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<div class="phx-topic abstract-wrapper">Ship broker and risk management company Freight Investor Services launched Oct. 16 a bunker fuel pricing service...</div>

Ship broker and risk management company Freight Investor Services launched Oct. 16 a bunker fuel pricing service...

<div>Ship broker and risk management company Freight Investor Services <a>launched</a> a bunker fuel pricing service that automatically organizes prices from multiple market-makers and provides firm bids and offers along six months of the forward curve.Screen prices reflect real-time market changes in three bunker contracts: Singapore 180 centistokes, Singapore 380 CST and Rotterdam 3.5 percent sulphur barges.Indicative prices on these contracts, as well as the U.S. Gulf Coast 3 percent contract, are available for the next three quarters and four calendar years.Because FIS offers swap contracts in lot sizes of one ton upward, it will benefit shipowners and charterers who need...

Ship broker and risk management company Freight Investor Services launched a bunker fuel pricing service that automatically organizes prices from multiple market-makers and provides firm bids and offers along six months of the forward curve. Screen prices reflect real-time market changes in three bunker contracts: Singapore 180 centistokes, Singapore 380 CST and Rotterdam 3.5 percent sulphur barges. Indicative prices on these contracts, as well as the U.S. Gulf Coast 3 percent contract, are available for the next three quarters and four calendar years. Because FIS offers swap contracts in lot sizes of one ton upward, it will benefit shipowners and charterers who need to hedge small freight volumes , FIS Bunker Broker Damien King said.

FIS Launches Bunker Pricing Service

<div class="phx-topic abstract-wrapper">With vessel capacity outstripping volumes on the major trade lanes, analysts expect carriers to fall into the red as early as the first quarter, culminating in a multi-billion-dollar combined loss for the full year. </div>

With vessel capacity outstripping volumes on the major trade lanes, analysts expect carriers to fall into the red as early as the first quarter, culminating in a multi-billion-dollar combined loss for the full year.

Feature image

<div class="phx-topic">The following is part of the Journal of Commerce’s 2026 Annual Review and Outlook. The big picture: A growing imbalance between supply and demand will bring the container shipping industry’s five-year profitability voyage to an end in 2026. With vessel capacity outstripping volumes on the major trade lanes, analysts expect carriers to fall into the red as early as the first quarter, culminating in a multi-billion-dollar combined loss for the full year. A look back: The US tariff mayhem from the Trump administration severely disrupted container shipping on the trans-Pacific, particularly between the US and China. A tit-for-tat, stop-and-go escalation of the trade war between Washington and Beijing led to significant frontloading of US imports and, in turn, a harsher-than-usual slowdown in the final months of 2025. On the Asia–Europe trade lane, a different kind of frontloading caused peak season to begin in May, rather than June. <div class="wrapper-narrow float-right-element"><img src="/images/phoenix/6143172_0.1.jpg"></img></div>Shippers concerned about longer transit times around southern Africa — in place since the Houthi attacks on commercial shipping in the Red Sea began in late 2023 — moved their imports a month earlier than normal to make sure goods made it on the shelves in time for summer, and strong demand continued through July before beginning to slide in September. Even with a fourth-quarter volume downturn, carriers were on pace to report a combined $20 billion profit in 2025, according to Drewry Shipping Consultants. A look ahead: With that depressed demand expected to linger into 2026, Drewry is forecasting a $10 billion container shipping industry loss for the year. Typically, volumes on the east-west trades out of Asia swell in January as shippers look to restock prior to Lunar New Year celebrations, during which factories in China slow or halt production for two weeks. This year, Asia–Europe forwarders are reporting relatively solid bookings for the month, but trans-Pacific forwarders are skeptical they will see any appreciable growth. The lackluster pre-Lunar New Year demand bodes poorly for the rest of the year, and maritime analysts expect the growing supply-demand imbalance to undermine efforts to raise rates. Global fleet capacity will grow 2.2% to 33.7 million TEUs in 2026, according to Drewry, while global container volumes will rise between 2.5% and 3.5%, according to a forecast from shipowner association Bimco. But the imbalance will be far more apparent on the trans-Pacific. With US retailers keeping inventories lean amid uncertain consumer sentiment and ever-changing tariff policy, Moody’s Ratings forecasts US container volumes will be flat to down 2% compared with 2025. The next inflection: The diversion of container ships away from the Suez Canal mitigated what would have been a significant capacity overhang over the past three years. But analysts warn that if carriers return to the much-faster Suez transits — the likelihood of which increases the longer the Israel-Hamas ceasefire holds — the resulting vessel bunching at ports in Europe will likewise tie up a significant amount of capacity. Those bottlenecks could take months to clear, putting upward pressure on rates and giving carriers some relief from an otherwise bleak earnings outlook. Contact Greg Knowler at <a href="mailto:greg.knowler@spglobal.com">greg.knowler@spglobal.com</a>. </div>

