<div class="phx-topic abstract-wrapper">The world’s largest container ships are deployed on the Asia-Europe trade, and port omissions by carriers to recover schedules are leading to sometimes dramatic increases in call sizes. </div>

The world’s largest container ships are deployed on the Asia-Europe trade, and port omissions by carriers to recover schedules are leading to sometimes dramatic increases in call sizes.

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<div>The shortening of port rotations in Europe by carriers trying to recover schedules is increasing the container exchanges made per ship call and adding pressure to an already maxed-out logistics system. Fewer port calls on the Asia-Europe trade lane that is served by the world’s largest container ships means call sizes — the number of containers offloaded and loaded during a single port call — are increasing, sometimes dramatically. In mid-October, Antwerp’s MSC PSA European Terminal handled 19,677 TEU on the Manila Maersk during a single call, according to a recent Alphaliner newsletter. Maersk said 12,000 moves in total were...

The shortening of port rotations in Europe by carriers trying to recover schedules is increasing the container exchanges made per ship call and adding pressure to an already maxed-out logistics system. Fewer port calls on the Asia-Europe trade lane that is served by the world’s largest container ships means call sizes — the number of containers offloaded and loaded during a single port call — are increasing, sometimes dramatically. In mid-October, Antwerp’s MSC PSA European Terminal handled 19,677 TEU on the Manila Maersk during a single call, according to a recent Alphaliner newsletter. Maersk said 12,000 moves in total were performed on the Manila Maersk during that port call. Lennart Verstappen, a spokesperson for the Port of Antwerp, said both the average and peak call sizes were increasing at the port, with the peak call sizes also becoming more frequent, which was a particular concern. “Container vessels arriving out-of-window causing too long dwell times for export containers, combined with peak call sizes causing large inflows of import containers, put massive strain on container terminals and exert downward pressure on terminal capacity,” he told JOC.com. The surges in call sizes are being piled on top of container terminals struggling to cope with ships arriving far outside schedule windows, which is a leading factor in the port congestion being seen across North Europe hubs. Average vessel delays on the Asia-North Europe trade during September increased from four days a year ago to almost nine days, according to Sea-Intelligence Maritime Analysis. Schedule reliability on Asia-North Europe in September dropped to 22.7 percent compared with 70 percent in September last year. An Alphaliner survey found that after a full Asia-Europe-Asia round trip, ships were currently arriving back in China with an average delay of 18 days . In a measure aimed at recovering at least some of the wrecked schedules, carrier alliances have cut ports from their North Europe rotations. Cosco Shipping will omit every second Antwerp call from its weekly Ocean Alliance NEU2 service, a loop operated by 11 ships of 18,980 to 21,230 TEU, Alphaliner noted. The European rotation of the ships that skip Antwerp will be just Piraeus, Rotterdam, and Hamburg, after which the vessels will sail directly to Shanghai. Cosco will also omit Rotterdam in the coming months for all voyages of eight 13,100 to 14,000 TEU ships deployed in the Ocean Alliance’s NEU3 service, confining North Europe calls to Hamburg, Zeebrugge, and Felixstowe. THE Alliance members will over the next eight weeks cut a double call at Rotterdam to a single call on the Asia-North Europe FE4 loop operated by 12 HMM ships of 24,000 TEU. The 2M Alliance will temporarily omit Hamburg, Le Havre, and Antwerp from three of its North Europe port rotations. Fewer port calls, rising volume IHS Markit Port Performance data for August, the latest available, shows average call sizes rising across several European hubs, including Rotterdam, Antwerp, Felixstowe, and Hamburg. Call sizes among ships greater than 13,500 TEU capacity were up 13 percent in August compared with the same month in pre-pandemic 2019, despite a 9 percent drop in vessel calls. Click to enlarge . Individual port data shows Felixstowe call sizes were up 33 percent in August versus 2019, with Rotterdam average container exchanges per vessel up 17 percent and Antwerp up 12 percent. Antwerp’s Verstappen said when carriers decided to call at fewer ports to get their sailing schedules back on track, they created additional movements in pre- and on-carriage of containers. “The containers must reach their final destination in the hinterland or be able to be transported away from the hinterland to their overseas destination,” he said. “This creates extra transshipment movements via feeder ships or gate movements via trucks or inland vessels putting additional pressure on the terminals. Terminals have been working under these sub-optimal conditions for the past months and it seems that this will continue for the time being.” Leon Willems, spokesperson for the nearby Port of Rotterdam, said there was not much difference between one vessel with a call size of 20,000 TEU or two vessels with call sizes of 10,000 TEU each, although handling one ship with a larger call size could be more efficient. But it was crucial for the terminals to know what was coming. “At this time in which the European ports are facing a lot of challenges, an unannounced increase in call size, including boxes for other ports, would further disturb the delicate supply chain,” he said. “If this is not adequately coordinated, it could potentially lead to further delays. Terminals and carriers are fully aware of this.” A source for Hamburg’s main terminal operator, HHLA, said the rerouting of ships at short notice to catch up on delays was not a problem for the port operator that had adequate space and handling ability to cope with peaks in volume. But he was skeptical that port omissions by carriers would address the congestion plaguing Northern Europe. “It is true that some shipowners reroute ships or skip destinations at short notice to make up for delays,” he said. “But we doubt whether the delays can be reduced in the next few months by leaving out ports. Carriers say port cuts can free up terminal space Rather than leading to surges in volume and potentially worsening the already severe congestion, Hapag-Lloyd and Maersk said the port omissions could in fact be beneficial to the congested terminals. “As container yards are already at their maximum capacity these days, terminals do not have to divide their available gantry cranes between several ships and can focus on one vessel,” a source at Hapag-Lloyd said. “Furthermore, the terminals can use the labor force in a more predictable way.” Sebastian von Hayn, head of network and market for Asia and Europe at Maersk, said the carrier has not seen any structural increases in call sizes in European terminals. “In some cases, higher call sizes can be of value if used to alleviate pressure on the terminal by loading more containers to decongest the yard,” he said. “The congestion is primarily driven by bottlenecks on landside like driver shortages. For every vessel call, shipping lines usually make a joint plan well in advance with the terminal in question, and one of the key factors in the plan is how we can best keep the terminal yard in check.” But the shortening of port rotations has an impact on the onward transport or connectivity of the containers. Martin Gaard Christiansen, CEO Europe for DP World’s Unifeeder Group, a regional short-sea and feeder ship operator, said although the port omissions free up capacity in the ports that are cut, it adds pressure to those terminals remaining on the schedule that will have a higher move count. “In general, high move count on fewer mother vessels should be a good thing for the terminals as productivity and efficiency will be higher, but the feeder requirements to and from such large calls will also increase, and this has to be taken into the terminal planning consideration,” he told JOC.com. “We are already covering all the hubs, so if we remain part of the solution and get the needed berth operational capacity, gangs, and cranes to cover the increased move count, then it will help,” he added. “If not, then with the increased move count the yard capacity will suffer even more and add to the congestion.” Contact Greg Knowler at greg.knowler@ihsmarkit.com and follow him on Twitter: @greg_knowler .

