COVID-19 Latest Updates

Ports of Seattle and Tacoma Follow in Steps of LA-LB Ports With Fees, FedEx Driver Dumps Packages, and Chinese New Year Is Fast Approaching

By December 2, 2021 No Comments

Ocean  

Asda charters own cargo ship to bypass bottlenecks. The U.K.-based retailer, which is owned by the Issa brothers and private equity firm TDR Capital, claimed it was shipping more than 350 containers of goods on its own ship to ensure the supply of key seasonal items such as holiday decorations, toys, apparel, and presents.

Ports

LA-LB container dwell fee delayed once more. The ports of Los Angeles and Long Beach have stated that their “Container Dwell Fee” would be postponed until Dec. 6th. The price was supposed to go into effect on Monday, November. 22nd. The ports stated in a joint statement that since the fees were approved, they have observed a combined 33% drop in the number of long-dwelling containers.

Seattle and Tacoma ports follow in the steps of LA-LB ports with late pick-up and storage fees. However, when compared to the Los Angeles and Long Beach Excess Dwell Fees, there are significant differences in the timing, structure, and administration of these fees

Seattle port operator hopes to alleviate congestion with new container storage fee. In an effort to free space so stevedores can better service boats and prevent cargo delays, SSA Marine has alerted importers at its Seattle port facilities that an extra storage charge would be implemented on Dec. 1 for containers lingering longer than five days.

Container overstays in Tacoma marine ports are subject to a fee. Two marine terminals at the Port of Tacoma in Washington are following the Los Angeles and Long Beach ports’ example by imposing hefty penalties on long-sitting containers in order to alleviate a massive overflow that is clogging operations and impeding cargo delivery. 

Are you trying to make sense of which ports charge what fees? Contact one of our Experts to keep informed and get help on how to avoid paying some of these costly fees.

The Port of Vancouver struggling to recover in the midst of heavy rain. Shippers using the Port of Vancouver may face delays far into next year as a second wave of heavy rain douses the area. In the midst of on-and-off rainfall that began almost two weeks ago, the Canadian Pacific (CP) and Canadian National (CN) railways have yet to fully resume service, and two of the three key routes connecting the largest Canadian port with inland British Columbia are blocked to trucks.

Air

Cargo is not being picked up due to airport congestion and staff shortages. According to two top handling sources, air cargo handlers’ attempts to get forwarders to pick up freight on weekends are failing. Though congestion has reduced at numerous airports, including Amsterdam and Chicago O’Hare, handlers believe that one of the main challenges is a lack of freight transfers between Friday and Monday.

Air Charter Service (ACS) had a record quarter. With 1,445 cargo charters from August to October, broker ACS had its busiest quarter ever for its cargo sector, with goods transferring from sea to air and a continuous scarcity of bellyhold space. According to ACS, Cargo’s outstanding performance, together with the company’s other divisions, resulted in the company’s highest-ever quarterly revenue of $430 million.

Trucking

State Departments of Transportation (DOTs) looking at roadside charging to help electric vehicles. In the next few years, magnetic concrete that charges electric vehicles as they drive over it might be installed on an Indiana highway. The Indiana Department of Transportation is teaming with Purdue University to research and develop charging technology that integrates German company Magment’s magnetic concrete material in a project especially geared at assisting the trucking industry’s transition to electric cars.

According to the Energy Information Administration (EIA), diesel prices dropped 0.4 cents to $3.720. After climbing for nine weeks, from Sept. 20 to Nov. 15, the price of diesel dropped for the second week in a row, totaling 1.4 cents. The cost of a gallon of trucking’s major fuel is currently $1.218 more than it was in 2020.  Diesel prices fell in six of the ten regions studied by the EIA, rose in three, and were stable in New England. The most significant drop was 1.7 cents in the Rocky Mountain area, while the most significant increase was 3.4 cents in California. The national average price of gasoline dropped 1.5 cents to $3.38 per gallon.

Rail

Port of Vancouver’s restoration of rail service delayed due to more heavy rain. Canadian National (CN) had planned to resume its primary link to the Port of Vancouver on Wednesday last week, but the route remained blocked as of late Thursday due to additional weather-related concerns. Two weeks after heavy floods damaged the two main train routes over the mountains to Alberta, the Port of Vancouver, B.C., another wave of rain started falling this week, delaying CN Rail’s efforts to restore its line from Vancouver to Kamloops.

Howard Street Tunnel expansion project in Baltimore finally underway. State and federal authorities have recently broken ground on a $466 million project to widen the Howard Street Tunnel to handle double-stacked container trains to and from the Baltimore Port. The Howard Street Tunnel and 21 other points between Baltimore and Philadelphia will have their vertical clearance raised as part of the Baltimore project, allowing double-stacked trains to pass. Three other Baltimore bridges will be upgraded or rebuilt, while the tunnel itself will be refurbished to offer an additional 18 inches of clearance.

Other

The Federal Trade Commission (FTC) launched investigation into supply chain disruptions. The FTC has issued an order requiring nine major retailers, wholesalers, and consumer goods suppliers to provide detailed information that will assist the FTC in determining the causes of ongoing supply chain disruptions, as well as how these disruptions are causing serious and ongoing hardships for consumers and harming competition in the U.S.

FedEx driver in Alabama allegedly discarded packages on six occasions. The sheriff’s office in Blount County, Alabama, announced that a FedEx Ground driver tossed parcels into a wooded ravine six times. Sheriff Mark Moon said detectives have identified the driver, but they are concealing that information for now. According to Moon, the incident may have had an impact on as many as 450 people. FedEx said it is working with investigators and that the individual implicated is no longer working for FedEx Ground.

Amazon on track to overtake UPS and FedEx as leading delivery provider in U.S. Dave Clark, CEO of Amazon’s global consumer division, said Amazon is on track to overtake UPS and FedEx as the leading package delivery service in the United States by early 2022. During this year’s Holiday shopping season, Amazon’s in-house delivery operations have become a huge advantage. In addition to using its own trucks and planes, Clark claims that Amazon has been delivering products to new ports to circumvent bottlenecks.

Biden meets with major retailers to discuss holiday supply chain. President Joe Biden said his government has made progress in resolving supply chain issues in the U.S. at a Nov. 29 meeting with executives from major retailers, including Walmart Inc. and CVS, who assured him that they have enough inventory for the holiday season.

The Chinese New Year is fast approaching. It’s never too early to start thinking about China’s most important holiday. Exceptional occurrences, such as COVID-19 restrictions, global supply chain congestion, power limitations, and other variables, are prompting our Navegate specialists to advise clients to start preparing ahead. Make sure to contact one of our Logistics Experts to learn how you can be well-equipped to minimize disruptions to your supply chain through the upcoming Chinese New Year.

Make preparations for other Chinese holidays and events. Although CNY is the longest public holiday in China, other festivities might affect your business. For instance, with the 2022 Winter Olympic Games happening in China, to be held across Beijing, Yanqing, and Zhangjiakou, the Chinese government declared that all heavy industrial factories in the north of China will suspend operations from Jan. 1 to Mar. 8, 2022.