Newsletter – October 19, 2021

AIR FREIGHT UPDATES

Air cargo delays ‘likely’ at Hong Kong terminal amid COVID-19 outbreak

supplychaindive.com
Dive Brief:
Transit times at a Hong Kong International Airport cargo terminal “are likely to extend by an average of 2 to 3 days” due to quarantine rules stemming from a positive COVID-19 case, Flexport said last week.
Workforce capacity at Hong Kong Air Cargo Terminals, known as HACTL, will be reduced by around 25% until the end of October, according to an update by Everstream Analytics. “Both import and export cargo are likely to be significantly delayed and congestion issues are likely to occur,” the update said. Read more here.

How will the easing of US travel restrictions impact air cargo?

aircargonews.net
The US will remove travel restrictions for many fully vaccinated passengers in a move that could see cargo capacity increase as a result of more bellyhold operations returning to the market.
The country announced today that it will re-open its borders to fully vaccinated travellers from 33 countries on November 8 if they have a negative Covid test in the 72 hours before travelling. Read more here.

Canadian LCC Flair Launches Huge Schedule Expansion With New Jets

simpleflying.com
Canadian ultra-low-cost carrier Flair Airlines has revealed that it plans to increase its flight schedule by a third. The move coincides with the arrival of four more Boeing 737 MAX aircraft at the carrier. The increased schedule will directly create 150 new employment positions across the airline’s operations. Read more here.

London Heathrow Airport Looks To Raise Its Landing Charges

simpleflying.com
London Heathrow Airport will be able to raise its landing charges going forward. After heavy losses amid the ongoing coronavirus pandemic, the UK’s busiest airport had actually wanted to nearly double these fees. However, while it can raise them as of next year, regulators have capped the increase at just over 50% of existing charges. Read more here.

OCEAN FREIGHT UPDATES

Port of Oakland on the rebound, as services return to fully operational berths

theloadstar.com
Transpacific traffic is on the rise again at the port of Oakland, as the Ocean Network Express (ONE) is about to resume service to the US port next month.
Starting on 13 November, the Japanese carrier alliance will add Oakland again to its PS5 service, having dropped the port in 2019. The service will run from Shanghai over Ningbo to Los Angeles and Oakland, returning to Shanghai via Tokyo. Read more here.

Missed port calls a headache for feeder operators as stranded containers pile up

theloadstar.com
The decision by Maersk and other carriers to skip UK port calls due to berthing delays is proving a massive challenge for feeder operators tasked with relaying thousands of ’overcarried’ containers.
Over-landed UK cargo is stacking up at the major hub ports of Rotterdam and Antwerp on already heavily congested terminals, and carriers are now looking at other ports, such as Zeebrugge and Wilhemshaven, to discharge frustrated UK imports. Read more here.

GROUND AND RAIL FREIGHT UPDATES

WFS to automate truck processing at Heathrow

aircargonews.net
Cargo handler Worldwide Flight Services (WFS) will next month add a ‘CargoKiosk’ at Heathrow to automate the processing of trucks.
The CargoKiosk allows companies to complete the driver, vehicle and cargo authorisation process electronically prior to the truck arriving on-site. Read more here.

Sparks from CN, CP trains did not cause Lytton fire

freightwaves.com
The Transportation Safety Board of Canada has determined that sparks coming from the trains of CN and Canadian Pacific didn’t start the fire in Lytton, British Columbia, that destroyed the town.
“A fire is reportable to the TSB as a transportation occurrence if it is known that the operation of railway rolling stock causes or sustains a fire. There has been no report of such an occurrence made to the TSB by either railway that operates through the area,” TSB’s report concluded last Thursday.  Read more here.

INTERNATIONAL BUSINESS – GOVERNMENT UPDATES

Shippers warned to brace for fuel surcharge rises

lloydsloadinglist.com
Shippers are being warned to prepare for higher bunker adjustment factors on top of already high freight rates as carriers seek to claw back rising fuel costs.
“Bunker fuel prices are impacted by the increasing energy costs globally and the recent escalations will also have an impact on rates in the coming months,” said Sea-Intelligence chief executive Alan Murphy. Read more here.

Supply chain gridlock dominates Sunday talk shows

freightwaves.com
The Biden administration is touting a 90-day industry push to help relieve freight gridlock at Southern California ports. Secretary of Transportation Pete Buttigieg acknowledged on Sunday, however, that consumers waiting for Christmas orders won’t see immediate results because improving the efficiency of maritime supply chains is a long-term process involving multiple stakeholders. Read more here.

No end in sight for China power crisis as pressure grows on supply chains

theloadstar.com
China’s power crisis is expected to further disrupt supply chains bringing longer lead times and a preference for high-value goods.
Last month, factories across Guangdong’s Pearl River Delta manufacturing heartland and nine other provinces were forced to cut output due to government-imposed energy caps. Read more here.