<div class="phx-topic abstract-wrapper">The financing of grain sales has been reshaped by the emergence of more private buyers and improved </div>

The financing of grain sales has been reshaped by the emergence of more private buyers and improved

<div>The financing of grain sales has been reshaped by the emergence of more private buyers and improved Third World economies.The major U.S. players are the large grain-trading companies, the Agriculture Department's Commodity Credit Corp., and Denver-based Co- Bank, the dominant player in the export finance arena. But each of these organizations is revising its practices in response to the new market structure.Significantly, the privatization of both buyers and banks in Central and Eastern Europe, the former Soviet Union and elsewhere, has brought down the size of transactions. While a large state institution might buy six months' worth of a country's...

The financing of grain sales has been reshaped by the emergence of more private buyers and improved Third World economies. The major U.S. players are the large grain-trading companies, the Agriculture Department's Commodity Credit Corp., and Denver-based Co- Bank, the dominant player in the export finance arena. But each of these organizations is revising its practices in response to the new market structure.Significantly, the privatization of both buyers and banks in Central and Eastern Europe, the former Soviet Union and elsewhere, has brought down the size of transactions. While a large state institution might buy six months' worth of a country's import requirements at a time, today's grain market has many small deals, said William Hawkins, who manages program development at the Washington-based CCC. The growth in smaller transactions means more modest risks, but also increases the price of arranging letters of credit. Charges by banks participating in the LCs become steeper on a percentage basis as the deals get smaller. Both the bank that issues the LC on behalf of a buyer and the bank that confirms it on behalf of an exporter must be paid for their services. The Commodity Credit Corp. has been exploring ways to cut the traditional reliance on letters of credit. Last year, for example, it launched a new Supplier Credit Program that guarantees 50 percent of a finance package without having to use an LC. The program, still generating a modest dollar volume, is aimed at smaller exporters. The U.S. agency has also invited comments on two fresh initiatives, one of which would support financing mechanisms other than letters of credit. One possibility is a documentary collections mechanism that is both less complex and cheaper than an LC. It does not cover the risk that an importer may simply not accept the goods, but exporters who have an established relationship with their foreign buyers may be willing to take that risk themselves. At least that is what the Agriculture Department is hearing from the trade. The other initiative would guarantee a sight letter of credit, in which there is no deferred payment arrangement; the exporter gets paid as soon as the paying bank determines that all the transaction documents are in order. Here, CCC would guarantee payment within a very short time frame. The proposal reflects the growing comfort of exporters in taking on more buyer risk. That enhanced comfort level is also being reflected in the willingness of major grain traders to carry the credit risk on their own books. Cargill, for example, has its own sizable financing subsidiary that performs much like a bank, handling the credit analysis and extending payment terms. The big traders prefer not to talk about their finance role, but it's no secret. ''The big grain companies are prepared to take more risks themselves than they were, say, five years ago,'' said a former finance manager with one of them. In the past, he said, the large companies used banks to arrange the credit and take the risks, but now, with the country credit risks a lot better, they have taken the process in-house.

MORE BUYERS, SMALLER DEALS \ MARKET FACTORS ALTER GRAIN-SALES FINANCING

<div class="phx-topic abstract-wrapper">The jump in domestic intermodal volumes shows how quickly freight can move to rail when truckload pricing increases, but whether that shift sustains depends on how railroads handle the surge in cargo.</div>

The jump in domestic intermodal volumes shows how quickly freight can move to rail when truckload pricing increases, but whether that shift sustains depends on how railroads handle the surge in cargo.

