Competitive Edge
December 18th, 2024
Stay Current with InterlogUSA
Latest Industry Happenings and Market Updates:
Across International Shipping: News and Developments
Many shippers are starting to prepare for the upcoming supply chain challenges in 2025.Ā These upcoming disruptions are pushing shippers to reevaluate their processes, be flexible, or find additional solutions to avoid delays as much as possible.Ā
Tariffs:
President Trump has expressed he will be adding a 25% tariff on all imports from Canada and Mexico.Ā
Labor Strike: We are approaching the contract deadline between the United States Maritime Alliance (USMX) and the International Longshoremen’s Association (ILA) on January 15, 2025. A possible strike might cause supply chain disruptions by rerouting cargo to West Coast terminals and interfering with operations at East and Gulf Coast ports. It is important to have backup plans and keep your logistical planning flexible. Read more here.
Chinese New Year: Chinese New Year starts January 29th, 2025. Due to factory shutdowns throughout Asia over the 15-day vacation period, shippers frequently expedite orders in the weeks preceding the holiday, resulting in a spike in cargo volumes. When scheduling shipments in early 2025, shippers should account for extra lead times and possible delays.
We know our Market Updates typically are here to keep readers like you informed on what is going on in our industry, but our team wants to emphasize that if you have any questions or concerns on how these upcoming events in our industry could impact your shipping, please reach out to us right away. We will make it easy, contact Justin Engelmeier directly at: justinengelmeier@interlogusa.us
Freight News
Port of Portland Reaches Deal to Secure Future of Terminal 6
In early December, the Port of Portland announced the tentative agreement with Harbor Industrial to manage the portās Terminal 6, which had been at risk of closing this year due to significant financial losses ā read more about that. The port is hopeful that they will double their current volume by 2032.
As the port said in their statement, the agreement outlines that the port will receive $5 million in state support to offset ongoing losses from container operations, contingent on securing a $20 million state investment for capital improvements at the terminal. More details about the terms of the agreement is anticipated by summer of 2025, when the Port Commission votes on a lease.
EU Fuel Regulations in 2025
Ocean carriers are incorporating the upcoming European Union fuel regulations into their surcharges for next year, as carbon taxes on emissions and fuel intensity compliance continue to rise.
At the beginning of next year, the Emissions Trading System (EU ETS) will increase its tax to cover 70% of carrier emissionsāup from 40% this yearāfor transits starting or ending in the EU. The EU ETS is a ācap and tradeā method, in an effort to decrease greenhouse gas emissions. As such, the new FuelEU maritime regulation will set limits on the average yearly greenhouse gas (GHG) intensity of fuel used by vessels visiting European ports.Ā
Advisories from CMA CGM, Maersk, and Hapag-Lloyd indicate that these carriers will simplify compliance by combining both the EU ETS and FuelEU regulations into a single fuel surcharge, the JOC reported.
From all of us at InterlogUSA, we wish you a warm and happy holiday! Thank you for your continued support and engagement with our newsletter.Ā Cheers to a wonderful holiday season!
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