Port News

Carrier port cuts in Europe raise call sizes at maxed-out terminals

<div class="phx-topic abstract-wrapper">The acquisition of German logistics software company Logward continues a trend of visibility vendors extending beyond data provision to areas like transportation management, booking and allocation.</div>

The acquisition of German logistics software company Logward continues a trend of visibility vendors extending beyond data provision to areas like transportation management, booking and allocation.

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<div class="phx-topic">Transportation visibility software provider Shippeo has acquired logistics technology provider Logward in a move that marries data with execution tools for international logistics teams. Terms were not disclosed. The acquisition, announced Monday, pairs two Europe-based technology providers with distinct sets of shipper customer bases. It also furthers a trend where visibility providers are seeking to <a href="https://www.joc.com/article/fourkites-exit-from-gartner-visibility-assessment-highlights-evolving-market-5958243">connect transportation data across modes to actions</a> like planning, booking, and allocation with carrier and third-party logistics partners. The deal follows moves over the past year by market leaders project44 and FourKites to extend into <a href="https://www.joc.com/article/project44-wades-into-tms-market-to-fill-modal-geographic-gaps-6065764">transportation management</a> and <a href="https://www.joc.com/article/visibility-vendors-move-to-extend-reach-and-relevancy-in-rebalancing-market-5923178">control tower</a> tools, respectively. Shippeo CEO Lucien Besse said in a LinkedIn post the Logward deal connects “trusted visibility with operational solutions.” Founded in 2018 as a technology spinoff of the German forwarder Leschaco, Logward has predominantly catered to European shippers looking for software to manage international logistics internally. Though the company found that shippers often still wanted help using the software, it developed low- and no-code solutions designed to help its customers be more self-reliant. “Together with Shippeo’s trusted visibility, we can help customers identify what matters sooner, coordinate the right response more effectively, and drive stronger operational and business outcomes,” Jonas Krumland, Logward’s founder and CEO, said in a statement. Logward’s platform includes tools for managing international transportation workflows, with a specialty on managing booking and optimizing container allocations. The company more recently expanded into order management and customs tools. For Paris-based Shippeo, the acquisition allows its existing customers to migrate insights from their visibility platforms directly into decision-making on planning, routing and carrier relationship management. Shippeo, founded in 2014, tracks more than 100 million shipments annually across all transport modes and is integrated with more than 228,000 carriers and 1,100 transportation management, telematics and electronic logging device systems. Its customers include AkzoNobel, Carrefour, Decathlon, Renault Group, Moët Hennessy, and Yamaha. The deal will see Logward’s 80 employees in Hamburg and Bangalore, including Krumland and chief technology and product officer Hari Krishna, join Shippeo, which will now have 300 employees. Contact Eric Johnson at <a href="mailto:eric.johnson@spglobal.com">eric.johnson@spglobal.com</a>. </div>

