expanding industrial activity, and increasing flows of agricultural, temperature‑sensitive and manufactured goods,” PIL said in a separate service announcement this week. The move also increases the number of PIL’s Asia-Africa services to seven. The full rotation of the new service is Shanghai, Ningbo, Kaohsiung, Shekou, Singapore, Durban, Cape Town, Singapore, Shanghai. <h3>Volumes climbed 17% last year </h3>PIL, meanwhile, said its container volumes last year climbed 17% to 2.6 million TEUs after it strengthened its network in 14 countries, including new intra-Asia and South America services, while adding six ships to its fleet ranging in size from 8,000 to 13,000 TEUs. Overall, group revenue slipped 1% to $4.3 billion last year while net profit fell 23% to $1 billion. PIL’s container shipping division saw earnings before interest, taxes, depreciation and amortization ease to $1.5 billion last year from almost $1.7 billion the prior year, while revenue was flat at about $3.8 billion. “While cost pressures and freight rate moderation weighed on margins compared with the rate levels recorded in 2024, the business continued to generate healthy earnings,” the carrier said. PIL does not report quarterly earnings. Contact Keith Wallis at <a href="mailto:keithwallis@hotmail.com">keithwallis@hotmail.com</a>.</div>

Singapore’s Pacific International Lines (PIL) says it’s set to see further growth in container volumes from new vessel deliveries and service launches this year despite difficult market conditions. “While the year ahead remains challenging amid geopolitical tensions, supply chain disruption and new capacity entering the market, Asia continues to be a key engine of global trade growth,” PIL CEO Lars Kastrup said in an earnings statement Wednesday. Highlighting the carrier’s Asia focus and volume growth potential, PIL said it will take delivery of at least two 13,064-TEU container ships this year, part of an order for five 13,000-TEU ships placed in 2024. The ships, which could be deployed on long-haul Asia-South America and Asia-Middle East services, are part of a fleet expansion that will add 20 vessels totaling 232,000 TEUs in the next three years that will increase PIL’s fleet capacity to more than 700,000 TEUs. The carrier, ranked 12th-largest globally by capacity, according to Alphaliner, will also expand its network next month with the planned launch from May 28 of an Asia-southern Africa express service in association with Taiwan’s Evergreen Marine. The carriers will deploy a total of nine ships varying in size between 4,800 and 5,600 TEUs on what PIL calls its Ubuntu Express (UBX) service. “The Ubuntu Express is introduced in response to growing trade demand between Asia and South Africa, driven by rising consumer markets, expanding industrial activity, and increasing flows of agricultural, temperature‑sensitive and manufactured goods,” PIL said in a separate service announcement this week. The move also increases the number of PIL’s Asia-Africa services to seven. The full rotation of the new service is Shanghai, Ningbo, Kaohsiung, Shekou, Singapore, Durban, Cape Town, Singapore, Shanghai. Volumes climbed 17% last year PIL, meanwhile, said its container volumes last year climbed 17% to 2.6 million TEUs after it strengthened its network in 14 countries, including new intra-Asia and South America services, while adding six ships to its fleet ranging in size from 8,000 to 13,000 TEUs. Overall, group revenue slipped 1% to $4.3 billion last year while net profit fell 23% to $1 billion. PIL’s container shipping division saw earnings before interest, taxes, depreciation and amortization ease to $1.5 billion last year from almost $1.7 billion the prior year, while revenue was flat at about $3.8 billion. “While cost pressures and freight rate moderation weighed on margins compared with the rate levels recorded in 2024, the business continued to generate healthy earnings,” the carrier said. PIL does not report quarterly earnings. Contact Keith Wallis at keithwallis@hotmail.com .

Container lines

Container Shipping News

Singapore’s PIL bets on volume growth from vessel deliveries, new services

<div class="phx-topic abstract-wrapper">The ruling ends a six-year saga during which the Federal Maritime Commission had to decide whether it was a prerequisite that a port be open in order for detention or demurrage fees to be levied.</div>

The ruling ends a six-year saga during which the Federal Maritime Commission had to decide whether it was a prerequisite that a port be open in order for detention or demurrage fees to be levied.