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<div class="phx-topic">North American railroads hauled more than 785,000 domestic containers in March, the third-highest monthly total on record and the strongest March ever, new data shows, as shippers shifted more freight from truckload to intermodal to offset rising highway transportation costs. The jump in domestic intermodal volumes shows how quickly freight can move to rail when truckload pricing increases. But the sustainability of that shift will depend on whether railroads can shed the stigma of service meltdowns that occurred five years ago during the pandemic-related freight surge. The Intermodal Association of North America (IANA) reported March domestic volumes grew 9.5% year over year. That came as intermodal providers Knight-Swift Transportation and J.B. Hunt Transport Services reported more than 8% growth last month. IANA also reported that first-quarter domestic intermodal volumes rose 4% over Q1 2025. “We are more optimistic today than we were in January in terms of truck conversion opportunities — primarily in our domestic intermodal business,” Maryclare Kenney, CSX Transportation’s executive vice president of sales, said on the railroad’s earnings call Wednesday. Union Pacific Railroad reported a first-quarter company record for domestic intermodal, while CSX said total intermodal volume, including international business, rose 6% year over year during the same period. Neither railroad breaks out intermodal volume by container size, but IANA said domestic intermodal traffic in the eastern US jumped nearly 10% year over year in Q1. <div class="wrapper-narrow"><dynamic-object type="jocchartid" resource-id="3fd5fdb9-63a9-4a2b-95a1-9fb56e3d7e4b"></dynamic-object></div>Rail visibility provider RailState said UP’s domestic intermodal volume in Southern California climbed more than 20% year over year in the first quarter. CSX, J.B. Hunt, Knight-Swift and Union Pacific all expect domestic intermodal volumes to remain strong in the second quarter as truckload rates rise. The Journal of Commerce forecasts that domestic intermodal volumes will increase 3% to 4.5% year over year in the second quarter, based on an analysis of historical trends. The robust volume outlook comes as Knight-Swift said contract truckload rates could rise by as much as low-double-digit percentages this year, increasing the likelihood of further conversion to intermodal, if railroads can maintain reliable service. Trucking rates have climbed sharply since December due to a combination of severe winter weather, regulatory crackdowns that have canceled the licenses of certain immigrant truck drivers, enhanced enforcement of English language proficiency of all drivers, and surging fuel costs because of the war with Iran. <h3>Intermodal pricing will follow trucking, eventually </h3>Intermodal pricing has yet to respond as sharply as truckload rates, reflecting the usual lag between changes in highway and rail pricing. The Journal of Commerce Intermodal Savings Index shows only modest growth in intermodal contract rates through March 31, not enough to match broader inflation in the US. “We are getting some improvement in rate — not near what you are getting on the truckload side — but some improvement,” Knight-Swift CEO Adam Miller said during an earnings call Wednesday. “We expect intermodal to be profitable and to see that improve as the cycle strengthens.” UP said raising intermodal rates depends first on service; railroads can charge shippers more if they deliver a product that provides clear advantages for shippers. “We sell to Denver, we sell Salt Lake City, we sell Santa Teresa [El Paso] and into Mexico,” UP CEO Jim Vena said in an interview with the Journal of Commerce on Thursday. “Price is not always the number that is most important for customers. Many look at it as a full supply chain solution.” Vena said maintaining service also includes constant communication with partners including Hub Group, Knight-Swift, Schneider National, STG Logistics, and other intermodal marketing companies (IMCs) and intermodal shippers. “Our operations department doesn’t make a change without having sales understanding the impact, and sales doesn’t talk about changing freight flows without operations tied into the process,” Vena said. “That’s how we communicate with our customers.” <h3>More growth comes with Howard Street Tunnel </h3>CSX also revealed that double-stack intermodal trains will begin moving through the Howard Street Tunnel in Baltimore <a href="https://www.joc.com/article/csx-restarts-baltimore-tunnel-service-for-double-stack-in-2026-6087384">as soon as next week</a>, expanding service options on a key East Coast corridor. The railroad expects the change to cut a full day off transit times to New Jersey for freight originating in Chicago and for traffic handed off from BNSF Railway in the western US. The savings would come by routing Midwest cargo through Baltimore instead of sending trains through Buffalo and central New York before turning south to New Jersey. CSX’s Kenney said some intermodal growth could come quickly, particularly along the Interstate 95 corridor, but other freight will take longer to win because annual contracts, rather than operational readiness alone, determine cargo flows. “We have been talking to our channel partners and shippers for a while about (Howard Street); they are very excited about it,” Kenney said. “We are coming to the tail end of this year’s bid season, but we are seeing some traction, and that will continue to build over the course of the next year or so.” Like UP, the test for CSX is whether it can maintain reliable service as volumes rise. The railroad has already absorbed a 15% increase in container lifts at its terminal in Fairburn, Ga., outside Atlanta. Multiple intermodal marketing companies told the Journal of Commerce that truck turn times for retrieving containers at the terminal have ballooned since April 1 amid the higher volumes. “We are focused on continuous improvement and continue to invest in our intermodal facilities to ensure we have the capacity to support customer demand while maintaining service our customers can count on,” CSX said in a statement to the Journal of Commerce. Contact Ari Ashe at <a href="mailto:ari.ashe@spglobal.com">ari.ashe@spglobal.com</a>. </div>