Transportation visibility software provider Shippeo has acquired logistics technology provider Logward in a move that marries data with execution tools for international logistics teams. Terms were not disclosed. The acquisition, announced Monday, pairs two Europe-based technology providers with distinct sets of shipper customer bases. It also furthers a trend where visibility providers are seeking to connect transportation data across modes to actions like planning, booking, and allocation with carrier and third-party logistics partners. The deal follows moves over the past year by market leaders project44 and FourKites to extend into transportation management and control tower tools, respectively. Shippeo CEO Lucien Besse said in a LinkedIn post the Logward deal connects “trusted visibility with operational solutions.” Founded in 2018 as a technology spinoff of the German forwarder Leschaco, Logward has predominantly catered to European shippers looking for software to manage international logistics internally. Though the company found that shippers often still wanted help using the software, it developed low- and no-code solutions designed to help its customers be more self-reliant. “Together with Shippeo’s trusted visibility, we can help customers identify what matters sooner, coordinate the right response more effectively, and drive stronger operational and business outcomes,” Jonas Krumland, Logward’s founder and CEO, said in a statement. Logward’s platform includes tools for managing international transportation workflows, with a specialty on managing booking and optimizing container allocations. The company more recently expanded into order management and customs tools. For Paris-based Shippeo, the acquisition allows its existing customers to migrate insights from their visibility platforms directly into decision-making on planning, routing and carrier relationship management. Shippeo, founded in 2014, tracks more than 100 million shipments annually across all transport modes and is integrated with more than 228,000 carriers and 1,100 transportation management, telematics and electronic logging device systems. Its customers include AkzoNobel, Carrefour, Decathlon, Renault Group, Moët Hennessy, and Yamaha. The deal will see Logward’s 80 employees in Hamburg and Bangalore, including Krumland and chief technology and product officer Hari Krishna, join Shippeo, which will now have 300 employees. Contact Eric Johnson at eric.johnson@spglobal.com .

Logistics Technology News

Supply chain

Shippeo acquires software provider to link data to decision-making

<div class="phx-topic abstract-wrapper">Cosco’s transaction is a charter deal with New York-listed, Greece-based Costamare Inc. for 16 container ships — a dozen 9,300-TEU vessels and four 3,100-TEU ships. </div>

Cosco’s transaction is a charter deal with New York-listed, Greece-based Costamare Inc. for 16 container ships — a dozen 9,300-TEU vessels and four 3,100-TEU ships.

<div class="phx-topic">Chinese container ship operators Cosco Shipping and China United Lines (CU Lines) are expanding their fleets with separate deals for 20 new vessels to be delivered between 2027 and 2030. Cosco’s transaction is a charter deal with New York-listed, Greece-based Costamare Inc. for 16 container ships — a dozen 9,300-TEU vessels and four 3,100-TEU ships. The deal adds to the 30 ships worth almost $5 billion <a href="https://www.joc.com/article/cosco-inks-almost-27-billion-in-deals-for-18-newbuild-container-ships-6152035">that Cosco</a> and its <a href="https://www.joc.com/article/oocl-orders-its-first-lng-fueled-ships-with-2-billion-deal-for-12-vessels-6212244">Hong Kong subsidiary OOCL</a> have ordered since the beginning of this year. The 9,200-TEU ships will be delivered to Cosco between the third quarter of 2028 and the second quarter of 2030 when they will be deployed on 15-year charters. They will likely sail on Asia–US West Coast or Asia–Latin America services based on the current deployment of similarly sized vessels. Cosco has made the Latin America trade one of its key growth sectors. Construction of the ships falls under a $1.3 billion order Costamare placed with Dalian Shipbuilding Industry Co. (DSIC), part of state-owned shipyard giant China CSSC Holdings. The smaller ships will be chartered to Cosco for eight years upon delivery between the fourth quarter of 2027 and fourth quarter of 2028. They will likely operate on intra-Asia trades including longer-haul routes to India. No details were provided about the shipyard contracted to build the smaller ships. Neither Costamare nor Cosco said whether the ships will be dual-fuel or conventionally powered, although Cosco and OOCL have favored dual-fuel LNG vessels in their deals this year. Separately, Shanghai-headquartered carrier CU Lines said it has ordered four 6,400-TEU container ships from China’s CSSC Huangpu Wenchong Shipbuilding at a total cost of $300 million. Two of the conventionally fueled ships will be delivered in 2029 and two in 2030. No details of their likely deployment have been released, although given that the ships will have 1,150-TEU reefer plugs, they would be suited to the perishables trade on the carrier’s Asia–India and Middle East services. Contact Keith Wallis at <a href="mailto:keithwallis@hotmail.com">keithwallis@hotmail.com</a>. </div>

