Ferry Destined for Scottish Islands Launched by Cemre
The MV Isle of Islay, the first of two vessels to serve the islands of Islay and Jura in Scotland, has been launched at Cemre Marin Endustri shipyard in Turkey.The vessel, which is one of four ferries being built at the yard, marks a significant milestone in Caledonian Maritime Assets Limitedās (CMAL) commitment to delivering new ferries to serve the Scottish islands.Scheduled for delivery in October 2024, the vessel will have capacity for up to 450 passengers and 100 cars, or 14 commercial vehicles.
Mexico Could be Back Door for Chinese Imports into US
Growth in demand for container shipping imports from China into Mexico in January 2024 increased by 60% compared to 12 months ago, further fuelling suspicions it has become a back door into the US.According to analysts at Xeneta, 117,000 TEU was shipped in January of this year compared to 73,000 TEU in January 2023 (source: Container Trades Statistics).Annual growth in container shipping between China and Mexico had already increased by 34.8% in 2023 compared to just 3.5% in 2022.Peter Sandā¦
Hapag-Lloyd to Seek Cost Cuts After Net Profit Slump
German container shipper Hapag-Lloyd said on Thursday the global oversupply of container ships and a crisis in the Red Sea will force it to cut costs in 2024, adapting sailings and ports following a bruising 83% fall in net profit.Ship operators face prolonged disruption while Yemen-based Houthi militants are attacking vessels travelling on one of the world's busiest routes, wiping out the benefit from higher freight rates with costly redirections around Africa.Hapag-Lloyd's problems chime with those of competitors such as Maersk and CMA CGM, exacerbated by the arrival of additional ships orde
Zim Reports Fourth Quarter Loss
ZIM Integrated Shipping Services has announced consolidated results for the three and 12 months ended December 31, 2023, noting a net loss for the fourth quarter of $147 million (compared to a net profit of $417 million in the fourth quarter of 2022).The net loss for the full year, including a $2.06 billion non-cash impairment loss, was $2.69 billion (compared to a net profit of $4.63 billion for the full year of 2022).Adjusted EBITDA for the fourth quarter was $190 million, a year-over-year decrease of 80%.
MARAD Announces $500 Million in Funding for Port Infrastructure
As a part of President Bidenās Investing in America agenda, the U.S. Department of Transportationās Maritime Administration (MARAD) published a Notice of Funding Opportunity (NOFO) for $500 million in Federal Fiscal Year 2024 funding through MARADās Port Infrastructure Development Program (PIDP).Investments made under the PIDP focus on modernizing the Nationās coastal and inland waterway ports as well as strengthening its supply chains and economic security for generations to come.
Sharp Uptick Seen in Crude Tanker Ordering
Contracting activity for for crude tanker newbuilding has risen sharply to start 2024, driven by a steep rise in orders for very large crude carriers (VLCC), according to shipping organization BIMCO.In the first two months of 2024, crude tanker newbuild contracting surged to 7.4 m DWT, a 490% leap y/y. Notably, the 19 VLCCs ordered in January and February is more than was ordered for the entirety of 2023.Freight rates for crude tankers spiked at the start of the war in Ukraine, and they have largely stayed strong since, said Filipe Gouveia, shipping analyst at BIMCO.
