Newsletter – March 19, 2024

AirBridgeCargo to return two freighters to lessor
aircargonews.net
AirBridgeCargo is reportedly returning two of its Boeing freighters to their Chinese owners two years after they were grounded due to sanctions related to the war in Ukraine.
Russian publication RBC reports that the freighter airline is returning two of its Boeing 747Fs to the Bank of China Aviation (BOC Aviation). Read more here.

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OCEAN FREIGHT UPDATES

Maersk CEO says container rates hit unsustainable levels
reuters.com
COPENHAGEN, March 14 (Reuters) – The global container shipping market faces overcapacity in the coming years and the rates paid by customers have fallen to an unsustainable level, Maersk (MAERSKb.CO), opens new tab CEO Vincent Clerc told the group’s annual meeting of shareholders on Thursday.
Maersk last month warned that container shipping overcapacity would hit profits this year, in contrast to the record earnings achieved in the wake of the pandemic. Read more here.

China’s container trade faces hold-offs due to supply-demand imbalance
supplychainbrain.com
Container xChange has released its latest China market update, shedding light on the current container price trends in China. Despite expectations of price drops post-Chinese New Year, the market is witnessing a significant mismatch between buyer and seller price expectations, in a demand deficit environment.
According to Christian Roeloffs, cofounder and CEO of Container xChange, “There is significant imbalance between supply and demand price expectations for containers. Buyers are expecting price reductions in weeks to come, while sellers are holding off the inventory as they expect prices to remain stable due to tight capacity, especially after the diversions due to the red sea and highly imbalanced trade, particularly, for example from China into Russia.” Read more here.

THE Alliance goes large on the transpacific to reassure shippers
theloadstar.com
To reassure shippers that its transpacific coverage will remain strong, THE Alliance (Hapag-Lloyd, ONE, HMM and Yang Ming) will reinstate two transpacific services after suspending the strings for almost half a year.
On 15 April, THE Alliance will restore the Asia-US east coast 4 (EC4/SUEZ1) service that was withdrawn in November for the winter lull season and will return with a new rotation…Read more here (login required).

Ports of LA and Long Beach busier this year and eyeing an early peak season
theloadstar.com
Container imports through the US west coast San Pedro Bay ports of Los Angeles and Long Beach are booming – a trend that looks set to continue, with some peak season volumes from Asia expected to arrive earlier than usual this year.
Moreover, transpacific shippers are hedging their bets on the outcome of the US east coast new labour contract negotiations by increasing the percentage of import cargo they intend to move via west coast ports. Read more here (login required).

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INTERNATIONAL BUSINESS – GOVERNMENT UPDATES

Forwarders and shippers call for more data ahead of new import regime
aircargonews.net
International forwarders’ federation FIATA and the Global Shippers Forum (GSF) have called for better data quality and information exchange ahead of the European Union’s new Import Control System 2 (ICS2), due to be introduced for sea, road, and rail transport in 2024 and 2025.
The measure is intended to enhance information for EU security authorities about freight entering, or transiting the territory. Read more here.

Exporters nervous as air cargo congestion builds in Delhi and Mumbai
theloadstar.com
Airlines are dealing with considerable cargo backlogs across major international airports in India as volumes spike, according to industry updates.
“The effect has been most [noticeable] at Delhi and Mumbai airports,” a source at Air India told The Loadstar. Read more here (login required).