Newsletter: February 2, 2022

AIR FREIGHT UPDATES

Ground Services Strike Threatens Holiday Flight Chaos At Heathrow

simpleflying.com
News of a potential strike at London Heathrow airport is looming large over many travelers’ half term plans. The one-week holiday is often a favorite with those looking for a break from the cold, dark days in the UK. Some 400 workers at Menzies Aviation are preparing for a three-day strike, which could impact operations at the UK’s busiest airport. Read more here.

OCEAN FREIGHT UPDATES

PTP to add 1m teu capacity

splash247.com
A leading Malaysian boxport is to spend $179m adding a further 1m teu in capacity.
The Port of Tanjung Pelepas (PTP), which handled 11.2m teu last year, is set to push its annual handling capacity to 12.5m teu by the middle of this year with the purchase of multiple cranes and a yard expansion project underway. A new berth aimed at smaller domestic liner activity is also under construction. Read more here. 

Wan Hai denies FMC claims of ‘illegal’ D&D charges on 21 containers

theloadstar.com
Taiwanese carrier Wan Hai has denied accusations made by the US Federal Maritime Commission  (FMC) relating to detention and demurrage (D&D) charges on 21 containers.
The FMC’s bureau of enforcement docket laying out the charges was issued on 30 December and gave the carrier 25. Read more here (login required).

Container shipping has greatest quarter ever — with more to come

freightwaves.com
It’s still early in the reporting cycle, but preliminary announcements by ocean carriers point to history-making profits in Q4 2021, trouncing already stratospheric expectations.
Supply chain congestion — the bane of cargo shippers — has proven to be an unprecedented money-making machine for carriers. And with congestion expected to persist, liner companies could follow up blockbuster fourth-quarter results with even more highs. Read more here. 

Lunar New Year impact will be minimal on imports

freightwaves.com
According to the FreightWaves Inbound Ocean Shipments (IOSI) and TEUs (IOTI) indices, shippers are continuing to order goods from overseas at a record clip. According to the IOTI, which measures twenty-foot equivalent units being booked by estimated time of departure, shippers have ordered approximately 13% more TEUs than the same time last year and nearly 80% higher than January 2020 heading into a traditional slow point in import activity.
This week marks the start of the largest Chinese national holiday, the Lunar New Year. Normally the Lunar or Chinese New Year (CNY) is a slow period for import activity as an entire population takes a vacation simultaneously. Last year the holiday did not result in the same level of decline in production and subsequently imports to the U.S. Each vertical line on this week’s chart represents the start of CNY over the past three years.  Read more here. 

GROUND AND RAIL FREIGHT UPDATES

Canadian police move against truck blockade at US-Canada border

freightwaves.com
Royal Canadian Mounted Police officers have begun an enforcement action targeting a blockade of commercial trucks and other vehicles at the U.S.-Canada border in Coutts, Alberta, that have been protesting COVID-19 restrictions since Saturday.
RCMP said it took the action after failing to reach an agreement with the protesters, warning that those who remain could face arrest.
“We thought we had a path to resolution. The protesters eventually chose not to comply,” the RCMP said in a statement. Read more here.

2022 may be pivotal year for California’s green rules for trucks

freightwaves.com
The twin regulations that are expected to have an enormous impact on truck purchases in California — and beyond — could have their first reverberations by the end of this year.
One rule, the Advanced Clean Truck (ACT) regulation, is in place. The second, the Advanced Clean Fleets rule, has not been formally introduced. But a preliminary draft of the rule has already received public comments before it starts down the road to formal introduction and final approval. Read more here.

INTERNATIONAL BUSINESS- GOVERNMENT UPDATES

How costly were 2021 US weather disasters?

freightwaves.com
Wildfires, hurricanes and tornadoes, as well as an ice storm and cold snap, were among 20 weather and climate disasters in the U.S. last year that cost $1 billion or more apiece. The total cost of the disasters, which killed 688 people, was $145 billion, according to the National Oceanic and Atmospheric Administration.
In an annual report that NOAA released last week, scientists said 2021 ranked as the fourth-warmest year on record in the U.S., with December being the warmest December on record. Read more here.