Container lines

The bull run that drove carrier profits to extreme levels last year has continued into 2022, with Cosco the first to predict multi-billion-dollar first-quarter earnings.

Falling consumer demand amid rising inflation in Brazil and the launch of a new service that has added capacity have conspired to push rates from Asia to the East Coast of South America to their lowest level in about 18 months.

Sailing disruptions out of the East Coast of India are getting worse, forcing shippers to find alternatives, including rerouting cargo via West Coast ports.

ONE is using Google Cloud to further its ability to automate back office and customer-facing solutions, a sign that the cloud infrastructure giant sees container shipping as a key vertical to target.

The differential between short- and long-term rates on Asia-North Europe has narrowed dramatically in the past few days, while spot rates on the trans-Atlantic have taken off.

Carriers and analysts warn that higher-than-expected demand and resulting shifts in vessel rotations have made the US East Coast “the next hot spot” for port congestion.

The Senate’s passage of the Ocean Shipping Reform Act of 2022 brings the container shipping industry one step closer to new US regulations affecting container storage fees and the willingness of carriers to accept export cargoes.

A report from McKinsey & Co. says that ocean freight rates will only return to pre-COVID-19 levels if US demand for consumer goods slows and port congestion clears.

Chinese carrier Cosco believes the high-riding container shipping sector will need to navigate a growing series of global challenges that could influence the industry’s long-term performance.

Global liner schedule reliability saw an uptick in February thanks to less lengthy delays for ships on the eastbound trans-Pacific to the US West Coast.

Shippers need to do a deep dive into freight rates, capacity offered, and schedule reliability if they want to properly understand ocean freight market dynamics as well as their own performance within the market, says JOC analyst Lars Jensen.

A new loop from a consortium of carriers linking India and key ports in Asia demonstrates how carriers have been working to keep pace with resurgent export demand out of the country.

Orient Overseas Container Line saw 2021 operating profit increase more than seven times over 2020 as high ocean freight rates offset flat volume growth.

Ocean carriers are stepping up efforts to sweep up empty containers that are congesting ports on the US West and East coasts ahead of an expected surge of new imports.

New complaints to the US Federal Maritime Commission over the alleged failure of carriers to move volumes committed in ocean freight contracts suggests shipper frustration with capacity availability and rates remains high.

Trans-Pacific carriers are wrapping up service contract talks with small and mid-size shippers at much higher rates than large retailers secured just months ago.

Democratic senators took the opportunity of a recent committee meeting to drill FMC Chairman Daniel Maffei on sky-high freight rates charged by ocean carriers amid declining service levels.

The upward spiral in freight rates that has allowed carriers to earn record profits was caused by the same fundamentals that held rates and profits down before pandemic: supply and demand.

Mediterranean Shipping Co. is launching the first container service into the US East Coast that will call three Baltic countries directly, as congestion woes on the trans-Atlantic mount.

German startup Flowfox is working with Kuehne + Nagel to pilot its platform that automates import clearance and container re-use at European ports with an eye toward global expansion of the solution.

US ports, labor unions, and US-flag interests are joining container lines in a bid to stop the Biden administration and Congress from stripping the limited antitrust immunity carriers enjoy.

The Justice Department’s probe of the US supply chain comes amid increased pressure from the Biden administration to more closely monitor container line pricing activities in the wake of historic rate levels.

The need to share data among supply chain participants has become a priority amid record volumes of US imports that have resulted in vessel backlogs, terminal congestion, and a stressed inland logistics sector.

Maritime groups say they have addressed concerns that have slowed progress in creating an R&D fund meant to find global shipping’s green fuel of the future.

Maersk is selling its stake in a publicly traded Russian ports operator whose market value has plunged in recent weeks owing to the war in Ukraine.

OOCL’s Rail-Sea service to the US East Coast has been shifted away from a Russian transshipment port and instead is using a route through Poland amid the ongoing war in Ukraine.

Geopolitical turmoil is pushing up bunker prices, significantly adding to carrier costs that will be passed on to shippers through fuel surcharges in long-term contracts.

Yang Ming is extending waivers on fees related to import containers lingering at marine terminals because of congestion, which truckers claim is due to empty boxes.

In reporting a $4.6 billion profit in 2021, Zim Integrated Shipping Services warns shipping disruption could bleed into 2023 but it expects some spot rate normalization in the second of half of this year.

The move by TS Lines to link with CULines on the Asia-Europe AEX service marks another step by intra-Asia-focused carriers to expand into east-west trades.

Drayage provider NEXT Trucking is piloting a peel pile program in Southern California that links vessel stowage at origin with quick unloading of containers at warehouse destinations to narrow total transit times for shipments.

US imports are expected to be at near-record levels this spring and summer, with consumer demand remaining strong and supply chain bottlenecks showing no signs of improvement, retailers said in their latest forecast.

PIL’s deal for four 14,000-TEU vessels is the carrier’s latest move to rebuild its fleet and network after staving off near-bankruptcy a year ago.

Vessel bunching at Asian and US ports and congestion in the interior US are severely restricting vessel capacity in the eastbound trans-Pacific, pushing service contract rates to record levels with no relief in sight this year.

CMA CGM has followed the industry trend of reporting extreme profitability for 2021, dramatically paring down debt while making several billion-dollar acquisitions.

Zim Integrated Shipping will offer the first US East Coast expedited vessel service as customers clamor for ways to avoid US West Coast congestion.

Sea Lead Shipping joins other smaller, independent carriers stepping into the Asia-US East Coast trade lanes thanks to strong demand and high rates.

P&O Maritime Logistics is moving into the container market to provide additional capacity in lower-volume, higher-frequency routes.

The fast-evolving sanctions against Russia have created growing uncertainty in shipping circles, with thousands of inbound containers that can’t be delivered likely to further clog Europe’s already-congested terminals.

Upcoming labor contract negotiations between dockworkers and terminals on the US West Coast were on the minds of carrier executives at TPM22.