Newsletter – June 22, 2022

AIR FREIGHT UPDATES

Forwarders must prepare for airfreight volume crunch, says Airforwarders Association

aircargonews.net
Better communication is key to managing an oncoming air cargo capacity crunch in the US caused by worsening oceanfreight capacity issues.
The forecasted surge in demand for US air cargo capacity will be largely driven by a lack of sailings with ocean suppliers, but air cargo forwarders must “learn to be adaptable” in the current climate of already constrained airfreight capacity, said Brandon Fried, executive director, Airforwarders Association (AfA). Read more here.

Recently opened Chengdu Tianfu Airport gears up for cargo growth

aircargonews.net
The recently opened Chengdu Tianfu International Airport in China has added a fully automated cargo terminal as it prepares for cargo growth.
The new terminal was installed by Lödige Industries and features two elevating transfer vehicles (ETVs) with a five-level, three-directional automated ULD storage and handling system for 227 x  20 ft storage positions. Read more here.

China’s air cargo capacity is back to normal, but demand is weak

theloadstasr.com
China’s airfreight capacity has risen above pre-Shanghai lockdown levels, but there’s been no big uptick in demand so far, forwarders say, even while rates creep up.
According to Steve Saxon, partner at McKinsey, the lockdowns in Shanghai led to cargo being unable to get to the airport, as well as a lack of handlers. Read more here (login required).

OCEAN FREIGHT UPDATES

20 more newbuilds for MSC
splash247.com
Alphaliner is reporting that Mediterranean Shipping Co’s (MSC) world-beating orderbook has grown by another near 200,000 slots.
MSC has chosen Jiangsu New Times Shipbuilding in China for the next phase of its extraordinary expansion that will ensure it becomes the first liner in history to control a fleet in excess of 5m slots shortly. Read more here.

Box lines skip ports on Indian service in bid to recover schedules

theloadstar.com
Indian shippers and freight forwarders, already dealing with vessel space constraints, are going to see a long streak of missed key port calls on the Indian Ocean Service (IOS), a premier connection between West India and North Europe.
The weekly service, operated by Hapag-Lloyd in a consortium deal with Ocean Network Express (ONE), will intermittently void calls at Nhava Sheva (JNPT), Mundra, Rotterdam, London Gateway and Antwerp from July through September. Read more here (login required).

GROUND AND RAIL FREIGHT UPDATES

CN Adds Second Daily Train from Port of Halifax

ciffa.com
In a June 21 Customer Advisory, CN announced it is adding a second daily train from the Port of Halifax for improved service to Eastern Canada and U.S. markets.
Working with its partner PSA, this additional service aims to support shippers on the East Coast including the Port of Halifax, which accommodates ultra-class vessels, and utlizes CN’s high-speed network from the East Coast to Montreal, Toronto, and the U.S. mid-west.
According to the advisory, CN’s new service from departure in Halifax until container availability at the following terminals is:
Montreal         26 Hours
Toronto           35 Hours
Detroit             59 Hours
Chicago           56 Hours

INTERNATIONAL BUSINESS – GOVERNMENT UPDATES

Firms to move away from just-in-time supply chains

aircargonews.net
Companies are making a long-term move away from just-in-time (JIT) supply chains as they look to combat the disruption experienced over the last couple of years.
Panellists at the Multimodal conference and exhibition in the UK said that the last few years had seen companies move away from transporting shipments to arrive just as they are needed in favour of holding buffer stock at local warehouses, known as just-in-case (JIC). Read more here.