Container lines

While the South Carolina Ports Authority cited the “urgency and importance” of the Leatherman terminal issue to the state and regional economies, getting on the Court’s docket is a daunting task.

Cargo owners want complete transparency from carriers in their “emission surcharges” that will be levied on customers from the first quarter of 2024 and are looking at how the surcharges can be handled in long-term rate agreements.

While the costs of meeting shipping’s net-zero 2050 target are expected to run into the trillions, Europe’s emissions trading system presents a more immediate decarbonization cost that awaits European cargo owners in the new year.

The concept of widespread use of a hedging tool continues to face an uphill battle within the container sector years after it was introduced, especially among carriers whose buy-in is considered essential to confer legitimacy on the fledging market.

For importers and forwarders, the blank sailings mean the resulting schedule disruptions and “rolling” of cargo they are already experiencing at Asian load ports will force them to book more of their cargo with carriers they can count on to maintain schedule integrity.

New forwarding and ocean services are being added to South American trade lanes as service providers move to capture rising trade growth in the region.

Savannah attracted the new service due to its growing third-party logistics network and proximity to East Coast and Midwest markets, allowing for quicker and fresher imports.

The phased implementation of Europe’s emissions trading system on the shipping industry beginning next year will generate significant costs for carriers that will be passed on to customers in the form of new charges.

Shippers more than tripled their formal complaints in fiscal year 2022, emboldened by the maritime regulator’s sharpened focus on how ocean carriers interact with their customers.

Signaling some growth expectations, Indian container volumes saw gains in August, hitting 1.9 million TEUs, up 14% from 1.7 million TEUs a year earlier.

Carriers appear reluctant to make the drastic capacity reductions required to match supply with demand on the westbound trade lane, leaving rates far below pre-pandemic levels.

The decision to suspend a service outright may represent a new leg down in terms of ship capacity, which is expected to grow sharply this year and next.

Ocean carriers on the busy trade lane plan to slash deployed capacity to match falling demand levels that typically follow China’s Golden Week holiday at the start of October.

Carrier executives and others say the draft limitations imposed due to a shortage of rainfall are creating a more difficult economic rationale for the so-called all-water route to the East Coast of North America.

West Coast ports are bearing the brunt of a steep decline in US agriculture exports, as are carriers such as CMA CGM that pivoted to serving exporters amid weaker import demand.

Small onboard nuclear reactors could ultimately be the lowest-cost method of decarbonization as shipping competes with other thirsty industries for sustainable net-zero fuels, according to energy and investment analysts.

Owning and operating potential supply chain chokepoints is a competitive advantage, and we should expect to see major carriers — flush with cash post-pandemic — be very active in attempting to secure such assets, writes analyst Lars Jensen.

The carrier’s commitment to bring an additional 1 million TEUs per year across HHLA’s wharves in Hamburg if it wins a bid for almost half the company will come as an attractive sweetener for the terminal operator.

Although importers can look forward to paying low freight rates at least into 2024 due to weak volumes and significant overcapacity in the trans-Pacific, aggressive capacity reductions through blank sailings will disrupt service levels, this week’s IANA conference was told.

The Indamex 2, the weekly loop touted as the fastest connection between western India and the US East Coast, is set to see a 50% capacity reduction for loads out of India this month.

Washington is urging NVOs and forwarders to “know their customer,” a steep challenge for co-loaders who bundle multiple shipments for multiple customers into a single container, writes Journal of Commerce Executive Editor Mark Szakonyi.

The gains in spot rates for ocean freight are eroding again as US importers see little need to book more space ahead of the holiday shopping season.

The carrier aims to increase capacity by more than half at the Staten Island terminal it took over as part of its acquisition of Global Container Terminals’ US assets.

The bids would require carriers to quote a negotiated “green premium” that cargo owners would pay to transport the containers on ships powered by zero-carbon fuels.

The new allegation against Yang Ming comes less than a week after the carrier settled a dispute with another US importer, also over allegations it failed to honor vessel capacity commitments.

Although the ITS terminal in Long Beach lost two major services in less than a year, the facility will remain open while it attempts to find customers to make up for the volume shortfall in the ongoing down market.

Facing an operating loss of up to $500 million for 2023, Zim hopes the sharing arrangement with its larger competitor will help drive efficiencies “amidst continued near-term headwinds.”

The agreement involves the latest in a series of alternative fuel products being rolled out by major ocean carriers and global forwarders as regulators tighten emissions controls.

There is nothing fundamentally wrong with countries protecting their shipping interests, but there are always ripple effects on the commercial side that benefit some stakeholders and disadvantage others, writes analyst Lars Jensen.

Development of trade finance tools for small and medium-sized shippers continues to grow, evidenced by OOCL Logistics launching a trade finance platform with fintech provider Stenn.

Sailing schedules showed delays of up to five days on some services due to the typhoons, including one that hit the coast of southern China Tuesday after sweeping across Taiwan at the weekend.

The spot market from North Europe to the US East Coast continues to weaken and lackluster attempts by carriers to withdraw capacity are having little effect on balancing supply and demand.

Digitalizing the most important document in global trade is a vital step toward a more efficient and secure paperless container shipping industry.

The Hamburg-based carrier has confirmed that HMM’s South Korean state owners have removed it from the bidding process.

Some 75% of union members participating in the vote agreed to ratify the tentative contract that was reached in mid-June, opening the door to labor peace at West Coast ports at least through mid-2028.

A series of quarterly profit declines by container shipping lines will still not be enough to drag the industry into the red in 2023, says analyst John McCown.

For any number of product categories, relocating sourcing brings with it less efficient logistics, occasional lower quality and overall higher costs at a time when cost control is rapidly assuming a higher priority for shippers.

US retailers historically stock up for the spring season and top off inventories following winter holiday depletion and before the Chinese New Year, but forwarders and carriers admit there’s no guarantee this time around.

Hapag-Lloyd's apparent interest in HMM, which was never officially confirmed, appears to have been derailed by South Korean national concerns despite the Hamburg-based carrier’s financial strength dwarfing local bidders.

The ports of Vancouver and Prince Rupert experienced a series of labor disruptions in July during longshore contract negotiations, while the Panama Canal implemented draft restrictions amid a severe drought.