North American railroads hauled more than 785,000 domestic containers in March, the third-highest monthly total on record and the strongest March ever, new data shows, as shippers shifted more freight from truckload to intermodal to offset rising highway transportation costs. The jump in domestic intermodal volumes shows how quickly freight can move to rail when truckload pricing increases. But the sustainability of that shift will depend on whether railroads can shed the stigma of service meltdowns that occurred five years ago during the pandemic-related freight surge. The Intermodal Association of North America (IANA) reported March domestic volumes grew 9.5% year over year. That came as intermodal providers Knight-Swift Transportation and J.B. Hunt Transport Services reported more than 8% growth last month. IANA also reported that first-quarter domestic intermodal volumes rose 4% over Q1 2025. “We are more optimistic today than we were in January in terms of truck conversion opportunities — primarily in our domestic intermodal business,” Maryclare Kenney, CSX Transportation’s executive vice president of sales, said on the railroad’s earnings call Wednesday. Union Pacific Railroad reported a first-quarter company record for domestic intermodal, while CSX said total intermodal volume, including international business, rose 6% year over year during the same period. Neither railroad breaks out intermodal volume by container size, but IANA said domestic intermodal traffic in the eastern US jumped nearly 10% year over year in Q1. Rail visibility provider RailState said UP’s domestic intermodal volume in Southern California climbed more than 20% year over year in the first quarter. CSX, J.B. Hunt, Knight-Swift and Union Pacific all expect domestic intermodal volumes to remain strong in the second quarter as truckload rates rise. The Journal of Commerce forecasts that domestic intermodal volumes will increase 3% to 4.5% year over year in the second quarter, based on an analysis of historical trends. The robust volume outlook comes as Knight-Swift said contract truckload rates could rise by as much as low-double-digit percentages this year, increasing the likelihood of further conversion to intermodal, if railroads can maintain reliable service. Trucking rates have climbed sharply since December due to a combination of severe winter weather, regulatory crackdowns that have canceled the licenses of certain immigrant truck drivers, enhanced enforcement of English language proficiency of all drivers, and surging fuel costs because of the war with Iran. Intermodal pricing will follow trucking, eventually Intermodal pricing has yet to respond as sharply as truckload rates, reflecting the usual lag between changes in highway and rail pricing. The Journal of Commerce Intermodal Savings Index shows only modest growth in intermodal contract rates through March 31, not enough to match broader inflation in the US. “We are getting some improvement in rate — not near what you are getting on the truckload side — but some improvement,” Knight-Swift CEO Adam Miller said during an earnings call Wednesday. “We expect intermodal to be profitable and to see that improve as the cycle strengthens.” UP said raising intermodal rates depends first on service; railroads can charge shippers more if they deliver a product that provides clear advantages for shippers. “We sell to Denver, we sell Salt Lake City, we sell Santa Teresa [El Paso] and into Mexico,” UP CEO Jim Vena said in an interview with the Journal of Commerce on Thursday. “Price is not always the number that is most important for customers. Many look at it as a full supply chain solution.” Vena said maintaining service also includes constant communication with partners including Hub Group, Knight-Swift, Schneider National, STG Logistics, and other intermodal marketing companies (IMCs) and intermodal shippers. “Our operations department doesn’t make a change without having sales understanding the impact, and sales doesn’t talk about changing freight flows without operations tied into the process,” Vena said. “That’s how we communicate with our customers.” More growth comes with Howard Street Tunnel CSX also revealed that double-stack intermodal trains will begin moving through the Howard Street Tunnel in Baltimore as soon as next week , expanding service options on a key East Coast corridor. The railroad expects the change to cut a full day off transit times to New Jersey for freight originating in Chicago and for traffic handed off from BNSF Railway in the western US. The savings would come by routing Midwest cargo through Baltimore instead of sending trains through Buffalo and central New York before turning south to New Jersey. CSX’s Kenney said some intermodal growth could come quickly, particularly along the Interstate 95 corridor, but other freight will take longer to win because annual contracts, rather than operational readiness alone, determine cargo flows. “We have been talking to our channel partners and shippers for a while about (Howard Street); they are very excited about it,” Kenney said. “We are coming to the tail end of this year’s bid season, but we are seeing some traction, and that will continue to build over the course of the next year or so.” Like UP, the test for CSX is whether it can maintain reliable service as volumes rise. The railroad has already absorbed a 15% increase in container lifts at its terminal in Fairburn, Ga., outside Atlanta. Multiple intermodal marketing companies told the Journal of Commerce that truck turn times for retrieving containers at the terminal have ballooned since April 1 amid the higher volumes. “We are focused on continuous improvement and continue to invest in our intermodal facilities to ensure we have the capacity to support customer demand while maintaining service our customers can count on,” CSX said in a statement to the Journal of Commerce. Contact Ari Ashe at ari.ashe@spglobal.com .

Rail News

North-American rail

Intermodal providers

Surface

Soaring truck rates power major rebound in domestic intermodal volume

<div class="phx-topic abstract-wrapper">Ocean carriers are unable to evacuate the containers quickly due to operational restrictions and/or landside constraints at alternative ports of discharge in the United Arab Emirates and Oman.</div>

Ocean carriers are unable to evacuate the containers quickly due to operational restrictions and/or landside constraints at alternative ports of discharge in the United Arab Emirates and Oman.

<div class="phx-topic">Indian ports offering temporary shelter to stranded Middle East-bound containers are grappling with multiple operational challenges. Notably, the pileup of rerouted hazardous or dangerous cargo containers on dock, especially at Nhava Sheva (JNPA), has become a serious concern for Indian authorities, local sources say. That is because ocean carriers are unable to evacuate the containers quickly due to operational restrictions and/or landside constraints at alternative ports of discharge in the United Arab Emirates (UAE) and Oman. Khor Fakkan and Fujairah in the UAE and Sohar in Oman, which have become the supply chain lifeline for trades into the Persian Gulf during the war, are prioritizing general dry cargo handling. Additionally, vessels calling at Omani ports must pre-declare that they carry no dangerous goods. According to data from industry sources, a leading European liner alone is holding about 600 TEUs of rerouted hazardous loads at Nhava Sheva as part of recent trade diversions, exposing the dock to potential safety risks. Sources told the Journal of Commerce that the port authority there has sounded alarm bells through stakeholders about the urgency of clearing accumulated dangerous boxes, saying the cargo could become a ticking time bomb if it continues to be stacked up inside. Responding to that pressure, some carriers are now said to be exploring an alternative evacuation option via the Saudi Red Sea port of Jeddah. Adding to the alarm, the Nhava Sheva region reported multiple incidents of fires breaking out in off-site container storage depots over the past week, although the specifics of the cause were not immediately known. Nhava Sheva’s transshipment volumes in March swelled to 121,247 TEUs, up from 34,883 TEUs in February before the war began, data shows. JNPA was unavailable for comment. <h3>Hazmat exports a concern, too </h3>Mundra, Kandla and Pipavav are the other Indian ports holding Middle East-bound hazmat boxes, albeit fewer than Nhava Sheva, sources say. The predicament of carriers facing Middle East port woes extends to the storage of local/gateway hazmat bookings — mostly Indian chemical exports — already picked up for loading. Asian regional operators typically have a stronger appetite for hazmat handling, so they likely also have such volumes rerouted to India. One major factor driving that specialized shipping activity is the growing scale of lithium battery exports from China to the Middle East for renewable energy and electric vehicle needs, which have now accelerated due to the oil supply shock caused by the closure of the Strait of Hormuz. Contact Bency Mathew at <a href="mailto:bencyvmathew@gmail.com">bencyvmathew@gmail.com</a>. </div>

