<div class="phx-topic abstract-wrapper">The nature of footwear sourcing is such that it raises red flags at the U.S. Customs and Border Protection, so importers should make commercial compliance an integral part of their business plan, an industry consultant said Monday.</div>

The nature of footwear sourcing is such that it raises red flags at the U.S. Customs and Border Protection, so importers should make commercial compliance an integral part of their business plan, an industry consultant said Monday.

<div>The nature of footwear sourcing is such that it raises red flags at the U.S. Customs and Border Protection, so importers should make commercial compliance an integral part of their business plan, an industry consultant said Monday.Most footwear importers either have experienced a CBP focused assessment, or they will, so they should have a detailed compliance program in place, Pete Mento, principal at Customs Global Trade, told the annual Footwear Traffic Distribution and Customs conference Monday in Long Beach.“Customs targets your industry for focused assessments. When you get the letter, take it seriously,” he told the trade conference sponsored by...

The nature of footwear sourcing is such that it raises red flags at the U.S. Customs and Border Protection, so importers should make commercial compliance an integral part of their business plan, an industry consultant said Monday. Most footwear importers either have experienced a CBP focused assessment, or they will, so they should have a detailed compliance program in place, Pete Mento, principal at Customs Global Trade, told the annual Footwear Traffic Distribution and Customs conference Monday in Long Beach. “Customs targets your industry for focused assessments. When you get the letter, take it seriously,” he told the trade conference sponsored by Footwear Distributors and Retailers of America. Despite losing some of its share, mainland China held on to 67.6 percent of the market, while other top source countries gained. Full-size image More than 90 percent of the shoes purchased by Americans are imported. The vast majority of footwear is still sourced in China , although nations in Southeast Asia, the Indian subcontinent and Central America are gradually increasing their market share. According to preliminary PIERS data, mainland China lost roughly 3 percent of the market of U.S. container footwear import sourcing in the first nine months of 2014 versus the prior year. Other top source countries experienced gains, with 1.7 percent going to Vietnam. Since footwear is sourced primarily in nations with developing economies, Customs is interested in social responsibility issues as well as commercial compliance. Therefore, importers must be able to show familiarity with the working conditions in factories where footwear is produced, as well the ages of the workers. Anti-bribery regulations are also a concern when footwear is sourced in countries that have a history of corruption. “The rest of the world doesn’t necessarily follow the same rules as the U.S.,” Mento said. In advice that could apply to most imports, Mento said the foundation of commercial compliance is product classification, and that is what Customs auditors look at first. “If it isn’t classified right, the rest will go wrong,” Mento said. Customs auditors will also look closely at the valuation assigned to the imported product. Footwear that is imported under special pricing arrangements in free trade agreements is closely scrutinized. When assists are provided to overseas manufacturers, another red flag is raised. The handling of samples and returns must also follow strict guidelines. The key to an acceptable internal compliance program, as far as Customs auditors are concerned, is that the importer in fact implements the procedures outlined in the company’s compliance manual. “If what you have written down is in reality what you do Customs will probably work with you, even if the process has mistakes,” Mento said. Once the letter arrives saying that auditors will visit the importer, the company should prepare by getting the right team together. The team usually includes legal, logistics, finance, production, accounting and, if necessary, outside counsel. Mento also advised that the company have a record of all import transactions going back for five years, information that can be secured from the government for $250. “This will show you statistically what the government will focus on,” he said. The company should also review Custom’s focused assessment manual before the auditors arrive. Furthermore, the importer should do a full self-assessment to prepare for the audit. “These (Customs) people are auditors. They will look for mistakes, but also for best practices,” he said. “They are not your friends, but be a good host,” he added. On the other hand, companies being audited are advised to keep their answers short, honest and straightforward.vAlthough the focused assessment can be grueling, companies that make compliance a regular part of their operations and prepare seriously for the audit will benefit from the experience. “You will come out being a better place because of the focused assessment,” Mento said. Contact Bill Mongelluzzo at bmongelluzzo@joc.com and follow him on Twitter: @billmongelluzzo

Transport, Trade and Regulation News

Footwear shippers told to focus on commercial compliance

<div class="phx-topic abstract-wrapper">Premier Alliance carriers may not have the most chips in the game, but in a world where all the alliances are competing to provide the best product, they can inject some very useful capacity to enhance particular trade lanes, writes Jeremy Masters.</div>

Premier Alliance carriers may not have the most chips in the game, but in a world where all the alliances are competing to provide the best product, they can inject some very useful capacity to enhance particular trade lanes, writes Jeremy Masters.

