Newsletter – July 22, 2022

AIR FREIGHT UPDATES

Freighters ‘squeezed out’ amid ground handling disruption at Frankfurt

theloadstar.com
Ramp and warehouse congestion continues to hamper ground handling operations at Frankfurt Airport, Europe’s biggest hub for air cargo traffic.
According to one pan-European air freight road feeder services (RFS) operator, which has a number of major cargo-carrying airlines among its customers: “The situation is serious as airlines are having to re-route freighters to alternative hubs, and this is causing disruption and delays. Read more here (login required).

UK Government gives green light to world’s longest drone ‘superhighway’

aircargoweek.com
The UK government has given the go-ahead to for the world’s largest and longest network of drone superhighways to be built in the UK. The drone superhighway will link cities and towns throughout the midlands to the southeast of the country, with the option to expand the corridor to any other locations in the country.   Read more here.

Airfreight rates out of Asia take a dive as demand from the west is ‘subdued‘

theloadstar.com
Asian forwarders are reporting a large drop in airfreight rates, but don’t believe this is the end of elevated prices, nor a significant fall-off in demand.
One South-east Asian forwarder said: “The demand for airfreight to Europe and the US is looking a bit subdued. Read more here (login required).

OCEAN FREIGHT UPDATES

‘Lines banging on our door’ as spot rates tumble and peak season disappoints

theloadstar.com
Container spot rates from Asia to Europe and the US are coming under increased pressure, as the peak season appears “muted” at best.
Freight rates from China fell this week on 19 of the 21 routes covered by the Ningbo Containerized Freight Index (NCFI), with its China-Europe and China-US components in particular dragged down by “insufficient volume”. Read more here (login required).

CMA CGM increases ocean freight rate discounts after government pressure

theloadstar.com
CMA CGM is to introduce even bigger discounts in ocean freight rates and broadened its scope, in response to the sharp rise in inflation hitting the purchasing power of French households.
Having announced plans for a €500 rebate at the end of last month, the French shipping giant said today it had decided to increase the freight rate reduction to €750 per 40ft container for all imports into the mainland and French overseas territories from Asia. Read more here (login required).

Ships that ‘scrub’ emissions earn twice as much as those that don’t

freightwaves.com
Some businesses fight new environmental regulations tooth and nail. Others figure out how to make money off them. Take the IMO 2020 regulation that slashed sulfur content of shipping emissions. Many shipowners have transformed this landmark global emissions regime into a huge competitive advantage.
Since the regulation’s enforcement date on Jan. 1, 2020, ships have had to use more expensive fuel with 0.5% sulfur content known as very low sulfur fuel oil (VLSFO), or fuels with even lower sulfur content. Read more here.