Headlines 

• Asian imports to U.S. West Coast ports saw a steady gain in on-time performance, rising to 21.9 percent in May from 21 percent in April, according to the Journal of Commerce. On the other hand, U.S. East Coast ports have dealt with increased anchorage of vessels over the past few months as many anxious shippers shifted their cargo away from the West Coast fearing potential disruptions from ongoing labor talks.  
• Data reported by FreightWaves reveals there are 125 container ships waiting off North American ports (as of last Friday, July 8). Relative to last year, this total number marks an overall improvement. While Los Angeles and Long Beach ports were the posterchildren of ship queues last year, the Port of Savannah is now the epicenter of backlogged vessels with the largest queue in North America.  

UPDATE: U.S./Canada Ports – Number of Vessels at Anchor as of 07-12-22 

• Savannah: 40 Vessels at Anchor (+1) 
• Houston: 37 Vessels at Anchor (+2) 
• Vancouver: 20 Vessels at Anchor (0) 
• New York/Newark: 16 Vessels at Anchor (-5) 
• San Francisco/Oakland: 9 Vessels at Anchor (-2) 
• Los Angeles/Long Beach: 7 Vessels at Anchor (-4) 
• Charleston: 2 Vessels at Anchor (+1) 

Note: This does not include vessels moored and being unloaded at port docks.  

Courtesy: MarineTraffic 

IMPORT: Asia to North America (TPEB) 

Recent Developments:  

• With Shanghai open from Covid-related restrictions for over a month, production at factories has gradually picked up. Insiders forecast improved flows of import volumes into July. Subsequent concerns follow of how this will pressure operations and raise freight rates. 
• 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.  

Rates: Rates remain relatively softened, however with a forecasted boom in import activity approaching, shippers can expect increases.  
Space: Space is generally open for now, but any surges in demand and volumes will tighten space.  
Capacity: Capacity has tightened in pockets. A certain trend of shippers shifting to the USEC has developed due to uncertainty around West Coast (ILWU and PMA) labor talks.  
Equipment: Intermodal systems remain stressed with congestion and truck and chassis deficits.  
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.  

IMPORT: Europe to North America (TAWB) 

Recent Developments:  

• Northern European hubs, primarily German and Netherland ports, are experiencing critical congestion due to labor slowdowns and strikes.  
• USWC ports have seen alleviated congestion and improvements to vessel waiting times. There are no considerable disruptions directly related to ongoing WC labor talks.  
• On the USEC, both ports of New York/Newark and Savannah have substantial numbers of anchored vessels offshore.  
• Higher conversions to air freight among American importers as challenges continue for ocean freight.  

Rates: Rates remain elevated for July. Equipment shortages are leading to new GRIs for some Mediterranean origins. Higher fuel costs are also contributing to rate increases.  
Space: Space remains critical for USEC and USWC. However, there have been glimpses of improvements on both ends.  
Capacity: Capacity for both North Europe and Mediterranean services remain gripped. Container line MSC has launched a loop NWC to Mexico Express (North Europe to U.S. Gulf) at the end of June. This new loop will turn in six weeks calling: European ports of Antwerp (NL), Altamira (ES), and Bremerhaven (DE); the Bahamian port of Freeport; and the Mexican port of Veracruz.  
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.  

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: Some carriers have issued limited GRIs for July. 
Capacity: Available capacity remains fluid for USWC POLs.  
Equipment: Truck, container, and chassis availability remain causes for concern and has significantly contributed to congestion of the intermodal system and IPI origins. Standard equipment at ports remains available unless carriers advise otherwise.  

• Some carriers have noted rail operations from Chicago to USWC ports have become more fluid and can handle an uptick in volume.  

TIPS: Book 4 to 5 weeks prior to time of departure to secure necessary equipment and vessel space.