<div>Global air cargo traffic grew a modest but significant 1.6 percent in November from a year ago driven by a surge in U.S. online shopping that more than reversed a 2.6 percent year-on-year decline in October, the International Air Transport Association said.But the airline industry body noted this growth was partially due to the impact of the floods in Thailand in the year-earlier period and cautioned the market isn’t poised for a major rebound.“It is premature to consider this is a turning point for air cargo markets in terms of bouncing back and regaining lost ground,” said IATA Chief Executive...

Global air cargo traffic grew a modest but significant 1.6 percent in November from a year ago driven by a surge in U.S. online shopping that more than reversed a 2.6 percent year-on-year decline in October, the International Air Transport Association said. But the airline industry body noted this growth was partially due to the impact of the floods in Thailand in the year-earlier period and cautioned the market isn’t poised for a major rebound. “It is premature to consider this is a turning point for air cargo markets in terms of bouncing back and regaining lost ground,” said IATA Chief Executive Tony Tyler. “But when coupled with positive economic developments in the U.S. and an improvement in business confidence in recent months, the conditions are aligning to see a return to growth in 2013.” Seasonally adjusted air freight volumes have risen to the levels of mid-212 after declines in the third quarter. Air cargo volumes are expected to grow by 1.3 percent in 2013, Tyler said. Volume grew 2.4 percent month-to-month, as the increased online shopping by U.S. consumers boosted shipments from the Asia-Pacific region. Asia-Pacific airlines were responsible for almost half the increase in global cargo volume compared to October. The region’s air freight grew 2.4 percent month-to-month but was down 1.5 percent from November 2011. North American carriers increased cargo traffic by 1.7 percent and cut capacity by 0.6 percent from November 2011. European airlines’ year-on-year volume was flat, and capacity was up just 0.3 percent. Middle Eastern airlines posted the strongest year-on-year growth, up 16 percent on 6.1 percent extra capacity. Latin American air freight grew 4.2 percent while capacity grew almost twice as fast, up 8.5 percent.

Air Cargo Carriers News

Global Air Cargo Jumps on US Online Shopping Surge

<div class="phx-topic abstract-wrapper">The terminal would cement the port’s status as the biggest gateway in South America, boosting its annual container capacity by almost 60% and allowing it to handle 20,000-TEUs ships, many of those from Asia.</div>

The terminal would cement the port’s status as the biggest gateway in South America, boosting its annual container capacity by almost 60% and allowing it to handle 20,000-TEUs ships, many of those from Asia.

Feature image

<div class="phx-topic">Brazil’s Port of Santos is seeking to develop what would be the largest container terminal in South America with plans to hold an auction, possibly before the end of this year, to determine who develops and operates the $1.06 billion facility. The terminal, known as Tecon Santos 10, would cement the port’s status as the biggest gateway on the continent, boosting its annual container capacity by almost 60% to 8.73 million TEUs and allowing it to handle 20,000-TEUs ships, many of those from Asia. Data from maritime consultancy Drewry shows container volumes at Santos for this year through July were up 8% compared to the same period in 2024 and the Santos Port Authority forecasts volumes to continue growing at about 3% annually. Over the last five years, Santos' compound annual growth rate for revenue has been almost 11%. “There is no denying that there is an urgent need for additional capacity at the Port of Santos,” Eleanor Hadland, Drewry’s lead analyst for ports and terminals, told the Journal of Commerce. <h3>Auction controversy </h3>The planned search for a developer and operator of Tecon Santos 10 has not been without controversy, according to Brazilian outlet Valor International. Brazil's National Waterway Transport Agency approved a two-phase auction process that would prohibit several carriers, including Maersk, Mediterranean Shipping Co. and CMA CGM, from participating in the first round in order to boost the chances of smaller terminal operators. A Brazilian judge in July rejected a request from Maersk to halt the bidding process, <a href="https://www.reuters.com/world/americas/brazil-judge-rejects-maersk-request-alter-1-bln-port-auction-2025-07-23/">according to Reuters</a>, after the carrier in June sued Santos for being excluded. "Excluding companies with broad international experience, responsible for managing some of the most efficient ports globally, without thorough studies to support such a decision, significantly diminishes the project's potential at Latin America's largest port," Maersk said in a statement to Reuters. The two-phase plan was also met with resistance from Brazil’s Finance Ministry, who instead recommended the auction be held in one part, with the winning bidder required to divest assets if it already operates at the Port of Santos, <a href="https://valorinternational.globo.com/business/news/2025/08/22/finance-ministry-backs-single-stage-auction-for-tecon-santos.ghtml">Valor International reported</a> on Aug. 22. <h3>Road network upgrades </h3>The planned terminal project has also raised concerns about whether Santos’ road network can handle the new volumes brought on by the infrastructure growth. “While [the new terminal] may translate to improved vessel turnaround, upgrading the capacity of the road network around the port is also critical for the efficient operation of Brazil’s largest container port,” said Hadland. Some of those road network upgrades are already underway. The Santos-Guarujá Tunnel, an underwater tunnel that will serve commercial and passenger vehicles, will reduce the journey between the cities of Santos and Guarujá from about 40 kilometers in 40 minutes to less than one kilometer in just over one minute, Port of Santos Press Supervisor Paulo Silveira told the Journal of Commerce The Portuguese company Mota-Engil is expected to begin construction of the tunnel later this year, said Silveira. Contact Laura Robb at <a href="mailto:Laura.Robb@spglobal.com">laura.robb@spglobal.com</a>.  </div>

