capacity crunch

Equipment and capacity squeeze sees South China cargo bookings suspended

Shipping lines have announced the temporary suspension of cargo bookings into South China next month, blaming reduced capacity from local feeder operators.
The move has prompted dismay among local forwarders who have warned customers “not to hesitate” to take any chance of booking cargo prior to Chinese New Year, which falls on 12 February.
Last week, OOCL reported a “sharp” drop in available feeder capacity, due to Covid quarantine rules affecting ship …

The post Equipment and capacity squeeze...

https://theloadstar.com/equipment-and-capacity-squeeze-sees-south-china-cargo-bookings-suspended/

DSV sails into the charter market in a ‘one-off deal’ to beat the capacity crunch

DSV has taken the “extraordinary” step of chartering its own vessels to beat the China-Europe capacity crunch.
Amid one of the worst-ever capacity and equipment shortages in container shipping, the forwarder has chartered three multipurpose vessels for a direct sailing from Shanghai to the Danish port of Aarhus later this month.
A DSV spokesman told The Loadstar: “For now, this is only for one trip with each of the three 700-1,200 teu …

The post DSV sails into the charter market in a ‘one-off...

https://theloadstar.com/dsv-sails-into-the-charter-market-in-a-one-off-deal-to-beat-the-capacity-crunch/

Strong air freight demand fighting tight capacity, pushing rates higher

European forwarders are reporting air freight rates hitting $10 per kg, and still climbing, as the peak season – boosted by distressed sea freight – continues.
As the UK becomes the latest European country to enter a four-week lockdown, mirroring Germany, France and Belgium among others, forwarders indicate that consumer demand will likely continue despite closed shops.
This is in part because of the scheduled end dates of the lockdowns at the …

The post Strong air freight demand fighting tight...

https://theloadstar.com/strong-air-freight-demand-fighting-tight-capacity-pushing-rates-higher/

‘We’re sold out’ says ONE, but we all face new hurdles in ‘this incredible year’

As container shipping’s rollercoaster year continues a steep climb, one senior carrier executive has declared: “We’re sold out.”
Jeremy Nixon, CEO of Ocean Network Express (ONE), said 2020, with global lockdowns and subsequent swings in demand, had been an “incredible year”.
“I don’t think we’ve ever seen anything like this,” he said during an International Chamber of Shipping webinar.
“China went down [with the virus] very, very fast, and then, just as they were …

The post ‘We’re sold out’ says...

https://theloadstar.com/were-sold-out-says-one-but-we-all-face-new-hurdles-in-this-incredible-year/

Dwindling airfreight capacity forces perishables shippers to try a dip in the ocean

Things just got worse for South Africa’s perishables exporters: just as they were gearing up for the stone fruit season, struggling national carrier South African Airways (SAA) grounded its fleet.
The move was not unexpected. The airline, which has only once produced an annual profit since 1994, had filed for creditor protection in December, but the impact of Covid derailed plans for a restructure.
SAA has not operated commercial scheduled flights since …

The post Dwindling airfreight capacity...

https://theloadstar.com/dwindling-airfreight-capacity-forces-perishables-shippers-to-try-a-dip-in-the-ocean/

Continued lack of airfreight capacity has created a ‘battlefield’ for forwarders

Shippers should expect to pay “bullish” carriers higher freight rates next contract season.
According to Ludwig Hausmann, partner at McKinsey & Company, upcoming freight contracts will be characterised by “very high” rates.
“Carriers in air, ocean and rail are being very bullish in the short term, but very insecure about the middle and end of next year,” he said during a webinar by Xeneta.
“Shippers that commit to certain volumes and block space …

The post Continued lack of airfreight capacity...

https://theloadstar.com/continued-lack-of-airfreight-capacity-has-created-a-battlefield-for-forwarders/

Container shipping service levels dropping as costs and rates rise

Container shipping costs and service levels are at risk of spiralling out of control, according to Drewry.
As well as a massive withdrawal of capacity since the start of the Covid-19 crisis – 468 blanked departures on east-west trades – the analyst said schedule reliability had been “extremely low”.
“In the first half of the year, fewer than two out of three vessels arrived within 24-hours of their ETA,” said Philip Damas, …

The post Container shipping service levels dropping as costs and rates...

https://theloadstar.com/container-shipping-service-levels-dropping-as-costs-and-rates-rise/

Paying premium rates no guarantee of space for shippers to North Europe

Shippers from Asia to North Europe face a severe capacity crunch, and carriers are set to add to their misery with mid-month FAK rises and peak season surcharges.
NVOCCs have told The Loadstar in the past few days they were experiencing three-to-four-week delays for FAVs (first available vessels) to North Europe, and even longer for the UK.
“We are paying their FAK rates, and even a premium on top, but we are really struggling …

The post Paying premium rates no guarantee of space for shippers to...

https://theloadstar.com/paying-premium-rates-no-guarantee-of-space-for-shippers-to-north-europe/

Flexport claims its data advantage can provide ‘opportunity in chaos’

Flexport claims it has won business during the tariff war and Covid-19 crisis by making better use of data than larger rivals.
“We like to say there’s opportunity in chaos,” said Sanne Manders, the forwarder’s chief operating officer, “because when there’s chaos your competitors are paralysed.
“They are larger, bureaucratic organisations, not typically built on modern technology, and they don’t have all the data at their fingertips. So they have to start redesigning …

The post Flexport claims...

https://theloadstar.com/flexport-claims-its-data-advantage-can-provide-opportunity-in-chaos/

Demand spike and blank sailings make US importers scramble for capacity

Just as their inbound flows are building up, US importers are facing tight capacity on the water, chiefly out of Asia.
“We had at least two conference calls with customers and shipping lines about this in the last few days,” reported Bob Imbriani, senior vice-president international of forwarder Team Worldwide.
“It’s more difficult to get space, and you have to book earlier,” he added.
Waterborne US imports from Asia in June were 9.5% …

The post Demand spike and blank sailings make US importers...

https://theloadstar.com/demand-spike-and-blank-sailings-make-us-importers-scramble-for-capacity/

+ More