Across International Shipping: News and Developments
[Labor] ILA-USMX Talks: A setback has paused negotiations for a new East/Gulf longshore contract. The two parties resumed talks in early November after reaching a partial tentative agreement last month. For more information, refer to the freight news section further below in the newsletter.
[Labor] Canada Labor Dispute Enters Binding Arbitration: Ordered to end by federal officials on Nov. 12, a dispute related to a new dockworker contract at Canada’s largest ports is entering binding arbitration, a legal process where an independent party determines the terms of a settlement. In the meantime, unionized labor and maritime employers are prohibited from staging further labor actions.
For the foreseeable future, freight handling operations at Canada’s ports of Vancouver, Montreal, and Prince Rupert have resumed as unionized dockworkers are ordered back to work.
IMPORT: Asia to North America (Transpacific Eastbound)
Rates: Rates have decreased in the back half of 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: Rail container dwell times are elevated at the ports of Los Angeles and Long Beach.
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: Increased rail container dwell times at U.S. West Coast ports have challenged timely pickups of exports.