Chinese container ship operators Cosco Shipping and China United Lines (CU Lines) are expanding their fleets with separate deals for 20 new vessels to be delivered between 2027 and 2030. Cosco’s transaction is a charter deal with New York-listed, Greece-based Costamare Inc. for 16 container ships — a dozen 9,300-TEU vessels and four 3,100-TEU ships. The deal adds to the 30 ships worth almost $5 billion that Cosco and its Hong Kong subsidiary OOCL have ordered since the beginning of this year. The 9,200-TEU ships will be delivered to Cosco between the third quarter of 2028 and the second quarter of 2030 when they will be deployed on 15-year charters. They will likely sail on Asia–US West Coast or Asia–Latin America services based on the current deployment of similarly sized vessels. Cosco has made the Latin America trade one of its key growth sectors. Construction of the ships falls under a $1.3 billion order Costamare placed with Dalian Shipbuilding Industry Co. (DSIC), part of state-owned shipyard giant China CSSC Holdings. The smaller ships will be chartered to Cosco for eight years upon delivery between the fourth quarter of 2027 and fourth quarter of 2028. They will likely operate on intra-Asia trades including longer-haul routes to India. No details were provided about the shipyard contracted to build the smaller ships. Neither Costamare nor Cosco said whether the ships will be dual-fuel or conventionally powered, although Cosco and OOCL have favored dual-fuel LNG vessels in their deals this year. Separately, Shanghai-headquartered carrier CU Lines said it has ordered four 6,400-TEU container ships from China’s CSSC Huangpu Wenchong Shipbuilding at a total cost of $300 million. Two of the conventionally fueled ships will be delivered in 2029 and two in 2030. No details of their likely deployment have been released, although given that the ships will have 1,150-TEU reefer plugs, they would be suited to the perishables trade on the carrier’s Asia–India and Middle East services. Contact Keith Wallis at keithwallis@hotmail.com .

Container lines

Container Shipping News

Maritime

Cosco Shipping, CU Lines expand fleets with 20 new container ships

<div class="phx-topic abstract-wrapper">Global cargo capacity has largely recovered to pre-shock levels, while international routes have yet to be seriously affected by jet fuel shortages, according to Xeneta.</div>

Global cargo capacity has largely recovered to pre-shock levels, while international routes have yet to be seriously affected by jet fuel shortages, according to Xeneta.