Feature image

<div class="phx-topic">Recent articles on <a href="https://www.joc.com/article/hapag-lloyd-bolsters-fleet-with-42-billion-deal-to-acquire-zim-6170540">Hapag Lloyd’s acquisition of Zim Integrated Shipping Services</a> have naturally focused on the additional critical mass it brings the fifth-largest carrier. It also has some signals for others. If we look at the top 10 carriers, we see the following existing TEU fleet size and capacity on order as of December 2025, (courtesy of Alphaliner): <div class="wrapper-full"><table><colgroup><col width="25%"></col><col width="25%"></col><col width="25%"></col><col width="25%"></col></colgroup><caption></caption><thead><tr><th>Company</th><th class="align-right">Existing Capacity</th><th class="align-right">On Order</th><th class="align-right">Total</th></tr></thead><tbody><tr><td>MSC                </td><td class="align-right">7,080,958</td><td class="align-right">2,102,992</td><td class="align-right">9,183,950</td></tr><tr><td>Maersk            </td><td class="align-right">4,602,633</td><td class="align-right">834,770</td><td class="align-right">5,437,403</td></tr><tr><td>CMACGM </td><td class="align-right">4,081,155</td><td class="align-right"> 1,909,846</td><td class="align-right"> 5,991,001</td></tr><tr><td>Cosco </td><td class="align-right"> 3,553,514</td><td class="align-right">1,168,612</td><td class="align-right">4,722,126</td></tr><tr><td>Hapag-Lloyd</td><td class="align-right">2,412,728</td><td class="align-right">415,220</td><td class="align-right">2,827,948 </td></tr><tr><td>ONE </td><td class="align-right">2,050,500</td><td class="align-right">611,304</td><td class="align-right"> 2,661,804</td></tr><tr><td>Evergreen       </td><td class="align-right">1,938,786</td><td class="align-right">853,113</td><td class="align-right">2,791,899</td></tr><tr><td>HMM               </td><td class="align-right">1,016,180</td><td class="align-right">190,192</td><td class="align-right">1,206,372</td></tr><tr><td>Yang Ming</td><td class="align-right">717,715</td><td class="align-right">236,660</td><td class="align-right">954,375</td></tr><tr><td>Zim</td><td class="align-right">703,598</td><td class="align-right">163,128</td><td class="align-right">866,726</td></tr></tbody><tfoot><tr><td colspan="4">Source: Alphaliner</td></tr></tfoot></table></div>Switching to consortium carriers, combined existing capacity plus that on order (counting Mediterranean Shipping Co. as a consortium), then we have total TEU fleet sizes as follows: <div class="wrapper-full"><table><colgroup><col width="50%"></col><col width="50%"></col></colgroup><thead><tr><th>Company</th><th class="align-right">Fleet Size</th></tr></thead><tbody><tr><td>MSC </td><td class="align-right">9,183,950</td></tr><tr><td>Maersk and HL (including Zim)</td><td class="align-right">9,132,077</td></tr><tr><td>CMA CGM, Cosco and Evergreen</td><td class="align-right">13,505,026</td></tr><tr><td>ONE, HMM and Yang Ming</td><td class="align-right">4,822,551</td></tr></tbody><tfoot><tr><td colspan="2">Alphaliner</td></tr></tfoot></table></div>Of course, relative total fleet capacities do not correlate with relative capacities deployed in the consortium trades, but the above gives a clear guide to overall future strength as it stands. <h3>Significant variation in fire power </h3>MSC continues to surge ahead on both new buildings and second-hand acquisitions, and it would not be a surprise if their ultimate objective is a 30% share of total capacity (they currently sit at 21.5 %). The Ocean Alliance of CMA CGM, Cosco (and OOCL), and Evergreen stands out as the biggest consortium by some margin, and the order book reinforces that. The agreement has been extended until 2032, all of the partners are strong, and unless politics gets in the way, this cooperation looks very solid. <div class="wrapper-narrow float-right-element"><img src="/images/phoenix/6176395_0.1.jpg"></img></div>Whether or not the Zim transaction is completed and however that capacity is operated, Gemini Cooperation has critical mass and, of course, has differentiated itself by its drive for schedule reliability. The current joint vision is clear. The future one may be less so until Maersk’s integrated logistics adventure fully unfolds. Of course, the number that sticks out the most is the capacity of the Premier Alliance carriers of Ocean Network Express, HMM and Yang Ming. After newbuildings, it is 36% of the Ocean Alliance carriers and 53% of both MSC and the Gemini carriers, including Zim. Previous articles have visited why capacity is not everything in a consortium and why the THE Alliance (now Premier) carriers left behind by Hapag-Lloyd had more options than was originally perceived. Premier moved forward with great dexterity, and multi-trade viability was clutched from the jaws of impending marginalization. Slot exchanges with MSC on the Asia to Europe trade, slot purchases from Ocean Alliance to the North American West Coast, and joint services/slotting with Ocean Alliance on the trans-Atlantic were a critical part of that solution. <h3>Options for Premier </h3>Premier may not have the most chips in the game, but in a world where all the alliances are competing to provide the best product, they can inject some very useful capacity to enhance particular trade lanes. They also have enough capacity that any streamlined services they operate have the ability to be market disruptive, so there is an element of “keeping your enemy close,” or to be more exact, under control. On the flip side, we are about to enter a sustained period of structural overcapacity that could have negative effects on Premier as follows: other consortiums taking capacity out and streamlining services which may reduce their need/desire for using capacity from outside their alliance members; and financial results coming under pressure, with those carriers with less economies of scale feeling the pinch first. Still, we are nowhere near a crisis point in the industry, and the carriers still have some potential to stabilize things. Given Premier’s strategic position, however, they may need to revisit their options calmly before any storm hits. Some potential areas: 1) ONE buying HMM or Yang Ming to consolidate their strength and reduce the vulnerability of Premier. 2) ONE, HMM or Yang Ming ramping up capacity by buying one or more carriers outside the top 10, or otherwise acquiring additional capacity (although in the current situation, any net addition of capacity would further exacerbate overcapacity). 3) Inviting one of the bigger carriers outside the top 10 like Wan Hai or PIL to join Premier. 4) Recalibrating consortium trade focus. There is no rule that says the main consortiums need to be focused exclusively on east-west trades. If problems do hit, Premier also has the option to rationalize its east-west network and pick its spots where it can build competitive products. In that situation, it will certainly want to positively differentiate its physical or customer service product as Gemini has done with schedule reliability. The Premier Alliance carriers have proven they can be agile and inventive, and they will need to be again. Jeremy Masters is managing director of Shipping Masters. Contact him at <a href="mailto:jeremy@shippingmastershk.com">jeremy@shippingmastershk.com</a>. </div>

Recent articles on Hapag Lloyd’s acquisition of Zim Integrated Shipping Services have naturally focused on the additional critical mass it brings the fifth-largest carrier. It also has some signals for others. If we look at the top 10 carriers, we see the following existing TEU fleet size and capacity on order as of December 2025, (courtesy of Alphaliner): Company Existing Capacity On Order Total MSC                 7,080,958 2,102,992 9,183,950 Maersk            4,602,633 834,770 5,437,403 CMACGM 4,081,155 1,909,846 5,991,001 Cosco 3,553,514 1,168,612 4,722,126 Hapag-Lloyd 2,412,728 415,220 2,827,948 ONE 2,050,500 611,304 2,661,804 Evergreen       1,938,786 853,113 2,791,899 HMM               1,016,180 190,192 1,206,372 Yang Ming 717,715 236,660 954,375 Zim 703,598 163,128 866,726 Source: Alphaliner Switching to consortium carriers, combined existing capacity plus that on order (counting Mediterranean Shipping Co. as a consortium), then we have total TEU fleet sizes as follows: Company Fleet Size MSC 9,183,950 Maersk and HL (including Zim) 9,132,077 CMA CGM, Cosco and Evergreen 13,505,026 ONE, HMM and Yang Ming 4,822,551 Alphaliner Of course, relative total fleet capacities do not correlate with relative capacities deployed in the consortium trades, but the above gives a clear guide to overall future strength as it stands. Significant variation in fire power MSC continues to surge ahead on both new buildings and second-hand acquisitions, and it would not be a surprise if their ultimate objective is a 30% share of total capacity (they currently sit at 21.5 %). The Ocean Alliance of CMA CGM, Cosco (and OOCL), and Evergreen stands out as the biggest consortium by some margin, and the order book reinforces that. The agreement has been extended until 2032, all of the partners are strong, and unless politics gets in the way, this cooperation looks very solid. Whether or not the Zim transaction is completed and however that capacity is operated, Gemini Cooperation has critical mass and, of course, has differentiated itself by its drive for schedule reliability. The current joint vision is clear. The future one may be less so until Maersk’s integrated logistics adventure fully unfolds. Of course, the number that sticks out the most is the capacity of the Premier Alliance carriers of Ocean Network Express, HMM and Yang Ming. After newbuildings, it is 36% of the Ocean Alliance carriers and 53% of both MSC and the Gemini carriers, including Zim. Previous articles have visited why capacity is not everything in a consortium and why the THE Alliance (now Premier) carriers left behind by Hapag-Lloyd had more options than was originally perceived. Premier moved forward with great dexterity, and multi-trade viability was clutched from the jaws of impending marginalization. Slot exchanges with MSC on the Asia to Europe trade, slot purchases from Ocean Alliance to the North American West Coast, and joint services/slotting with Ocean Alliance on the trans-Atlantic were a critical part of that solution. Options for Premier Premier may not have the most chips in the game, but in a world where all the alliances are competing to provide the best product, they can inject some very useful capacity to enhance particular trade lanes. They also have enough capacity that any streamlined services they operate have the ability to be market disruptive, so there is an element of “keeping your enemy close,” or to be more exact, under control. On the flip side, we are about to enter a sustained period of structural overcapacity that could have negative effects on Premier as follows: other consortiums taking capacity out and streamlining services which may reduce their need/desire for using capacity from outside their alliance members; and financial results coming under pressure, with those carriers with less economies of scale feeling the pinch first. Still, we are nowhere near a crisis point in the industry, and the carriers still have some potential to stabilize things. Given Premier’s strategic position, however, they may need to revisit their options calmly before any storm hits. Some potential areas: 1) ONE buying HMM or Yang Ming to consolidate their strength and reduce the vulnerability of Premier. 2) ONE, HMM or Yang Ming ramping up capacity by buying one or more carriers outside the top 10, or otherwise acquiring additional capacity (although in the current situation, any net addition of capacity would further exacerbate overcapacity). 3) Inviting one of the bigger carriers outside the top 10 like Wan Hai or PIL to join Premier. 4) Recalibrating consortium trade focus. There is no rule that says the main consortiums need to be focused exclusively on east-west trades. If problems do hit, Premier also has the option to rationalize its east-west network and pick its spots where it can build competitive products. In that situation, it will certainly want to positively differentiate its physical or customer service product as Gemini has done with schedule reliability. The Premier Alliance carriers have proven they can be agile and inventive, and they will need to be again. Jeremy Masters is managing director of Shipping Masters. Contact him at jeremy@shippingmastershk.com .

Container lines

Maritime

After Hapag-Zim deal, Premier Alliance may be next in the spotlight

<div class="phx-topic abstract-wrapper">The widely used freight forwarding software vendor said artificial intelligence is enabling it to reduce staff in roles that include programming, product development and customer service.</div>

The widely used freight forwarding software vendor said artificial intelligence is enabling it to reduce staff in roles that include programming, product development and customer service.

