Newsletter – March 5, 2021
AIR FREIGHT UPDATES
Warning to air shippers in year of the ox: ‘strap in and try not to get gored’
“Shippers shouldn’t let down their guards, just yet” – a phrase that could be true of any mode right now, but in this instance it refers to air freight.
Bruce Chan, analyst for Stifel, warned shippers rates would remain inflated in air cargo, owing to “significant backlogs … in the entire freight supply chain”. Read more here (login required).
Rise in automotive air charters indicates global revival
European air freight carrier IAG Cargo has seen an uptick in requests to transport automotive parts in 2021, indicating that assembly plants around the world are ramping up production. Read more here.
OCEAN FREIGHT UPDATES
Project44 acquires Ocean Insights
Supply chain platform operator project44 has announced the acquisition of ocean freight intelligence provider Ocean Insights.
Through the acquisition, project44 will add container tracking capabilities as well as sailing schedule and ocean analytics products. Read more here.
Singapore port congestion pushing up waiting time, cargo rollovers and rates
Major delays have now hit the port of Singapore, with congestion causing vessel turnaround times to more than double and week-long cargo rollovers. Read more here (login required).
Ocean freight spot rates stay close to record highs
Defying the normal slump in the period after Chinese New Year, cargo backlogs, port congestion, equipment shortages and sustained high volumes keep prices at elevated levels. Read more here.
M&A radar: Port mergers whet the appetite for further deals
China’s bubbling M&A activity in the port market took another step recently when Cosco Shipping Ports bought a 34.99% equity stake in Tianjin Container Terminal (TCT) – this is simply the latest move in the ongoing merger of terminal capacity in the north-east Chinese port. Read more here (login required).
Aggressive carriers ‘biting the hand that feeds them’ as importers shun China
There are growing signs that the sky-high freight prices on the Asia-Europe trades may be beginning to structurally undermine it, as European importers begin to look for alternatives to sourcing from China. Read more here (login required).
CANADA BUSINESS – GOVERNMENT UPDATES
Air Canada holding to refund pledge as aid negotiations drag on
Ottawa has put reimbursement of travellers on the table as a key demand in exchange for financial relief for airlines. Read more here.