The following is part of the Journal of Commerce’s 2026 Annual Review and Outlook. The big picture: A growing imbalance between supply and demand will bring the container shipping industry’s five-year profitability voyage to an end in 2026. With vessel capacity outstripping volumes on the major trade lanes, analysts expect carriers to fall into the red as early as the first quarter, culminating in a multi-billion-dollar combined loss for the full year. A look back: The US tariff mayhem from the Trump administration severely disrupted container shipping on the trans-Pacific, particularly between the US and China. A tit-for-tat, stop-and-go escalation of the trade war between Washington and Beijing led to significant frontloading of US imports and, in turn, a harsher-than-usual slowdown in the final months of 2025. On the Asia–Europe trade lane, a different kind of frontloading caused peak season to begin in May, rather than June. Shippers concerned about longer transit times around southern Africa — in place since the Houthi attacks on commercial shipping in the Red Sea began in late 2023 — moved their imports a month earlier than normal to make sure goods made it on the shelves in time for summer, and strong demand continued through July before beginning to slide in September. Even with a fourth-quarter volume downturn, carriers were on pace to report a combined $20 billion profit in 2025, according to Drewry Shipping Consultants. A look ahead: With that depressed demand expected to linger into 2026, Drewry is forecasting a $10 billion container shipping industry loss for the year. Typically, volumes on the east-west trades out of Asia swell in January as shippers look to restock prior to Lunar New Year celebrations, during which factories in China slow or halt production for two weeks. This year, Asia–Europe forwarders are reporting relatively solid bookings for the month, but trans-Pacific forwarders are skeptical they will see any appreciable growth. The lackluster pre-Lunar New Year demand bodes poorly for the rest of the year, and maritime analysts expect the growing supply-demand imbalance to undermine efforts to raise rates. Global fleet capacity will grow 2.2% to 33.7 million TEUs in 2026, according to Drewry, while global container volumes will rise between 2.5% and 3.5%, according to a forecast from shipowner association Bimco. But the imbalance will be far more apparent on the trans-Pacific. With US retailers keeping inventories lean amid uncertain consumer sentiment and ever-changing tariff policy, Moody’s Ratings forecasts US container volumes will be flat to down 2% compared with 2025. The next inflection: The diversion of container ships away from the Suez Canal mitigated what would have been a significant capacity overhang over the past three years. But analysts warn that if carriers return to the much-faster Suez transits — the likelihood of which increases the longer the Israel-Hamas ceasefire holds — the resulting vessel bunching at ports in Europe will likewise tie up a significant amount of capacity. Those bottlenecks could take months to clear, putting upward pressure on rates and giving carriers some relief from an otherwise bleak earnings outlook. Contact Greg Knowler at greg.knowler@spglobal.com .

Supply-demand imbalance puts ocean carriers on course for heavy losses

<div class="phx-topic abstract-wrapper">Months of frontloading explain the sharp volume slowdown in the final months of 2025, and with consumer sentiment weak and long-term trade policies still uncertain, US retailers are keeping inventories lean in early 2026. </div>

Months of frontloading explain the sharp volume slowdown in the final months of 2025, and with consumer sentiment weak and long-term trade policies still uncertain, US retailers are keeping inventories lean in early 2026.

<div class="phx-topic">The big picture: After an earlier-than-usual July peak season caused by tariff-related frontloading, the trans-Pacific trade enters 2026 in the midst of a deepening demand slowdown. Carriers are hoping a traditional pre-Lunar New Year rush will boost volumes and help buoy spot rates on the largest US trade lane, but the chances of a significant uptick are dwindling rapidly. <div class="wrapper-narrow float-right-element"><img src="/images/phoenix/6143172_0.1.jpg"></img></div>A look back: Ocean container trade between Asia and the US in 2025 was marked primarily by retailers frontloading imports to reduce the pricing impact of Trump administration tariffs. The administration throughout the year issued more than 100 tariff decisions affecting imports from virtually every country in the world, with the largest increases in duty rates on goods made in China. As a result, containerized US imports from Asia grew 3.2% in the first eight months of 2025 before tumbling 8.8% year over year from September through November, according to data from PIERS, a sister product of the Journal of Commerce within S&amp;P Global. That volatility in volumes was also evident in the two large spikes in spot rates recorded in the first half, both of which were followed by swift declines. Average pricing from Asia to the US West Coast rose above $5,000 per FEU in early January, fell to $1,600 per FEU in March, rose to a 2025 high of $6,000 per FEU in June and then dropped to $1,700 per FEU in July, according to Platts, also part of S&amp;P Global. Starting Oct. 1, carriers launched a series of bimonthly general rate increases (GRIs) in an attempt to prevent spot rates from collapsing, but the effect of each GRI was short-lived, and by mid-December, Asia–US West Coast spot rates had fallen to $1,270 per FEU, the lowest reading since July 2023. A look ahead: Months of frontloading explain the harsh volume slowdown in the final months of 2025, and with consumer sentiment weak and long-term trade policies still uncertain, US retailers are keeping inventories lean in early 2026. Despite a one-year negotiating pause in reciprocal US–China tariffs that began in November, imports from China still face an effective duty rate of 47%. Retailers are placing orders for spring merchandise cautiously, and the typical rush of factory production and container vessel bookings in the lead up to Lunar New Year celebrations in China are expected to fall flat, leaving volumes well below the levels recorded in 2025. <div class="wrapper-narrow"><dynamic-object type="jocchartid" resource-id="a04e27f7-b2bc-4d9d-b3cc-b14fb864d836"></dynamic-object></div>Total US imports are forecast to fall 10.3% year over year in January, 8.5% in February, 16.8% in March and 10.9% in April, according to the latest Global Port Tracker from Hackett Associates and the National Retail Federation (NRF). Carriers have not dismissed the possibility of additional GRIs in the new year, but like in the latter part of 2025, their efforts will be focused more on maintaining a floor on spot rates as opposed to increasing the ceiling. The next inflection: Trans-Pacific carriers and their customers are looking ahead to two possible developments in 2026 that could further depress freight rates: a forecasted 4% increase in global container ship capacity and whether carriers will return to regular transits through the Suez Canal, which could increase effective capacity from Asia to the US East Coast. Contact Bill Mongelluzzo at <a href="mailto:bill.mongelluzzo@spglobal.com">bill.mongelluzzo@spglobal.com</a>. </div>