Indian ports offering temporary shelter to stranded Middle East-bound containers are grappling with multiple operational challenges. Notably, the pileup of rerouted hazardous or dangerous cargo containers on dock, especially at Nhava Sheva (JNPA), has become a serious concern for Indian authorities, local sources say. That is because ocean carriers are unable to evacuate the containers quickly due to operational restrictions and/or landside constraints at alternative ports of discharge in the United Arab Emirates (UAE) and Oman. Khor Fakkan and Fujairah in the UAE and Sohar in Oman, which have become the supply chain lifeline for trades into the Persian Gulf during the war, are prioritizing general dry cargo handling. Additionally, vessels calling at Omani ports must pre-declare that they carry no dangerous goods. According to data from industry sources, a leading European liner alone is holding about 600 TEUs of rerouted hazardous loads at Nhava Sheva as part of recent trade diversions, exposing the dock to potential safety risks. Sources told the Journal of Commerce that the port authority there has sounded alarm bells through stakeholders about the urgency of clearing accumulated dangerous boxes, saying the cargo could become a ticking time bomb if it continues to be stacked up inside. Responding to that pressure, some carriers are now said to be exploring an alternative evacuation option via the Saudi Red Sea port of Jeddah. Adding to the alarm, the Nhava Sheva region reported multiple incidents of fires breaking out in off-site container storage depots over the past week, although the specifics of the cause were not immediately known. Nhava Sheva’s transshipment volumes in March swelled to 121,247 TEUs, up from 34,883 TEUs in February before the war began, data shows. JNPA was unavailable for comment. Hazmat exports a concern, too Mundra, Kandla and Pipavav are the other Indian ports holding Middle East-bound hazmat boxes, albeit fewer than Nhava Sheva, sources say. The predicament of carriers facing Middle East port woes extends to the storage of local/gateway hazmat bookings — mostly Indian chemical exports — already picked up for loading. Asian regional operators typically have a stronger appetite for hazmat handling, so they likely also have such volumes rerouted to India. One major factor driving that specialized shipping activity is the growing scale of lithium battery exports from China to the Middle East for renewable energy and electric vehicle needs, which have now accelerated due to the oil supply shock caused by the closure of the Strait of Hormuz. Contact Bency Mathew at bencyvmathew@gmail.com .

International ports

Container Shipping News

Maritime

Rerouted Middle East hazmat containers spark safety concerns at Indian ports

<div class="phx-topic abstract-wrapper">But the port still bested Rotterdam, normally Europe’s busiest box port, although neither gateway said it experienced much disruption in the quarter from the war in the Middle East.</div>

But the port still bested Rotterdam, normally Europe’s busiest box port, although neither gateway said it experienced much disruption in the quarter from the war in the Middle East.

<div class="phx-topic">Antwerp-Bruges, typically Europe’s second-busiest container port, nonetheless bested Rotterdam in the first quarter by recording volumes of 3.4 million TEUs, slightly higher than its competing gateway. The volume, though, was a 2.6% decline from the first quarter of 2025, which Antwerp-Bruges on Thursday attributed to bad weather and a four-day labor strike. In tonnage terms, container throughput at the port fell 5.5% to 36.3 million metric tons. “Overall, an estimated 100,000 TEUs [approximately 1.1 million tons] of container throughput was lost,” as some vessels diverted to other ports due to the weather and labor issues, the port said in a statement. “From mid‑February onwards, and particularly in March, volumes recovered, once again highlighting the need for additional container handling capacity,” the port said, as ships could only be partially unloaded due to a lack of spare terminal space. Separately, Ocean Network Express noted that berth congestion at Antwerp-Bruges caused two- and three-day delays to some Asia-Europe sailings in March that were already up to two weeks late. The port said imports from and exports to the Persian Gulf fell 12% and 49%, respectively, in the first quarter, but attributed that to weather‑related disruptions rather than the war in the Middle East. <h3>Rotterdam Q1 volumes flat </h3>Rotterdam, meanwhile, reported largely flat container volume growth in the first quarter. The Rotterdam Port Authority said in a statement Wednesday that first-quarter volumes were 0.3% higher at 3.37 million TEUs, up from 3.36 million TEUs a year earlier. In terms of tonnage, container volumes fell 3.2% to 31.2 million metric tons “due to the sharp 14% rise in exports of empty containers, particularly to Asia,” the port said. Inland container volumes “rose sharply by 11% ... driven primarily by Asia and North America, due to larger call sizes and an expanded range of services,” the port said without giving actual figures. Overall volumes at Rotterdam were lower than expected due to an update to the terminal operating system at the Hutchison Ports ECT Euromax terminal. Work on the system upgrade began in early January, but teething problems have negatively affected terminal productivity and handling capacity for both deep-sea and feeder vessels, Hutchison Ports said in a statement in mid-March. Landside operations have also been impacted with disruption to gate and terminal processes, which led to long waiting times for road transport, Hutchison said at the time. “It is expected that throughput volumes will only recover once the container terminal expansions have been completed,” the port said in its results statement. The port authority said there was limited impact from the war in Iran in the first quarter due to longer sailings made around southern Africa, but noted that could change as the war drags on. The conflict only began during the final month of the first quarter. “The closure of the Strait of Hormuz highlights just how vulnerable global energy flows are; the effects of this were only marginally apparent in the first quarter and may become more pronounced in the second quarter,” Boudewijn Siemons, Port of Rotterdam Authority CEO, said in the statement. Contact Keith Wallis at <a href="mailto:keithwallis@hotmail.com">keithwallis@hotmail.com</a>. </div>

