Weekly Ocean Operations Update: Asia to Europe, US and Australia 06/09/24

General overview: In October, there will be a significant reduction in shipping capacity for the FEWB trade lane. The normal weekly capacity is around 330,000 TEUs. For Week 40, capacity will decrease by 32% (coinciding with Golden Week 1-7 October), Week 41 by 19%, Week 42 by 8%, and Week 43 by 9%.

In Bangladesh at Chittagong Port, a severe 15-kilometer traffic jam on the Dhaka-Chittagong highway has caused major delays. Release of goods and containers at the port is also taking longer time due to the ongoing floods in Chattogram, Feni and Cumilla districts. Container congestion is increasing.

Overall, space availability for shipments out of India is improving, with carriers now accepting bookings to the US and EU with a minimum advance notice of 4-5 days. However, equipment shortages persist at most inland container depots and main ports. Heavy rainfall in Mumbai/Gujarat has caused delays in cargo movement to CFS and ports, making it advisable to transport cargo using closed-body trucks. Due to the adverse weather conditions, many carriers are omitting calls at Mundra Port.

Overview by trade lane

FEWB summary:

Rate and capacity update as of September 6, 2024:

Oceania summary:

Rate and capacity update as of September 6, 2024:

Transpacific summary:

Rate and capacity update as of September 6, 2024:

Equipment update by carrier

Correct at time of publication on September 6, 2024:

Click here to download equipment spreadsheet

Asia port updates

Market intel: Europe

• Hapag-Lloyd took delivery of the 23,664 teu HAMBURG EXPRESS, joined in Ningbo on 29 August Hapag’s Asia - North Europe 'FE3' loop, a service operated THE Alliance. Another five vessels of the same type will be delivered by Hanwha to Hapag-Lloyd by April 2025 with the next in line, the GDANSK EXPRESS, slated for delivery in October. (Source: Alphaliner)
• Ocean carriers have blanked a number of export sailings from Asia to Europe and Asia to the US, prior to the Chinese national holiday in early October. Drewry said 51% of the blanked sailings notified to date were on the transpacific, 28% on Asia-Europe and 21% on the transatlantic. (Source: The Loadstar)
• MSC’s recently announced Britannia service will be blanked.
• A further update on the Gemini Cooperation is expected mid-September.

Market intel: Oceania

• Terminals in Hong Kong and Southern China have stopped handling containers from yesterday (5 September) as Super Typhoon Yagi approaches and expected to be in place until 6 Sep 2024. (Source: Container News)
• Equipment shortages into Oceania from North and South East Asia remains a challenge, resulting in less time for suppliers to access, load and deliver the containers to the terminal prior to Close Out.  This is especially so for 40’HC containers from the load ports in China, Taiwan, South Korea, Vietnam and Malaysia.
• Capacity and backlogs to Fremantle and Adelaide reached a critical point during August with several carriers withdrawing services to the cities.  Subsequently significant delays have been and will continue to be encountered for all bookings to these 2 destinations as the shipping lines struggle to navigate and schedule the supply/demand balance.

Market intel: USA

Port Strike:

• The International Longshoremen's Association union, representing 45,000 workers at major container ports from Texas to Maine, began two days of meetings on Wednesday to review wage demands and prepare for a potential strike on Oct. 1.
• A strike by the International Longshoremen’s Association, which moves the trade at the ports along the East Coast, Gulf Coast and Puerto Rico, would impact 43% of all U.S. imports and billions of dollars in trade monthly.

(Sources: cnbc / Reuters)