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.
A looming workforce supply gap in the freight forwarding sector has caused the industry to reach out to over one million high school students.
This article brought to you courtesy of NEXT Trucking Intermodal and drayage carriers are seeing a drop in demand about midway through the second quarter. The U.S.-China trade war gets […]
The U.S.-China trade talks throw another curveball at shippers and leave no time to move containers ahead of new tariffs. Market experts see no quick relief at hand, and the […]
South Korean ocean carrier HMM may have a shiny new corporate identity but its first quarter results were written in the same dreadful red ink as last year. Although the ocean carrier generated large increases in revenues, its costs surged, which led to large losses in the first three months of 2019.
Saudi Arabia Customs successfully transported a container to the Port of Rotterdam using blockchain for the packing list and commercial documents.
Chinese shipping giant Cosco (HKEX: 1919) was last weekend given, for free, 45 percent of the equity of ports and shipping operator, Hainan Shipping Holding. Cosco’s not just getting a […]
A five-month drought in Panama has reduced freight carrying capacity of the country’s canal of ocean carriers by nearly one-fifth. It’s also giving an unseasonal boost to shipping rates for […]
As ocean carriers bring in ever-larger container ships to the U.S., the Port of New York and New Jersey says it is ready to handle them. Last week, the YM […]
Hyundai Merchant Marine (KSE: 011200) started off 2019 much as it ended 2018, racking up losses. Despite a first quarter gain in volume that boosted revenue, fuel prices and finance […]
An accident at the Port of Los Angeles took the life of a dock worker and injured another, ending the five-year U.S. safety record for marine cargo handling. The May […]
Among the topics to be taken up by this week’s meeting of ocean shipping’s international regulator will be how the industry can lower its carbon dioxide output. One increasingly talked-about […]
Yang Ming Marine Transport (TSE: 2609) narrowed its first quarter 2019 loss thanks to higher volumes of container shipments. The Taiwanese liner operator reported first quarter revenue of $1.14 billion, […]
A consortium to improve the technology used in container shipping just got larger with the addition of several big names in the liner business. The Digital Container Shipping Association (DCSA) […]
The countdown for bringing Chinese goods into the U.S. ahead of new import duties is now underway. But it’s unclear whether the sequel will match last year’s container crush due […]
Kuwait, Middle East-based logistics provider, Agility, generated consolidated revenues of 378.8 million Kuwaiti Dinar (US$1.25 billion) in the first quarter of 2019, the company reported today. That’s a 1.9 percent increase on the revenues generated in the first quarter of 2018.
Australian integrated logistics provider Qube (ASX:QUB) has acquired Brisbane-based crane-hire provider, mining-related logistics services provider and truck-operator LCR Group for A$135 million (US$94.14 million).
Shipping’s ‘trade war’ equation is not measured in tons at sea, it’s measured in tons times miles at sea.
Beijing has sworn to institute countermeasures to combat a huge increase in tariffs, from 15 percent to 25 percent, that have been imposed by Washington on $200 billion worth of a wide range of Chinese goods. A set of high-level, last-minute, talks yesterday to postpone or prevent the tariffs failed.
U.S.-based container ship operator Matson (NYSE: MATX) reported first quarter 2019 results that were above analysts’ estimates, thanks to strength in the company’s logistics business. The Honolulu-based Matson reported net […]
Hapag-Lloyd (FSE: HLAG) reported first-quarter results that were better than expected thanks to strength in its trans-Atlantic franchise, better exchange rates, and the one-time effect of an accounting rule change. […]
Manila, Philippines-based container terminal operator International Container Services International has posted a solid set of first quarter results. Revenues were up. Profits were up. Box lifts were up. The group attributed its good results to operational improvements, lower finance costs and a “ramp up” in contributions by its new ports.
Shipping container maker Singamas Container Holdings (HKEX:716) has announced that it will sell five of its subsidiary companies to Cosco Shipping Financial Holdings for RMB 3.8 billion. That’s about US$565 million.
Pricing, procuring and planning ocean and rail freight was for years a dark art practiced by a cabal of freight forwarders and logistics professionals. But the ethos of many transport […]
Australian ports recorded in excess of 1.94 million twenty foot equivalent (TEU) container movements during the first quarter of 2019. But freight forwarders sense a downturn may be about to happen…
Getting better use from your logistics assets, whether it be drivers, trucks, trailers, or general staff, is a major theme of Transparency19. And the Rapid-Fire Demonstrations on the second day […]
Aside from Lunar New Year slowdown, world’s biggest exporter reports ongoing volume growth despite concerns over trade slowdown.
Utility and telecom plays have been among biggest bets for Australian investment manager, but it’s also selectively added U.S. port assets.
Long-serving shipping man to replace former energy executive and consultant who led ship manager for less than two years.