The big picture: After an earlier-than-usual July peak season caused by tariff-related frontloading, the trans-Pacific trade enters 2026 in the midst of a deepening demand slowdown. Carriers are hoping a traditional pre-Lunar New Year rush will boost volumes and help buoy spot rates on the largest US trade lane, but the chances of a significant uptick are dwindling rapidly. A look back: Ocean container trade between Asia and the US in 2025 was marked primarily by retailers frontloading imports to reduce the pricing impact of Trump administration tariffs. The administration throughout the year issued more than 100 tariff decisions affecting imports from virtually every country in the world, with the largest increases in duty rates on goods made in China. As a result, containerized US imports from Asia grew 3.2% in the first eight months of 2025 before tumbling 8.8% year over year from September through November, according to data from PIERS, a sister product of the Journal of Commerce within S&P Global. That volatility in volumes was also evident in the two large spikes in spot rates recorded in the first half, both of which were followed by swift declines. Average pricing from Asia to the US West Coast rose above $5,000 per FEU in early January, fell to $1,600 per FEU in March, rose to a 2025 high of $6,000 per FEU in June and then dropped to $1,700 per FEU in July, according to Platts, also part of S&P Global. Starting Oct. 1, carriers launched a series of bimonthly general rate increases (GRIs) in an attempt to prevent spot rates from collapsing, but the effect of each GRI was short-lived, and by mid-December, Asia–US West Coast spot rates had fallen to $1,270 per FEU, the lowest reading since July 2023. A look ahead: Months of frontloading explain the harsh volume slowdown in the final months of 2025, and with consumer sentiment weak and long-term trade policies still uncertain, US retailers are keeping inventories lean in early 2026. Despite a one-year negotiating pause in reciprocal US–China tariffs that began in November, imports from China still face an effective duty rate of 47%. Retailers are placing orders for spring merchandise cautiously, and the typical rush of factory production and container vessel bookings in the lead up to Lunar New Year celebrations in China are expected to fall flat, leaving volumes well below the levels recorded in 2025. Total US imports are forecast to fall 10.3% year over year in January, 8.5% in February, 16.8% in March and 10.9% in April, according to the latest Global Port Tracker from Hackett Associates and the National Retail Federation (NRF). Carriers have not dismissed the possibility of additional GRIs in the new year, but like in the latter part of 2025, their efforts will be focused more on maintaining a floor on spot rates as opposed to increasing the ceiling. The next inflection: Trans-Pacific carriers and their customers are looking ahead to two possible developments in 2026 that could further depress freight rates: a forecasted 4% increase in global container ship capacity and whether carriers will return to regular transits through the Suez Canal, which could increase effective capacity from Asia to the US East Coast. Contact Bill Mongelluzzo at bill.mongelluzzo@spglobal.com .

Tariffs, economic uncertainty weigh on pre-Lunar New Year trans-Pac volumes

<div class="phx-topic abstract-wrapper">While Union Pacific plans to spend hundreds of millions of dollars to make a combined railroad run smoothly, there are locations where service could degrade should the merger be approved by federal regulators. </div>

While Union Pacific plans to spend hundreds of millions of dollars to make a combined railroad run smoothly, there are locations where service could degrade should the merger be approved by federal regulators.

