The global shipping industry is constantly evolving, and the COVID-19 pandemic began a marked shift in how container shipping operates. Disruption caused by the pandemic has forced the industry to expand its capacity and reduce costs to remain profitable.
At the peak of the pandemic, containers essentially stopped moving. As manufacturers went into lockdown and closed factories, many of the containers used to ship those manufactured goods were left stranded at ports or storage depots, where they weren’t needed. Simultaneously, freight shippers were reducing the number of vessels in use due to the manufacturing slowdown. This limited global shipping capacity and disrupted the worldwide flow of containers and goods. As a result, some regions were left with an excess of stored containers, while other places were left with no containers at all.
As the pandemic slowed and the global economy began to rebound, labor shortages and congestion at ports have left many of these stored containers stuck where they aren’t needed. Now, instead of a shortage of shipping containers, the industry is dealing with too many. Many container storage depots are turning away new clients due to lack of space, and some shippers are even giving containers away to make room. Blank and cancelled sailings are increasing as well, as shippers decide to skip a port or cancel a trip altogether in order to manage changes in demand and capacity.
Check back here for the latest news and insights on the state of the container shipping industry. You can also visit our maritime news archive to learn more about cargo shipping, or our American Shipper archive for air cargo shipping industry news.
CAI International Inc. (NYSE: CAI), a leading container-leasing and logistics company, said it had modest year-over-year growth in revenue from continuing operations in the third quarter but that it had […]
World’s largest shipping line teams up with major customers in test of carbon-neutral fuel.
If container carriers refrain from adding too much capacity, transpacific freight rates may rise in coming months, says Drewry Shipping Consultants.
CEVA Logistics, the third-party logistics subsidiary purchased by the French shipping giant in April, will cross-sell and share warehousing with Wing.
Fewer cargoes, lower freight rates, higher fuel costs and the consequences of operating a smaller fleet during a time of a slowdown in world trade has led intra-Asia specialist, Samudera Shipping (SGX: S56 / SAMU.SI), to report a net loss for the third quarter of the year.
Growing source of U.S. containerized goods imposes navigation restrictions due to sunken boxship.
Francis Alvarez, who operated a forwarding service in Houston, faces a maximum of 10 years in prison and a $1 million fine for violating the Sherman Act.
Engines in Australian trucks may have been modified to allow them to break speed limits. Australian police have been reading premises across the country. In other Down Under News: APE eats up AHG; new boss for Orcoda; mobile phone driving surveillance laws; broken bridges; accident black spots; corporate debt.
Orient Overseas Container Line (OOCL) said both container volumes and revenue were higher in the third quarter this year than in 2018.
Global logistics software developer WiseTech (ASX: WTC) has come under renewed attack from investment advisor company J Capital. WiseTech continues to reject all claims of impropriety and asserts J Capital is simply “wrong.”
South Korea-based ocean box shipping line Hyundai Merchant Marine (KRX: 011200) has revealed plans to issue a 660 billion Korean won (US$562.4 million) convertible bond. It’s a bold move for a company that’s already carrying KrW4.1 trillion (US$3.49 billion) of debt. One analyst has described the company as having a “horrible balance sheet”.
The autumn peak season will be over before you know it. Trans-Pacific container rates have yet to budge.
Ocean carrier says the onus in on marine fuel suppliers to scale up production to meet target dates.
The container leasing company Triton International said it had “solid” financial performance in the third quarter despite weak leasing demand since last fall.
Shippers will shun container lines that lack transparency or overcharge for low-sulfur fuels.
Container ship lessor says charter rates on larger vessels is improving as supply falls.
Broadford Global has made a mandatory unconditional offer for all the H shares in the dual-listed Dalian Port Co. (HKEX: 2880 and SSE: 601880) of Liaoning Province, China.
Toy maker Hasbro reported lower third-quarter earnings, citing tariffs on Chinese products and higher supply chain costs.
Containerships should be designed with “fire compartments” to prevent the spread of shipboard fires say marine insurers.
Better fuel prices, capacity and cost management help push up results for worlds largest ocean carrier.
The last couple of days took a dramatic turn with U.S. short seller J Capital making explosive allegations that global logistics software behemoth, WiseTech – a A$9 billion (US$6.2 billion) company, has been seriously misleading investors. WiseTech has robustly denied these claims. In other news: CTI Logistics annual results; truck rest stops “desperately needed”.
The Port of Long Beach saw a slide in container volumes arrested in September and hopes to attract more cargo with incentives.
Off-site facility aims to give terminal more room to operate and make chassis moves more fluid.d
Terminal operator joins TradeLens as it looks to align with ocean carriers and provide better box tracking.
French calls for mandatory slow steaming continue, but the introduction of low-sulfur bunkers could see container lines accelerate services as fuel markets are played for competitive advantage.
Japan’s freight industry is set for a downturn on the back of declining economies in the U.S., China and the Eurozone, new research reveals.
Could new tariffs derail solid rate performance in the trans-Atlantic trade?
Industry veteran picked to head one of the largest U.S. East Coast terminals, which is undergoing upgrade.
September saw China record its lowest monthly export growth to the U.S. since 1996 as the trade war inflicted more damage.
World’s second largest container fleet continues push with ultra-large container ships.
European shippers have joined with leading container line analyst Drewry to bring order to the “who pays what” implementation of IMO low-sulfur fuels.
Although Super Typhoon Hagibis has caused catastrophic floods, mudslides and at least 68 tragic deaths in Japan, FreightWaves understands from local sources that Tokyo’s critical freight infrastructure – seaports and airports – are undamaged. Japan’s wider logistics network is suffering from a miscellany of damage such as flooding.
Market Voice Darren Prokop writes about automation at ports and the progress – and disruption – that will bring.
Maersk subsidiary looks to fix congestion that had been widely cited in 2018 front-loading.
Asia-Europe demand has been strong for much of the year, but spot rates have tumbled as some lines have cut rates. With demand weakening, carriers are poorly placed ahead of annual contract negotiations, says Drewry.
Freight volumes in and out of Japan’s busiest port, the Port of Tokyo, have declined in the first six months of 2019 compared to the first six months of 2018, new comprehensive data shows.
An influx of new container ships has hiked the average size of vessels deployed on the trans-Pacific and Asia-Europe trades, reports Alphaliner.
Freight forwarder Flexport acquired a startup that develops technology for tracking containerized goods. Burlingame, California-based Crux Systems said its technology “informs supply chain planning by driving actionable insights that can […]
Port of Los Angeles container volumes dipped in September and its executive director called for a negotiated settlement of the U.S.-China trade ware.
Crude-tanker rates have now reached levels not seen since before the global financial crisis.
Both canal stats and container transport pricing confirm continued momentum for U.S. East Coast ports.
Georgia Ports Authority is looking to grow roll-on, roll-off cargo even as work continues on salvaging the capsized car carrier Golden Ray.
Port of Los Angeles approves environmental plan for terminal that accounts for 17% of its container volume.
Houston still the main gateway for resin shippers, but other Southeast ports growing as well.
Maersk expects ample supplies of low-sulfur fuels to be available in most ports, but warns shippers to expect higher costs.
New third-party logistics firm to take over yard and warehouse that handles ‘considerable’ freight.
U.S. Federal Maritime Commission Chairman Michael Khouri talks with American Shipper about priority container shipping regulatory issues for fiscal year 2020.
SeaCube Container Leasing has rapidly expanded its refrigerated container fleet and is now the third largest lessor of reefers and largest lessor of gensets.
Drewry expects service levels to be cut by lines if shippers prove unwilling to foot the bill for mandatory low-sulfur fuels.
Trucks are competitively priced on East Coast lanes and offer better service than the railroads.
The Motley Fool discovers last-mile logistics. IMO 2020 will impact logistics warehousing footprint, JLL says
Traxens says the new standard will facilitate growth in smart container usage.
The transfer of production out of China to avoid U.S. tariffs of up to 25% is having a tangible impact on global trade flows.
The consultants Drewry and supply chain software company CyberLogitec say technology could help small and medium shippers by reducing volatile spot rates.
The introduction of new low-sulfur fuels, bearish demand and increased blanked sailings will bring more volatility to box markets in the coming months, says MSI.
Dredging could begin in late 2020 after port finishes shoreside upgrades.
From Oct. 1 new low-sulfur fuel charges are being levied by some container lines with more to follow through Q4. Use of the fuels is not mandatory until January 1, 2020.
The World Shipping Council considers next steps after the U.S. Federal Maritime Commission on September 26 denied a part of its petition calling for the elimination of service contract filing.
The company is following through on a pledge to acquire 1,000 branded intermodal containers by the end of 2020.
Northern Asia is again in the cross-hairs of an extreme weather event as Typhoon Mitag bears down on some of the busiest box ports in the world.
Australian logistics continues to be dangerous for workers: a man was tragically crushed to death last week. In corporate Australia, companies are winning contracts. Meanwhile, trucks might get bigger in Australia, following an official recommendation.