Market expert Brian Aoaeh’s article focuses on the current and upcoming maritime industry issues – IMO 2020, global warming, rising sea levels, etc. Read Brian’s take on how the maritime industry is meeting these challenges.
Bosch is working with Powercell to develop a hydrogen fuel stack for vehicles. Plus, housing index has positives for home buyers, JFK starts new phase of air cargo expansion, and trucking company in Denver crash had history of violations.
Developing markets offer high growth, but high risk, as dispute between east African nation and Dubai firm forces Chinese ports operator to refinance loan.
Overseas Orient Container Line (OOCL) has sold its Long Beach Container Terminal for US$1.78 billion (HK$13.973 billion) in cash, it was announced today by OOCL’s owner, Overseas Orient International Ltd (OOIL; HKEX:0316). OOIL says that it expects to realize a gain of just under US$1.3 billion from the deal.
Putting export-import documents online may make a difference between container arriving to customer on time or sitting in a warehouse.
One-year old container ship joint venture expects customers to come back with more boxes and pay higher rates in 2019.
Trans-Pacific volumes and revenue up with OOIL acquisition, but stand-alone results reflect seasonal weakness.
World’s largest operator of marine terminals saw first quarter throughput at its non-China-based assets grow faster than China-based ones.
World’s largest ocean freight forwarder sees volume growth thanks to Asian export markets and its niche plays in pharma and healthcare.
In the second-part of its series on the Panama Canal, FreightWaves interviews a canal authority executive on trends for container-ship transits and expectations for ship size growth in the years ahead.
Despite its takeover by ocean carrier, Swiss freight forwarder keeping it multi-modal with introduction of rail service from China to Europe.
Nick Brown, head of marine at classification society Lloyd’s Register, is at the front lines of ocean shipping’s technological evolution. He explains how he sees this transformation playing out.
Korea’s only remaining container ship line may want to go beyond its slot sharing deal, but Western carriers wary on subsidized shipping.
Online retailer ramps up warehousing and ocean freight presence as part of meeting tight delivery window demanded by customers.
Container ship owner sees good demand balance with better rates on post-panamax vessels.
Lighter loads through Panama Canal and schedule reliability are two effects hitting ocean freight; ‘We should not underestimate weather.’
FreightWaves puts Singapore, the world’s second-busiest box port, under the microscope – examining box throughput, general cargo, bulk oil, non-bulk oil and ship registries.
Air cargo market expert Jesse Cohen writes about the ongoing efforts to increase security in air cargo operations. Read about the latest measures and how they impact the movement of freight.
LA caught between straits of labor and capital; group looks for ocean freight’s Esperanto; and digital-first forwarder gets $20m funding.
‘Discretionary’ cargo may look elsewhere for U.S. dock space should the biggest terminal in the biggest port not find ways to be more efficient.
World’s largest ocean freight forwarder adds money-back guarantee and carbon offset to what is now considered ‘table stakes’ in ocean freight.
Anyone up for some ‘Texas Chicken’? Maybe not anymore as pilots request one-way traffic on busiest shipping hub in North America.
While tariff fight may not repeat itself, other factors that lead to drayage capacity crisis still in play for shippers this year.
Keelung, Taiwan-headquartered ocean container carrier Yang Ming has announced that it signed charter agreements on April 10 for four box ships of 11,000 TEU with ship-owning specialist Shoei Kisen Kaisa of Imabari City, Japan.
Could this be the year ocean carriers get shippers to pay up? It may be if they want a ‘get-on-the-boat rate’ and not just a ‘paper rate.’
Outlook for U.S. container imports back to normal levels after 2018’s pre-tariff front loading, but with this administration, you never know.
Ports operator Cosco Shipping Ports (CSP) (HKEX: 1199) has agreed to build a 254,000-square metre (2,690,978-square feet) logistics park in the city-agglomeration of Guangzhou, which has a regional population of at least 64 million people. Guangzhou is one of the world’s busiest box ports with a throughput in 2018 of 21.92 million twenty-foot container equivalents (TEU).
Pre-tariff front loading to the U.S. and seasonal slowdown contribute to weakness in ocean freight rates from world’s largest exporter.
More refiners make pledges to supply market for IMO-compliant fuel, but if those efforts fall short, diesel may be next best option.
Head of its former energy business departs as almost all of the oil-related businesses are now separated from container ship giant.
Chairman makes mea culpa on previous energy bets as he pledges the focus will be making container shipping simple and easy.
Auto sales are declining, but the National Automobile Dealers Association still expects strong sales for 2019, plus the one area where Amazon is losing and opposition to Canada’s carbon tax grows.
As the 2018 import overhang lingers for a while, box ship rates may also suffer.