<div class="phx-topic">Union Pacific Railroad’s (UP’s) proposed $85 billion acquisition of Norfolk Southern Railway (NS) would set up some shippers for faster transits while others will find that new investments on some routes will come at their expense. UP will spend $507 million for dozens of rail infrastructure upgrades across what would be the newly combined network and $516 million to upgrade or expand a dozen terminals expected to see a surge in containers, automobiles and manifest trains should the merger happen. “To achieve the transit-time improvements on certain routes requires making trade-offs,” Union Pacific wrote in the <a href="https://www.joc.com/article/up-in-merger-filing-vows-to-convert-millions-of-loads-to-intermodal-annually-6138380">formal merger application</a> it filed Dec. 19 with federal regulators. “[This] requires changes that have the opposite impact on a route with less traffic.” Fresh investment will go into supporting a new single-line train from Southern California to New Jersey through Kansas City, bypassing Chicago. At UP’s Inland Empire intermodal terminal in Southern California, daily lifts are projected to rise by approximately 400%. To handle the increase, the railroad plans to invest $58 million there. The Norfolk Southern terminals in Cincinnati and Toledo, Ohio, are expected to see daily lifts more than double within three years of the merger, prompting a combined $52.5 million in planned investment. In Council Bluffs, Iowa, where lifts are projected to increase 163%, UP plans to spend $75.4 million to expand capacity. Track infrastructure supporting the trains also will be upgraded. The combined railroad would invest $136.6 million in infrastructure between Kansas City and Butler, Indiana, to support faster Southern California-Northeast intermodal trains. Another $172.3 million would be spent between New Orleans and Atlanta to strengthen the Laredo and Houston intermodal trains. The money will go to more than two dozen projects to improve the tracks and bridges in those areas to handle the additional post-merger volume. Achieving that vision, however, requires trade-offs that could leave other shippers disadvantaged. Rail rivals have warned about those risks in filings with the US Surface Transportation Board (STB), arguing that UP’s merger application understates the downside. Canadian National Railway said the application omits required market analyses, while CSX Transportation wrote that UP’s growth plan relies on outdated or incomplete data, overemphasizing the benefits while masking where service would degrade. In comments filed with the STB earlier this week, the two railroads asked regulators to deem UP’s application incomplete. The STB must decide whether the application is complete before Jan. 20; if the application is deemed incomplete, UP would need to fix any deficiencies and resubmit the document before regulators can resume their review. <h3>Terminals that could be logjammed </h3>While several intermodal terminals would be expanded post-merger, others will have a sharp increase in volume but receive little or no investment. In Minneapolis, container lifts are projected to increase 343%, yet no terminal upgrades are planned. UP said the intermodal terminal would be overcapacity post-merger, only a few years after <a href="https://www.up.com/news/service/twin-cities-intermodal-it-221212">hundreds of millions</a> were poured into the facility. UP said intermodal volume increased 94% in Minneapolis between 2023 and 2024, but there was “<a href="https://www.up.com/news/growth/twin-cities-intermodal-it-250317">ample capacity remaining for future expansion</a>.” Instead, UP wrote in the application that mitigation in Minneapolis would include working with customers to reduce container dwells and exploring off-site parking options. In Tacoma, Washington, container lifts are expected to rise 44%, also without terminal investment. UP said it would seek to address capacity constraints by coordinating with the terminal operator to extend operating hours. The Tacoma terminal was one location that saw <a href="https://www.joc.com/article/tacoma-marine-terminals-grappling-with-heavy-import-rail-congestion-5706377">a massive influx in international intermodal volume</a> in 2024. At NS’ Croxton terminal in Jersey City, daily lifts would rise 67% but receive only $7.3 million in capital spending. UP said it may reopen NS’ E-Rail terminal in nearby Elizabeth, if necessary. In Atlanta, container lifts at the Austell terminal would increase by 24%. The land-constrained terminal would not receive new capital investments, but UP will revive intermodal operations in Birmingham, Alabama, and NS also owns a smaller yard about 15 minutes away near downtown Atlanta. <h3>Shippers who might not benefit </h3>One group of shippers who would experience longer transits post-merger are those using trains from Southern California to Memphis and St. Louis. UP identified 191 domestic containers per day that will be removed in Greggton, Texas — between Dallas and Shreveport — and transferred to a second train to Memphis and St. Louis post-merger. On an annual basis, nearly 70,000 containers currently moving on a direct train would face at least a four-hour layover. That delay assumes the first and second trains run on time, much like two connecting flights at an airport. UP said the Memphis diversions are necessary to build new expedited intermodal trains over the Meridian Speedway to Atlanta, Charlotte, and Jacksonville, saving shippers between 70 and 96 hours of transit time. The Meridian Speedway itself, a nearly 300-mile corridor linking Shreveport, Louisiana, and Meridian, Mississippi, presents additional uncertainty. UP’s merger application calls for the new trains to average nearly 11,000 feet long, but Canadian Pacific Kansas City (CPKC), which owns 75% of the Meridian joint venture to NS’ 25%, limits train lengths to 8,500 feet. UP acknowledged that Meridian Speedway expedited trains “might be split into a second train,” introducing additional dwell that would cut into the 70- to 96-hour savings. Union Pacific also highlighted how 185 intermodal routes, totaling more than 300,000 containers annually, would see fewer handlings or layovers under a post-merger operating plan. However, UP provided no details on 62 of the routes representing about 20,000 containers that would see additional handling. “Any change to train and blocking plans and any yard or terminal rationalization creates a risk of service degradation to the extent plans are flawed in design or execution,” Union Pacific wrote in its application. “[We] will not make any merger-related changes that cannot be reversed, if necessary.” Contact Ari Ashe at <a href="mailto:ari.ashe@spglobal.com">ari.ashe@spglobal.com</a>. </div>