<div class="phx-topic">The US Court of Appeals in Washington, DC, has ruled that Evergreen Marine improperly charged three days of detention fees to a drayage provider in Savannah six years ago when the port was closed over a holiday weekend. The ruling, announced Tuesday, ends a long process during which the US Federal Maritime Commission (FMC) had to decide whether it was a prerequisite that a port be open in order for detention or demurrage fees to be levied. “Evergreen suffered no costs as a result of the delayed equipment return,” wrote Judge Harry T. Edwards in the ruling. “These uncontested facts gave the [FMC] adequate grounds to decide that charging detention during the port closure would not have promoted freight fluidity and thus was unreasonable.” The case involved <a href="https://www.joc.com/article/fmc-upholds-ruling-against-evergreen-in-may-2020-detention-case-5224421">Yamaha Motor Company and its drayage partner TCW Inc.</a> during the early days of the pandemic in May 2020. Yamaha, similar to many businesses, closed its doors in the spring of 2020 during the COVID-19 lockdowns. However, Yamaha had an empty Evergreen container at its plant in Newnan, Georgia, when it was shut down. Evergreen granted Yamaha a total of 21 free days on the container, but it was out for 28 days; Evergreen billed Yamaha $1,490 for seven days of detention. TCW said when it tried to return the container to the Port of Savannah, it learned the port was closed Saturday, Sunday, and Monday for Memorial Day. TCW returned the container on Tuesday, but filed a complaint to the FMC that the charges for the three-day holiday weekend were unreasonable because it cannot be incentivized to return equipment if the port is closed. TCW, as Yamaha’s drayage provider, paid Evergreen $980 of the total invoice but disputed the remaining $510 owed covering May 23–25, 2020. Evergreen countered that the detention fees incentivized TCW to return the containers, so the entire bill was appropriate. The FMC ruled in favor of TCW, but then Evergreen appealed the decision to the US Court of Appeals. In July 2024, the court sided with Evergreen and ordered the FMC to reconsider the case to “analyze the incentive effect of the detention charges at issue.” <h3>Evergreen never disputed TCW’s lack of access to Yamaha plant </h3>In February 2025, the FMC ruled once again that the Evergreen decision was unreasonable, and again Evergreen appealed to the US Court of Appeals. That time, however, the court ruled that the FMC did its job correctly and upheld the ruling. The judge in Tuesday’s ruling said Evergreen never disputed that TCW could not access the empty container while Yamaha’s plant was closed during the lockdown. “Evergreen concedes that it was physically impossible for TCW to have brought the equipment, retrieved from Yamaha’s facility as soon as it was available on May 23, through the port’s gates from May 23–25,” Edwards wrote. “What was happening behind the closed gates is of no moment here because TCW simply could not go through the gates.” Contact Ari Ashe at <a href="mailto:ari.ashe@spglobal.com">ari.ashe@spglobal.com</a>. </div>

The US Court of Appeals in Washington, DC, has ruled that Evergreen Marine improperly charged three days of detention fees to a drayage provider in Savannah six years ago when the port was closed over a holiday weekend. The ruling, announced Tuesday, ends a long process during which the US Federal Maritime Commission (FMC) had to decide whether it was a prerequisite that a port be open in order for detention or demurrage fees to be levied. “Evergreen suffered no costs as a result of the delayed equipment return,” wrote Judge Harry T. Edwards in the ruling. “These uncontested facts gave the [FMC] adequate grounds to decide that charging detention during the port closure would not have promoted freight fluidity and thus was unreasonable.” The case involved Yamaha Motor Company and its drayage partner TCW Inc. during the early days of the pandemic in May 2020. Yamaha, similar to many businesses, closed its doors in the spring of 2020 during the COVID-19 lockdowns. However, Yamaha had an empty Evergreen container at its plant in Newnan, Georgia, when it was shut down. Evergreen granted Yamaha a total of 21 free days on the container, but it was out for 28 days; Evergreen billed Yamaha $1,490 for seven days of detention. TCW said when it tried to return the container to the Port of Savannah, it learned the port was closed Saturday, Sunday, and Monday for Memorial Day. TCW returned the container on Tuesday, but filed a complaint to the FMC that the charges for the three-day holiday weekend were unreasonable because it cannot be incentivized to return equipment if the port is closed. TCW, as Yamaha’s drayage provider, paid Evergreen $980 of the total invoice but disputed the remaining $510 owed covering May 23–25, 2020. Evergreen countered that the detention fees incentivized TCW to return the containers, so the entire bill was appropriate. The FMC ruled in favor of TCW, but then Evergreen appealed the decision to the US Court of Appeals. In July 2024, the court sided with Evergreen and ordered the FMC to reconsider the case to “analyze the incentive effect of the detention charges at issue.” Evergreen never disputed TCW’s lack of access to Yamaha plant In February 2025, the FMC ruled once again that the Evergreen decision was unreasonable, and again Evergreen appealed to the US Court of Appeals. That time, however, the court ruled that the FMC did its job correctly and upheld the ruling. The judge in Tuesday’s ruling said Evergreen never disputed that TCW could not access the empty container while Yamaha’s plant was closed during the lockdown. “Evergreen concedes that it was physically impossible for TCW to have brought the equipment, retrieved from Yamaha’s facility as soon as it was available on May 23, through the port’s gates from May 23–25,” Edwards wrote. “What was happening behind the closed gates is of no moment here because TCW simply could not go through the gates.” Contact Ari Ashe at ari.ashe@spglobal.com .

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Appeals court rules against Evergreen in Savannah detention fee case

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