Newsletter – August 12, 2021

AIR FREIGHT UPDATES

A Look At Airbus And Boeing’s Presence In India

simpleflying.com
India has emerged as a fast-growing aviation market in the last two decades, now standing as the third-largest in the world. Airbus and Boeing have quickly cashed in on this demand, selling hundreds of aircraft to airlines in the country. But which of these manufacturing giants have come out on top in India, and can they remain there? Here’s a look at Airbus and Boeing’s presence in India. Read more here.

Rising COVID-19 Cases Starting To Hurt US Aviation Recovery

simpleflyign.com
A significant uptick in the number of new COVID-19 infections across the United States is about to put the brakes on the airline industry’s recovery there. With the number of new COVID-19 infections in the US reaching six-month highs, at least one airline is warning it is impacting passenger demand and revenues. Read more here.

Air freight market entering ‘next phase of never-ending peak’

lloydsloadinglist.com
The air freight market is entering “the next phase of the never-ending peak”, with “intense” demand resuming this month – driven largely by increasing e-commerce B2C traffic, strong growth in B2B intermediate goods, and low retail inventory-to-sales ratios – according to a leading freight forwarder.
Speaking at a webinar last month, Flexport’s EVP and global head of air freight, Neel Jones Shah….Read more here.

OCEAN FREIGHT UPDATES

Ships divert from Ningbo with no timeframe given for terminal to reopen

splash247.com
Having learnt lessons from the closure of Yantian Port earlier in the summer, a number of carriers are not hanging around waiting for Ningbo Meishan Island Container Terminal to open anytime soon, with several ships opting to skip Ningbo this week.
One port worker at the terminal was found to have contracted Covid-19 yesterday, resulting in the terminal being closed. Tests on the port’s workforce are underway, and the terminal is being decontaminated. Read more here.

Hapag-Lloyd does not expect a return to normal before early 2022

lloydsloadinglist.com
A 46 percent higher average freight rate, reaching US$1,612 per TEU, was the main factor driving Hapag-Lloyd’s increased revenues in the first half of 2021.
The carrier says the freight rate development was the result of high demand combined with scarce transport capacities and severe infrastructural bottlenecks.
Revenues increased in the first half year of 2021 by approximately 51 percent to US$10.6bn. The EBIT rose to $3.5bn and group profit climbed to $3.3bn. Read more here.

US port chief calls for ‘Amazon mentality’ to ease congestion – working 24/7

theloadstar.com
Faced with high volumes and congestion, the largest port complex in North America needs an ‘Amazon state of mind’.
And it should consider measures like round-the-clock operations, says Mario Cordero, executive director of the port of Long Beach. Read more here (login required).

INTERNATIONAL BUSINESS – GOVERNMENT

Postal Service plans peak delivery surcharges; some products spared hikes

freightwaves.com
For the second consecutive year, the U.S. Postal Service has proposed delivery surcharges for the peak holiday shipping season.
The surcharges would take effect Oct. 3, two weeks earlier than in 2020, and be lifted on Dec. 26, a day earlier than last year. Unlike last year, the surcharges will hit retail as well as commercial customers. Read more here.

Last-mile delivery firms call lack of drivers their main concern

freightwaves.com
E-commerce is continuing its strong performance in 2021, but the companies responsible for getting those packages to consumer doorsteps continue to be plagued by challenges, including a lack of drivers.
The Bureau of Labor Statistics said courier jobs climbed to 1,006,400 on a seasonal basis in August, up 8,100 jobs from a month earlier, but according to a new survey, that rise is not enough to ease concerns. Read more here.