Union Pacific Railroad’s (UP’s) proposed $85 billion acquisition of Norfolk Southern Railway (NS) would set up some shippers for faster transits while others will find that new investments on some routes will come at their expense. UP will spend $507 million for dozens of rail infrastructure upgrades across what would be the newly combined network and $516 million to upgrade or expand a dozen terminals expected to see a surge in containers, automobiles and manifest trains should the merger happen. “To achieve the transit-time improvements on certain routes requires making trade-offs,” Union Pacific wrote in the formal merger application it filed Dec. 19 with federal regulators. “[This] requires changes that have the opposite impact on a route with less traffic.” Fresh investment will go into supporting a new single-line train from Southern California to New Jersey through Kansas City, bypassing Chicago. At UP’s Inland Empire intermodal terminal in Southern California, daily lifts are projected to rise by approximately 400%. To handle the increase, the railroad plans to invest $58 million there. The Norfolk Southern terminals in Cincinnati and Toledo, Ohio, are expected to see daily lifts more than double within three years of the merger, prompting a combined $52.5 million in planned investment. In Council Bluffs, Iowa, where lifts are projected to increase 163%, UP plans to spend $75.4 million to expand capacity. Track infrastructure supporting the trains also will be upgraded. The combined railroad would invest $136.6 million in infrastructure between Kansas City and Butler, Indiana, to support faster Southern California-Northeast intermodal trains. Another $172.3 million would be spent between New Orleans and Atlanta to strengthen the Laredo and Houston intermodal trains. The money will go to more than two dozen projects to improve the tracks and bridges in those areas to handle the additional post-merger volume. Achieving that vision, however, requires trade-offs that could leave other shippers disadvantaged. Rail rivals have warned about those risks in filings with the US Surface Transportation Board (STB), arguing that UP’s merger application understates the downside. Canadian National Railway said the application omits required market analyses, while CSX Transportation wrote that UP’s growth plan relies on outdated or incomplete data, overemphasizing the benefits while masking where service would degrade. In comments filed with the STB earlier this week, the two railroads asked regulators to deem UP’s application incomplete. The STB must decide whether the application is complete before Jan. 20; if the application is deemed incomplete, UP would need to fix any deficiencies and resubmit the document before regulators can resume their review. Terminals that could be logjammed While several intermodal terminals would be expanded post-merger, others will have a sharp increase in volume but receive little or no investment. In Minneapolis, container lifts are projected to increase 343%, yet no terminal upgrades are planned. UP said the intermodal terminal would be overcapacity post-merger, only a few years after hundreds of millions were poured into the facility. UP said intermodal volume increased 94% in Minneapolis between 2023 and 2024, but there was “ ample capacity remaining for future expansion .” Instead, UP wrote in the application that mitigation in Minneapolis would include working with customers to reduce container dwells and exploring off-site parking options. In Tacoma, Washington, container lifts are expected to rise 44%, also without terminal investment. UP said it would seek to address capacity constraints by coordinating with the terminal operator to extend operating hours. The Tacoma terminal was one location that saw a massive influx in international intermodal volume in 2024. At NS’ Croxton terminal in Jersey City, daily lifts would rise 67% but receive only $7.3 million in capital spending. UP said it may reopen NS’ E-Rail terminal in nearby Elizabeth, if necessary. In Atlanta, container lifts at the Austell terminal would increase by 24%. The land-constrained terminal would not receive new capital investments, but UP will revive intermodal operations in Birmingham, Alabama, and NS also owns a smaller yard about 15 minutes away near downtown Atlanta. Shippers who might not benefit One group of shippers who would experience longer transits post-merger are those using trains from Southern California to Memphis and St. Louis. UP identified 191 domestic containers per day that will be removed in Greggton, Texas — between Dallas and Shreveport — and transferred to a second train to Memphis and St. Louis post-merger. On an annual basis, nearly 70,000 containers currently moving on a direct train would face at least a four-hour layover. That delay assumes the first and second trains run on time, much like two connecting flights at an airport. UP said the Memphis diversions are necessary to build new expedited intermodal trains over the Meridian Speedway to Atlanta, Charlotte, and Jacksonville, saving shippers between 70 and 96 hours of transit time. The Meridian Speedway itself, a nearly 300-mile corridor linking Shreveport, Louisiana, and Meridian, Mississippi, presents additional uncertainty. UP’s merger application calls for the new trains to average nearly 11,000 feet long, but Canadian Pacific Kansas City (CPKC), which owns 75% of the Meridian joint venture to NS’ 25%, limits train lengths to 8,500 feet. UP acknowledged that Meridian Speedway expedited trains “might be split into a second train,” introducing additional dwell that would cut into the 70- to 96-hour savings. Union Pacific also highlighted how 185 intermodal routes, totaling more than 300,000 containers annually, would see fewer handlings or layovers under a post-merger operating plan. However, UP provided no details on 62 of the routes representing about 20,000 containers that would see additional handling. “Any change to train and blocking plans and any yard or terminal rationalization creates a risk of service degradation to the extent plans are flawed in design or execution,” Union Pacific wrote in its application. “[We] will not make any merger-related changes that cannot be reversed, if necessary.” Contact Ari Ashe at ari.ashe@spglobal.com .

