Newsletter – April 3, 2018
AIR FREIGHT UPDATESAirfreight rates boost endorses forecast for continued strong demand for capacitysource: theloadstar.co.ukAirfreight rates rose in February, in the first growth since November, according to Drewry’s East West Airfreight Price Index.Overall, rates went up 3%, reflecting market analysis that suggests 2018 will be another strong year of demand. Read more here (login required).
OCEAN FREIGHT UPDATESThree to ONE: Japan’s Ocean Network Express starts operatingsource: splash247.comTo little fanfare the world’s newest containerline officially started operations Sunday.Ocean Network Express (ONE), the liner giant created by the merger of the container units of Nippon Yusen Kaisha (NYK), Mitsui OSK Lines (MOL) and Kawasaki Kisen Kaish (K Line), is now ploughing the seas as the world’s sixth largest containerline with 1.498m slots, according to analysts Alphaliner, giving it a global market share of 6.8%. Read more here.
Consolidation boosted container line profits in 2017source: lloydsloadinglist.comConsolidation was the major cause of improved liner profits in 2017, according to SeaIntel.Yet, while liner financial performance in 2017 was much improved compared to a 2016, the analyst said the upturn did not constitute a “full recovery” from what it tagged the “current eight-year liner-shipping crisis”. Read more here.
Container line executives uneasy as profits are consumed by rising fuel costssource: theloadstar.co.ukContainer spot rates from Asia to Europe and from Asia to the US west coast are around 30% lower than 12 months ago, while fuel costs have jumped over 20%. Read more here (login required)
ONE names five-strong international team of regional chief executivessource: theloadstar.co.ukNewly merged Japanese container line Ocean Network Express (ONE) has appointed divisional directors to run its operations in five key regions: East Asia; South Asia; Europe and Africa; North America; and Latin America. Read more here.
Hapag-Lloyd stays in the black, but fourth-quarter operating result slumpssource: theloadstar.co.ukHapag-Lloyd recorded a net profit of $28m in the fourth quarter of 2017, due in part to a windfall of $21m of netted pool revenue from its vessel sharing agreement within THE Alliance. Read more here (login required)
FMC starts carrier demurrage investigationsource: splash247.comCommissioner Rebecca Dye from the Federal Maritime Commission (FMC) in the US has launched hte first phase of her inviestigation into port demurrage, detention and free time practices by ordering ocean common carriers to provide information and documents explainin those practices. A similar with respect to container terminals at major US ports is also underway. Read more here.