Freight rates from China to West Coast down 90%. Prices in the ocean freight contract market showed a record monthly drop in November, with rates falling 90% year over year for cargo from China bound to the U.S. West Coast. This drop exceeded the expectation among experts for how fast trade demand would correct itself.
ILA president predicts peaceful contract negotiations. President of the International Longshoremen’s Association (ILA) Harold Daggett says that he is confident that the union will secure a new six-year contract following the start of negotiations next year, according to JOC. This expression of confidence should give shippers a sense of labor peace at East and Gulf coast ports as separate contract talks on the West Coast have stalled.
CMA CGM to acquire two major terminals at Port of New York and New Jersey. French shipping group CMA CGM is set to acquire two key container terminals at the Port of New York and New Jersey. The terminals, GCT Bayonne in New Jersey and GCT New York on Staten Island, are currently held by Global Container Terminals Inc (GCT) and have a current combined capacity of 2 million TEUs per year and counting, according to gCaptain.
FMSCA proposes limiting scope of emergency waivers. The Federal Motor Carrier Safety Administration (FMCSA) is proposing to roll back the disaster relief automatically given to commercial truckers and trucking companies. The proposed change would mean that during a regional emergency caused by weather or other supply chain disruptions, drivers and carriers would be exempt only from daily and weekly limits on driving time. “Based on agency subject matter expertise and input from states, affected localities, industry groups and others, FMCSA believes that most emergencies justify allowing carriers and drivers providing direct assistance in responding to the emergency relief from the normal hours of service (HOS) limits to deliver critical supplies and services to the communities in need,” FMCSA stated in its proposal.
Norfolk Southern to move away from furloughing practice. Norfolk Southern (NS) plans to deemphasize the use of furloughs as a way to cut costs during market down cycles in order to improve labor relations. Stakeholders say that pandemic-related workforce reductions may have “exacerbated service issues that arose due in part to headcount cuts brought on by precision scheduled railroading,” according to FreightWaves. “I’m confident that changing our workforce strategy during economic downturns is going to be a positive step in our efforts … to improve our relationship with our employees and improve their quality of life,” NS President and CEO Alan Shaw said.
Boeing awaits certification for converted freighters in Canada. Boeing is currently awaiting approval from aviation authorities in Canada after a delay in getting certification for four newly converted 737-800 aircraft has set back WestJet’s plans to expand into freighter operations by nine months. The four cargo jets are sitting idle at Calgary International Airport, and WestJet now expects to commence all-cargo flights on March 26, the start of the summer flying season.
Amazon using sea trips sustainable European deliveries. Amazon is making efforts to provide more efficient, faster, and lower-emission modes of freight transport by increasing their use of short sea trips to move inventory and customer packages across Europe. Amazon currently operates multiple sea routes between Italy and Spain and most recently linked its warehouses in Germany and Poland to the Swedish ports of Helsingborg, Nynasham, and Trelleborg via Stena Line, according to Splash247.
Water levels improve on lower Mississippi River. Good news – shipping conditions on the lower Mississippi River are returning to normal following consistent rainfall. Within just the past few days, a dramatic improvement in water levels was measured at Memphis, Tennessee.
The world’s first transportable stadium: Qatar’s Stadium 947. Built from 947 shipping containers, the FIFA world cup stadium is a win for innovation and sustainability. We’ve heard that the stadium is being dismantled and is headed for Uruguay for the 2030 World Cup…but no matter where it goes, the 947 shipping containers will be traveling by ship to its next destination! Check it out: