Category: Sea

Supply chain disruption may soak up sea freight capacity on major Asian container trades

Capacity from Asia to the West Coast will be 20% higher through September, than last year, but inland supply chain disruption is continuing and threatens to wipe out any benefit from the increased capacity. Carriers serving the US West Coast will have 20% more peak-season capacity from Asia, c... Read more

The world’s largest container shipping lines – and there are not that many!

With around 80% of global trade transported by sea and three major shipping alliances controlling 95% of the critical trade lanes from Asia to North America and Europe, a handful of shipping lines have massive influence over the cost and effectiveness of international trade. The three major sh... Read more

China/Hong Kong update; cross-border trucking capacity cut

Increasing COVID case numbers in China are cutting cross-border trucking capacity, prompting carriers to drop calls at Hong Kong, raising fears that the city is losing shipping line favour as a transhipment hub. With almost one million people in lockdown in Wuhan, where COVID was first detecte... Read more

92% of Felixstowe port workers vote for August strike

The vote in favour of strike action in August, in a dispute over pay, would bring Felixstowe to a standstill and cause major disruption to port operations and road haulage transport of containers to and from terminals. The Unite Union’s 1900 members at the port voted overwhelmingly in favour... Read more

Shipping line profits just keep growing

The operational efficiency of shipping lines are reaching dizzying levels, with the leading carriers generating an average operating margin of 57.4%, versus an average of just -0.2% in the decade preceding the pandemic. All carriers reported higher margins in the latest quarter, compared to 55... Read more

China Update; Testing prompts Shanghai lockdown scare

With individual district lockdowns and mass testing again underway, the trade press have been reporting that Shanghai could go back into lockdown, which would be a major disruption as we enter the traditional peak season. It’s been just six weeks since Shanghai emerged from its two-month zer... Read more

Strikes put sea freight capacity  and reliability under further strain

Despite the UK’s recent rail strikes having little impact on container movements, the global increase in workplace militancy will inevitably start to disrupt supply chain operations, adding to port congestion. In the same week that the RMT union ran its first week of strikes, road, rail and ... Read more

Interpreting mixed US peak season signals

With the Asia/Europe trade typically mirroring trans-pacific trends within weeks, we are watching how much US importers are pulling back on orders from Asia, and the degree to which container lines will adjust capacity, if demand suggests a slack US peak season, or alternatively a hectic and cong... Read more

Ports struggle to clear congestion ahead of peak

The re-opening of Shanghai after its extended COVID lockdown has not triggered the surge of sea freight that had been feared, but while volumes softened as a consequence, many UK and North European ports are still struggling with congestion. High yard densities at container terminals and inlan... Read more

Two thousand dollars penalty for container weight mis-declaration

The accurate weighing of a container is a legal requirement, that is critical for safe handling and correct vessel stowage, to avoid stability-related issues which may contribute to capsizing or sinking of the ship, with severe penalties for non-compliance. The Verified Gross Mass (VGM) declar... Read more

US ocean supply chains face multiple challenges

While The House of Representatives passed the Ocean Shipping Reform Act this week, to overhaul regulation of the container shipping industry, its focus on detention and demurrage billing and the container lines’ responsibility to load exports, will have little impact on import congestion, or re... Read more

Forecasting and protecting your Asia supply chain

Global sea freight operations have struggled with disruptions since the outbreak of the COVID pandemic over two years ago, and this has continued into 2022, with a peak shipping season this summer that is likely to be very chaotic. China’s zero-COVID strategy lockdowns have slowed supply cha... Read more