<div class="phx-topic">WiseTech Global will lay off approximately 2,000 of its employees — nearly 30% of its current workforce — over the next two years because of the efficiencies artificial intelligence will bring to its ability to develop products and interact with customers, the forwarding software vendor said Wednesday. The announcement overshadowed WiseTech’s earnings release for the first half of its fiscal year and sparked a double-digit spike in the company’s share price. WiseTech CEO Zubin Appoo explained in a pre-recorded video message that the workforce reduction was due to the progression of AI tools, those developed internally and by the largest AI model developers such as Anthropic, OpenAI and Google. Cuts will come from roles that include programming, product development, and customer service. “This decision was not taken lightly, but it was necessary to ensure we stay disciplined, nimble, competitive, and future-ready,” Appoo said in the video. “A transformation of this scale will fundamentally reshape our cost base while allowing for an uplift in productivity.” The move comes months after Australia-based WiseTech shook the market <a href="https://www.joc.com/article/cargowises-pricing-model-change-could-mark-final-milestone-in-market-ascent-6133279">with a pricing model change</a> that affected virtually all of its forwarder, customs brokers and third-party logistics provider customers. It also comes as WiseTech integrates its <a href="https://www.joc.com/article/wisetech-makes-2-billion-gamble-on-overturning-complicated-software-history-6013221">largest-ever acquisition</a>, a $2.1 billion purchase of E2open last May, one that expanded the company’s customer reach from 3PLs to shippers. Taken together, those moves could be seen as WiseTech prepping itself for a future where AI transforms how software is built, sold and used, rather than waiting for those changes to undermine its business. WiseTech’s planned layoffs and its emphasis on AI can also be seen as a warning shot to software providers that either act as agentic layers on top of CargoWise — WiseTech’s flagship product — or focus on automating processes inside of CargoWise. Either way, the news will surely reverberate around the market, with software companies that have a fraction of WiseTech’s revenue and a lower operating margin asking themselves if their headcount is optimal given the impact AI is having. The move to cut a significant portion of its workforce should also be viewed through the lens that WiseTech must juggle public market scrutiny in a way that privately-held logistics technology providers do not. The narrative around AI potentially eroding the value of publicly-traded software vendors and data providers has surely spooked companies into showing that they are indeed ready for what AI will do to their products, customers, market share and profit margin. <h3>Revenue growth </h3>The announcement of layoffs comes as WiseTech reported solid financials for the first half of its fiscal year. The company posted operating profits of $252.1 million for the period between July 1 and Dec. 31 on revenue of $672 million, an operating margin of 38%. Total revenue in the first half increased 76% year over year, but much of that growth was attributable to the addition of E2open revenue. Organic revenue growth in the period was 12% Additionally, the company said it has lessened its reliance on its biggest customers over the past year, with 23% of its revenue coming from its top 20 customers in the first half of its current fiscal year, down from 33% in the same period in 2025. Another development worth noting from WiseTech’s fiscal year first-half earnings is its continued focus around building a one-stop shop for logistics software, one that encompasses international and domestic freight procurement, execution, payment and analytics, alongside trade compliance and accounting. The company is not there yet, as most of its customer base is still tied to international forwarding or customs compliance, but the intent is to move in that direction. WiseTech’s share price rose 11% Wednesday on the Australian stock exchange after the planned layoffs were announced. Contact Eric Johnson at <a href="mailto:eric.johnson@spglobal.com">eric.johnson@spglobal.com</a>. </div>

WiseTech Global will lay off approximately 2,000 of its employees — nearly 30% of its current workforce — over the next two years because of the efficiencies artificial intelligence will bring to its ability to develop products and interact with customers, the forwarding software vendor said Wednesday. The announcement overshadowed WiseTech’s earnings release for the first half of its fiscal year and sparked a double-digit spike in the company’s share price. WiseTech CEO Zubin Appoo explained in a pre-recorded video message that the workforce reduction was due to the progression of AI tools, those developed internally and by the largest AI model developers such as Anthropic, OpenAI and Google. Cuts will come from roles that include programming, product development, and customer service. “This decision was not taken lightly, but it was necessary to ensure we stay disciplined, nimble, competitive, and future-ready,” Appoo said in the video. “A transformation of this scale will fundamentally reshape our cost base while allowing for an uplift in productivity.” The move comes months after Australia-based WiseTech shook the market with a pricing model change that affected virtually all of its forwarder, customs brokers and third-party logistics provider customers. It also comes as WiseTech integrates its largest-ever acquisition , a $2.1 billion purchase of E2open last May, one that expanded the company’s customer reach from 3PLs to shippers. Taken together, those moves could be seen as WiseTech prepping itself for a future where AI transforms how software is built, sold and used, rather than waiting for those changes to undermine its business. WiseTech’s planned layoffs and its emphasis on AI can also be seen as a warning shot to software providers that either act as agentic layers on top of CargoWise — WiseTech’s flagship product — or focus on automating processes inside of CargoWise. Either way, the news will surely reverberate around the market, with software companies that have a fraction of WiseTech’s revenue and a lower operating margin asking themselves if their headcount is optimal given the impact AI is having. The move to cut a significant portion of its workforce should also be viewed through the lens that WiseTech must juggle public market scrutiny in a way that privately-held logistics technology providers do not. The narrative around AI potentially eroding the value of publicly-traded software vendors and data providers has surely spooked companies into showing that they are indeed ready for what AI will do to their products, customers, market share and profit margin. Revenue growth The announcement of layoffs comes as WiseTech reported solid financials for the first half of its fiscal year. The company posted operating profits of $252.1 million for the period between July 1 and Dec. 31 on revenue of $672 million, an operating margin of 38%. Total revenue in the first half increased 76% year over year, but much of that growth was attributable to the addition of E2open revenue. Organic revenue growth in the period was 12% Additionally, the company said it has lessened its reliance on its biggest customers over the past year, with 23% of its revenue coming from its top 20 customers in the first half of its current fiscal year, down from 33% in the same period in 2025. Another development worth noting from WiseTech’s fiscal year first-half earnings is its continued focus around building a one-stop shop for logistics software, one that encompasses international and domestic freight procurement, execution, payment and analytics, alongside trade compliance and accounting. The company is not there yet, as most of its customer base is still tied to international forwarding or customs compliance, but the intent is to move in that direction. WiseTech’s share price rose 11% Wednesday on the Australian stock exchange after the planned layoffs were announced. Contact Eric Johnson at eric.johnson@spglobal.com .