The U.S. Federal Maritime Commission does not expect easy answers to the question of how to fairly assess demurrage and detention when Customs and Border Protection holds containers.
The Federal Maritime Commission approves the ocean container carrier organization’s petition to eliminate publication of essential terms but retains the requirement to file the actual service contracts.
The start of the box shipping slack season commences next week when Chinese factories close for the Golden Week holiday. Further spot rate losses are predicted by Alphaliner.
Trade lanes will come to a halt if the U.K. exits the EU on October. 31, believes the Secretary-General of the European Shippers Council.
The new platform focuses on collaboration, workflow automation, and allows users to define business priorities.
At 400 meters in length, the CMA CGM Jacques Saade has capacity for over 23,000 containers.
Port of Long Beach is offering incentive payments to ocean carriers in an effort to stabilize declining cargo volumes.
The shipping giant has teamed up with JDA to boost warehouse and supply chain visibility
Getting to Zero Coalition, which includes Maersk Line, calls for “commercially viable zero-emission vessels” to be deployed on deep sea trade by 2030.
The number of containers is a better bellwether of global trade than the number of container ships.
Team of rivals? The competing ports of Los Angeles and Long Beach are looking at additional ways to cooperate for their mutual benefit.
The $42.3 million bust is the latest in a string of global maritime drug seizures at sea and in ports.
The U.S. Federal Maritime Commission set the new comment deadline for its notice of proposed interpretive rule to address demurrage and detention practices to Oct. 31.
BIMCO says there are “several indications” that goods are being shipped from the Far East to Europe and then transshipped to the U.S. East Coast to avoid tariffs.
Despite sea change in business model, carriers and drivers may want to wait for more clarity.
FIATA warns that higher air, ocean and trucking fuels costs will be passed directly on to customers.
Through the continued development of automated processes, U.S. Customs and Border Protection foresees the day when paper export manifests will no longer be necessary.
If not enough 0.5% low sulfur fuel is available after Jan. 1. 2020 ships may resort to using more expensive 0.1% sulfur fuel used today in emission control areas.
According to an MSI analyst, a key mainline container trade hardly bumped this summer – and the forward outlook for carriers is less than upbeat.
This week, VLCC tanker rates are rising, whereas both trans-Pacific box rates and Capesize bulker rates are slipping.
Dip Shipping will pay a criminal fine to settle an antitrust violation charge as part of an ongoing U.S. Justice Department forwarder price-fixing investigation.
The Port of Savannah’s expansion plans will benefit shippers — so long as infrastructure needs outside the port are met.
Three marine terminal operators had approached the U.S. Federal Maritime Commission about forming a joint terminal services and stevedoring operation in the ports of Savannah and Charleston.
Danish logistics conglomerate DSV is now one of the world’s leading forwarders after completing the acquisition of Panalpina in August.
The drone attacks in Saudi Arabia are reverberating across the ocean shipping business. Part I: the impacts on non-tanker shipping segments.
The AgTC asked the U.S. Federal Maritime Commission to extend the comment deadline to Oct. 31, calling the rule “the most relevant and far-reaching initiative taken by the FMC in many years.”
With oil prices climbing 20%, bunker and BAF costs are expected to follow suit after Saudi drone attacks
IMC Companies added its eighth regional trucking branch with the addition of a new drayage and intermodal provider in the Pacific Northwest, The third-party logistics and intermodal trucking provider said […]
Carriers are set to withdraw more Asia-Europe sailings in Q4 as excess capacity drags on freight rates.
Data confirms that U.S. importers are increasingly opting to bring Asian cargoes into East Coast ports.
Port of Los Angeles says it would take seven Vietnams to make up for the loss of business from China trade war.
CSX needs to be more proactive if wants to compete with trucks, CSX’s chief said.
Larger ships now calling as liner services have to reach Southeast Asia ports for East Coast discharge.
Truck capacity across the English Channel could be cut to 50% for up to three months, resulting in two day queues for drivers.
U.S. rail volumes are down nearly 4% year-to-date amid a 6.6% decline for coal and a 4% drop for intermodal.
BIMCO, ICS, INTERCARGO and INTERTANKO call on charterers, bunker suppliers and nation states to “double their efforts” to ensure a smooth transition to low-sulfur fuel.
Dry bulk spot rates have pulled back from recent highs, while trans-Pacific container rates have held their gains.
Future attacks could be far worse than the $10 billion ‘NotPetya’ attack in 2017 that hobbled Maersk and cost FedEx $300 million.
But a failure to secure a no-deal Brexit could scupper their plans to reshore manufacturing.