UP-NS deal could benefit some shippers, while others face longer transits

<div class="phx-topic abstract-wrapper">The use of real-time cargo status data is expected to make trade finance more efficient, reducing credit costs and processing and payment times, the Hong Kong government said.</div>

The use of real-time cargo status data is expected to make trade finance more efficient, reducing credit costs and processing and payment times, the Hong Kong government said.

<div class="phx-topic">Hong Kong will launch a multi-modal digital cargo tracking and data exchange network in January that will initially focus on cargo flows between Hong Kong and China but is expected to be extended to other countries. Willy Lin, chairman of the Hong Kong Shippers’ Council (HKSC), said the port community system (PCS) will be a “game changer” for shippers and Hong Kong’s port community by improving cargo visibility and operational efficiencies. The use of real-time cargo status data is expected to make trade finance more efficient, reducing credit costs and processing and payment times, the Hong Kong government said. Government officials estimate the PCS could generate cost savings of $406 million a year by improving cargo handling efficiency for ocean, air and landside operators while costing a total of just $28 million to operate for the first three years. “The benefits to shippers include real time track and trace, increased transparency of the status of cargo shipments including customs clearance, and the automatic transmission of data and documents," Sunny Ho, HKSC’s executive director, told the Journal of Commerce. Ho said the system will be free for users, at least initially. “There is no promise that it will be free forever,” he said. “The system needs maintenance and regular updates, and these could be expensive. We’ve had no answers from the government on [who] would be paying for these.” Ho described the issues as “teething problems.” <h3>Wide range of expected users </h3>The Hong Kong government expects about 50,000 users, including shippers, freight forwarders, customs brokers carriers, terminal operators, airlines and trucking companies to sign up to use the system and incorporate their own digital platforms. These include Crown Logistics, which will integrate its proprietary platform, CrownCompass, with the PCS network. This will provide its customers with real-time tracking of shipments and “automate workflows for customs declarations, cargo release, and trucker assignments, significantly reducing administrative overheads,” Crown Logistics said. The system will be operated by the Hong Kong government-backed Logistics and Supply Chain MultiTech R&amp;D Centre (LSCM) to maintain its neutrality and ensure commercial confidentiality, Ho said. LSCM has signed an agreement with the Guangdong e-Port Management Company that will allow the system to complete and submit ocean manifests before vessels enter ports in South China to provide faster Chinese customs clearance. “This digital collaborative platform will provide cargo tracking functions and connect sea, land and air transport networks, enhancing cross-sector information interconnectivity and increasing the Hong Kong Port’s efficiency and overall competitiveness,” Mable Chan, Hong Kong’s secretary for transport and logistics, said. Contact Keith Wallis at <a href="mailto:keithwallis@hotmail.com">keithwallis@hotmail.com</a>.</div>