Brazil’s Port of Santos is seeking to develop what would be the largest container terminal in South America with plans to hold an auction, possibly before the end of this year, to determine who develops and operates the $1.06 billion facility. The terminal, known as Tecon Santos 10, would cement the port’s status as the biggest gateway on the continent, boosting its annual container capacity by almost 60% to 8.73 million TEUs and allowing it to handle 20,000-TEUs ships, many of those from Asia. Data from maritime consultancy Drewry shows container volumes at Santos for this year through July were up 8% compared to the same period in 2024 and the Santos Port Authority forecasts volumes to continue growing at about 3% annually. Over the last five years, Santos' compound annual growth rate for revenue has been almost 11%. “There is no denying that there is an urgent need for additional capacity at the Port of Santos,” Eleanor Hadland, Drewry’s lead analyst for ports and terminals, told the Journal of Commerce. Auction controversy The planned search for a developer and operator of Tecon Santos 10 has not been without controversy, according to Brazilian outlet Valor International. Brazil's National Waterway Transport Agency approved a two-phase auction process that would prohibit several carriers, including Maersk, Mediterranean Shipping Co. and CMA CGM, from participating in the first round in order to boost the chances of smaller terminal operators. A Brazilian judge in July rejected a request from Maersk to halt the bidding process, according to Reuters , after the carrier in June sued Santos for being excluded. "Excluding companies with broad international experience, responsible for managing some of the most efficient ports globally, without thorough studies to support such a decision, significantly diminishes the project's potential at Latin America's largest port," Maersk said in a statement to Reuters. The two-phase plan was also met with resistance from Brazil’s Finance Ministry, who instead recommended the auction be held in one part, with the winning bidder required to divest assets if it already operates at the Port of Santos, Valor International reported on Aug. 22. Road network upgrades The planned terminal project has also raised concerns about whether Santos’ road network can handle the new volumes brought on by the infrastructure growth. “While [the new terminal] may translate to improved vessel turnaround, upgrading the capacity of the road network around the port is also critical for the efficient operation of Brazil’s largest container port,” said Hadland. Some of those road network upgrades are already underway. The Santos-Guarujá Tunnel, an underwater tunnel that will serve commercial and passenger vehicles, will reduce the journey between the cities of Santos and Guarujá from about 40 kilometers in 40 minutes to less than one kilometer in just over one minute, Port of Santos Press Supervisor Paulo Silveira told the Journal of Commerce The Portuguese company Mota-Engil is expected to begin construction of the tunnel later this year, said Silveira. Contact Laura Robb at laura.robb@spglobal.com . 

Maritime

Marine terminals

International ports

Port News

Brazil’s Santos readies development of South America’s largest box terminal

<div class="phx-topic abstract-wrapper">The latest orders come as the heavy-lift shipping sector is facing a mixed outlook in the energy industry, which has been one of its traditional cargo streams. </div>

The latest orders come as the heavy-lift shipping sector is facing a mixed outlook in the energy industry, which has been one of its traditional cargo streams.

<div class="phx-topic">Heavy lift vessel operator BigLift Shipping and its South Korean partner CY Shipping have ordered two more heavy transport vessels from a Chinese shipyard in a move that will expand their joint deck/module carrier fleet to eight ships. Contracts for the two vessels, known as BC-class in recognition of their joint control, have been signed with Jingjiang Nanyang Shipbuilding Company, Amsterdam-headquartered BigLift said in a statement. The first 25,000 deadweight metric ton (dwt) vessel is due for delivery in the first quarter 2028, followed by the second in the third quarter of that year. The latest deal follows on from contracts inked in April 2024 with the same shipyard for two similar-sized ships. The first, owned by CY Shipping, is scheduled for delivery by the end of December, while the second vessel, owned by BigLift, is expected to join the fleet in the second quarter of next year. The vessels, jointly designed by CY and BigLift, have been engineered to carry ultra-large and heavy modular cargoes and feature a 141-foot wide, 460-foot-long deck that provides a fully unobstructed cargo area of 64,800 square feet. Cargoes can be loaded and discharged via the ship’s stern or side using roll-on/roll-off or skidding methods. “These vessels not only expand our operational reach but also reinforce our commitment to the market,” James Jung, director at CY Shipping, said in a joint statement. <h3>Mixed outlook for energy cargoes </h3>The latest orders come as the heavy-lift shipping sector is facing a mixed outlook in the energy industry, which has been one of its traditional cargo streams. “We have seen a move back towards hydrocarbons,” said a senior executive at a heavy-lift vessel operator who did not want to be identified. But investment in wind energy in Europe “has slowed and that has been our primary renewable market,” the executive told the Journal of Commerce. He said the slowdown is thought to be due to a “lack of financial viability when not supported by government funds.” The source pointed out that while cargo owners and vessel charterers have always had “a preference to charter younger and more capable vessels, we also see that charterers are quite willing to bend their own standards when no other options are available.” The latest BigLift/CY Shipping orders are the latest in a clutch of new deals for module carriers and semi-submersible vessels this year. China’s Cosco Shipping Specialized Carriers, which operates the largest fleet of semi-submersible ships, awarded a $142 million contract in March to Guangzhou Shipyard International (GSI), for a 70,000-dwt semi-submersible heavy-lift vessel for delivery in May 2027. Also in March, Japan’s NYK Bulk &amp; Projects Carriers, a subsidiary of the NYK Group, placed an initial order for a 33,000-dwt deck carrier with Chinese shipbuilder Dalian Shipbuilding Industry Company for delivery in 2027. The deal is believed to include options for three similar ships. Those ships are among 18 specialized heavy-lift cargo vessels currently on order, data and freight management platform Veson Nautical told the Journal of Commerce. Contact Keith Wallis at <a href="mailto:keithwallis@hotmail.com">keithwallis@hotmail.com</a>. </div>