US Container Shippers Slow Walk New Contracts, Eye Easing of Red Sea Rate Hikes
U.S. importers are playing the waiting game with new container shipping contracts, gambling the rate spike from Red Sea vessel attacks will fade and put them in a stronger negotiating position, shipping industry analysts said.Iran-aligned Houthi missile and drone attacks on commercial ships in the Red Sea have forced most container carriers to reroute vessels around Africa and sent spot rates soaring.That price shock is a "gift" that carriers will be giving back when the assaults stopā¦
Egypt's Non-oil Business Sector Hurt by Suez Canal Disruption
A downturn in Egypt's private sector activity deepened in February as a drop in Suez Canal freight due to attacks on shipping in the Red Sea worsened a long-running foreign currency shortage, a survey showed on Tuesday.The S&P Global Purchasing Managers' Index (PMI) for Egypt slipped to 47.1 in February from 48.1 in January, remaining below the 50.0 threshold that separates growth from contraction for a 39th consecutive month.The overall index reading was the lowest for 11 monthsā¦
Baltic Dry Index Ticks Down as Capesize Losses Offset Gains in Smaller Vessels
The Baltic Exchange's dry bulk sea freight snapped a 12-session winning streak on Tuesday, as pressure from lower capesize rates outweighed gains in smaller vessel segments.The overall index, which factors in rates for capesize, panamax and supramax shipping vessels, was down 0.3% at 2,291 points.The capesize index .BACI snapped its nine-session rising streak, shedding 57 points, or 1.4%, to 4,148.Average daily earnings for capesize vessels, which typically transport 150,000-ton cargoes such as iron ore and coalā¦
Houthi Attacks Having Limited Impact on Israeli Trade, Prices - Ministry
Attacks by Yemen's Iran-backed Houthis on cargo ships in the Red Seas are having limited effect on trade to Israel and have not led to any significant inflationary pressures, Israel's Finance Ministry said in a report on Monday.Houthi militants have repeatedly launched drones and missiles against international commercial shipping in the Gulf of Aden since mid-November, saying they are acting in solidarity with Palestinians against Israel's military actions in Gaza.Their Red Sea attacks have disrupted global shippingā¦
Recycling Market Still Deprived of Tonnage
As freight markets push further on, global ship recycling markets remain deprived of tonnage, making it an increasingly suffocating environment for ship recyclers to operate in, reports cash buyer GMS.Bangladesh and Pakistan rely heavily on imported shipās steel, not only for domestic / large-scale infrastructure projects, but also for its comparatively āhealthierā and ārust-freeā condition than other forms of imported scrap metal / steel (HMS 1, HMS 2, shredded steel, etc.)Thereforeā¦
US Gulf Coast Fuel Oil Imports Hit Five-year Low
Imports of fuel oil bound for the U.S. Gulf Coast fell to a five-year low last month as refiners ran more cheap, heavy Canadian crude and geopolitical tensions in the Middle East pressured fuel oil flows.Fuel oil deliveries to the Gulf Coast dwindled in February to just 318,000 barrels per day (bpd), a 20% drop from the prior month and marking their lowest level since February 2019, data from tanker tracking firm, Kpler showed.Heavy fuel oil feedstocks like high sulfur fuel oilā¦
CMA CGM Caps Logistics Push with $5 Billion Bollore Deal
France's CMA CGM has completed a $5 billion takeover of Bollore Logistics, its biggest-ever acquisition, and said it had funds for more deals as it seeks to counter volatility in container shipping.The acquisition of the logistics division of French conglomerate Bollore, announced last year, closed on Thursday at a final price of 4.85 billion euros ($5.25 billion) after debt and cash adjustments.The deal will extend the reach of CMA CGM's CEVA Logistics unit into areas such as freight management for pharmaceutical, cosmetics and luxury firms.CMA CGM, based in Marseille and privately controlled
GAO: Coast Guard Should Address Workforce Recruitment and Retention Challenges
The Coast Guard has struggled for years to recruit and retain a sufficient workforce. The U.S. Government Accountability Office (GAO), the non-partisan, fact-based arm of the Congress, has published multiple reports related to the Coast Guardās workforce including recruitment and retention challenges. Three of these reports published in 2022 and 2023 have resulted in 17 GAO recommendations to address these issues, but as of today, 16 remain open and need to be addressed. Implementingā¦
IMOās PPR11 Agrees Guidance on Key Environmental Issues
The IMOās Sub-Committee on Pollution Prevention and Response (PPR 11) agreed new guidance on several key environmental issues.Meeting from February 19 to 23, 2024, the following guidance will now be submitted to the Marine Environment Protection Committee for approval this March (MEPC 81) and October (MEPC 82):ā¢ the safe transport of plastic pellets by seaā¢ best practices for cutting black carbon emissions from ships operating in or near the Arcticā¢ reducing risks of use and carriageā¦
Ship Recycling Market Faces Tonnage Shortage
Global ship recycling markets are now being exclusively driven by the relentless and futile shortage of tonnage that is expected to continue until Spring (at the very least), says cash buyer GMS.āThe much-anticipated rebound in global recycling volumes that so many in our industry had been waiting (hoping) for before the turn of the year, has unfortunately failed to materialize.āMarkets in Turkey and India remain well off the competitive pace, so Pakistan and Bangladesh remain are leading the market despite the continued drop in supply of vessels.