<div class="phx-topic">Air cargo markets are adjusting to the disruption caused by the war in the Middle East as capacity returns and supply-demand fundamentals are driven by seasonality and early May holidays rather than conflict-related factors, analysts say. Flower exports from countries such as Colombia and Ecuador shipped to the US and Canada ahead of Mother’s Day on May 10 saw tonnage from Central and South America rising 19% in the last week of April compared to the previous week, according to the latest weekly figures from air freight analyst WorldACD Market Data. Asia-Pacific tonnage in the last week of April rose 3% sequentially, boosted by shipments ahead of May 1 Labor Day holidays in China that extend across several days. “The worst may be behind us,” Niall van de Wouw, chief air freight officer at rate benchmarking platform Xeneta, said of the war-related disruption as rate increases showed signs of easing, even on corridors most impacted by the Middle East conflict. “This is all logical because the spike in air freight rates was driven by a supply issue from the start,” van de Wouw said in an April market update this week. “Now capacity is coming back, (and) rates will come down, but not as quickly as they went up. “The big question is what will be left in terms of demand after all the inflationary pressure, all the uncertainty, and all the tremendous increases in fuel and production costs ease?,” he added. “What will it mean for Q3 and Q4 because everything that has happened in the last few weeks was against a backdrop of a not-too-rosy outlook for 2026?” For now, the Middle East war continues to drive pricing. Global air cargo spot rates surged 30% year over year in April to $3.34 per kilogram, the highest level since October 2022, according to Xeneta. <div class="wrapper-narrow"><dynamic-object type="jocchartid" resource-id="1f8878b6-9e77-46fc-bdf5-c1982da8007e"></dynamic-object></div>Data from the last week of April by WorldACD showed significant year over year rate increases on several trade lanes. Routes out of the Middle East and South Asia saw average rates up 65% compared to the same week last year at $4.65 per kilogram. Rates out of North America rose 60% to $2.65/kg, and jumped 41% out of Asia-Pacific at $5.11/kg. Meanwhile, rates were up 40% out of Africa at $2.86/kg and up 32% out of Europe at $2.87/kg. Freightos pegged China to Europe rates at $5.30/kg as of May 3, up 4.5% on the week and 52% higher year over year. While WorldACD also noted that rates were rising at a slower pace than in the initial weeks after the Feb. 28 start of the war in the Middle East, “the closure again of the Strait of Hormuz, further increases in fuel prices, and no end in sight to the confrontation mean we may expect continuing high air cargo spot rates and further increases in the coming weeks linked to the costs and availability of jet fuel.” <h3>Carriers can’t absorb fuel cost burden </h3>Jet fuel prices surged through March and April, hitting their highest point in 23 years, with reduced petroleum shipments through the Strait of Hormuz and refinery constraints tightening global aviation fuel availability, according to the International Air Transport Association (IATA). “All eyes are on fuel supply and price, which are expected to test the industry’s resilience in the coming months,” Willie Walsh, IATA’s director-general, said in the association’s April market update. Van de Wouw said the margins between crude oil and refined jet fuel have now exceeded the peaks recorded during the pandemic, adding a cost burden that carriers cannot easily absorb or ignore. Still, the stabilizing of air freight markets as capacity returns will be welcomed by shippers that have been postponing Q3 and Q4 tenders with freight forwarders while waiting for the market to normalize, van de Wouw said. “Global cargo capacity has largely recovered to pre-shock levels, and the jet fuel shortage, though reportedly spreading, has yet to grip long-haul intercontinental routes at scale,” he said. “If those conditions hold, spot rates should ease in the weeks ahead and deliver some reprieve for shippers who have grown accustomed to unwelcome surprises.” Also cautiously optimistic was IATA’s Walsh. “The underlying demand trends, at this point, appear strong, and the recent World Trade Organization and International Monetary Fund revisions to trade and GDP projections continue to see growth in 2026,” he said. “Importantly, air cargo networks are providing the flexibility needed to support global supply chains as they adjust to geopolitical, tariff and operational strains,” Walsh added. Contact Greg Knowler at <a href="mailto:greg.knowler@spglobal.com">greg.knowler@spglobal.com</a>. </div>