Heavy lift vessel operator BigLift Shipping and its South Korean partner CY Shipping have ordered two more heavy transport vessels from a Chinese shipyard in a move that will expand their joint deck/module carrier fleet to eight ships. Contracts for the two vessels, known as BC-class in recognition of their joint control, have been signed with Jingjiang Nanyang Shipbuilding Company, Amsterdam-headquartered BigLift said in a statement. The first 25,000 deadweight metric ton (dwt) vessel is due for delivery in the first quarter 2028, followed by the second in the third quarter of that year. The latest deal follows on from contracts inked in April 2024 with the same shipyard for two similar-sized ships. The first, owned by CY Shipping, is scheduled for delivery by the end of December, while the second vessel, owned by BigLift, is expected to join the fleet in the second quarter of next year. The vessels, jointly designed by CY and BigLift, have been engineered to carry ultra-large and heavy modular cargoes and feature a 141-foot wide, 460-foot-long deck that provides a fully unobstructed cargo area of 64,800 square feet. Cargoes can be loaded and discharged via the ship’s stern or side using roll-on/roll-off or skidding methods. “These vessels not only expand our operational reach but also reinforce our commitment to the market,” James Jung, director at CY Shipping, said in a joint statement. Mixed outlook for energy cargoes The latest orders come as the heavy-lift shipping sector is facing a mixed outlook in the energy industry, which has been one of its traditional cargo streams. “We have seen a move back towards hydrocarbons,” said a senior executive at a heavy-lift vessel operator who did not want to be identified. But investment in wind energy in Europe “has slowed and that has been our primary renewable market,” the executive told the Journal of Commerce. He said the slowdown is thought to be due to a “lack of financial viability when not supported by government funds.” The source pointed out that while cargo owners and vessel charterers have always had “a preference to charter younger and more capable vessels, we also see that charterers are quite willing to bend their own standards when no other options are available.” The latest BigLift/CY Shipping orders are the latest in a clutch of new deals for module carriers and semi-submersible vessels this year. China’s Cosco Shipping Specialized Carriers, which operates the largest fleet of semi-submersible ships, awarded a $142 million contract in March to Guangzhou Shipyard International (GSI), for a 70,000-dwt semi-submersible heavy-lift vessel for delivery in May 2027. Also in March, Japan’s NYK Bulk & Projects Carriers, a subsidiary of the NYK Group, placed an initial order for a 33,000-dwt deck carrier with Chinese shipbuilder Dalian Shipbuilding Industry Company for delivery in 2027. The deal is believed to include options for three similar ships. Those ships are among 18 specialized heavy-lift cargo vessels currently on order, data and freight management platform Veson Nautical told the Journal of Commerce. Contact Keith Wallis at keithwallis@hotmail.com .

Breakbulk carriers

Heavy-haul transport

Breakbulk News

BigLift, CY Shipping order two new deck carriers to boost joint fleet

<div class="phx-topic abstract-wrapper">LNG is the current alternative fuel of choice for ocean carriers that see greater potential to scale up its production to supply the fast-growing dual-fuel fleet. </div>

LNG is the current alternative fuel of choice for ocean carriers that see greater potential to scale up its production to supply the fast-growing dual-fuel fleet.