Logistics Technology News

Supply chain

WiseTech says to cut nearly 30% of workforce as it preps for AI era

<div class="phx-topic abstract-wrapper">Nixon, one of the most recognized executives in container shipping, led the transformation of legacy Japanese carriers K Line, MOL and NYK into a unified global company based in Singapore. </div>

Nixon, one of the most recognized executives in container shipping, led the transformation of legacy Japanese carriers K Line, MOL and NYK into a unified global company based in Singapore.

<div class="phx-topic">Ocean Network Express CEO Jeremy Nixon will step down on July 1 from the leadership position he has held since ONE’s inception in 2018 and turn over the helm to industry veteran Till Ole Barrelet. The change was part of a “planned leadership transition” and will not have any impact on customers, the carrier said in a statement Wednesday. Nixon is one of the most recognized executives in container shipping and will stay on with ONE as a senior advisor after Barrelet becomes CEO. “Leading ONE from day one has been the defining chapter of my career,” Nixon said in the statement. “Now is the right time for new leadership, and I am very confident in Till’s ability to lead ONE forward.” Barrelet has more than 20 years of maritime and logistics experience, most recently serving as CEO of Emirates Shipping Line. He has expertise in ship owning, financing, container shipping and trade development across Asia, the Middle East, Europe and Africa. In addition to a change at the top, ONE will transition to a new executive management team structure comprising the CEO and seven representatives from across all the carrier’s divisions. The new executive team, together with six regional leaders, will report into the CEO. “As our founding CEO, Jeremy has helped build ONE from the ground up, establishing our corporate culture and market position,” said Jotaro Tamura, representative director and chairman of Ocean Network Express Holdings. Nixon has been a regular presence at the Journal of Commerce’s TPM conference in Long Beach, and will speak at TPM26 next Monday. <h3>Transforming three Japanese carriers </h3>As CEO of ONE, Nixon presided over the transformation of the container segments of legacy Japanese carriers K Line, MOL and NYK into a unified global container shipping company based in Singapore. Prior to taking the top job at ONE, he headed up the container division at NYK and served in senior management positions at P&amp;O Nedlloyd and Maersk. Under his stewardship, ONE’s fleet grew from 1.5 million TEUs to more than 260 vessels with capacity exceeding 2 million TEUs. Another 1.15 million TEUs of capacity are on order. ONE recorded a loss in 2018–19, its first year of operation, but rode the massive profitability wave generated during the pandemic-impacted years that followed. That profitability came to an end in the fiscal third quarter of ONE’s 2025 financial year when <a href="https://www.joc.com/article/frontloading-drags-one-to-a-loss-in-its-fiscal-third-quarter-6161263">the carrier posted an $88 million net loss</a>. “ONE is well-positioned to navigate industry headwinds with an increasingly modern fleet, financial strength, and proven capabilities,” Till said in the statement. Contact Greg Knowler at <a href="https://www.joc.com/article/frontloading-drags-one-to-a-loss-in-its-fiscal-third-quarter-6161263">greg.knowler@spglobal.com</a>. </div>

Ocean Network Express CEO Jeremy Nixon will step down on July 1 from the leadership position he has held since ONE’s inception in 2018 and turn over the helm to industry veteran Till Ole Barrelet. The change was part of a “planned leadership transition” and will not have any impact on customers, the carrier said in a statement Wednesday. Nixon is one of the most recognized executives in container shipping and will stay on with ONE as a senior advisor after Barrelet becomes CEO. “Leading ONE from day one has been the defining chapter of my career,” Nixon said in the statement. “Now is the right time for new leadership, and I am very confident in Till’s ability to lead ONE forward.” Barrelet has more than 20 years of maritime and logistics experience, most recently serving as CEO of Emirates Shipping Line. He has expertise in ship owning, financing, container shipping and trade development across Asia, the Middle East, Europe and Africa. In addition to a change at the top, ONE will transition to a new executive management team structure comprising the CEO and seven representatives from across all the carrier’s divisions. The new executive team, together with six regional leaders, will report into the CEO. “As our founding CEO, Jeremy has helped build ONE from the ground up, establishing our corporate culture and market position,” said Jotaro Tamura, representative director and chairman of Ocean Network Express Holdings. Nixon has been a regular presence at the Journal of Commerce’s TPM conference in Long Beach, and will speak at TPM26 next Monday. Transforming three Japanese carriers As CEO of ONE, Nixon presided over the transformation of the container segments of legacy Japanese carriers K Line, MOL and NYK into a unified global container shipping company based in Singapore. Prior to taking the top job at ONE, he headed up the container division at NYK and served in senior management positions at P&O Nedlloyd and Maersk. Under his stewardship, ONE’s fleet grew from 1.5 million TEUs to more than 260 vessels with capacity exceeding 2 million TEUs. Another 1.15 million TEUs of capacity are on order. ONE recorded a loss in 2018–19, its first year of operation, but rode the massive profitability wave generated during the pandemic-impacted years that followed. That profitability came to an end in the fiscal third quarter of ONE’s 2025 financial year when the carrier posted an $88 million net loss . “ONE is well-positioned to navigate industry headwinds with an increasingly modern fleet, financial strength, and proven capabilities,” Till said in the statement. Contact Greg Knowler at greg.knowler@spglobal.com .

Container Shipping News

Jeremy Nixon to step down as ONE CEO after eight years at the helm

<div class="phx-topic abstract-wrapper">Forwarders say reefer-centric Indian grape exports combined with sporadic vessel schedule disruptions have enabled carriers to adjust rates upward on the trade lane.</div>

Forwarders say reefer-centric Indian grape exports combined with sporadic vessel schedule disruptions have enabled carriers to adjust rates upward on the trade lane.

<div class="phx-topic">Major container lines operating on the India-Europe/Mediterranean trades have pushed spot rates for February sailings noticeably higher while signaling that further increases are in the cards for March. Carrier spot rate asks are up by $400 to $500 per TEU/FEU from January, according to forwarder sources. Average spot pricing from Nhava Sheva/Mundra (West India) to Felixstowe/London Gateway/Rotterdam now stands at $1,300 to $1,400 per dry standard container, up from $800 to $900 a month ago. Sources reported similar spot gains for Indian loads to the Mediterranean, with February quotes hovering at $1,400 to $1,500 per TEU/FEU for Genoa (Italy) bookings and $2,000 to $2,200 per TEU/FEU for Egypt’s Port Said. Forwarders believe that seasonal reefer-centric Indian grape export bookings combined with sporadic vessel schedule disruptions have enabled carriers to adjust rates upward on the India-Europe trade lane. “Even some of the typically cargo-hungry Asian carriers have lifted spot rates as their slot allocations from network-leading capacity partners dropped,” a Mumbai-based forwarder executive who didn’t want to be identified told the Journal of Commerce. But lead carriers have chosen to hold quarterly contract rates firm because they seem to consider spot gains a temporary or seasonal blip and not a market shift, sources explained. Overall grape volumes in the current season will likely be lower than the historical pattern due to weaker harvest conditions. Available forward vessel schedules point to a few blankings across West India-North Europe networks in March, so forwarders expect tighter capacity to work in favor of the carriers in the spot market in the coming weeks. “Some space crunch is imminent for Europe,” said another executive at a niche reefer forwarder company. “Over the next six to eight weeks, close to 6,000 boxes of grapes have to be exported.” Contact Bency Mathew at <a href="mailto:bencyvmathew@gmail.com">bencyvmathew@gmail.com</a>. </div>

Major container lines operating on the India-Europe/Mediterranean trades have pushed spot rates for February sailings noticeably higher while signaling that further increases are in the cards for March. Carrier spot rate asks are up by $400 to $500 per TEU/FEU from January, according to forwarder sources. Average spot pricing from Nhava Sheva/Mundra (West India) to Felixstowe/London Gateway/Rotterdam now stands at $1,300 to $1,400 per dry standard container, up from $800 to $900 a month ago. Sources reported similar spot gains for Indian loads to the Mediterranean, with February quotes hovering at $1,400 to $1,500 per TEU/FEU for Genoa (Italy) bookings and $2,000 to $2,200 per TEU/FEU for Egypt’s Port Said. Forwarders believe that seasonal reefer-centric Indian grape export bookings combined with sporadic vessel schedule disruptions have enabled carriers to adjust rates upward on the India-Europe trade lane. “Even some of the typically cargo-hungry Asian carriers have lifted spot rates as their slot allocations from network-leading capacity partners dropped,” a Mumbai-based forwarder executive who didn’t want to be identified told the Journal of Commerce. But lead carriers have chosen to hold quarterly contract rates firm because they seem to consider spot gains a temporary or seasonal blip and not a market shift, sources explained. Overall grape volumes in the current season will likely be lower than the historical pattern due to weaker harvest conditions. Available forward vessel schedules point to a few blankings across West India-North Europe networks in March, so forwarders expect tighter capacity to work in favor of the carriers in the spot market in the coming weeks. “Some space crunch is imminent for Europe,” said another executive at a niche reefer forwarder company. “Over the next six to eight weeks, close to 6,000 boxes of grapes have to be exported.” Contact Bency Mathew at bencyvmathew@gmail.com .

Asia-Europe

India-Europe spot rates climb on seasonal booking demand, tighter capacity

<div class="phx-topic abstract-wrapper">A number of forwarders and software vendors are providing products, often for free, to help shippers and customs brokers calculate refunds they may have coming following Friday’s Supreme Court ruling. </div>

A number of forwarders and software vendors are providing products, often for free, to help shippers and customs brokers calculate refunds they may have coming following Friday’s Supreme Court ruling.