Air cargo markets are adjusting to the disruption caused by the war in the Middle East as capacity returns and supply-demand fundamentals are driven by seasonality and early May holidays rather than conflict-related factors, analysts say. Flower exports from countries such as Colombia and Ecuador shipped to the US and Canada ahead of Mother’s Day on May 10 saw tonnage from Central and South America rising 19% in the last week of April compared to the previous week, according to the latest weekly figures from air freight analyst WorldACD Market Data. Asia-Pacific tonnage in the last week of April rose 3% sequentially, boosted by shipments ahead of May 1 Labor Day holidays in China that extend across several days. “The worst may be behind us,” Niall van de Wouw, chief air freight officer at rate benchmarking platform Xeneta, said of the war-related disruption as rate increases showed signs of easing, even on corridors most impacted by the Middle East conflict. “This is all logical because the spike in air freight rates was driven by a supply issue from the start,” van de Wouw said in an April market update this week. “Now capacity is coming back, (and) rates will come down, but not as quickly as they went up. “The big question is what will be left in terms of demand after all the inflationary pressure, all the uncertainty, and all the tremendous increases in fuel and production costs ease?,” he added. “What will it mean for Q3 and Q4 because everything that has happened in the last few weeks was against a backdrop of a not-too-rosy outlook for 2026?” For now, the Middle East war continues to drive pricing. Global air cargo spot rates surged 30% year over year in April to $3.34 per kilogram, the highest level since October 2022, according to Xeneta. Data from the last week of April by WorldACD showed significant year over year rate increases on several trade lanes. Routes out of the Middle East and South Asia saw average rates up 65% compared to the same week last year at $4.65 per kilogram. Rates out of North America rose 60% to $2.65/kg, and jumped 41% out of Asia-Pacific at $5.11/kg. Meanwhile, rates were up 40% out of Africa at $2.86/kg and up 32% out of Europe at $2.87/kg. Freightos pegged China to Europe rates at $5.30/kg as of May 3, up 4.5% on the week and 52% higher year over year. While WorldACD also noted that rates were rising at a slower pace than in the initial weeks after the Feb. 28 start of the war in the Middle East, “the closure again of the Strait of Hormuz, further increases in fuel prices, and no end in sight to the confrontation mean we may expect continuing high air cargo spot rates and further increases in the coming weeks linked to the costs and availability of jet fuel.” Carriers can’t absorb fuel cost burden Jet fuel prices surged through March and April, hitting their highest point in 23 years, with reduced petroleum shipments through the Strait of Hormuz and refinery constraints tightening global aviation fuel availability, according to the International Air Transport Association (IATA). “All eyes are on fuel supply and price, which are expected to test the industry’s resilience in the coming months,” Willie Walsh, IATA’s director-general, said in the association’s April market update. Van de Wouw said the margins between crude oil and refined jet fuel have now exceeded the peaks recorded during the pandemic, adding a cost burden that carriers cannot easily absorb or ignore. Still, the stabilizing of air freight markets as capacity returns will be welcomed by shippers that have been postponing Q3 and Q4 tenders with freight forwarders while waiting for the market to normalize, van de Wouw said. “Global cargo capacity has largely recovered to pre-shock levels, and the jet fuel shortage, though reportedly spreading, has yet to grip long-haul intercontinental routes at scale,” he said. “If those conditions hold, spot rates should ease in the weeks ahead and deliver some reprieve for shippers who have grown accustomed to unwelcome surprises.” Also cautiously optimistic was IATA’s Walsh. “The underlying demand trends, at this point, appear strong, and the recent World Trade Organization and International Monetary Fund revisions to trade and GDP projections continue to see growth in 2026,” he said. “Importantly, air cargo networks are providing the flexibility needed to support global supply chains as they adjust to geopolitical, tariff and operational strains,” Walsh added. Contact Greg Knowler at greg.knowler@spglobal.com .

Air Cargo Carriers News

Air Cargo

Air freight supply-demand factors adjust to war-disrupted market

<div class="phx-topic abstract-wrapper">The Georgia Ports Authority will fund and initiate its own study for dredging and widening its ship channel and harbor as the US Army Corps of Engineers may lack the funds in 2027. </div>

The Georgia Ports Authority will fund and initiate its own study for dredging and widening its ship channel and harbor as the US Army Corps of Engineers may lack the funds in 2027.

<div class="phx-topic">The Port of Savannah wants to prepare for handling ultra-large container ships by funding its own study on deepening and widening its harbor, sidestepping regular federal funding in hopes of speedier approval for the project. The Georgia Ports Authority (GPA) said in a statement it submitted a letter of intent to the US Army Corps of Engineers (USACE) to formally begin a study on deepening and widening Savannah Harbor, which is currently at a federally authorized depth of 49 feet along its ship channel while its inner harbor is at a 47-foot depth. The inner harbor and channel span widths between 500 feet and 600 feet. The GPA is doing the study under a section of the 1986 Water Resources Development Act that allows non-federal agencies to fully fund their own studies without the USACE, which typically pays half of the funding of any study. The Savannah study still has to be reviewed by the USACE before the project receives approval. There was no timeline given for when the study would be completed; the USACE has 180 days for review once the study has been received. The GPA said it was undertaking the study “as a way to accelerate dredging timelines and save taxpayer funds.” The study will determine the appropriate depth for the Savannah Harbor and the entrance to its river “to better serve the largest ships currently serving Savannah, and to prepare for even larger, more efficient vessels expected to serve the US East Coast in the future,” the GPA said, adding that it’s also considering passing lanes for two-way ship traffic. <h3>Problems will be ‘exacerbated’ without harbor deepening </h3>The Savannah Harbor study is authorized under USACE’s 2026 investigations, with a total estimated cost of $3 million. The 2026 USACE budget has set aside $500,000 for its share of the project this year. But due to the Trump administration’s cuts to the agency’s budget, the USACE only expects to receive $80,000 for the study in 2027. The USACE said in its 2026 investigations workplan that the deepening was needed because the last deepening completed in March 2022 was designed for 8,200-TEU vessels calling Savannah, “whereas vessels of 14,000 to 16,000 TEU regularly call on the port, and even larger vessels, 20,000 TEU or more, exist in the global fleet and could call in the future.” “Light loading and tidal delays are expected to increase as throughput increases,” the USACE said. “Existing vessels experience problems associated with turning capabilities and overall maneuverability in certain reaches of the inner harbor, which will be exacerbated as vessel size continues to increase.” While 2026 and 2027 could be flat-to-down years for Savannah’s volumes, the GPA released a forecast at the Georgia International Trade Conference last week indicating it expects cargo volumes to reach 8.8 million TEUs in 2036, marking roughly 4% average annual growth from 2025. Savannah is preparing for the growth with new terminal infrastructure, including expanding container handling at <a href="https://www.joc.com/article/gpa-names-next-ceo-as-savannah-readies-for-new-growth-phase-6167449">its under-utilized Ocean Terminal</a> as well as building an entirely new facility, <a href="https://www.joc.com/article/more-carrier-controlled-terminal-operations-could-be-coming-to-the-east-coast-6207482">the Savannah Container Terminal</a>. Contact Michael Angell at <a href="mailto:michael.angell@spglobal.com">michael.angell@spglobal.com</a>.</div>

