BDP Trendwatch: There are enough containers for global trade - they're just in the wrong places, Montreal dockers launch strike ahead of possible government intervention, A new focus on air cargo as its revenues - and its status - hit new heights

Air plane flies over ocean containers at port

There are enough containers for global trade - they're just in the wrong places

The global container availability crisis is unlikely to ease before the end of the year – despite 2021 likely being a record-breaker in terms of new boxes delivered.

According to John Fossey, senior analyst of container equipment at Drewry Shipping Consultants, around 1.4m teu of new containers were delivered in the first quarter, around 10% more than in the final quarter of last year and 21% more than in Q1 20.

Source: The Loadstar

 

Montreal dockers launch strike ahead of possible government intervention

More than 1,100 Montreal dockers today began an unlimited strike that shut down almost all operations at Canada’s second largest port engulfed in one of the longest labour conflicts in its history.

But the work stoppage could be short-lived after the federal government on Sunday announced plans to introduce and fast-track back-to-work legislation later this week if the longshore union, CUPE 375, and the Maritime Employers Association do not rapidly negotiate a compromise to replace a collective agreement which expired in December 2018. A meeting with federal mediators began today at 9 am – two hours after the strike started and picket lines spread in various areas of the port.

Source: AJOT

 

A new focus on air cargo as its revenues - and its status - hit new heights

Money clearly means power and air cargo, finally, has won its moment in the sun, a rare gift from Covid-19.

Authorities are now starting to consider the industry’s needs and how various challenges can be overcome, just as IATA publishes data showing that air cargo will this year account for one-third of airline revenues.

Source: The Loadstar

 

Port of Antwerp posts positive Q1 2021 results

The Port of Antwerp has recorded a slight growth in container throughput in the first quarter of 2021 despite the impact of the ongoing coronavirus crisis and Brexit.

Container throughput grew 2% to 3.10m teu as January saw a continuation of the strong performance seen in autumn 2020, although a number of operational challenges hampered the operation of container terminals.

Source: Container Management

 

Egypt says hopes to end $900 million tussle over Suez ship soon

Egypt said it hopes to soon end a dispute over compensation regarding the huge container vessel that blocked the Suez Canal last month.

The Suez Canal Authority, which claimed $916 million in damages from the Ever Given’s owners, is “eager” to reach a settlement amenable to all parties, Chairman Osama Rabie said in a statement.

The 400-meter-long vessel, owned by Japan’s Shoei Kisen Kaisha Ltd., blocked the vital waterway for six days, roiling shipping markets and causing disruptions at ports around the globe. Around 50 ships a day use the canal, which can cut two weeks off a journey between Europe and Asia.

Source: AJOT, Bloomberg

 

Maersk doubles full-year net profit guidance amid ‘exceptional’ container market situation

Further evidence of the bumper profits global carriers will report this year emerged last night in Copenhagen with A.P. Møller – Mærsk, the owner of the world’s largest containerline, making a significant upgrade to its full year guidance.

With spot and contract rates in record territory for much of the year so far, Maersk’s preliminary Q1 figures are extraordinary with revenues off $12.4bn and a net profit of $3.1bn racked up in the first three months of 2021.

Source: Splash 24/7

 

Los Angeles ports are slowly chipping away at their ship backlog

Ship congestion outside the busiest U.S. gateway for trade with Asia eased over the past week, with the number of container vessels waiting to enter the twin ports of Los Angeles and Long Beach staying below 20 for five straight days.

A total of 18 container ships were anchored awaiting entry into L.A.-Long Beach in Southern California, as of Sunday, compared with 20 a week earlier, according to officials who monitor marine traffic in San Pedro Bay.

Source: AJOT, Bloomberg

 

Biden to push IMO member states to adopt zero emissions by 2050 goal for shipping

The Biden Administration will push International Maritime Organization Member States to to adopt a goal of achieving “zero emissions” from international shipping by 2050.

The call comes as President Biden held a virtual Leaders Summit on Climate last week during which he announced a target of reducing U.S. emissions by 50% by 2030 compared to 2005 levels and also fulfilled his commitment to rejoin the Paris Agreement.

Source: gCaptain

 

Panama Canal begins transition to become carbon neutral by 2030

The Panama Canal launched its process of decarbonizing its operations, with aims of becoming carbon neutral by 2030.

“We at the Panama Canal are committed to sustainability, and therefore are laying the foundation, creating the tools, and identifying the changes needed to achieve efficiencies that will allow us as an organization to reach carbon neutrality. This is a fundamental strategy for the waterway’s long-term operation and sustainability,” said Panama Canal Administrator Ricaurte Vásquez Morales. “This process will build on our long-standing efforts to minimize our environmental impact, including encouraging customers to use clean fuels and reduce their carbon footprint.”

Source: AJOT

 

Three-year modernisation project for South Florida Container Terminal nears completion

South Florida Container Terminal (SFCT) has begun to close in on the completion of its three-year modernisation project to prepare for future growth.

The project focused on transforming the land into a more sustainable operation with new, electric rubber-tyre gantry (RTG) cranes and added cargo storage space using a densification model which allows 2.5 times more usability in the container yard than before.

Source: Container Management

 

Blockage shows Suez Canal needs second channel, says DP World CEO

DP World’s port volumes bounced back in the first quarter, but the company has worries over further supply chain disruptions.

For example, the terminal operator said it was still handling the aftermath of the Ever Given blockage and called on Egypt to build a second channel to the Suez Canal.

Source: The Loadstar