Antwerp-Bruges, typically Europe’s second-busiest container port, nonetheless bested Rotterdam in the first quarter by recording volumes of 3.4 million TEUs, slightly higher than its competing gateway. The volume, though, was a 2.6% decline from the first quarter of 2025, which Antwerp-Bruges on Thursday attributed to bad weather and a four-day labor strike. In tonnage terms, container throughput at the port fell 5.5% to 36.3 million metric tons. “Overall, an estimated 100,000 TEUs [approximately 1.1 million tons] of container throughput was lost,” as some vessels diverted to other ports due to the weather and labor issues, the port said in a statement. “From mid‑February onwards, and particularly in March, volumes recovered, once again highlighting the need for additional container handling capacity,” the port said, as ships could only be partially unloaded due to a lack of spare terminal space. Separately, Ocean Network Express noted that berth congestion at Antwerp-Bruges caused two- and three-day delays to some Asia-Europe sailings in March that were already up to two weeks late. The port said imports from and exports to the Persian Gulf fell 12% and 49%, respectively, in the first quarter, but attributed that to weather‑related disruptions rather than the war in the Middle East. Rotterdam Q1 volumes flat Rotterdam, meanwhile, reported largely flat container volume growth in the first quarter. The Rotterdam Port Authority said in a statement Wednesday that first-quarter volumes were 0.3% higher at 3.37 million TEUs, up from 3.36 million TEUs a year earlier. In terms of tonnage, container volumes fell 3.2% to 31.2 million metric tons “due to the sharp 14% rise in exports of empty containers, particularly to Asia,” the port said. Inland container volumes “rose sharply by 11% ... driven primarily by Asia and North America, due to larger call sizes and an expanded range of services,” the port said without giving actual figures. Overall volumes at Rotterdam were lower than expected due to an update to the terminal operating system at the Hutchison Ports ECT Euromax terminal. Work on the system upgrade began in early January, but teething problems have negatively affected terminal productivity and handling capacity for both deep-sea and feeder vessels, Hutchison Ports said in a statement in mid-March. Landside operations have also been impacted with disruption to gate and terminal processes, which led to long waiting times for road transport, Hutchison said at the time. “It is expected that throughput volumes will only recover once the container terminal expansions have been completed,” the port said in its results statement. The port authority said there was limited impact from the war in Iran in the first quarter due to longer sailings made around southern Africa, but noted that could change as the war drags on. The conflict only began during the final month of the first quarter. “The closure of the Strait of Hormuz highlights just how vulnerable global energy flows are; the effects of this were only marginally apparent in the first quarter and may become more pronounced in the second quarter,” Boudewijn Siemons, Port of Rotterdam Authority CEO, said in the statement. Contact Keith Wallis at keithwallis@hotmail.com .

Port News

Asia-Europe

Antwerp-Bruges Q1 container volumes dip on poor weather, labor unrest

<div class="phx-topic abstract-wrapper">The Port Authority of New York and New Jersey is revising the excess empty container fee in place since 2023 as off-dock depots become the focal point of trucker ire.</div>

The Port Authority of New York and New Jersey is revising the excess empty container fee in place since 2023 as off-dock depots become the focal point of trucker ire.

