Newsletter – November 30, 2021

AIR FREIGHT UPDATES

Cathay Pacific Cargo outlines transpacific ULD challenges

aircargonews.net
Cathay Pacific director of cargo Tom Owen has outlined the current challenges the airline faces in the cargo market.
Owen explained that Cathay Pacific is currently battling a ULD shortage on the transpacific while it also continues to be effected by the recent positive Covid cases amongst its pilots.
Earlier this month, three freighter pilots tested positive for Covid-19 following a layover at a Frankfurt Airport. Read more here.

Vietnam Airlines Finally Touches Down In The US

simpleflying.com
Vietnam Airlines has conducted its first non-stop service to the United States. The flight from Ho Chi Minh City touched down at San Francisco International Airport at 18:42 local time on November 28th. The Vietnamese flag carrier beats out Bamboo Airways in starting a regular commercial service to the US. Up until now, Bamboo has only conducted one special flight to San Francisco. Read more here.

OCEAN FREIGHT UPDATES

Port of Vancouver ship queue tops 50 as rail woes persist

freightwaves.com
The number of vessels waiting for a berth at the Port of Vancouver stood at over 50 on Monday as CN reported a major setback in efforts to restore rail service on a key portion of its network.
The rail briefly reopened its Vancouver-Kamloops line over the weekend but quickly shut it down as more heavy rain hit southern British Columbia, the company said in a statement to American Shipper. Read more here (login required).

CMA CGM implements incentive program to ease congestion at ports of Los Angeles and Long Beach

splash247.com
Starting on December 1, the CMA CGM Group will offer incentives to importers to pick up their containers from terminals at the ports of Los Angeles and Long Beach within eight days of their arrival. This early container pickup incentive program will run for 90 days and is intended to help improve fluidity at America’s largest import gateway. Read more here.

Port of Vancouver truckers issue strike notice

freightwaves.com
The union representing container truckers at two carriers serving the Port of Vancouver issued a 72-hour strike notice on Monday, setting the stage for yet another major disruption at Canada’s largest maritime trading facility beginning Friday.
Unifor issued the notice after talks with Aheer Transportation failed to yield a new agreement. Talks with Prudential Transportation also failed last week. Read more here (login required).

Indian shippers re-route more transhipment cargo to Nhava Sheva and Mundra

theloadstar.com
Cargo owners at India’s hinterland points of Chennai and Kolkata are rerouting more shipments to JNPT (Nhava Sheva) or Mundra instead of feedering to hub or intermediate ports in South Asia for mainline, long-haul connectivity.
These are usually Colombo (Sri Lanka), Singapore and Port Klang (Malaysia). Read more here (login required).

LA/LB ports postpone congestion surcharge for 3rd time

freightwaves.com
The ports of Los Angeles and Long Beach announced Monday they will again hold off charging shipping companies for long-stored containers because of progress in reducing cargo heaps. Meanwhile, a major terminal operator took a different approach to the freight gridlock, saying it will introduce an incentive program that pays importers cash to clear out shipments faster. Read more here (login required).

Why a new US express carrier makes sense

splash247.com
Container shipping is reporting exceptional results with record profits in each of the last four quarters. In the third quarter, it had total net income of $48.1bn for a profit to revenue margin of 42.7%. Indications are that the sector’s future financial performance will be well ahead of results it has reported in the past. These remarkable profits will be a catalyst for potential new entrants to look into entering the industry. Indeed, there has never been a time where such inquiry was so warranted by the facts. Read more here.

INTERNATIONAL BUSINESS – GOVERNMENT UPDATES

Battle for boxes and space on ships and aircraft as Vietnam bounces back

theloadstar.com
Vietnam’s exports have bounced back quickly after months of lockdown, boosting freight rates and leaving forwarders fighting for space.
Strict social distancing in South Vietnam ended in early October, but not before a 6.1% GDP contraction in Q3 and warnings from business leaders of lost orders and investments if restrictions weren’t lifted. Read more here (login required).