Hong Kong will launch a multi-modal digital cargo tracking and data exchange network in January that will initially focus on cargo flows between Hong Kong and China but is expected to be extended to other countries. Willy Lin, chairman of the Hong Kong Shippers’ Council (HKSC), said the port community system (PCS) will be a “game changer” for shippers and Hong Kong’s port community by improving cargo visibility and operational efficiencies. The use of real-time cargo status data is expected to make trade finance more efficient, reducing credit costs and processing and payment times, the Hong Kong government said. Government officials estimate the PCS could generate cost savings of $406 million a year by improving cargo handling efficiency for ocean, air and landside operators while costing a total of just $28 million to operate for the first three years. “The benefits to shippers include real time track and trace, increased transparency of the status of cargo shipments including customs clearance, and the automatic transmission of data and documents," Sunny Ho, HKSC’s executive director, told the Journal of Commerce. Ho said the system will be free for users, at least initially. “There is no promise that it will be free forever,” he said. “The system needs maintenance and regular updates, and these could be expensive. We’ve had no answers from the government on [who] would be paying for these.” Ho described the issues as “teething problems.” Wide range of expected users The Hong Kong government expects about 50,000 users, including shippers, freight forwarders, customs brokers carriers, terminal operators, airlines and trucking companies to sign up to use the system and incorporate their own digital platforms. These include Crown Logistics, which will integrate its proprietary platform, CrownCompass, with the PCS network. This will provide its customers with real-time tracking of shipments and “automate workflows for customs declarations, cargo release, and trucker assignments, significantly reducing administrative overheads,” Crown Logistics said. The system will be operated by the Hong Kong government-backed Logistics and Supply Chain MultiTech R&D Centre (LSCM) to maintain its neutrality and ensure commercial confidentiality, Ho said. LSCM has signed an agreement with the Guangdong e-Port Management Company that will allow the system to complete and submit ocean manifests before vessels enter ports in South China to provide faster Chinese customs clearance. “This digital collaborative platform will provide cargo tracking functions and connect sea, land and air transport networks, enhancing cross-sector information interconnectivity and increasing the Hong Kong Port’s efficiency and overall competitiveness,” Mable Chan, Hong Kong’s secretary for transport and logistics, said. Contact Keith Wallis at keithwallis@hotmail.com .

Hong Kong to launch digital cargo tracking, data exchange network

<div class="phx-topic abstract-wrapper">While some gateways are expanding their intermodal access to vie for discretionary cargo destined for inland locations, others are moving full speed ahead with capacity expansions that will allow them to handle more and larger ships. </div>

While some gateways are expanding their intermodal access to vie for discretionary cargo destined for inland locations, others are moving full speed ahead with capacity expansions that will allow them to handle more and larger ships.

<div class="phx-topic">The following is part of the Journal of Commerce’s 2026 Annual Review and Outlook.The big picture: Ports along the US East and Gulf coasts rode a similar wave of strong tariff-induced imports in the first half of the year and receding volumes — with some gateways registering double-digit percentage declines — in the second half. Ongoing infrastructure expansion and upgrades will continue this year, and with volumes forecast to remain weak at least through the fourth quarter, coastal competition for discretionary cargoes is likely to heat up. A look back: Amid an up-and-down year for cargo activity spurred by stop-start US tariff actions, total laden container imports through East and Gulf coast ports rose 2.5% year over year in the first 11 months of 2025, with inbound shipments to the East Coast climbing 3% and Gulf Coast imports ticking up 0.3%, according to PIERS, a sister product of the Journal of Commerce within S&amp;P Global. But those totals don’t tell the whole story. For example, annual growth rates at Port Houston, by far the busiest port on the Gulf Coast and a bellwether for the region, ranged from negative 11.5% in February to positive 33.1% in April. The Port of New York and New Jersey, the largest on either coast, handled as few as 354,697 TEUs in June and as many as 420,495 TEUs in August, a nearly 66,000-TEU swing. <div class="wrapper-narrow float-right-element"><img src="/images/phoenix/6135207_0.1.jpg"></img></div>Despite the month-to-month volatility, however, East and Gulf coast ports faced few delays in vessel and cargo handling. Container ships spent an average of 27.6 hours on port calls to the US East Coast in 2025 and 33.1 hours on Gulf Coast calls, according to Sea-web, also part of S&amp;P Global, both within the normal range that indicates fluid terminal operations. The South Carolina Port Authority (SC Ports) in October named Micah Mallace as its new president and CEO. Mallace, who previously served as SC Ports’ chief commercial officer before heading up a regional logistics provider, took the helm after Barbara Melvin exited following delays and cost overruns at the Port of Charleston’s yet-to-be-completed near-dock rail terminal. A look ahead: While some East and Gulf coast gateways are expanding their intermodal access to vie for discretionary cargo destined for inland locations, others are moving full speed ahead with capacity expansions that will allow them to handle more and larger ships. The Navy Base Intermodal Facility (NBIF), now expected to begin operations in October 2026, will connect Charleston’s marine terminals with Inland Ports Greer and Dillon, increasing intermodal capacity to and from Southeast markets such as Atlanta, Memphis, Nashville and Louisville. Completion of CSX Transportation’s Howard Street Tunnel project, expected in the first quarter, will allow for double-stack rail service from the Port of Baltimore, opening additional capacity to Chicago and other Midwest markets. The Port of Houston is expected to finish widening the ship channel leading into the port’s Barbours Cut terminal early in 2026, allowing for more two-way ship transits. A new wharf at Houston’s Bayport terminal, also expected at some point in 2026, will allow the terminal to handle five ships simultaneously and, eventually, vessels of up to 17,000 TEUs, which are commonly deployed on trans-Pacific services. After dredging its harbor to 50 feet, which will allow it to serve large container ships, the Port of Mobile and APM Terminals are in the process of completing a container yard expansion and other capital projects that will increase its handling capacity to just over 1 million TEUs per year. The Port of Virginia is expected to complete dredging of its harbor to 55 feet by the end of December, coinciding with the commissioning of new cranes at its Norfolk International Terminal south berth for handling ultra-large container vessels. The next inflection: Anticipating that ocean carriers will eventually deploy the ultra-large container ships currently serving the Asia-Europe trade on Asia-US East Coast routes, the Port of New York and New Jersey is looking to fund a US Army Corps of Engineers study on the feasibility of dredging to a 55-foot depth, allowing it to handle ships of 18,000 TEUs or more. The Port of Savannah will also complete upgrades to its Ocean Terminal in 2027 that will allow it to handle two post-Panamax ships simultaneously. Contact Michael Angell at <a href="mailto:michael.angell@spglobal.com">michael.angell@spglobal.com</a>. </div>