<div class="phx-topic">The Port of New York and New Jersey is expanding the fee it charges ocean carriers for long-dwelling empty containers to include off-dock depots outside of the port, a move that comes as port truckers face increasingly long and frequent delays when returning empties. But trucking interests question whether the now three-year-old fee will ever effectively address the port’s bouts of empties congestion, which impacts shippers downstream through delayed container returns and detention costs. In an April 1 email, the Port Authority of New York and New Jersey (PANYNJ) notified ocean carriers and other stakeholders about the revised marine tariff that will go into effect May 1. One of biggest changes to the tariff is in the “container imbalance fee,” which <a href="https://www.joc.com/article/ny-nj-readies-revised-fee-plan-for-long-dwelling-empties-5194202">the port first instituted in 2023</a> to incentivize ocean carriers to remove <a href="https://www.joc.com/article/carriers-need-to-sweep-up-ny-nj-empties-fmcs-maffei-5204204">the pandemic-era backlog of empty containers</a> at NY-NJ. Along with new language that says ocean carriers must “proactively and regularly manage” their empty container inventories, the revised tariff also references empties lingering at “nearby depots” along with marine terminals on PANYNJ property. The PANYNJ said the container imbalance fee always considered empty containers at off-port depots, even if not explicitly stated in the original tariff. Port Director Bethann Rooney said in a statement the revised tariff reinforces the imbalance fee program, which also has a new formula for calculating the excess empties that face the $100-per-container fee. “The container imbalance fee is a key tool, helping reduce congestion caused by excess empty containers,” Rooney said. “This ... update strengthens the programs with clearer terms and greater accountability, ensuring our port remains one of the most reliable and fluid gateways in the country.” <h3>Hundreds of trucks turned away </h3>The trouble for truckers, though, is reliability and fluidity just outside of the port. APM Terminals contracted with one off-dock facility, Port Newark Depot (PND), in February 2025 to handle the empties from Maersk and Hapag-Lloyd as they started services under the Gemini Cooperation alliance. APM said in a statement the off-dock empty yard “helps preserve on-terminal space for full cargo moves and reduces gate congestion ... while giving truckers the flexibility to pick up empties for export and return them off-terminal when appointments are constrained.” However, Port Newark Depot also faces bouts of congestion and delays that have been frustrating truckers. “The on-street backups waiting to enter the depot have remained significant,” the Association of Bi-State Motor Carriers said in its April newsletter, “Desperate truckers often line up several hours before the depot opens, contributing to the backups and causing traffic delays.” While sporadic, Bi-State President Lisa Yakomin said motor carriers have reported that drivers face four- and five-hour wait times to get into Port Newark Depot, putting truckers at risk of running out of service hours. Yakomin said Port Newark Depot is trying to manage the truck queues with a few relief measures, including signs showing the waiting times, adding another container handling machine, and providing return instructions to drivers the day prior. But the sheer volume of empties can still overwhelm the 12-acre facility. Yakomin said a three-mile-long line of approximately 500 trucks was turned away from returning empties on April 10 because Port Newark Depot was full by late afternoon. “APM chronically runs out of appointments for returning empties, so PND is taking the overflow,” Yakomin said. “But if the marine terminal can’t handle it, how can a single depot? Expecting one depot to absorb the empties is unrealistic.” To address the overflow, APM said in a notice last week to truckers that an additional PND lot will be open for receiving Maersk and Hapag-Lloyd empties. The additional four-acre site can handle between 1,600 and 2,000 empty containers. Port truckers have also been directed to a recently opened 35-acre site, World Wide Depot, for returning empty containers belonging to Zim Integrated Shipping Services. That site is on the same plot of land as PND. But Yakomin said more off-dock space for empties will just mean more off-dock congestion. The issue is being exacerbated by instances of truckers receiving conflicting empty return information from an ocean carrier and a marine terminal, she said, adding to motor carrier costs by sending truckers on dry runs. “The more room you give the ocean carriers to dump their empties and let them languish, they will use it,” Yakomin said. <h3>Next step could be FMC </h3>The PANYNJ said in its statement that “while [the current imbalance fee] has been largely effective, some congestion has taken place if and when ocean carriers allow containers to accumulate to a critical point.” To avoid that, the PANYNJ said the new tariff shortens the evaluation period for determining excess empties from one year to six months. However, Yakomin said it is not clear if that represents any improvement, given the previous tariff referenced a quarterly period for assessing excess empties. Despite the previous tariff being in effect since 2023, the port still has bouts of empty congestion, Yakomin said. “The ocean carriers need to be held accountable for not removing their empties in a timely manner,” she said. As for updating the imbalance fee program, “that’s a little too late.” Yakomin said the next recourse is through the US Federal Maritime Commission, which might have leverage into the issue due to <a href="https://www.joc.com/article/stakeholders-sorting-out-per-diem-bills-under-new-fmc-rules-5192186">the billing questions raised by empty returns</a>. She said it is not clear whether ocean carriers are charging shippers detention on an empty container that had a return location but was full. Inconsistent empty return instructions would also appear to violate FMC rules on providing accurate billing information. Moreover, motor carriers still face being shut out of marine terminals for unpaid detention bills, Yakomin added, a further violation of FMC billing rules. “We would like the FMC to take a look at incorrect billing, but also more clearly define accessibility for an empty return location,” she said. Contact Michael Angell at <a href="mailto:michael.angell@spglobal.com">michael.angell@spglobal.com</a>. </div>