<div class="phx-topic">A range of software tools has emerged over the past few months that should help importers and customs brokers determine the level of refunds available to them as a result of Friday’s Supreme Court ruling rejecting the mechanism used by the Trump administration to collect tariffs over the past 10 months. The decision, which ruled the administration improperly assessed an estimated $175 billion in tariffs on importers by using the International Emergency Economic Powers Act (IEEPA), has set in motion a scramble to claw back refunds on those tariffs. But the process is far from clear. The Court made no determination on how the refund process should be handled and President Donald Trump suggested on Friday after the ruling that refunds might be tied up in legal disputes for two or more years. Trade experts have said the US Court of International Trade (CIT) will ultimately decide the refund process. While importers await word from the government about the process, or until a case is brought before the CIT that might provide clarity, most will be turning to an administrative filing called a post-summary correction (PSC) to get in line to claim their refund. A PSC is an electronic tool within the government’s Automated Commercial Environment (ACE) that allows importers to fix errors in their customs entries and claim refunds for any duty improperly collected. To calculate what those refunds might amount to, software vendors and forwarders have established products for customs brokers and importers to use. Digital forwarder Flexport, well-versed in marketing its services to shippers in trying times, has been front and center on the tariff issue by promoting its free-to-use tariff refund calculator. It has added an IEEPA tariff refund product that calculates the refund amount and starts the process for claiming refunds. <h3>Multiple tools available </h3>Flexport is far from the only refund tool on the market. Wove, an automation technology provider for forwarders, customs brokers and shippers, launched an IEEPA tariff refund calculator over the weekend that allows users to upload a spreadsheet into a web portal with the harmonized tariff schedule (HTS) code, country of origin, customs value and entry date information to determine their refunds. Amari AI, which last week landed a $4.5 million seed funding round from venture investors, also has a tariff calculator based on HTS code and shipment details. That’s aside from its core product, which automates the extraction of information from commercial invoices, packing lists, bills of lading and arrival notices to help customs brokers file entries more efficiently. Reform, yet another provider catering to customs brokers and importers, this week said a post-summary correction audit and filing tool that helps determine in minutes whether an entry error has occurred has seen demand increase significantly since the Supreme Court decision. “Brokers simply import their 7501 entry summaries and supporting commercial invoices, and the tool delivers results in a matter of minutes,” Reform said in a blog Tuesday. Reform said brokers can receive a corrected entry formatted for transmission to CBP through systems such as Descartes NetCHB or CargoWise or a detailed spreadsheet flagging missing HTS codes, provisional tariffs, and discrepancies between entries and invoices. Reform said the issue is particularly acute for importers and the customs brokers they use because CBP is itself using artificial intelligence and automation to better target incorrect entries. Pallet, another logistics automation specialist, said it has enabled forwarder Mallory Alexander to double the number of import filings its employees can handle while increasing the accuracy of those filings from about 80% to 97%. In addition, importers are turning to tax and trade compliance advisory specialists to ensure that the paperwork they need to apply for refunds is in order. All this comes as the Trump administration, seeking to pivot after the Court ruling, implemented on Monday a 10% tariff on all trade partners using so-called Section 122 authority. But there are myriad exemptions for specific products or countries covered by existing trade agreements, as well as legal questions about whether the market factors that would justify using Section 122 powers are even in place. Contact Eric Johnson at <a href="mailto:eric.johnson@spglobal.com">eric.johnson@spglobal.com</a>. </div>

A range of software tools has emerged over the past few months that should help importers and customs brokers determine the level of refunds available to them as a result of Friday’s Supreme Court ruling rejecting the mechanism used by the Trump administration to collect tariffs over the past 10 months. The decision, which ruled the administration improperly assessed an estimated $175 billion in tariffs on importers by using the International Emergency Economic Powers Act (IEEPA), has set in motion a scramble to claw back refunds on those tariffs. But the process is far from clear. The Court made no determination on how the refund process should be handled and President Donald Trump suggested on Friday after the ruling that refunds might be tied up in legal disputes for two or more years. Trade experts have said the US Court of International Trade (CIT) will ultimately decide the refund process. While importers await word from the government about the process, or until a case is brought before the CIT that might provide clarity, most will be turning to an administrative filing called a post-summary correction (PSC) to get in line to claim their refund. A PSC is an electronic tool within the government’s Automated Commercial Environment (ACE) that allows importers to fix errors in their customs entries and claim refunds for any duty improperly collected. To calculate what those refunds might amount to, software vendors and forwarders have established products for customs brokers and importers to use. Digital forwarder Flexport, well-versed in marketing its services to shippers in trying times, has been front and center on the tariff issue by promoting its free-to-use tariff refund calculator. It has added an IEEPA tariff refund product that calculates the refund amount and starts the process for claiming refunds. Multiple tools available Flexport is far from the only refund tool on the market. Wove, an automation technology provider for forwarders, customs brokers and shippers, launched an IEEPA tariff refund calculator over the weekend that allows users to upload a spreadsheet into a web portal with the harmonized tariff schedule (HTS) code, country of origin, customs value and entry date information to determine their refunds. Amari AI, which last week landed a $4.5 million seed funding round from venture investors, also has a tariff calculator based on HTS code and shipment details. That’s aside from its core product, which automates the extraction of information from commercial invoices, packing lists, bills of lading and arrival notices to help customs brokers file entries more efficiently. Reform, yet another provider catering to customs brokers and importers, this week said a post-summary correction audit and filing tool that helps determine in minutes whether an entry error has occurred has seen demand increase significantly since the Supreme Court decision. “Brokers simply import their 7501 entry summaries and supporting commercial invoices, and the tool delivers results in a matter of minutes,” Reform said in a blog Tuesday. Reform said brokers can receive a corrected entry formatted for transmission to CBP through systems such as Descartes NetCHB or CargoWise or a detailed spreadsheet flagging missing HTS codes, provisional tariffs, and discrepancies between entries and invoices. Reform said the issue is particularly acute for importers and the customs brokers they use because CBP is itself using artificial intelligence and automation to better target incorrect entries. Pallet, another logistics automation specialist, said it has enabled forwarder Mallory Alexander to double the number of import filings its employees can handle while increasing the accuracy of those filings from about 80% to 97%. In addition, importers are turning to tax and trade compliance advisory specialists to ensure that the paperwork they need to apply for refunds is in order. All this comes as the Trump administration, seeking to pivot after the Court ruling, implemented on Monday a 10% tariff on all trade partners using so-called Section 122 authority. But there are myriad exemptions for specific products or countries covered by existing trade agreements, as well as legal questions about whether the market factors that would justify using Section 122 powers are even in place. Contact Eric Johnson at eric.johnson@spglobal.com .

