Headlines

• On March 31, the U.S. Senate passed by a voice vote the Ocean Shipping Reform Act. This bipartisan bill aims at alleviating shipping backlogs and improving supply chain woes.
• With Shanghai extending its lockdown, Seatrade Maritime News reports the world’s largest container port has deferred to using river and sea transport to bring cargo to its terminals. This comes as restrictions on road transport and requirements for truck drivers to have negative COVID tests – see below for additional updates. 
• For the 19th straight month, container volume at the Port of Savannah was higher on a monthly basis compared with the prior year, according to the Georgia Ports Authority and Freight Waves.

UPDATE: Notable U.S./Canada Port Congestion – as of 04/05/22

• Vancouver: 55 Backlogged Vessels
• Houston: 52 Backlogged Vessels
• Los Angeles/Long Beach: 45 Backlogged Vessels
• Norfolk/Newport News: 40 Backlogged Vessels
• New York/Newark: 26 Backlogged Vessels
• Charleston: 20 Backlogged Vessels
• Savannah: 18 Backlogged Vessels
• Note: This does not include port-bound vessels waiting at ports of origin

IMPORT: Asia to North America (TPEB)

Recent Developments:

• COVID-related lockdowns in Shanghai continue to stir up disruptions for suppliers and port operations. Road restrictions and preliminary COVID testing requirements has hindered the movement of cargo via trucking to and from port grounds.
• Fuel charges for TPEB lanes have increased.
  • No changes to bookings or blank sailings from carriers yet, however shippers should be prepared for possibilities given the present circumstances.
• The usual suspects—severe congestion, deteriorating schedule integrity, port omissions, and blank sailings—remain contributors to an uncertain market.
• The market has softened, given the usual lapses in post-CNY demand, however, it remains uncertain among forecasts for how long this softening is expected to last.

Rates: Rate levels remain elevated. Premium market remains strong. Carriers have announced a GRI, effective April 1, for all Canada and U.S. destinations.

Space: Space remains critical and is expected to stay tight.

Capacity/Equipment: Capacity remains severely under. Equipment deficits remain critical.

TIPS: Book at least 4 weeks prior to CRD. Strongly consider premium service and be flexible as it comes to equipment and routing. Additionally, be in contact with suppliers to check up on any COVID-related developments that can affect production.

IMPORT: Europe to North America (TAWB)

Recent Developments:

• USEC congestion remains pronounced at Charleston, New York/Newark, and Norfolk/Newport News. Savannah has also seen a steady increase in waiting vessels offshore.
  • Port of Charleston has seen delays of 14 or more days.
• Coupled with congestion, extended wait times are a contributing factor to significant service disruptions at USEC ports.
• USWC ports, notably Long Beach/Los Angeles, remain heavily congested with wait times only slightly improving—still averaging around 35 days.
• MSC has announced its Scan Baltic service providing direct connection from Baltic ports, such as Goteborg, to the USEC.
  • In return, this will help alleviate a significantly congested Antwerp hub that would otherwise be the transshipment port for these Baltic lanes.

Rates: Rates levels remain high and are expected to increase during Q2 with GRIs and PSSs.

Space: Space is critical for USEC and USWC.

Capacity/Equipment: Capacity remains tight for both North Europe and Mediterranean services. Equipment availability at ports, however shortages remain at inland terminals.

TIPS: Book 5 or more weeks prior to CRD. Strongly consider premium service for higher reliability and no-roll guarantees.

EXPORT: North America to Asia

Recent Developments:

• Diminishing schedule integrity is contributing to void sailings, delays, vessel cut-offs at ports, and challenging post earliest return dates.
• For USEC, Port of Savannah operations are continuing to enjoy improvements.
• The Port of Charleston remains to be notably congested and at risk for omissions.
• Vessel arrivals remain fluid for USWC POLs.

Rates: GRI activity (limited) announced into April and early May.  

Capacity: Available capacity remains fluid for USWC POLs.

Equipment: IPI origins remain adversely affected by deficits on containers and chassis. Standard equipment availability has not been an issue, but special equipment remains elusive.

TIPS: Book 4 to 6 weeks prior to CRD to secure equipment and vessel space.