Across International Shipping: News and Developments
[Labor] Uncertainty at Canada’s Largest Ports:
A series of work stoppages impacted freight handling operations at some of Canada’s largest ports of Vancouver, Montreal, and Prince Rupert. As of November 12th, Canada’s Labor Minister has ordered the respectively longshoreman unions back to work and into binding arbitration with the maritime employers.
Before this back to work order, the longshoremen’s union at the Port of Montreal rejected a final offer from the Maritime Employers Association (MEA) which then had the MEA issuing a worker lockout.
[Carrier Services] CMA CGM will continue with Cape of Good Hope Route: Recently, the ocean carrier announced they would alter their main India-U.S. Indamex service, per the JOC, opting for the longer route around the Cape of Good Hope instead of returning through the Suez Canal.
IMPORT: Asia to North America (Transpacific Eastbound)
Rates: Rates have relaxed since October. Some major carriers plan to implement general rate increases (GRIs) mid-November.
Capacity: In the new year, ocean carriers could begin to implement blank (cancelled) sailing programs to trim excess capacity expected in the market.
Congestion: Mild congestion related to the longshore strike in early October has diminished. Cargo handling operations at USEC/GC ports are presumed normal.
TIPS:
- As the year reaches its end, Q4 can be the right time to get a head start on your 2025 transportation and logistics strategies. While business needs can vary, in most cases, a discussion and evaluation of service providers (carriers, forwarders, Customs brokers, etc.,) should be top of mind, especially as it relates to any potential shortcomings in existing providers throughout 2024.
IMPORT: Europe to North America (Transatlantic Westbound)
2025 Services: Major carriers continue to unveil upcoming changes to their transatlantic offerings, including additional options to the Caribbean and South America.
Rates: Aside from a traditional round of peak season surcharges (PSSs), rates have generally shown little change since August.
Capacity: Available capacity at Europe ports have shown some signs of strain.
EXPORT: North America to Asia
Rates: Outbound rates to Asia from the U.S. East Coast have decreased slightly. Meanwhile, U.S. West Coast to Asia services remain at steady rate levels.
Space: Rail service to the U.S. West Coast has been challenged as increased dwell on import containers delay the pickup of time-sensitive agriculture exports.
Equipment: Slowdowns in equipment placement are being reported at several inland gateways, including Minneapolis and Omaha.