The Port of New York and New Jersey is expanding the fee it charges ocean carriers for long-dwelling empty containers to include off-dock depots outside of the port, a move that comes as port truckers face increasingly long and frequent delays when returning empties. But trucking interests question whether the now three-year-old fee will ever effectively address the port’s bouts of empties congestion, which impacts shippers downstream through delayed container returns and detention costs. In an April 1 email, the Port Authority of New York and New Jersey (PANYNJ) notified ocean carriers and other stakeholders about the revised marine tariff that will go into effect May 1. One of biggest changes to the tariff is in the “container imbalance fee,” which the port first instituted in 2023 to incentivize ocean carriers to remove the pandemic-era backlog of empty containers at NY-NJ. Along with new language that says ocean carriers must “proactively and regularly manage” their empty container inventories, the revised tariff also references empties lingering at “nearby depots” along with marine terminals on PANYNJ property. The PANYNJ said the container imbalance fee always considered empty containers at off-port depots, even if not explicitly stated in the original tariff. Port Director Bethann Rooney said in a statement the revised tariff reinforces the imbalance fee program, which also has a new formula for calculating the excess empties that face the $100-per-container fee. “The container imbalance fee is a key tool, helping reduce congestion caused by excess empty containers,” Rooney said. “This ... update strengthens the programs with clearer terms and greater accountability, ensuring our port remains one of the most reliable and fluid gateways in the country.” Hundreds of trucks turned away The trouble for truckers, though, is reliability and fluidity just outside of the port. APM Terminals contracted with one off-dock facility, Port Newark Depot (PND), in February 2025 to handle the empties from Maersk and Hapag-Lloyd as they started services under the Gemini Cooperation alliance. APM said in a statement the off-dock empty yard “helps preserve on-terminal space for full cargo moves and reduces gate congestion ... while giving truckers the flexibility to pick up empties for export and return them off-terminal when appointments are constrained.” However, Port Newark Depot also faces bouts of congestion and delays that have been frustrating truckers. “The on-street backups waiting to enter the depot have remained significant,” the Association of Bi-State Motor Carriers said in its April newsletter, “Desperate truckers often line up several hours before the depot opens, contributing to the backups and causing traffic delays.” While sporadic, Bi-State President Lisa Yakomin said motor carriers have reported that drivers face four- and five-hour wait times to get into Port Newark Depot, putting truckers at risk of running out of service hours. Yakomin said Port Newark Depot is trying to manage the truck queues with a few relief measures, including signs showing the waiting times, adding another container handling machine, and providing return instructions to drivers the day prior. But the sheer volume of empties can still overwhelm the 12-acre facility. Yakomin said a three-mile-long line of approximately 500 trucks was turned away from returning empties on April 10 because Port Newark Depot was full by late afternoon. “APM chronically runs out of appointments for returning empties, so PND is taking the overflow,” Yakomin said. “But if the marine terminal can’t handle it, how can a single depot? Expecting one depot to absorb the empties is unrealistic.” To address the overflow, APM said in a notice last week to truckers that an additional PND lot will be open for receiving Maersk and Hapag-Lloyd empties. The additional four-acre site can handle between 1,600 and 2,000 empty containers. Port truckers have also been directed to a recently opened 35-acre site, World Wide Depot, for returning empty containers belonging to Zim Integrated Shipping Services. That site is on the same plot of land as PND. But Yakomin said more off-dock space for empties will just mean more off-dock congestion. The issue is being exacerbated by instances of truckers receiving conflicting empty return information from an ocean carrier and a marine terminal, she said, adding to motor carrier costs by sending truckers on dry runs. “The more room you give the ocean carriers to dump their empties and let them languish, they will use it,” Yakomin said. Next step could be FMC The PANYNJ said in its statement that “while [the current imbalance fee] has been largely effective, some congestion has taken place if and when ocean carriers allow containers to accumulate to a critical point.” To avoid that, the PANYNJ said the new tariff shortens the evaluation period for determining excess empties from one year to six months. However, Yakomin said it is not clear if that represents any improvement, given the previous tariff referenced a quarterly period for assessing excess empties. Despite the previous tariff being in effect since 2023, the port still has bouts of empty congestion, Yakomin said. “The ocean carriers need to be held accountable for not removing their empties in a timely manner,” she said. As for updating the imbalance fee program, “that’s a little too late.” Yakomin said the next recourse is through the US Federal Maritime Commission, which might have leverage into the issue due to the billing questions raised by empty returns . She said it is not clear whether ocean carriers are charging shippers detention on an empty container that had a return location but was full. Inconsistent empty return instructions would also appear to violate FMC rules on providing accurate billing information. Moreover, motor carriers still face being shut out of marine terminals for unpaid detention bills, Yakomin added, a further violation of FMC billing rules. “We would like the FMC to take a look at incorrect billing, but also more clearly define accessibility for an empty return location,” she said. Contact Michael Angell at michael.angell@spglobal.com .

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NY-NJ updating port tariff to combat rising backlog of empty boxes

<div class="phx-topic abstract-wrapper">From tariffs to weather to labor shortages, the breakbulk industry has been forced to navigate a series of hurdles of late.</div>

From tariffs to weather to labor shortages, the breakbulk industry has been forced to navigate a series of hurdles of late.