OOIL fleet boosts Cosco’s volumes and revenue, but rates were stagnant and high finance costs push profit lower.
One of the biggest terminals on the west coast is showing better results after multi-year automation project as final auction nears.
Italy’s buy-in on major project boost China’s place in world maritime trade, but Western powers decry what some call ‘vanity project.’
OOIL and Yang Ming see better revenue growth, but bottom line results diverge as finance and fuel costs hit results.
World’s biggest shipping line trials a backhaul voyage with biofuel in a bid to get jump on 2050 target for shipping industry to go zero carbon.
Liner operator looks to better service offering for growth and sees slightly better supply-demand balance for 2019.
28-day cooling off period now in works after contentious debate about automation; Union reminds officials that ‘robots do not pay taxes.’
NYSHEX looks to bring in other trade lanes to its platform while Freightos sees ocean shipping outmatching other modes in digital drive.
Industry lobbyists and research group present opposing views on whether the alliance structure of ocean carriers has worked.
Shareholder stub offered one last chance to take CMA CGM’s offer before eventual squeeze out and delisting of Ceva shares.
Bendix is now making its advanced safety systems available for retrofit for models where it was not factory-installed. Plus, U.S. finds little support for postal rate changes, detention time increasing and air cargo boom may be over.
Slow steaming is potential way for ocean carriers to meet higher costs of IMO 2020, but it carries risk of further service degradation.
International terminal mega-operator, DP World, has announced a solid set of results for 2018. Revenues, earnings before interest taxation depreciation and amortization (EBITDA), and net profit all substantially increased last year compared to 2017. Acquisitions and increased box volumes drove revenues and profits. DP World has announced investment plans for 2019.
Terminals moving out backlogs of containers and improving turn times; outbound freight demand still strong as drayage remains tight.
Volumes continue to remain strong even during seasonal slow patch and trucking capacity still remains tight in the region.
Volvo has started testing connected vehicle technology in California, plus Michigan governor pitches fuel tax hike, California legislator wants to phase out diesel engines and Alibaba buys into delivery company.
Big ships come to U.S. even as backhaul cargoes still lacking, and truckers deal with terminal shut-outs and chassis imbalances.
Member of THE Alliance is latest ocean carrier to experience financial difficulty amid a still volatile rate environment.
Electric trucks dominated the vehicle conversations at this week’s Work Truck Show in Indianapolis, plus the cost of charging vehicles, overtime pay changes and another trucker protest planned.
Smaller fleets see best growth in driver capacity, but shippers only tap them once in a while, creating more volatility.
Soren Skou said biggest ocean carrier is more customer-centric than ever, but vessel reliability and detention fees still a pain for customers.
Biggest trade lane into North America saw price surge last year that may not ease up much as double-digit increases seen in rates for 2019.
Liner alliances in a quandary about what to do with largest capacity ships as cancelled port calls increase to deal with capacity glut.
Online freight booking systems can streamline the process for booking air and ocean freight, solving several significant challenges along the way.
Start-up is latest seeking to automate the fraught process of securing truck capacity with its test bed at busiest port in U.S.
World’s largest ocean freight forwarder continues to grow volume, but impact of liner alliances also take toll on margins.
The Motiv EPIC all-electric chassis will be installed on Ford F-59 glider chassis at a Detroit Custom Chassis plant. Also, Colorado passes bill lowering the commercial truck driving age and the Port of Long Beach sees near-record volumes.
Ocean carrier reports unaudited full-year results including its acquisition of UASC, but volume gains have yet to add to profit.
Artery for goods ranging from coal to oil to grain closed in wake of historic rainfalls.
Delay in tariffs comes after a week of talks in Washington with Chinese officials; but the threat certainly good for volumes coming into Seattle.
VC-backed freight forwarder wants to expand geographic coverage and add freight expertise after latest cash infusion.
Read on economy from container data does not indicate slowdown yet in cards for global trade.
Up-and-coming freight forwarder aims to flip script in how to reach customers and Japanese fund is on board for that.
Restructuring of the global economy means that manufacturers are shifting their production centres nearer to the markets they serve, in a process that Maersk calls reshoring or near-shoring, and poses a risk to the liner industry’s future revenues.
But world’s largest shipping company sees high number of risks going into 2019 with container demand expected to be down from 2018.
Class 1 railroad plans ongoing projects at intermodal facility which is near major shippers and new warehouse space.
Largest ocean freight forwarder sees fuel bills increasing as much as 50 percent based on current price spreads.
Cargo thefts fell 19 percent in 2018 compared to the year before, according to SensiGuard. Plus, the EU cuts a deal on truck emissions and another trucker protest is planned for this week.
Ocean carrier sees debt upgrade thanks to hitting cost synergy targets and fleet’s better fuel efficiency will help save operating expenses.