Xeneta Appoints Chief Product Officer
Fabio Brocca after being appointed Chief Product Officer at ocean and air freight rate benchmarking platform, Xeneta.Brocca was previously Head of Product for Global Transportation Technology at Amazon.āAmazon showed me the importance of working backwards from the customer and how a best-in-class tech company is run.āWhen you are transforming an industry, you must think long term. What we think is needed today may not be whatās needed tomorrow, so it is a continuous pursuit of innovation.āThere is a beautiful quote from Jeff Bezos where he saysā¦
Red Sea: Far East-US Spiraling Ocean Freight Rates Set for Decline
Spiraling ocean freight rates from the Far East to the United States, caused by the Red Sea crisis, may have peaked, with some relief on the horizon emerging for the shippers, according to the latest analysis from Xeneta, and ocean and air freight rate benchmarking and market analytics platform.The latest data released by Xeneta indicates a peak may have been reached after spot rates from the Far East into the US declined slightly since the last round of General Rate Increases (GRIs) were implemented at the start of February.Into the US East Coastā¦
Worldās First Ammonia-powered Containership Ordered
Partners behind a project to develop the worldās first ammonia-powered containership have placed an order to build the groundbreaking vessel at Qingdao Yangfan Shipbuilding, in China.Expected to be delivered by mid-2026, the 1,400 TEU ice-class containership Yara Eyde will run on ammonia as fuel, serving routes between Norway and Germany.The vessel will be owned by Delphis, the container division of CMB.TECH, and operated by NCL Oslofjord AS, a joint venture between North Seaā¦
Stena Line Commences Dublin-Liverpool Freight Route
Swedish ferry operator, Stena Line has officially commenced its new Dublin ā Liverpool (Birkenhead) freight service. The addition of the new route is expected to further boost the companyās freight volumes following a record year on its Irish Sea services in 2023.The return service will operate daily from Dublin in the morning, making the evening return journey from 12 Quays terminal in Birkenhead.The addition of the new service will be Stena Lineās seventh route in the Irish Sea region complementing its Belfast - Cairnryanā¦
Marine Power R&D Insights: Matt Hart, Wabtec Corporation
Matt Hart, Manager & Platform Leader, Marine & Stationary Power Systems, Wabtec, offers insights on how the megatrends of decarbonization, energy transition and autonomy all inspire and impact the marine power solutions from Wabtec.Matt, to start us off, can you provide insight on the journey to your present position?I graduated from the University of Notre Dame with an undergraduate in Mechanical Engineering and started with General Electric in the Edison Engineering Development rotational program at the Erieā¦
Port of Antwerp Disrupted by Belgian Farmers' Protests
Operations at the port of Antwerp, one of Europe's biggest container ports, were seriously impacted on Tuesday as hundreds of farmers on tractors blocked the roads around the port to demand better pay and working conditions, officials said.The protest follows a large number of similar actions by angry farmers in France, Belgium, the Netherlands and beyond, as farmers also demand looser environmental rules and better protection against cheap imports."Operations are heavily disrupted," Stephan Van Fraechem, the director of the association of port companies Alfaport VOKA, told Reuters.
Dry Bulk Vessel Rates on the Rise
The Baltic Exchange's dry bulk sea freight index rose for a third straight session on Tuesday to hit a one-month peak, as rates climbed across larger vessel segments.The overall index, which factors in rates for capesize, panamax and supramax shipping vessels, was up 13 points, or 0.8%, at 1,585 points, its highest since Jan. 10.The capesize index also scaled a one-month high. It added 23 points, or 0.9%, at 2,476 points.Average daily earnings for capesize vessels, which typically transport 150ā¦