Newsletter – March 18, 2021

AIR FREIGHT UPDATES

Mixed start to 2021 for air freight

lloydsloadinglist.com
The global air freight market has seen a mixed start to 2021, with a slight year-on-year increase in volumes and far higher average prices compared to the first two months of last year. But analysis by WorldACD shows huge differences from region to region, with volumes from China and northeast Asia up sharply in the first two months, compared to previous years, but most other origin regions reporting year-on-year declines. Read more here.

WOW: 1 in 3 Converted Cargo 737s Are Now Flying For Amazon

simpleflying.com
It’s no secret that Amazon has been scaling up rapidly over the last year. As one of the largest multinational technology corporations in the world with an undisputed stronghold in eCommerce, it has had to take on the right equipment as it continues to grow. As a result, Amazon Air now holds a third of the world’s converted Boeing 737 Next Generation cargo aircraft. Read more here.

IATA Prepares To Say Farewell To Chief Alexandre De Juniac

simpleflying.com
The Chief Executive and Director General of the International Air Transport Association (IATA), Alexandre De Juniac, is preparing to step down at the end of the month. Filling his shoes will be ex-IAG boss Willie Walsh. Today, De Juniac hosted a final briefing with members of the press. Read more here.

ECS Group markets CMA CGM AIR CARGO’s offerings

aircargoweek.com
The CMA CGM Group has chosen ECS Group as its exclusive GSA to help support the expansion of its new air division, CMA CGM AIR CARGO, in the air cargo industry.
CMA CGM AIR CARGO has operated its first full-freight flight on March 13 between Liège and Chicago. By combining their expertise, the two specialists’ aim is to connect Europe to international markets – starting with the United States. Read more here.

OCEAN FREIGHT UPDATES

Update on Port of Montreal Labour Situation

ciffa.com
On February 1st, the Maritime Employers Association filed a complaint to the Canada Industrial Relations Board (CIRB) alleging that the union had not bargained in good faith, and a CIRB decision was rendered March 17 of no impasse.
The MEA said it acknowledges this decision and said it will follow with attention the recommendations emanating from the CIRB.
At the same time, as mentioned in a previous memo from the Longshoremen’s Union, MEA submitted a final offer of settlement last Friday, March 12. The unionized workers will vote on Sunday, March 21 in a general assembly, during which the port will be closed.
In order to comply with the truce concluded with the Port of Montreal Longshoremen’s Union, the Maritime Employers Association said it will not comment on the final offer that was made nor on the ongoing negotiations.

Containership charter market has gone ‘bananas’, with 2M on a ‘fixing spree’

theloadstar.com
Ocean carriers are becoming increasingly confident that freight rates will remain high for years and are still chartering ships for lengthy periods at elevated daily hire rates last seen 16 years ago.
Alphaliner reports that Maersk has just fixed a trio of 4,600 teu handy classic panamax vessels for periods of 24 to 27 months at a staggeringly high rate of $35,000 per day. The consultant noted that the last time a panamax containership achieved this rate level was in 2005. Read more here (login required).

Hapag-Lloyd profit skyrockets with ‘stellar performance’

freightwaves.com
Hapag-Lloyd Group’s 2020 net profit was up a staggering 155.4% to $1.06 billion from $418 million the previous year.
“2020 has been exceptional, with stellar performance in the industry,” Chief Financial Officer Mark Frese said during Hapag-Lloyd’s presentation of its 2020 annual report with audited financial figures on a call Thursday morning.
The figures were not surprising as they were in line with the preliminary numbers released in January, but they reinforced just how good the second-half performance was for the world’s ocean container carriers.  Read more here.

Little relief in sight at US box terminals

lloydsloadlinglist.com
The number of containerships waiting to berth off Long Beach and Los Angeles has dipped slightly, but congestion at the key US container ports remains a constraint on supply chains.
Figures from the Marine Exchange of Southern California, which manages ship traffic for the two San Pedro Bay ports, show there were 22 boxships either at anchor or in drift boxes awaiting berths as of yesterday. Read more here.

Average waiting time in Northern Hemisphere ports up 13pc in 2020

seanews.com.tr
AVERAGE port waiting time in the Northern Hemisphere ports increased rose 13 per cent year on year in the second half of 2020, according to IHS Markit data, reports the Dhaka Daily Star.
This was equivalent to an extra 3.5 hours per port call. The ports covered included Los Angeles, Long Beach, Rotterdam, Felixstowe, Shenzhen-Yantian and Shanghai-Yangshan, said the report. Read more here.