<div class="phx-topic">Concerns over the availability of green fuels continues to drive orders for container ships capable of sailing on liquefied natural gas (LNG) and methanol that now account for more than half the order book. Neils Rasmussen, chief shipping analyst for shipping association Bimco, said in a market update Thursday that LNG remained the most popular alternative fuel, with LNG-fueled ships now accounting for two-thirds of all alternatively fueled ships on order. “As of end-August 2025, 534 container ships are on order that will be able to use alternative fuels upon delivery,” Rasmussen said. “These represent 53% of ships on order and 77% of the TEUs (on order).” A host of dual-fuel LNG ship orders have been announced this year. Yang Ming Marine Transport recently <a href="https://www.joc.com/article/yang-ming-signs-14-billion-upgraded-ship-order-for-16000-teu-vessels-6081736">ordered seven LNG and ammonia-capable 16,000-TEU ships</a>, while Mediterranean Shipping Co. (MSC) in July ordered six 22,000-TEU dual-fuel LNG vessels and upsized another six LNG-fueled container ships from 19,000 TEUs to 22,000 TEUs. In February, Taiwan’s Evergreen Marine <a href="https://www.joc.com/article/evergreen-makes-32-billion-order-for-lng-capable-megaships-5943682">ordered 11 24,000-TEU LNG-capable vessels</a>. Alternative fuels have proven popular among the largest ships. For ships of 8,000-TEU capacity or more, 81% of the vessels and 85% of the TEU capacity on order are for mainly LNG and methanol-capable ships, according to the Bimco report. <div class="wrapper-narrow"><dynamic-object type="jocchartid" resource-id="80e7aa34-41b8-4bd7-b5ac-58f5337eebb6"></dynamic-object></div>Rasmussen noted that a shift from methanol towards LNG highlighted a key concern of shipowners when building dual-fuel ships: the availability of fuel. LNG is currently available mainly as a carbon fuel but could increasingly become available as a low-carbon biofuel or e-fuel. More than 25% of all the container capacity in operation by 2030 could be capable of sailing on alternative fuels, Rasmussen said. “Assuming that none of the alternatively fueled ships in operation are recycled, the container fleet in 2030 will include 837 alternatively fueled ships with 10.9 million TEUs of capacity once all the ships in the order book have been delivered,” he said. While container shipping is making strides towards alternatively fueled vessels, the other shipping sectors are more difficult to decarbonize, the Bimco analyst said. "In the bulker, crude tanker and product tanker sectors, alternatively fueled ships only make up respectively 8%, 17% and 9% of the ships on order,” Rasmussen said, noting that the prevalence of smaller operators in those sectors may negatively impact orders, whereas the container sector was controlled by a few large companies. <h3>Significant shortfall in green fuels </h3>The technology to build ships capable of low-carbon operation is available, but the Bimco update highlighted the lack of availability of the fuel. That emerged as a key concern this week at London International Shipping Week (LISW), where the urgent need for investment in alternative fuel production to scale up supply and for an increase in demand for dual-fuel ships was raised regularly. The International Maritime Organization’s net-zero framework, due for adoption in October, has set a target of zero- or near-zero emission fuel types making up 5% to 10% of shipping fuel by 2030. But current estimates predict a significant shortfall. Unless demand for alternative fuel vessels significantly ramps up, the current order book for these ships will only deliver around 37% of the demand needed to achieve the 2030 target, according to a research report released at LISW called Progress Towards Shipping’s 2030 breakthrough – 2025 edition. The report was compiled jointly by the London-based UCL Energy Institute, the Global Maritime Forum’s Getting to Zero Coalition and the Climate High-Level Champions. In another report released at LISW, Accelerating to Net Zero, consultants Accelleron noted that dual-fuel ships dominate the orderbooks, but scalable carbon-neutral fuels are not available while emissions continue to rise. “The proliferation of fuel pathways has created paralysis,” the report said, highlighting how fuel pathway uncertainty was fragmenting demand and diluting investment in scalable net zero solutions. “LNG, biofuels and e-fuels are all being trialled, but none at scale,” according to the report. “Shipping, historically the first in line for the leftovers of the fossil economy, now faces the reverse: competing for premium fuels.” Accelleron estimated that if LNG was the industry choice, 333 million tons of LNG would be required annually by 2050 to fully decarbonize global shipping, which would see a 67% increase in fuel consumption by 2050 as maritime transport doubles. Contact Greg Knowler at <a href="mailto:greg.knowler@spglobal.com">greg.knowler@spglobal.com</a>. </div>

