Hamburg Süd Week 06 Operational Update – Americas 09/02/22

Vessel Operations

North America East Coast

• VELIKA EXPRESS V 206 – delayed 1 day in arriving New York due to vessel repairs in Manzanillo. Arriving on time in Cartagena on February 20th.
• MAIPO V 206 – delayed 1 day in arriving New York due to berth congestion. Vessel omits Norfolk. Arriving on time in New York on March 29th on her next voyage.
• ATHENS GLORY V 204 – delayed 8,5 days in arriving Houston due to late phase into the service.
• MSC NOA V 204 – delayed 10 days in Houston due to carry on delays from her previous voyages. Vessel will phase out in Houston without recovering her schedule.
• North America West Coast
• CAP JERVIS V 152 – delayed additional 10 days in arriving Oakland due to berth congestion.

North America West Coast

• CAP JERVIS V 152 – delayed additional 10 days in arriving Oakland due to berth congestion.

Terminal Operations

Due to increased volume, we are experiencing congestion issues at the following terminal locations Savannah, Houston, Seattle, and Los Angeles/Long Beach.

U.S. East Coast

• New York – Vessel waiting time is 1-3 days due to berth congestion, icy weather and 1 crane’s being down at APM Terminal.
• Philadelphia – Vessel waiting time is 0-1 day due to certain level of import volume, labor shortage due to Covid, which has been getting better.
• Baltimore – Vessel waiting time is 1-2 days due to certain level of import volume, vessel bunching and construction.
• Norfolk – Vessel waiting time is 4-8 days due to certain level of import volume, vessel bunching by foggy weather and construction.
• Charleston – Vessel waiting time is 6-9 days due to high import volume, labor shortage and weather events/wind.
• Savannah – Vessel waiting time is 0-1 days due to certain level import volume, weather events and vessel bunching.
• Miami – Vessel waiting time is 3-5 days due to high import volume.

U.S. Gulf Coast

• Houston – Vessel waiting time is 2-10 days due to high import volume, labor shortage and vessel bunching.

U.S. West Coast

• Long Beach – Vessel waiting time is 38-42 days due to high import dwell and labor shortage. TTI Terminal yard utilization is at 72% of capacity.
• Los Angeles – Vessel waiting time is 25-35 days due to yard congestion, high import dwell and labor shortage. APM Los Angeles yard utilization is at 79% of capacity.
• Oakland – Vessel waiting time is 10-12 days due to high import volume, labor shortage and 1 berth being down.
• Seattle – Vessel waiting time is 7 days due to high import volume, labor shortage.

Canada

• Prince Rupert – Vessel waiting time is 14 days. Yard utilization is at 112% of capacity.
• Vancouver – Vessel waiting time is 28 days. Yard utilization is at 100% of capacity.

Equipment Availability

Due to increased volume at terminals and inland rail facilities, there have been ongoing chassis shortages resulting in pick-up delays and deliveries. Most notably, we are encountering chassis availability issues in the Long Beach/Los Angeles, New York, and Philadelphia terminals, and the Cleveland, Columbus, Louisville, Nashville, Saint Louis, Atlanta, Chicago, and Memphis areas.

Equipment availability continues to be an issue at the locations below.

• Atlanta – limited 20’ and 40’ available
• Chicago – limited 40’ reefer available
• Cincinnati – limited 40’ available
• Columbus – limited 20’ and 40’ available
• Detroit – limited 20’ and 40’ available
• Kansas City – limited 20’ available
• Memphis – limited 20’ available Minneapolis – limited 20’ and 40’ available
• Nashville – limited 20’ and 40’ available
• Omaha – limited 40’ available
• South Florida - Limited equipment availability Louis – limited 40’ available
• Seattle – limited 40’ reefer availability
• Vancouver – limited 20’ available

Inland Rail Transit Advisories

We are also experiencing congestion at all major rail facilities in Chicago, Columbus, and Los Angeles UP and BNSF rail ramps. We expect delays in picking-up and delivering containers at these locations.

U.S. East Coast

Charleston Chassis Shortage - Due to a continued shortage of available chassis in the Charleston market, we are experiencing extended delays in pick-ups, deliveries, and drayage to/from the rail facilities.

CSX Update: Export to JAX - Due to continued congestion in Jacksonville, we have observed persistent delays in train operations for cargo arriving in Jacksonville ICTF for load out of Trapac.

South Carolina Ports Authority - Due to increased volume for Import and Export cargo into Charleston, SCSPA is reporting a delay in operations between the terminals and railroads.

CSX Update - Charleston and Savannah 01/17 Update: CSX has opened rail reservations from all inland origin facilities transiting to Charleston and Savannah. Changes to RV allocation: In the past, Charleston and Savannah allocations have been interchangeable, going forward, customers will not be able to use RV's interchangeably between the two ports; allocations will be established for each destination.

NS Update - As a result of increased congestion and volume into the Norfolk Southern facility in Charleston, beginning Week 3, NS has closed ingates at inland facilities for routes destined to Charleston. Gate closures are intermittent, evaluated on a day-to-day basis. Greer is now closed for exports with the exception of specified customers.

U.S. Mid West

CSX Cleveland Update - effective January 31st, Cleveland will be transitioned to a grounded facility for International freight, increasing container capacity.

Barbours Cut and Bayport - Beginning Friday, January 28, 2022, export reefer units will be required to remain on chassis, upon delivery. The container and chassis set will be required to stay together and parked on the terminal. Export reefers will not be received and lifted from private chassis.

Houston Chassis Shortage - Chassis deficits continue to be reported on a weekly basis due to ongoing congestion in the area. TRAC chassis can be utilized as our approved secondary provider.

Chicago Chassis Shortage - Due to a shortage of available chassis in Chicago, we continue to observe extended delays in pick-ups and deliveries.

Chicago Rail Ramp Congestion - Rail facilities in Chicago are experiencing severe congestion because of dwelling containers and chassis shortages. We need further assistance to ensure containers are picked-up from the rail timely to avoid causing further congestion and facility closures. Prompt pick-up of shipments will help improve traffic flows, reduce lot congestion, and provide the space needed for processing inbound freight as expeditiously as possible.

BNSF Logistics Park Chicago Update - Effective January 1, 2022, BNSF Logistics Park Chicago (LPC) will be updated to a "Group 2" facility for the purpose of calculating free time. Group 2 facilities receive free time on the day of notification, plus 48 hours. For longer-dwelling containers, the applicable storage charge of $500 per day will now begin on the 8th day. BNSF will continue to provide a one-day storage credit for any unit outgated from LPC on weekends (Saturday or Sunday) for storage calculations. This credit will go to the party who pays or guarantees storage and may be applied to any pending or future intermodal storage.

U.S. West Coast

Increased Dwell for Import Rail Cargo (SEA) - Due to severe terminal congestion, we continue to observe operational delays, resulting in extended dwell time.

Increased Dwell for Import Rail Cargo (LAX/LGB) - Due to gate capacity restrictions, limited reservations (RVs), rail car shortages and daily ingate restrictions at our major rail facilities in LAX/LGB (BNSF & UP), import rail units (both on-dock and off-dock) are experiencing increased delays.

Chassis Shortage Santa Teresa - Availability of DCLI equipment continues to be extremely limited. TRAC chassis should be utilized as an approved secondary provider; inventory has been observed to be very low, as well.

Terminal Dwell Fee - SSA Terminals (Pier A (LGB), OICT (OAK), T-18 (SEA)) have implemented a temporary storage charge in addition to the normal port demurrage charges on all import loaded containers discharged at facilities on the West Coast. The failure of importers to pick up containers in a timely manner has created severe congestion issues that has prevented terminal operators from properly servicing vessels destined for their terminals. Extended Dwell Time Fee will apply on a temporary basis to all loaded import containers, in addition to existing demurrage and port tariff fees:

• No charges for free time (up to seven (7)) days after a container is available for delivery)
• $50 per day for the next five days of storage thereafter (days 1-5 after free time)
• $75 per day for the next five days of storage thereafter (days 6-10 after free time)
• $100 per day for the next five days of storage thereafter (days 11-15 after free time)
• $150 per day for any days thereafter.

Export loaded containers will not be subject to the Extended Dwell Time Fee. The importer of record in the shipping documents will be responsible for paying or arranging payment of the Extended Dwell Time Fee. Once the fee has been paid, the container will show as available in Operator’s container tracking system. Appointments on import lanes may not be made until the fee has been paid and the container is showing as available on the Forecast website.

Extended Dwell Fee (ITS Terminal, LGB) - Effective Monday, January 10, 2022, ITS will be implementing a Temporary Storage Charge in addition to the normal port demurrage/storage charges on all loaded import containers due to severe congestion issues. The intent of this Temporary Storage Charge is to encourage cargo interests to pick up their containers timely, which will allow for a return to a more normalized vessel operation schedule. Once this has been accomplished, ITS intends to rescind the additional charge.

The following, cumulative, fees will apply to all loaded import containers at the rates, and for the temporary effective period: $48 per day commencing on the first day after expiration of free time, for up to five days (e.g., days 1-5 after free time); $72 per day thereafter, for up to five additional days (e.g., days 6-10 after free time); $96 per day thereafter, for up to five additional days (e.g., days 11-15 after free time), and $165 per day for any days thereafter (e.g., all days from day 16 and after).

Extended Dwell Fee (TTI Terminal, LGB) - Effective Monday January 10, 2022, in an effort to reduce excessive terminal congestion, Total Terminals International LLC (TTI) will implement the following, cumulative, Extended On-Terminal Storage/Terminal Congestion Fee for all inbound loaded containers that remain in TTI’s Long Beach marine terminal more than eight calendar days following the date of discharge:

• No Extended On-Terminal Storage/Terminal Congestion Fee for calendar storage days 1 through 8 the container is on terminal and available for delivery.
• $100 per day for days 9 through 14; $150 per day for all days thereafter.

Source: Hamburg Süd