Container Shipping News

The degree to which US importers can negotiate lower service contract rates hinges on whether container lines can keep up spot rates, which are still three times higher than before the COVID-19 pandemic.

US retailers are forecasting continued strong import volumes in the second half of the year, although not quite as high as the torrid pace of 2021.

Forwarders say the intra-Asia market is likely to become more challenging in the third and fourth quarters with no significant increase in demand expected even as space and equipment availability remain tight.

The massively profitable container shipping environment was highlighted yet again in a first-half profit alert by Cosco Shipping Holdings, which would seem to put the carrier — and the industry — firmly on course for another record-breaking year.

Signs of a weakening container shipping market have yet to make their presence felt in the financial performance of OOCL, with the carrier continuing its run of stellar revenue gains through the second quarter.

While ocean carrier reliability from Asia to the US West Coast ticked higher in May, a dip for East Coast calls showed the result of delays coming amid vessel diversions.

Forwarding software provider WiseTech Global has waded into the fragmented electronic bill of lading space with the purchase of Bolero, an early provider of trade finance and electronic documentation tools.

Falling import volumes into North Europe amid rapidly deteriorating economic conditions have not provided any relief for hub ports in the region as logistics challenges mount.

French carrier CMA CGM has responded to a government call for price cuts to help inflation-hit consumers by announcing a 500 Euro cut in long-term rates for imports of essential household goods through French ports.

Maersk’s decision to resign from the board of the International Chamber of Shipping is a sign of the divergence among shipowner group as pressure builds to more aggressively address climate change.

A global shippers’ group believes US regulatory probes into container shipping practices through the pandemic will add pressure on the European Commission to formally review its carrier exemption from antitrust law.

French carrier CMA CGM is investing in a green gas project that aims to ramp up the production of biomethane in support of shipping decarbonization efforts and to fuel the carrier’s own vessels.

The Indian Ocean Service, a weekly connection between West India and North Europe, will operate with truncated port coverage on eight upcoming sailings between July and September.

Rate levels on the major trade lanes out of Asia should be rising as peak season begins and key destination ports remain congested, but the spot market has continued to decline.

Ocean carriers could find themselves under pressure from shippers to revisit long-term contracts as spot market rates tumble on the trans-Pacific and Asia-Europe trade lanes.

Yang Ming and HMM are the latest container lines to be brought under the microscope of US regulators thanks to a complaint from an Illinois importer alleging the carriers breached annual service contracts last year.

The short-term cost of cutting maritime emissions in the Pacific Ocean will be relatively small compared with the market variability of rate levels, according to UNCTAD.

With new incentives, the Port of New Orleans and Louisiana state economic officials are targeting retail distribution centers to ease export-import balance that’s cost the port service and volumes.

An influx of equipment into the Indian market has caused rates to soften, but sources believe prices will climb again next month as the industry enters the traditional peak demand season.

Mediterranean Shipping Co. is bringing a new Asia service to the US Gulf and East coasts and revamping two other trans-Pacific services with additional calls amid slowing, but still growing, imports from Asia.

Ocean carriers have been looking at how to provide more export capacity to US ag shippers to head off scrutiny from regulators, but OSRA will now put those efforts under a hotter spotlight.

Global volume data shows a slowing of the container shipping market, and a new forecast does not expect any strengthening of demand this year.

Importers in the US are finding higher volumes on the westbound trans-Atlantic are coming with soaring rate levels and record-low schedule reliability, with little relief in sight.

HMM will provide North America shippers with a way to book spot container freight by the end of 2022, joining its peers in THE Alliance.

South Korea’s shipowners’ association said penalties imposed by regulators would damage the country’s link to the global supply chain and lead large foreign carriers to avoid South Korean ports.

While MSC’s move is the first known case of new general rate increases, industry sources believe other major carriers active in the India-US trade, notably Hapag-Lloyd and CMA CGM, will follow suit.

Member states expressed concern over the equitable use of the R&D funds as well as fair and equal access to any patents and technologies that would be created.

A new report is putting hard figures to the costs of high demand, port congestion, and the resulting increase in inventories.

Container line Hapag-Lloyd has settled with the Federal Maritime Commission over improperly charging detention to a California drayage carrier in mid-2021, a bellwether case in the long-running issue of free time fee assessments.

Forwarders say they expect an earlier-than-usual peak season that will lift trans-Pacific spot rates that have been easing, but the trimming of retail orders and front-loading of cargo cloud the longer-term outlook for the health of Asian imports.

Trans-Pacific container lines are adding capacity ahead of an expected early peak season, but blank sailings will continue to challenge North American importers even as Shanghai reopens.

CMA CGM revealed significant gains in revenue and profits for the first quarter, but was quick to point out the challenges it will face through the balance of the year.

Carriers have attempted to improve the supply/demand scenario across Indian trades by scaling up empty container repositioning and adding new services.

Logistics software provider Freightos is being taken public on the Nasdaq, a move that will be closely scrutinized by the founders and investors of growth-stage technology providers in the logistics industry.

Given that cargo flow into the US is currently getting worse, not better, any reduction in port congestion will take until late this year to arrive, if not longer, according to ocean carriers and forwarders.

ONE’s order of 10 new ships designed to run on alternative fuels is part of the Singapore-based carrier’s $20 billion plan to overhaul its fleet.

Global shipping schedule reliability was relatively unchanged in April, with two-thirds of container ships arriving late or too early for their port berth windows.

The drive to decarbonize the maritime industry has gained a foothold in Asia with the forming of a Lloyd’s Register-backed fuel transition alliance.

Thailand-based Regional Container Lines is adding a new intra-Asia service out of Ho Chi Minh starting June 22, following the recent trend of expanded capacity to and from Indian ports in response to sustained demand.

With importers taking longer to pick up their containers from overflowing terminals at hub ports in North Europe, ship delays are increasing, particularly for the largest vessels serving the Asia–Europe trade.