Concerns over the availability of green fuels continues to drive orders for container ships capable of sailing on liquefied natural gas (LNG) and methanol that now account for more than half the order book. Neils Rasmussen, chief shipping analyst for shipping association Bimco, said in a market update Thursday that LNG remained the most popular alternative fuel, with LNG-fueled ships now accounting for two-thirds of all alternatively fueled ships on order. “As of end-August 2025, 534 container ships are on order that will be able to use alternative fuels upon delivery,” Rasmussen said. “These represent 53% of ships on order and 77% of the TEUs (on order).” A host of dual-fuel LNG ship orders have been announced this year. Yang Ming Marine Transport recently ordered seven LNG and ammonia-capable 16,000-TEU ships , while Mediterranean Shipping Co. (MSC) in July ordered six 22,000-TEU dual-fuel LNG vessels and upsized another six LNG-fueled container ships from 19,000 TEUs to 22,000 TEUs. In February, Taiwan’s Evergreen Marine ordered 11 24,000-TEU LNG-capable vessels . Alternative fuels have proven popular among the largest ships. For ships of 8,000-TEU capacity or more, 81% of the vessels and 85% of the TEU capacity on order are for mainly LNG and methanol-capable ships, according to the Bimco report. Rasmussen noted that a shift from methanol towards LNG highlighted a key concern of shipowners when building dual-fuel ships: the availability of fuel. LNG is currently available mainly as a carbon fuel but could increasingly become available as a low-carbon biofuel or e-fuel. More than 25% of all the container capacity in operation by 2030 could be capable of sailing on alternative fuels, Rasmussen said. “Assuming that none of the alternatively fueled ships in operation are recycled, the container fleet in 2030 will include 837 alternatively fueled ships with 10.9 million TEUs of capacity once all the ships in the order book have been delivered,” he said. While container shipping is making strides towards alternatively fueled vessels, the other shipping sectors are more difficult to decarbonize, the Bimco analyst said. "In the bulker, crude tanker and product tanker sectors, alternatively fueled ships only make up respectively 8%, 17% and 9% of the ships on order,” Rasmussen said, noting that the prevalence of smaller operators in those sectors may negatively impact orders, whereas the container sector was controlled by a few large companies. Significant shortfall in green fuels The technology to build ships capable of low-carbon operation is available, but the Bimco update highlighted the lack of availability of the fuel. That emerged as a key concern this week at London International Shipping Week (LISW), where the urgent need for investment in alternative fuel production to scale up supply and for an increase in demand for dual-fuel ships was raised regularly. The International Maritime Organization’s net-zero framework, due for adoption in October, has set a target of zero- or near-zero emission fuel types making up 5% to 10% of shipping fuel by 2030. But current estimates predict a significant shortfall. Unless demand for alternative fuel vessels significantly ramps up, the current order book for these ships will only deliver around 37% of the demand needed to achieve the 2030 target, according to a research report released at LISW called Progress Towards Shipping’s 2030 breakthrough – 2025 edition. The report was compiled jointly by the London-based UCL Energy Institute, the Global Maritime Forum’s Getting to Zero Coalition and the Climate High-Level Champions. In another report released at LISW, Accelerating to Net Zero, consultants Accelleron noted that dual-fuel ships dominate the orderbooks, but scalable carbon-neutral fuels are not available while emissions continue to rise. “The proliferation of fuel pathways has created paralysis,” the report said, highlighting how fuel pathway uncertainty was fragmenting demand and diluting investment in scalable net zero solutions. “LNG, biofuels and e-fuels are all being trialled, but none at scale,” according to the report. “Shipping, historically the first in line for the leftovers of the fossil economy, now faces the reverse: competing for premium fuels.” Accelleron estimated that if LNG was the industry choice, 333 million tons of LNG would be required annually by 2050 to fully decarbonize global shipping, which would see a 67% increase in fuel consumption by 2050 as maritime transport doubles. Contact Greg Knowler at greg.knowler@spglobal.com .

Container lines

Ocean carrier order book dominated by LNG-capable ships: Bimco

<div class="phx-topic abstract-wrapper">While the new fees “may pose certain operational challenges,” Cosco said it does not plan to remove any trans-Pacific services, reduce its US ship deployment, or impose new surcharges to cover the fees.</div>

While the new fees “may pose certain operational challenges,” Cosco said it does not plan to remove any trans-Pacific services, reduce its US ship deployment, or impose new surcharges to cover the fees.

<div class="phx-topic">Cosco Shipping has informed its US customers to expect little change in its services and rates as the carrier starts paying new service fees for US port calls in October, becoming the latest container line to signal it will absorb the Trump administration's penalties against China's maritime industry. Cosco said in a customer advisory Wednesday it will "continue to serve the US market" once the US Trade Representative (USTR) begins collecting fees on Chinese-built and -operated ships calling US ports starting Oct. 14. The fees stem from <a href="https://www.joc.com/article/us-port-fees-could-hit-chinese-ships-under-trump-trade-proposal-5949409">the USTR's finding</a> that China has used unfair trade practices to promote its shipbuilders and ocean carriers. While the new fees "may pose certain operational challenges," Cosco said it does not plan to remove any trans-Pacific services, reduce the number of ships in its US services, or impose new surcharges to cover the fees. "We are committed to maintaining stable capacity deployment and service quality," Cosco said. "We will maintain competitive rates and surcharges." Cosco's advisory follows similar announcements from competitors <a href="https://www.joc.com/article/cma-cgm-reroutes-china-built-ships-to-avoid-us-port-fees-6078488">CMA CGM</a> and <a href="https://www.joc.com/article/msc-ready-for-us-port-fees-after-network-changes-ceo-6079762">Mediterranean Shipping Co.</a>, which have both said they hope to mitigate the impact of the fees after having rotated most, if not all, of their <a href="https://www.joc.com/article/chinese-tonnage-moving-out-of-us-container-trade-ahead-of-new-fees-xeneta-6081320">China-built container ships out of US services prior to mid-October</a>.As a China-based carrier, Cosco does not have that option under the USTR's action, which assesses a higher penalty for Chinese carriers than for Chinese ships. Cosco, along with its OOCL subsidiary, faces a $50-per-net-ton fee for any of their vessels on their first port call to the US, up to five times per year. The fee rises to $140 by 2028. In contrast, a Chinese-built ship operated by a non-China domiciled carrier only faces an $18-per-net-ton fee in the first year of the USTR's penalty scheme, rising to $33 by 2028. <div class="wrapper-narrow"><dynamic-object type="jocchartid" resource-id="e78cef13-8c4c-467e-afde-4967a79f87ca"></dynamic-object></div><h3>Will subsidies help offset fees?</h3>Investment bank HSBC estimated that a Chinese-operated ship of 10,000-TEU capacity would pay $2.7 million for its first US port call in the first year of the new fees, equating to a nearly $600 per container fee. A Chinese-built ship of similar size faces a $1 million fee, or approximately $222 per container. Based on the number of US calls per year, HSBC estimated Cosco could pay $1.5 billion in USTR fees through 2026. The question then becomes whether the Chinese government will offset those new port fees through subsidies. The USTR investigation cited estimates that China provided some $3.4 billion in subsidies between 2010 and 2018 to the country's major carriers and port operators. Cosco's last annual report listed $169 million in subsidies received during 2024, down from $423 million in 2023. Those subsidies, though, do not extend to OOCL, which itself could face $654 million in port fees, HSBC estimated. Contact Michael Angell at <a href="mailto:michael.angell@spglobal.com">michael.angell@spglobal.com</a> </div>

