Newsletter: March 15, 2022

AIR FREIGHT UPDATES

Capacity cuts strike again as Shanghai Pudong closes to inbound flights

theloadstar.com
Alternative routes out of China, in particular sea-air, are expected to see a surge in bookings following news that the country is to close Shanghai Pudong (PVG) Airport to inbound passenger flights.
The CAAC said on Friday that all inbound international passenger flights from Thursday would be diverted to 13 other cities for six weeks in a bid to stop the spread of new Covid cases. Read more here (login required).

OCEAN FREIGHT UPDATES

Evergreen containership runs aground near Baltimore

splash247.com
After leaving the Port of Baltimore on Sunday night en route to Norfolk, Virginia, the Evergreen Marine-owned containership Ever Forward ran aground in Chesapeake Bay.
The 12,118 teu vessel was proceeding with a pilot on board when it grounded, said a spokesperson for the US Coast Guard’s 5th District. The spokesperson indicated that no injuries, pollution or damage to the ship have resulted from the incident. The Coast Guard is investigating if a mechanical failure caused the grounding. Read more here.

New Shenzhen lockdown will hit supply chains harder than Suez disruption

theloadstar.com
Ocean carriers are scrambling to adjust their networks as the Chinese city of Shenzhen begins a week-long lockdown.
According to a notice issued by the Shenzhen Covid-19 Prevention and Control Command Office, the tech-city’s circa-17m residents must stay at home until Sunday – apart from going out for three rounds of testing – following which, “adjustments will be made according to the new situation”. Read more here (login required).

Ship queues lengthen at major Chinese ports as Covid cases escalate

splash247.com
The number of Covid-19 cases continue to accelerate across China leading to more lockdowns, greater stock market volatility at the nation’s bourses and reduced factory output.
On Tuesday authorities in Langfang city which borders the capital Beijing, as well as Dongguan in the southern province of Guangdong, also imposed immediate seven-day lockdowns joining the likes of Shenzhen city and the entire province of Jilin in complete lockdown in keeping with the government’s strict zero-Covid policy. Read more here. 

Mislabelled cargo in box that caught fire at Port of LA leads Coast Guard to inspect all of shipper’s containers

splash247.com
A container fire at the Port of Los Angeles on March 4 has exposed cargo mislabelling that saw lithium-ion batteries declared on the bill of lading as synthetic resins, say US Coast Guard officials. As a result, the Coast Guard is working with the shipper, the port, US Customs and Border Protection, and the Pipeline and Hazardous Materials Administration to identify and inspect all of the shipper’s containers at the port. Read more here. 

MSC takes bunker surcharge action

splash247.com
Mediterranean Shipping Co (MSC) has become the first liner major to take action against the extraordinarily volatile fuel bills it is facing, announcing yesterday its fuel surcharges will be reviewed on a fortnightly – not monthly – basis from the middle of next month for all spot and quarterly contracts on Asia trades. Read more here.

Maersk becomes first shipping company to sign up to Amazon’s climate pledge

splash247.com
Amazon’s Climate Pledge initiative has announced nearly 100 new signatories, including the first shipping line in the form of Denmark’s Maersk.
In 2019, the giant US online marketplace founded The Climate Pledge, a commitment to reach the Paris Agreement 10 years early and be net-zero carbon by 2040. Now, 312 organisations have signed on. Read more here. 

India fears more container shortages as new Covid lockdowns hit Chinese ports

theloadstar.com
Container lines trading on Indian markets have been working urgently to bolster empty equipment levels, but are now becoming concerned about the impact of sailing disruptions fuelled by fresh Covid lockdowns in China. Read more here (login required).