Sunday, December 3, 2023
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Ports & Terminals

Why America’s “Shipping Crisis” will not end

The American shipping crisis has been making news all over the world and has been the subject of discussions across many media platforms and the industry..

Even US President Joe Biden commented on the supply chain disruptions and set up task teams to find solutions for the problems.. Biden announced a number of steps to achieve this objective including moves by the nation’s two largest ports Los Angeles and Long Beach to expand to 24-hour operation, and also to ramp up efforts by big conglomerates like Walmart, FedEx, UPS, Samsung, Target and The Home Depot for quicker cargo clearance..

There have been several commentaries across the whole spectrum of supply chain from various experts from shipping, freight forwarding, trucking and trade backgrounds..

However, none of the discussions and explanations seem as lucid as the message conveyed by a 20 year veteran US truck driver..

I am sharing this article written by Ryan Johnson that explains his perspective on the situation and why he feels that America's "Shipping Crisis" will not end unless.....................

Biden administration’s action plan to ease US supply chain disruptions

Recognizing the critical role American ports play in the global economy, President Biden’s Bipartisan Infrastructure Deal includes an unprecedented $17 billion to improve infrastructure at coastal ports, inland ports and waterways, and land ports of entry along the border.

Ocean carriers set to pay surcharges at Long Beach and Los Angeles for containers in terminal

Ocean carriers who are usually the ones charging “surcharges”, may soon be paying a “surcharge” at the San Pedro Bay ports of Long Beach and Los Angeles for import containers that dwell in the marine terminals of these ports for longer periods. As per a communique from the Port of Long Beach, this surcharge which comes into effect from the 1st of November, is in “an effort to improve cargo movement amid congestion and record volumes”.

36-day average transit time on China-US West Coast route underscores the extent of supply chain breakdown

With the Biden Administration now stepping in to tackle the port congestion crisis at Long Beach and Los Angeles, China-US West Coast transit data and insights provided by digital freight forwarding company Shifl underscores how bad the situation has become, and how much work it will take to get cargo moving on time again.

Between the 2nd half of May 2021 and the 1st half of October 2021, the average transit time from Chinese base ports to the US West Coast ports of Los Angeles and Long Beach increased from 19 to 36 days.

Extended working hours justified as Port of Long Beach records second busiest September in history

The Port of Long Beach had its second-busiest September on record, down 5.9% from the same month last year, demonstrating the need for extended work hours within the supply chain as unprecedented numbers of vessels wait off the coast to unload cargo.

Dockworkers and terminal operators moved 748,472 cargo container units, a dip from the Port’s strongest September on record, achieved in 2020. Imports decreased 8.7% to 370,230 TEUs, while exports declined 1.6% to 110,787 TEUs. Empty containers moved through the Port dropped 3.6% to 267,456 TEUs.

Biden steps up pressure on ports and supply chains to address port congestion woes

US President Joe Biden seems to have increased his efforts to ease the current congestion, transportation and supply chain blockages that are disrupting the US ports especially on the West Coast and avoid disruption of goods delivery through the ports especially for holiday shoppers. Speaking at the White House on Wednesday, Biden said “The moves were a first step to pushing supply chains in the United States, the world’s biggest consumer economy, to operate faster.“ Biden announced a number of steps to achieve this objective including moves by the nation’s two largest ports Los Angeles and Long Beach to expand to 24-hour operation, and also to ramp up efforts by big conglomerates like Walmart, FedEx, UPS, Samsung, Target and The Home Depot for quicker cargo clearance.

Federal, state, local stakeholders gather at Long Beach to discuss solutions to shipping congestion

Transportation and goods movement officials and other stakeholders gathered on Tuesday at Port of Long Beach headquarters to broaden efforts aimed at speeding up...

Port of Long Beach starts pilot program for 24 hour cargo pick up at its Pier T Terminal

Close on the heels of its announcement to expand hours for truck pick up and drop off, the Port of Long Beach has started its pilot program for 24 hour cargo pick up at its Pier T Terminal.

Total Terminals International container terminal on Pier T in the Port of Long Beach became the first terminal to start making it easier for trucks to access the facility for cargo pick up during the overnight hours in a new pilot program to widen access and speed deliveries amid the ongoing cargo surge.

Xiamen hit by COVID-19 outbreak – possible impact on shipping not ruled out

China has been the epicenter of global trade for many decades and was successful in controlling the COVID-19 outbreak reasonably well.

However, things seem to be getting worse in China with several port and business closures in Yantian, followed by Ningbo due to COVID-19 outbreaks.

Reports are circulating that the city of Xiamen is facing an outbreak of COVID-19 forcing residents of Xiamen in China’s Fujian province to go into lockdown as of 13th Sep night after after 32 infections of the highly transmissible Delta variant was detected with most of them being traced back to Putian where the latest outbreak originated.

