Newsletter: February 10, 2022

OCEAN FREIGHT UPDATES

Boxes to be transhipped after new CMA CGM ship’s engine fails in Xiamen

theloadstasr.com
One of CMA CGM’s new 15,000 teu ships suffered mechanical failure as it was about to depart China’s Xiamen port on Tuesday.
The incident happened just as the CMA CGM Osiris was leaving Xiamen Ocean Gate Container Terminal for Shekou on the French liner operator’s Red Sea Express 2 (REX2) service that connects Asia with the Red Sea. Read more here (login required).

Congestion to ease with US imports forecast to slow down

splash247.com
US imports are expected to grow modestly during the first half of 2022, according to the monthly Global Port Tracker report released on February 9 by the National Retail Federation and Hackett Associates.
“We’re not going to see the dramatic growth in imports we saw this time last year, but the fact that volumes aren’t falling is a clear sign of continued consumer demand,” NRF VP for Supply Chain and Customs Policy Jonathan Gold said. “Last year set a new bar for imports, and the numbers remain high as consumers continue to spend despite Covid-19 and inflation. The slowdown in cargo growth will be welcome as the supply chain continues to try to adapt to these elevated volumes.” Read more here.

Tonnage crunch continues, pushing carriers to suspend more services

theloadstar.com
Ad-hoc carriers prepared to pay colossal daily rates for three-month hire of panamax containerships have disrupted the charter market, obliging liner companies to raid services for tonnage to start new loops.
The workhorse 4,000-5,000 teu ships – destined for the scrapyards just a few years ago – have a new lease of life, due to a dearth of open tonnage and a huge spike in global freight rates that reset the economy-of-scale ship selection criteria across tradelanes. Read more here (login required).

Fast-tracked freight on the increase through India’s major ports

theloadstar.com
The scale of import cargo cleared through the Direct Port Delivery (DPD) system at major Indian ports is expanding.
DPD is a fast-track channel for customs-approved clients or importers – better known as accredited economic operators (AEOs). Read more here (login required).

A net profit of $6.1bn in the final quarter concluded what Maersk CEO Soren Skou said was “a remarkable 2021” for the Danish company.

theloadstar.com                                                                                                                                                                                          Maersk’s full-year net profit came in at $18bn, compared with $2.9bn the year before, and Mr Skou said he expected earnings to be similar for 2022.
But he added that the first half could be stronger than H2 as “normalisation” returned to global supply chains.A net profit of $6.1bn in the final quarter concluded what Maersk CEO Soren Skou said was “a remarkable 2021” for the Danish company. Read more here (login required).

CANADA BUISNESS- GOVERNMENT UPDATES

Auto industry feeling the pinch from Canadian bridge blockade

theloadstar.com
The so-called Freedom Convoy in Canada has turned from a politicised movement into a supply chain disruption event. And it’s the hard-hit automakers, already struggling from a lack of chips, that are bearing the brunt. The partial blockade of Ambassador Bridge is delaying the movement of parts between factories. Read more here (login required).

INTERNATIONAL BUISNESS- GOVERNMENT UPDATES

Here’s how key the Ambassador Bridge is to U.S.-Canada trade

bnnbloomberg.ca
Canada-bound traffic on the Ambassador Bridge has been ground to a halt as people protesting vaccine mandates and COVID-19 restrictions have closed access to the bridge.
The bridge itself is one of the most important trade links between the U.S. and Canada. Here are some key numbers behind the bridge. Read more here.