Newsletter – May 31, 2023

AIR FREIGHT UPDATES

Air Canada Pilots Pull Out Of Deal With Airline

simpleflying.com
Air Canada’s pilots have decided to withdraw from their nine-year-old labor framework with the airline ahead of negotiations this summer. The airline’s pilot union merged with the larger Air Line Pilots Association (ALPA) earlier this month. Read more here.

Asia airfreight droops as passengers soar away

aircargonews.net
Air cargo freight tonne kilometres (FTK) fell by 5.5% year on year in April, according to preliminary figures released on May 30 by the Association of Asia Pacific Airlines (AAPA).
With offered freight capacity continuing to increase by 10.4%, the average international freight load factor declined markedly by 10.1 percentage points to 59.8% for the month. Read more here.

Tonnages slide again after recovery from early May dip

aircargoweek.com
Global air cargo tonnages dropped again in the third week of May, after having recovered from the dip at the beginning of the month due to the 1 May public holidays, while rates have remained more or less stable throughout the month, according to the latest weekly figures from WorldACD Market Data.
Figures for week 20 (15 to 21 May) show a decrease of -4% in tonnages and stable in average global air cargo prices, week on week, after tonnages recovered in the second week of May from the -10% drop in the first week – based on the more than 400,000 weekly transactions covered by WorldACD’s data. Read more here.

OCEAN FREIGHT UPDATES

What the oncoming El Niño weather phenomenon will mean for global shipping

splash247.com
Meteorologists warn there’s a 90% chance of the El Niño weather phenomenon hitting this year with widespread repercussions for shipping from weaker agricultural output to greater storms in the Pacific and lower drafts along key waterways such as the Panama Canal.
Satellite imagery already shows the early warning signs of the wild weather to come with warmer waters along the equator edging towards the west coast of South America. Read more here.

Major box lines still fighting over diminishing supply of smaller ships

theloadstar.com
Large carriers are fighting over a diminishing pool of second-hand box ships, with the latest Alphaliner research pointing to no orders, but abundant acquisitions in the 700-999 teu feeder-size range.
Alphaliner found major carriers were acquiring vessels second-hand from non-operating owners: 675 over the past three years. Read more here (login required).

Evergreen and Wan Hai face up to bearish market as profits tumble

theloadstar.com
Evergreen and Wan Hai chiefs admitted yesterday that the continuing Russian war on Ukraine meant revising the shipping market outlook of improvement after a poor first quarter.
Both Taiwanese liner operators were holding their AGMs and Evergreen president Eric Hsieh said Q1 23 net profit had plunged 95% year on year, to $165m. Read more here (login required).