Newsletter- January 13, 2022
OCEAN FREIGHT UPDATES
How ‘obsolete’ ship types roared back during the pandemic
Ship types previously deemed obsolete or outdated have roared back to become highly prized items during the pandemic.
Writing in his company’s weekly market report, Timos Papadimitriou, an S&P broker at Greek broker Intermodal, picked out a few previously shunned ship types that have returned to prominence during shipping’s recent boom. Read more here.
Cargo losses from Madrid Bridge stack collapse could add up to 140 boxes
Ocean Network Express (ONE) has confirmed that around 60 containers were lost overboard with a further 80 damaged in the stack collapse on its containership Madrid Bridge last Friday.
The 13,900 teu ship, on the company’s EC4 service from Asia to the US east coast, suffered the stack collapse mid-Atlantic and is currently travelling at 19 knots, according to AIS data on VesselsValue. Read more here.
GROUND AND RAIL FREIGHT UPDATES
Historic floods ‘hammered’ British Columbia’s trucking industry
Months of virtually never-ending storms slammed the Pacific Northwest last fall, leading to record rainfall, floods, mudslides and major supply chain issues.
The hardest-hit areas were in southern British Columbia, Canada, a region typically teeming with freight movement. Read more here.
Canada Border Vaccine Mandate set to take effect this Saturday
Late last night media reports began circulating that effective Saturday, unvaccinated Canadian drivers returning to Canada on or after January 15th would not be subject to quarantine or testing when they return to Canada via the land border. While this has been reported as a reversal by the Canadian Government, in actual effect it changes very little from what we reported yesterday. Unvaccinated US Drivers entering Canada will still be refused entry into Canada effective Saturday, and the US mandate allowing unvaccinated Canadian Drivers to enter their country is still expected to take effect on January 22nd. We will provide further details as we get them. There is also a link to a story in Truck News below. Read more here.
CANADA BUSINESS – GOVERNMENT UPDATES
B.C. Provincial State of Emergency Extended to January 18
With some highways still damaged by flooding and mudslides, and the potential for further flooding this week, B.C. has extended the provincial state of emergency.
Given the continued need for public safety measures under the Emergency Program Act and ongoing work to repair damaged highways, the provincial state of emergency has been extended until the end of day on January 18.
The orders restricting travel on highways 5 and 99 remain in place.
INTERNATIONAL BUSINESS – GOVERNMENT UPDATES
Imports take ‘dramatically longer’ to reach US as bottlenecks bite
Planning to import goods from Asia by ocean and sell them in America this summer? Better act fast. The trans-Pacific cargo move can now take over three months. According to multiple sources, average transit times have risen to double pre-COVID levels — and they’re still increasing.
Methodologies and data sources differ, so time estimates vary. But each dataset shows the same trend: With every passing month, more vessels, container equipment and goods inventories are getting waylaid in the Pacific. Read more here.
Retailers Forecast Plateauing with Smaller US Import Volume Increases
After a year of unprecedented increases, retailers’ imports at the U.S.’s major container ports are expected to return to normal growth rates in 2022. The National Retail Federation notes that while 2021 saw record growth and import levels, they are forecasting a leveling off and some declines in monthly volumes which could finally provide some relief for overburdened ports and the short supply of container shipping capacity. Read more here.
Freight rates out of India on the rise after record export figures
theloadstar.com Freight rates are rising again in India, following a record-setting month for exports and knock-on effects from global Covid disruption.
Exports tallied $37bn for the first time in December, up 37% year on year, and for the first nine month’s of the financial year, passed $300bn for the first time. Read more here (login required).