Cosco Shipping has informed its US customers to expect little change in its services and rates as the carrier starts paying new service fees for US port calls in October, becoming the latest container line to signal it will absorb the Trump administration’s penalties against China’s maritime industry. Cosco said in a customer advisory Wednesday it will “continue to serve the US market” once the US Trade Representative (USTR) begins collecting fees on Chinese-built and -operated ships calling US ports starting Oct. 14. The fees stem from the USTR’s finding that China has used unfair trade practices to promote its shipbuilders and ocean carriers. While the new fees “may pose certain operational challenges,” Cosco said it does not plan to remove any trans-Pacific services, reduce its US ship deployment, or impose new surcharges to cover the fees. “We are committed to maintaining stable capacity deployment and service quality,” Cosco said. “We will maintain competitive rates and surcharges.” Cosco’s advisory follows similar announcements from competitors CMA CGM and Mediterranean Shipping Co. (MSC), which have both said they hope to mitigate the impact of the fees after having rotated most, if not all, of their China-built container ships out of US services prior to mid-October . As a China-based carrier, Cosco does not have that option under the USTR’s action, which assesses a higher penalty for Chinese carriers than for Chinese ships. Cosco, along with its OOCL subsidiary, face a $50 per net ton fee for any of their vessels on their first port call to the US, up to five times per year. The fee rises to $140 by 2028. In contrast, a Chinese-built ship operated by a non-China domiciled carrier only faces an $18 per net ton fee in the first year of the USTR’s penalty scheme, rising to $33 by 2028. Will subsidies help offset fees? Investment bank HSBC estimated that a Chinese-operated ship of 10,000-TEU capacity would pay $2.7 million for its first US port call in the first year of the new fees, equating to a roughly $600 per container fee. A Chinese-built ship of similar size faces a $1 million fee, or roughly $222 per container. Based on the number of US calls per year, HSBC estimated Cosco could pay $1.5 billion in USTR fees through 2026. The question then becomes whether the Chinese government will offset those new port fees through subsidies. The USTR investigation cited estimates that China provided some $3.4 billion in subsidies between 2010 and 2018 to the country’s major carriers and port operators. Cosco’s last annual report listed $169 million in subsidies received during 2024, down from $423 million in 2023. Those subsidies, though, do not extend to OOCL, which itself could face $654 million in port fees, HSBC estimated. Contact Michael Angell at michael.angell@spglobal.com

Trans-Pacific

North American ports

Cosco says no changes to US services as new port fees approach

<div class="phx-topic abstract-wrapper">Local carrier and forwarder sources expressed relief that the truck strike ended before it had become a crisis extending beyond the two ports.</div>

Local carrier and forwarder sources expressed relief that the truck strike ended before it had become a crisis extending beyond the two ports.

<div class="phx-topic">The Indian drayage strike that threatened to exacerbate pressure on supply chains out of the western ports of Mundra and Kandla has been called off following talks between stakeholders and port authorities. Various truck owner <a href="https://www.joc.com/article/drayage-strike-shuts-inland-flow-from-mundra-kandla-ports-6079773">groups walked off the road en masse on Friday</a> demanding highway infrastructure improvements, a concern they said had been long standing. “Officials were issued strict instructions to complete road repairs on a war footing within three days,” a Mundra-based truck owner who didn’t want to be identified told the Journal of Commerce Wednesday. The source also said authorities agreed to waive highway toll charges during the time frame set for repairs. Local carrier and forwarder sources expressed relief that the truck strike ended before it had become a crisis of alarming proportions extending beyond the two ports. “Some residual delays were to be anticipated because of the backlogs, but a quicker resolution has averted operational chaos,” a carrier executive said. Capacity at Mundra — India’s busiest container gateway — has been under pressure amid steady trade growth and increasing transshipment activity by Mediterranean Shipping Co., which has a terminal partnership with port owner Adani Ports. Meanwhile, DP World, which holds the oldest terminal concession at Mundra, has embarked on an infrastructure upgrade there to better handle future growth. The upgrade involves adding four new cranes, including one advanced quay crane and three electric gantry cranes, which is expected to increase DP World Mundra’s capacity from 1.3 million TEUs to 1.56 million TEUs a year upon completion of the equipment installation, targeted for 2027. “The new quay cranes can handle vessels 22 rows across, enabling Mundra to serve some of the world’s largest container ships with greater efficiency and reliability,” the company told the Journal of Commerce. “With this addition, DP World Mundra now operates eight quay cranes, boosting its capability to deliver faster vessel turnarounds and enhancing service consistency.” Contact Bency Mathew at <a href="mailto:bencyvmathew@gmail.com">bencyvmathew@gmail.com.</a></div>

The Indian drayage strike that threatened to exacerbate pressure on supply chains out of the western ports of Mundra and Kandla has been called off following talks between stakeholders and port authorities. Various truck owner groups walked off the road en masse on Friday demanding highway infrastructure improvements, a concern they said had been long standing. “Officials were issued strict instructions to complete road repairs on a war footing within three days,” a Mundra-based truck owner who didn’t want to be identified told the Journal of Commerce Wednesday. The source also said authorities agreed to waive highway toll charges during the time frame set for repairs. Local carrier and forwarder sources expressed relief that the truck strike ended before it had become a crisis of alarming proportions extending beyond the two ports. “Some residual delays were to be anticipated because of the backlogs, but a quicker resolution has averted operational chaos,” a carrier executive said. Capacity at Mundra — India’s busiest container gateway — has been under pressure amid steady trade growth and increasing transshipment activity by Mediterranean Shipping Co., which has a terminal partnership with port owner Adani Ports. Meanwhile, DP World, which holds the oldest terminal concession at Mundra, has embarked on an infrastructure upgrade there to better handle future growth. The upgrade involves adding four new cranes, including one advanced quay crane and three electric gantry cranes, which is expected to increase DP World Mundra’s capacity from 1.3 million TEUs to 1.56 million TEUs a year upon completion of the equipment installation, targeted for 2027. “The new quay cranes can handle vessels 22 rows across, enabling Mundra to serve some of the world’s largest container ships with greater efficiency and reliability,” the company told the Journal of Commerce. “With this addition, DP World Mundra now operates eight quay cranes, boosting its capability to deliver faster vessel turnarounds and enhancing service consistency.” Contact Bency Mathew at bencyvmathew@gmail.com.

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In today’s competitive logistical landscape, efficiency is an absolute necessity for smooth operations. Yet, in the barge sector, many operators still rely on fragmented systems, delayed updates, and manual tracking methods that slow decision-making and increase operational risk. OpenTug’s new eBook, How Enhanced Visibility Transforms Barge Operations, reveals how unified, real-time data can become your competitive advantage leading to improved voyage management and more actionable insights. Drawing on industry best practices and real-world examples, it explores how operational transparency empowers teams to: ●	Reduce delays with accurate ETAs and proactive scheduling decisions ●	Improve asset utilization by identifying underused equipment and optimizing cargos ●	Strengthen safety and compliance through consistent, accessible documentation and reporting ●	Boost customer satisfaction with transparent status updates and faster response time You’ll learn how visibility can connect every part of your operation into a single, actionable view. The ability to see and act on real-time information transforms the way you plan, execute, and deliver. From managing a small regional fleet to running a large, national operation, this eBook will help you understand the measurable benefits of enhanced visibility and how technology like BargeOS is transforming the way barge logistics is managed. Get your copy today and see how clear insights lead to stronger performance, smarter decisions, and more profitable operations. <a href="https://9315820.fs1.hubspotusercontent-na1.net/hubfs/9315820/eBook/Nav-theFuture-AJW-08.19.25.pdf" rel="noreferrer" class="joc_admin__link">Click here</a><span class="joc_admin__inline-image joc_admin__inline-image-aspect-ratio-16_9 joc_admin__inline-image-position-left joc_admin__inline-image-size-small" data-figure-size="small" data-figure-position="left" data-figure-aspect-ratio="16:9"><img src="/content-assets/1756152344211_Opentug%20logo.png" alt="" class="joc_admin__inline-image-inherit">

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Transform Barge Operations with Total Visibility

At SSA Marine Mexico, we firmly believe that business development must go hand in hand with social and environmental well-being. Our vision is not solely focused on operating efficiently, but also on creating a meaningful and positive impact in the communities where we are present. Since 1995, we have reaffirmed this commitment through tangible actions that reflect our core values of responsibility, solidarity, and sustainability. <span class="joc_admin__inline-image joc_admin__inline-image-aspect-ratio-3_2 joc_admin__inline-image-position-left joc_admin__inline-image-size-medium" data-figure-size="medium" data-figure-position="left" data-figure-aspect-ratio="3:2"><img src="/content-assets/1752584535914_Photo%201.jpg" alt="" class="joc_admin__inline-image-inherit"> A Year of Major Achievements Over the past year, we allocated more than $107,000 USD to the implementation of 60 social and environmental projects, positively impacting over 7,800 people across various regions of Mexico. Each initiative was designed with a holistic approach, addressing key areas that contribute to long-term community development. Education: Laying the Foundation for the Future Education is one of the most powerful tools to promote social mobility and equitable development. At SSA Marine Mexico, we support academic initiatives that inspire and empower the next generation of leaders. One of our most impactful partnerships was with the University of Colima, where we sponsored the “Reto Camp” program. This initiative encourages university students to develop innovative solutions in the fields of sustainability, logistics, and port operations, offering them mentorship, tools, and real-world challenges to solve. In addition, we donated microscopes, school supplies, and educational materials to institutions in underserved communities, helping to improve the learning environment and provide students with the resources they need to succeed. Health and Sports: Promoting Wellness We believe that healthy communities are strong communities. We have supported several local sporting events and provided direct assistance to talented athletes, enabling them to pursue their passions and represent their regions with pride. Beyond sports, we also strengthened our collaboration with critical emergency response organizations such as the Mexican Red Cross and Civil Protection. Our contributions helped enhance their readiness and capabilities in times of crisis, ensuring better outcomes for those affected by emergencies. Supporting Vulnerable Groups: Reaching Those Who Need It Most A core part of our social responsibility efforts is directed toward supporting vulnerable populations. We have contributed to a range of initiatives focused on children, migrants, and at-risk families. These efforts included donations to orphanages and shelters, as well as support for the National Institute of Migration and grassroots organizations dedicated to protecting and empowering people facing adversity. By standing with those in need, we reinforce our commitment to inclusion and social justice, values that are central to our identity as a responsible company. <span class="joc_admin__inline-image joc_admin__inline-image-aspect-ratio-3_2 joc_admin__inline-image-position-left joc_admin__inline-image-size-medium" data-figure-size="medium" data-figure-position="left" data-figure-aspect-ratio="3:2"><img src="/content-assets/1752584944645_Photo%202.png" alt="" class="joc_admin__inline-image-inherit">Culture: Strengthening Community Identity Cultural identity is a key element in building resilient and united communities. At SSA Marine Mexico, we actively participate in the organization and sponsorship of cultural events that celebrate local traditions and foster civic pride. Working alongside port authorities and municipal governments, we helped bring music, art, and heritage to the forefront, creating spaces for community engagement and intercultural dialogue. Environment: Investing in the Planet Our commitment to sustainability goes beyond operations—it’s a philosophy that drives every decision we make. We have partnered with environmental institutions to carry out reforestation campaigns, beach cleanups, and conservation efforts. In collaboration with the Institute for the Environment, we supported initiatives aimed at decarbonization, biodiversity protection, and environmental education. By involving our employees and local volunteers in these actions, we also foster a culture of environmental stewardship throughout our organization and our surrounding communities. Innovation for a Sustainable Future Sustainability is not just about doing good—it’s also about doing things better. In 2024, we invested $22 million USD in the acquisition of 11 state-of-the-art E-RTG cranes. These electric rubber-tired gantry cranes represent a significant technological advancement in port equipment. Seven of them are already operating on clean electric energy, resulting in a reduction of nearly 4,000 tons of CO₂ emissions and improving operational efficiency by 7%. The remaining four cranes are fully compatible with future electrification, underscoring our long-term strategy to modernize our operations in an environmentally responsible way. This investment is part of a broader innovation roadmap that includes digitalization, automation, and cleaner energy sources—all designed to ensure that our ports continue to grow without compromising the health of our planet. Building a Better Tomorrow, Together At SSA Marine Mexico, we understand that sustainability is a shared and ongoing responsibility. True impact requires collaboration across sectors, long-term vision, and unwavering commitment. That is why we continue to work hand-in-hand with local authorities, non-profit organizations, universities, and our own employees to create solutions that are both scalable and sustainable. Our journey is far from over. In the years ahead, we will continue to deepen our community engagement, explore cleaner technologies, and strengthen the social fabric of the regions where we operate. Each initiative, no matter the size, is a step toward building a future where business success goes hand-in-hand with human and environmental prosperity. We are proud of what we have achieved in 2024, but we are even more excited about what lies ahead. SSA Marine Mexico — Moving the World, Caring for People and Planet. LINK: <a href="https://www.ssamarine.mx/" rel="noreferrer" class="joc_admin__link">https://www.ssamarine.mx/</a>

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SSA Marine Mexico: True Commitment to Sustainability

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

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Shippers save money, time with automated transportation bidding tools

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

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