Forwarding

IEEPA tariff decision prompts flood of correction tools for refunds, customs entries

Use code GTT26W at checkout and save $900 on first year of an annual Gold subscription!

Upgrade Subscription - Gold Trials

Become a Gold Subscriber and Save!

Arm your team with the most trusted information portal for the international container shipping industry.

Group Subscriptions - Wide Box

Get into a group subscription today

Use code FTW25 at checkout to save 25% on a Silver or Silver Plus annual subscription! 

Subscribe Now - FT to S/SP - Wide Box

SUBSCRIBE AND SAVE 25%

Use code GW595 and upgrade to Gold for just $595! Valid for first year of subscription.

Upgrade Subscription - S/SP to Gold - Wide Box

SAVE $900 ON A GOLD SUBSCRIPTION

Choose a subscription plan that works best for you!

Subscribe Now - Anonymous to S/SP - Wide Box

SUBSCRIBE TODAY

Access Journal of Commerce content for 30 days

Free Trial - Wide Box

START A FREE TRIAL TODAY

Use code GW995 at checkout to save $500 on first year of a Gold subscription!

Subscribe Now - FT to Gold - Wide Box

SAVE $500 ON A GOLD SUBSCRIPTION

Subscribe Now - Anonymous to Gold - Wide Box

START A FREE TRIAL: Access Journal of Commerce content for 30 days

Free Trial - Offer Box

Free Trial

SUBSCRIBE AND SAVE 25%: Use code FTW25 to save 25% on first year of a Silver or Silver Plus annual subscription!


Subscribe Now - FT to S/SP - Offer Box

Subscribe and Save

GET INTO A GROUP SUBSCRIPTION: Arm your team with unlimited Journal of Commerce content

Group Subscriptions - Offer Box

Group Subscriptions

SUBSCRIBE TODAY: Choose a subscription plan that works best for you!

Subscribe Now - Anonymous to S/SP - Offer Box

UPGRADE TO GOLD AND SAVE: Use code GTT26W at checkout and save $900 on first year of a Gold subscription!

Upgrade Subscription

Subscribe Now - Anonymous to Gold - Offer Box

SAVE $900 ON A GOLD SUBSCRIPTION: Use code GW595 and upgrade to Gold for just $595! Valid on first year of subscription.

Upgrade Subscription - S/SP to Gold - Offer Box

SAVE $500 ON A GOLD SUBSCRIPTION: Use code GW995 and save $500 on the first year of a Gold subscription!

Subscribe Now - FT to Gold - Offer Box

SUBSCRIBE AND SAVE

Monthly publication providing an editorial deep dive into global supply chain news

Journal of Commerce Magazine - Rectangle Box

Journal of Commerce Magazine

A premium access index of savings using domestic intermodal vs. OTR 

ISI Report - Rectangle Box

Intermodal Savings Index

An in-depth analysis of transport trends in the multipurpose and heavy-lift fleet segment

Breakbulk Report - Rectangle Box

Breakbulk Quarterly

An extensive dashboard of charts organized by trade lane, mode, and topic

Gateway - Rectangle Box

Gateway

Customers scoring their intermodal partners to identify the best service providers

Intermodal Service Scorecard - Rectangle Box

Intermodal Service Scorecard

A premium access outlook critical to shippers and transportation providers

QI Report - Rectangle Box

Quarterly Intelligence

The premier conference for the global container shipping and supply chain community

TPM Conference - Rectangle Box

Attend TPM26

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

Breakbulk Conference - Rectangle Box

Attend Breakbulk26

Discover the news and analysis of supply chain strategies, sourcing and trends covered by the Journal of Commerce. Comprehensive coverage includes customs, trade news, transport news and the latest information about trade regulations.

Stay informed with the latest regulation news and trade updates. Explore comprehensive transportation news and trade regulations today.

Transport, Trade and Regulation News | Journal of Commerce

The Journal of Commerce’s supply chain news and analysis impacting the management of end-to-end supply chains reports on supply chain strategies, cargo visibility, inventory trends, sourcing, customs certification and contract logistics. Supply chain news coverage also delves into refrigerated shipping advancements and management of inventory status, regulatory updates and government funding projects.

Our logistics technology news include logistics technology startups, solutions, and the impact of technology on logistics and supply chain management.

Logistics Technology News | Journal of Commerce

A thorough cool cargoes news by Journal of Commerce. Learn about the latest trends in refrigerated cargo transportation, weight capacity, technology, and more.

Cool Cargo News | Journal of Commerce

Cool Cargo News

Journal of Commerce keeps you informed on the latest last mile news with comprehensive coverage of carriers, logistics, and last mile transportation solutions.

Last Mile News | Journal of Commerce

Last Mile News

Discover the latest industrial real estate news and trends. Covering projects, real estate supply chain, logistics, pricing, cross dock facilities, and more.

Industrial Real Estate News | Journal of Commerce

Industrial Real Estate News

Stay updated on supply chain strategies, cargo visibility, inventory trends and more with our comprehensive supply chain news and analysis.

Latest News

More News & Analysis

After Hapag-Zim deal, Premier Alliance may be next in the spotlight

WiseTech says to cut nearly 30% of workforce as it preps for AI era

Jeremy Nixon to step down as ONE CEO after eight years at the helm