Port of Long Beach achieves strongest August on record

The peak shipping season started with a roar and lifted the Port of Long Beach to its strongest August on record.

Dockworkers and terminal operators moved 807,704 twenty-foot equivalent units (TEUs) of container cargo last month, an 11.3% increase compared to August 2020. Imports were up 11.7% to 407,426 TEUs and exports decreased 5.3% to 119,485 TEUs. Empty containers moved through the Port rose 19.7% to 280,794 TEUs.

Port of Long Beach implements “Truck Alert” program

Port of Long Beach to offer traffic alerts with a new texting service. The 'Truck Alert' program is aimed at reducing delays, improve cargo movement. The port has been in the news recently due to high levels of port congestion. Apart from the increased demand in goods, the delays are also attributed to the constrained landside operations due to shortage of chassis and also ineffective utilisation of truck booking windows. 

Berthing delay skyrockets as operations at Ningbo container terminal still suspended

Berthing delay skyrockets as Ningbo, the 3rd largest ports in the world suspends container terminal operations due to a positive case of COVID-19.

Data provided by project44 confirms that a large volume of container ships are at anchor outside Ningbo-Zhoushan waiting for berth space.

More ships skip Yantian, as China deals with new Covid issues

Blank sailing data tracked at major Shenzhen ports by project44 has shot up, spelling further cost increases and inventory shortages for businesses as they struggle to meet the demands of reopening economies. The Port of Yantian (YICT), a critical connection for factories and retailers across the globe, which handles 13 million TEUs per year, is at the epicenter of China’s latest COVID-19 quarantine efforts.

What’s next, for the Ever Given and the shipping and freight industry

Many journalists and Twitteratis around the world might be having withdrawal symptoms after the Ever Given has been refloated from being stuck diagonally across...

Carriers struggle with container shortages while rollovers increase

Carriers struggle to cope with equipment shortages as transshipment ports see an increase in October cargo rollovers, reveals the latest Ocean Insights data.

Strong demand for container shipping space on major trade lanes from Asia to Europe and North America saw cargo rollovers increase month-on-month in October as carriers struggled to keep ocean supply chains operating smoothly.

Transnet procedures for hazardous cargoes in South African ports

As has been covered across various articles on this site, the process of hazardous cargo approval, acceptance and shipment is quite complex and ALL stakeholders involved in the shipment of this highly specialised cargo must be fully aware of the requirements..

This cannot be repeated enough..

From pre-shipment approval, approval of shipment, movement to port of load, loading on board, precautions while at sea, discharge at destination, movement to place of delivery, every process required to be followed by the IMDG Code must be followed at all times..

Seemingly there are several cases of non-compliance and non-adherence in this regard, based on which, Transnet, the State Owned Enterprise in South Africa responsible for all port operations has amended its Handling and Transport of Dangerous Cargoes National Procedures..

Transnet shares concerns on incorrect labelling of hazardous containers

Undeclared or misdeclared hazardous goods (Dangerous Goods) have been the bane of many vessel operators and shipping lines since the start of carriage of hazardous goods on ships..

The incidents created due to this issue has been increasing over the years with 9 major maritime disasters recorded in 2019 alone and as per TT Club, a containership is involved in a major fire every 60 days..

As per a statement issued by the Office of the Chief Harbour Master, Transnet National Ports Authority has identified the following risks and challenges that have emerged in the past years which requires immediate attention..

ERP Software and its utilisation in the Ports & Shipping Industry

Dear readers, as you all know, Shipping and Freight Resource is a niche educational resource created, developed and maintained for the purpose of learning and for the sharing of information related to Shipping, Freight, Maritime, Logistics and Trade..

Apart from providing quality content and news relating to shipping and freight industry, this site is also about assisting those in need within the industry with their queries, questions and doubts..

I received a request from a Masters student asking for some general assistance to answer two industry related questions..

Your assistance will be appreciated..

New guidance to facilitate repatriation flights for seafarers

Passenger and repatriation flights are essential to allow stranded seafarers to go home, and for their relief crews to be able to join ships. New guidance issued by the International Civil Aviation Organization (ICAO) to facilitate those flights marks a further step to alleviate the ongoing crew change crisis. 

Adani successfully completes first export using India’s Inland Waterways

On the 30th June 2020, a barge “MV Pruthvi” carrying 45 TEUs of sponge iron left Haldia Docks on its maiden voyage to Dhaka on the Indo Bangladesh Protocol Route (IBPR)..

This first-ever containerised cargo from India to Bangladesh using the Inland Waterways reached Pangaon International Container Terminal, Dhaka on the 12th of July 2020..

This movement which was organised by Adani Logistics Limited in association with Five Star Logistics Private Limited carried the cargo of Rashmi Cement Ltd and Orissa Metaliks Pvt. Ltd..

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