<div class="phx-topic">New Orleans — With breakbulk demands and trade lanes shifting rapidly amid geopolitical events and trade volatility, coping with those challenges will call for communication, partnerships and planning among forwarders, carriers, shippers, and ports, attendees were told Wednesday at the Journal of Commerce’s Breakbulk and Project Cargo Conference 2026. “The biggest challenge that we’ve had in the last three months is making sure I have enough tonnage to take the volume increases that we are seeing out of Asia coming into the North America market,” said Brian Odell, lead ocean/barge/port mode specialist for power generation technology manufacturer GE Power, referencing cargo volumes shifting as a result of the conflict in the Middle East. Alain Akavi, managing director for COLI Group, said alongside a significant increase in traffic from Southeast Asia to the US and Europe, a lack of cargo in Europe has presented the biggest problem for the German global logistics provider, particularly when scheduling cargoes in advance. “You want to bring the vessel back in good time,” Akavi said. “But in some regions, you have a lack of cargoes, and then you need to parcel. And every time you parcel, you add more ports to the schedule.” Alex Strogen, chief commercial officer for the Port of Vancouver USA in Washington State, said that on a larger scale, US policy changes have resulted in unforeseen new challenges for the port. “We’re seeing our business impacted by policy in ways that I could not have even imagined in the past,” he said. Strogen cited wind energy cargo that previously had been moving through the port and is now routing through Canada instead. “That’s as a result of some of the shifting federal policies as it relates to wind energy here in the United States,” he said. Strogen also pointed to the effects of tariffs on aluminum imports the port traditionally handled. “Most of our aluminum came from the UAE. That’s a problem,” he said. As a result, Vancouver has focused on diversification as a long-range strategy, moving cargo in more lines of business than competing ports. “When you’ve got a broad base of different products and commodities that you’re handling, we have the luxury to try and shift and pivot,” Strogen said. <h3>‘Big influence’ from weather </h3>More so than geopolitical circumstances, weather is posing a growing challenge for moving cargo and is making it more difficult to ensure fixed-date shipping schedules, said Pieter Flohil, director with Dutch multipurpose/heavy-lift operator Spliethoff. “We’ve had an extreme number of delays this year,” he said. “Even if some people would like to deny it, weather is having a big influence on what we do.” Flohil also cited the industry’s labor shortages as a significant challenge, with fewer young professionals willing to learn the skills and work the hours necessary for a career in the trade. “That’s where we try to work closely with our partners in the port to ensure that they have invested in labor,” he said. “That’s vital for our existence in the future.” A willingness by carriers to listen to and communicate with logistics providers when there are challenges and delays goes a long way to making cargo transport easier, Akavi said. “When we have issues, it’s not on purpose. It happens,” he said. “And understanding is the easiest part.” Contact Autumn Cafiero Giusti at <a href="mailto:autumn@autumngiusti.com">autumn@autumngiusti.com</a>. </div>

New Orleans — With breakbulk demands and trade lanes shifting rapidly amid geopolitical events and trade volatility, coping with those challenges will call for communication, partnerships and planning among forwarders, carriers, shippers, and ports, attendees were told Wednesday at the Journal of Commerce’s Breakbulk and Project Cargo Conference 2026. “The biggest challenge that we’ve had in the last three months is making sure I have enough tonnage to take the volume increases that we are seeing out of Asia coming into the North America market,” said Brian Odell, lead ocean/barge/port mode specialist for power generation technology manufacturer GE Power, referencing cargo volumes shifting as a result of the conflict in the Middle East. Alain Akavi, managing director for COLI Group, said alongside a significant increase in traffic from Southeast Asia to the US and Europe, a lack of cargo in Europe has presented the biggest problem for the German global logistics provider, particularly when scheduling cargoes in advance. “You want to bring the vessel back in good time,” Akavi said. “But in some regions, you have a lack of cargoes, and then you need to parcel. And every time you parcel, you add more ports to the schedule.” Alex Strogen, chief commercial officer for the Port of Vancouver USA in Washington State, said that on a larger scale, US policy changes have resulted in unforeseen new challenges for the port. “We’re seeing our business impacted by policy in ways that I could not have even imagined in the past,” he said. Strogen cited wind energy cargo that previously had been moving through the port and is now routing through Canada instead. “That’s as a result of some of the shifting federal policies as it relates to wind energy here in the United States,” he said. Strogen also pointed to the effects of tariffs on aluminum imports the port traditionally handled. “Most of our aluminum came from the UAE. That’s a problem,” he said. As a result, Vancouver has focused on diversification as a long-range strategy, moving cargo in more lines of business than competing ports. “When you’ve got a broad base of different products and commodities that you’re handling, we have the luxury to try and shift and pivot,” Strogen said. ‘Big influence’ from weather More so than geopolitical circumstances, weather is posing a growing challenge for moving cargo and is making it more difficult to ensure fixed-date shipping schedules, said Pieter Flohil, director with Dutch multipurpose/heavy-lift operator Spliethoff. “We’ve had an extreme number of delays this year,” he said. “Even if some people would like to deny it, weather is having a big influence on what we do.” Flohil also cited the industry’s labor shortages as a significant challenge, with fewer young professionals willing to learn the skills and work the hours necessary for a career in the trade. “That’s where we try to work closely with our partners in the port to ensure that they have invested in labor,” he said. “That’s vital for our existence in the future.” A willingness by carriers to listen to and communicate with logistics providers when there are challenges and delays goes a long way to making cargo transport easier, Akavi said. “When we have issues, it’s not on purpose. It happens,” he said. “And understanding is the easiest part.” Contact Autumn Cafiero Giusti at autumn@autumngiusti.com .

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