The Port of Savannah wants to prepare for handling ultra-large container ships by funding its own study on deepening and widening its harbor, sidestepping regular federal funding in hopes of speedier approval for the project. The Georgia Ports Authority (GPA) said in a statement it submitted a letter of intent to the US Army Corps of Engineers (USACE) to formally begin a study on deepening and widening Savannah Harbor, which is currently at a federally authorized depth of 49 feet along its ship channel while its inner harbor is at a 47-foot depth. The inner harbor and channel span widths between 500 feet and 600 feet. The GPA is doing the study under a section of the 1986 Water Resources Development Act that allows non-federal agencies to fully fund their own studies without the USACE, which typically pays half of the funding of any study. The Savannah study still has to be reviewed by the USACE before the project receives approval. There was no timeline given for when the study would be completed; the USACE has 180 days for review once the study has been received. The GPA said it was undertaking the study “as a way to accelerate dredging timelines and save taxpayer funds.” The study will determine the appropriate depth for the Savannah Harbor and the entrance to its river “to better serve the largest ships currently serving Savannah, and to prepare for even larger, more efficient vessels expected to serve the US East Coast in the future,” the GPA said, adding that it’s also considering passing lanes for two-way ship traffic. Problems will be ‘exacerbated’ without harbor deepening The Savannah Harbor study is authorized under USACE’s 2026 investigations, with a total estimated cost of $3 million. The 2026 USACE budget has set aside $500,000 for its share of the project this year. But due to the Trump administration’s cuts to the agency’s budget, the USACE only expects to receive $80,000 for the study in 2027. The USACE said in its 2026 investigations workplan that the deepening was needed because the last deepening completed in March 2022 was designed for 8,200-TEU vessels calling Savannah, “whereas vessels of 14,000 to 16,000 TEU regularly call on the port, and even larger vessels, 20,000 TEU or more, exist in the global fleet and could call in the future.” “Light loading and tidal delays are expected to increase as throughput increases,” the USACE said. “Existing vessels experience problems associated with turning capabilities and overall maneuverability in certain reaches of the inner harbor, which will be exacerbated as vessel size continues to increase.” While 2026 and 2027 could be flat-to-down years for Savannah’s volumes, the GPA released a forecast at the Georgia International Trade Conference last week indicating it expects cargo volumes to reach 8.8 million TEUs in 2036, marking roughly 4% average annual growth from 2025. Savannah is preparing for the growth with new terminal infrastructure, including expanding container handling at its under-utilized Ocean Terminal as well as building an entirely new facility, the Savannah Container Terminal . Contact Michael Angell at michael.angell@spglobal.com .

Port infrastructure

North American ports

Savannah to fund its own study on readying port for big ships

<div class="phx-topic abstract-wrapper">US shippers of oversized cargo are being buoyed by positivity and strong demand in the Americas, but are struggling with capacity challenges and the uncertain geopolitical backdrop. </div>

US shippers of oversized cargo are being buoyed by positivity and strong demand in the Americas, but are struggling with capacity challenges and the uncertain geopolitical backdrop.

