Headlines 

• Air cargo volumes have fell 9% year-over-year in July, continuing a trend of heading downward. Additionally, airfreight rates have dropped as a shift to ocean transport has been occurring. We discuss this topic more in our Interlog Insights newsletter, sign up here if you’re interested in hearing more.  
• There are plans to place an inland port in the middle of the Mojave Desert in California by 2023, after officials gave the ‘all clear’ on the project last week. The inland port would be placed 90 miles outside of the LA/LB ports.  

Courtesy: Supply Chain Dive and CBS News 

UPDATE: U.S./Canada Ports – Number of Vessels at Anchor as of 08-16-22 

• Savannah: 36 Vessels at Anchor (-3) 
• Houston: 33 Vessels at Anchor (+5) 
• Vancouver: 24 Vessels at Anchor (-1) 
• New York/Newark: 16 Vessels at Anchor (0) 
• Los Angeles/Long Beach: 11 Vessels at Anchor (-2) 
• San Francisco/Oakland: 6 Vessels at Anchor (-2) 
• Charleston: 0 Vessels at Anchor (-2) 

Note: This count does not include vessels moored and being unloaded at port docks. Colored numbers in parentheses represents the change from last week over.  

Courtesy: MarineTraffic  

IMPORT: Asia to North America (TPEB) 

Recent Developments:  

• Contract negotiations between the International Longshore and Warehouse Union (ILWU) and Pacific Maritime Association (PMA) remain active. The existing labor contract between the two parties expired July 1.  
• Both the ILWU and PMA have commented neither is planning on striking or shutting down operations amid ongoing talks. The two parties state their confidence that there will be no disruptions at USWC ports.  
• Sources close to the talks speculate a deal will be reached by August or September. However, there has been no official comment or release from either party that confirms this is true.  

Rates: Spot rates from Asia to the US East Coast continue to decrease.  

Major container lines CMA CGM and Hapag-Lloyd have also instituted surcharges on overweight container loads from India to the U.S. and Canada.  

• CMA CGM is charging $1,000 per TEU for all types of containers weighing over 20 metric tons. 
• Hapag-Lloyd is charging $500 per TEU for loads exceeding 18 metric tons.  

Container line MSC has scaled down its planned peak season surcharge (PSS) for Indian container loads to the US, while also delaying the implementation date, reports indicate.  The carrier has recalled its $2,000-per-container PSS notice that was to take effect Aug. 1 and instead now plans to seek $1,000 per box from Aug. 22, it said in a customer advisory. 

Space: Space is generally open at this time.  
Capacity: Capacity has tightened in pockets. Shippers continue to divert cargo to the USEC due to fears of disruptions at West Coast ports from ongoing labor talks.  
Equipment: Some inland terminals are reaching max capacity with inventory. Intermodal systems remain stressed with congestion and truck and chassis deficits. 

• North American chassis manufacturers have ran into production delays in 2022 (for the second consecutive year), reports indicate. This stems from difficulties in sourcing raw components and retaining factory workers.  

TIPS: Book at least 2-3 weeks prior to ready date. Strongly consider premium services and, if cargo is ready now, make plans to move as soon as possible with the current openings in space and fallen rates. When possible, shippers with fixed-rate contacts should take advantage of these softened rates on the floating market.  

For more on the TPEB import lane, sing-up to our Interlog Insights Weekly Newsletter! In our August editions, Interlog’s experts are dissecting why shippers are rerouting to the East and Gulf coasts and how this decision has subsequently led to a shift in our country’s port congestion.  

IMPORT: Europe to North America (TAWB) 

Recent Developments:  

• Northern European hubs remain critically congested. Labor-related tensions continue to pose disruptions to German, Dutch, and British ports.  
• 2,000 dockworkers at Britain’s largest port, Felixstowe, are planning on striking from August 21 to 29, the representative union said in a statement.  
• USWC ports have seen alleviated congestion and improvements to vessel waiting times—yet still a far cry from pre-pandemic standards.  
• There are no disruptions directly related to ongoing WC labor talks.  
• On the USEC, both ports of New York/Newark and Savannah remain having a significant number of backlogged vessels at anchor off their respective shores.  

Rates: Rates remain elevated, but consistent, for the foreseeable future. Higher fuel costs are contributing to rate increases.  
Space: Space remains critical to USEC routings. Meanwhile, there’s been slight openings in space for USWC direct routings.  
Capacity: Capacity for both North Europe and Mediterranean services remain gripped.  
Equipment: Equipment at European seaports is not as readily available as it has been for the past few months. Inland terminals in Europe are also still reporting equipment shortages. On the U.S. side, truck and chassis availability remain concerning, especially with the latter.  
TIPS: Book 5 or more weeks prior to ready date. Shippers are strongly advised to use premium service for no-roll options and improved reliability for their cargo.  

For more on the planned labor strikes at Britain’s largest port, Felixstowe, sing-up to our Interlog Insights Weekly Newsletter! Our August editions are also including follow ups on any developments that occur regarding this subject in closer detail.  

EXPORT: North America to Asia 

Recent Developments: 

• For the USEC, waiting vessels remain an issue for Savannah and New York/Newark.  
• Diminished schedule integrity continues to challenge post earliest return dates. 
• Vessel arrivals remain smooth for USWC POLs. 

Rates: So far, GRIs for the transpacific westbound lane have not been announced for August.  
Capacity: Available capacity remains fluid for USWC POLs.  
Equipment: Truck, container, and chassis availability remains dire and has significantly contributed to congestion of the intermodal system and IPI origins. Standard equipment at ports remains available unless carriers advise otherwise.  
TIPS: Book 4 to 5 weeks prior to time of departure to secure necessary equipment and vessel space.