The following is part of the Journal of Commerce’s 2026 Annual Review and Outlook. The big picture: Ports along the US East and Gulf coasts rode a similar wave of strong tariff-induced imports in the first half of the year and receding volumes — with some gateways registering double-digit percentage declines — in the second half. Ongoing infrastructure expansion and upgrades will continue this year, and with volumes forecast to remain weak at least through the fourth quarter, coastal competition for discretionary cargoes is likely to heat up. A look back: Amid an up-and-down year for cargo activity spurred by stop-start US tariff actions, total laden container imports through East and Gulf coast ports rose 2.5% year over year in the first 11 months of 2025, with inbound shipments to the East Coast climbing 3% and Gulf Coast imports ticking up 0.3%, according to PIERS, a sister product of the Journal of Commerce within S&P Global. But those totals don’t tell the whole story. For example, annual growth rates at Port Houston, by far the busiest port on the Gulf Coast and a bellwether for the region, ranged from negative 11.5% in February to positive 33.1% in April. The Port of New York and New Jersey, the largest on either coast, handled as few as 354,697 TEUs in June and as many as 420,495 TEUs in August, a nearly 66,000-TEU swing. Despite the month-to-month volatility, however, East and Gulf coast ports faced few delays in vessel and cargo handling. Container ships spent an average of 27.6 hours on port calls to the US East Coast in 2025 and 33.1 hours on Gulf Coast calls, according to Sea-web, also part of S&P Global, both within the normal range that indicates fluid terminal operations. The South Carolina Port Authority (SC Ports) in October named Micah Mallace as its new president and CEO. Mallace, who previously served as SC Ports’ chief commercial officer before heading up a regional logistics provider, took the helm after Barbara Melvin exited following delays and cost overruns at the Port of Charleston’s yet-to-be-completed near-dock rail terminal. A look ahead: While some East and Gulf coast gateways are expanding their intermodal access to vie for discretionary cargo destined for inland locations, others are moving full speed ahead with capacity expansions that will allow them to handle more and larger ships. The Navy Base Intermodal Facility (NBIF), now expected to begin operations in October 2026, will connect Charleston’s marine terminals with Inland Ports Greer and Dillon, increasing intermodal capacity to and from Southeast markets such as Atlanta, Memphis, Nashville and Louisville. Completion of CSX Transportation’s Howard Street Tunnel project, expected in the first quarter, will allow for double-stack rail service from the Port of Baltimore, opening additional capacity to Chicago and other Midwest markets. The Port of Houston is expected to finish widening the ship channel leading into the port’s Barbours Cut terminal early in 2026, allowing for more two-way ship transits. A new wharf at Houston’s Bayport terminal, also expected at some point in 2026, will allow the terminal to handle five ships simultaneously and, eventually, vessels of up to 17,000 TEUs, which are commonly deployed on trans-Pacific services. After dredging its harbor to 50 feet, which will allow it to serve large container ships, the Port of Mobile and APM Terminals are in the process of completing a container yard expansion and other capital projects that will increase its handling capacity to just over 1 million TEUs per year. The Port of Virginia is expected to complete dredging of its harbor to 55 feet by the end of December, coinciding with the commissioning of new cranes at its Norfolk International Terminal south berth for handling ultra-large container vessels. The next inflection: Anticipating that ocean carriers will eventually deploy the ultra-large container ships currently serving the Asia-Europe trade on Asia-US East Coast routes, the Port of New York and New Jersey is looking to fund a US Army Corps of Engineers study on the feasibility of dredging to a 55-foot depth, allowing it to handle ships of 18,000 TEUs or more. The Port of Savannah will also complete upgrades to its Ocean Terminal in 2027 that will allow it to handle two post-Panamax ships simultaneously. Contact Michael Angell at michael.angell@spglobal.com .

US East, Gulf coast ports expanding intermodal access, vessel capacity

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