<div class="phx-topic">Caught between the volatile Middle East and the domestic promise of the Americas, sentiment among breakbulk and project cargo shippers has shifted from "how do we survive?" to "how do we scale?" In conversations at the Journal of Commerce’s recent Breakbulk and Project Cargo Conference 2026 in New Orleans, a cautious, localized, and almost defiant optimism prevailed among shippers of out-of-gauge cargoes. <div class="wrapper-narrow float-right-element"><img src="/images/phoenix/6214892_0.1.jpg"></img></div>With the shifting geopolitical landscape, the Americas — specifically Venezuela and Guyana — are poised to play a dominant role in pivoting from Middle Eastern energy dependence. "Countries within the Americas probably will play a more important role in the upcoming years, and oil and gas is one of the key aspects," one shipper speaking to the Journal of Commerce noted. That regional focus is driving a "bullish" outlook for many shippers, despite a backdrop of global instability. Between chip plant expansions in Phoenix and a growing rail network with Mexico, the shipper said the sheer volume of activity is staggering. However, a pinch in transportation capacity could scupper the project refocus before it finds its feet, another shipper said. The source expressed “deep concerns over rail capacity and the availability of specialized equipment,” with the energy sector already struggling. Companies are now being forced into long-term barge and rail car leases — a move once considered unnecessary — while the heavy-haul market is facing a similar squeeze, forcing companies to award contracts two years in advance rather than the traditional six months. <h3>Shift in workforce demographics </h3>Another pervasive theme on shippers’ minds at the Breakbulk26 was the scarcity of "institutional knowledge." One shipper said the industry is facing a "silver tsunami" of retirements, and that the gap between veteran experience and the incoming Gen Z workforce is widening. Shippers criticized the "cubicle culture" where employees understand their specific niche but lack the holistic "chief cook and bottle washer" mentality of previous generations. "There's a real disconnect between that guy sitting in a cubicle and what a dock looks like," another shipper said, emphasizing that hands-on experience is becoming the industry's most valuable currency. While technology and AI were noted as tools for efficiency, including digital twins and autonomous trucks, shippers speaking to the Journal of Commerce agreed that logistics remains a relationship business. The COVID-19 pandemic served as a brutal but effective marketing campaign for the sector. As one industry veteran said: "Every single person now knows what supply chain is... [COVID] created for all of us a huge opportunity to be able to say what we do is important." Another source urged the industry to showcase that project cargo isn’t just a job, but an international career of choice. “The cargo is coming, the projects are funded, and the Americas are ready, but can we train the next generation fast enough to catch the wave?,” the source wondered. Contact Carly Fields at <a href="mailto:carly.fields@spglobal.com">carly.fields@spglobal.com</a>. </div>

Caught between the volatile Middle East and the domestic promise of the Americas, sentiment among breakbulk and project cargo shippers has shifted from "how do we survive?" to "how do we scale?" In conversations at the Journal of Commerce’s recent Breakbulk and Project Cargo Conference 2026 in New Orleans, a cautious, localized, and almost defiant optimism prevailed among shippers of out-of-gauge cargoes. With the shifting geopolitical landscape, the Americas — specifically Venezuela and Guyana — are poised to play a dominant role in pivoting from Middle Eastern energy dependence. "Countries within the Americas probably will play a more important role in the upcoming years, and oil and gas is one of the key aspects," one shipper speaking to the Journal of Commerce noted. That regional focus is driving a "bullish" outlook for many shippers, despite a backdrop of global instability. Between chip plant expansions in Phoenix and a growing rail network with Mexico, the shipper said the sheer volume of activity is staggering. However, a pinch in transportation capacity could scupper the project refocus before it finds its feet, another shipper said. The source expressed “deep concerns over rail capacity and the availability of specialized equipment,” with the energy sector already struggling. Companies are now being forced into long-term barge and rail car leases — a move once considered unnecessary — while the heavy-haul market is facing a similar squeeze, forcing companies to award contracts two years in advance rather than the traditional six months. Shift in workforce demographics Another pervasive theme on shippers’ minds at the Breakbulk26 was the scarcity of "institutional knowledge." One shipper said the industry is facing a "silver tsunami" of retirements, and that the gap between veteran experience and the incoming Gen Z workforce is widening. Shippers criticized the "cubicle culture" where employees understand their specific niche but lack the holistic "chief cook and bottle washer" mentality of previous generations. "There's a real disconnect between that guy sitting in a cubicle and what a dock looks like," another shipper said, emphasizing that hands-on experience is becoming the industry's most valuable currency. While technology and AI were noted as tools for efficiency, including digital twins and autonomous trucks, shippers speaking to the Journal of Commerce agreed that logistics remains a relationship business. The COVID-19 pandemic served as a brutal but effective marketing campaign for the sector. As one industry veteran said: "Every single person now knows what supply chain is... [COVID] created for all of us a huge opportunity to be able to say what we do is important." Another source urged the industry to showcase that project cargo isn’t just a job, but an international career of choice. “The cargo is coming, the projects are funded, and the Americas are ready, but can we train the next generation fast enough to catch the wave?,” the source wondered. Contact Carly Fields at carly.fields@spglobal.com .

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