Top 10 international shipping news stories 2016

High 10 Worldwide Transport Information Storylines of 2021

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High 10 Listing

This would be the final weblog I put up in 2021, so I can spend the vacations with household. What higher time to do a glance again on the yr’s high worldwide transport information tales?

This yr, tales didn’t are usually one-off occasions, however fairly ongoing storylines. Impressed by the nice Late Evening host David Letterman, we’ll depend down these storylines from 10 to 1. Be at liberty to tell us within the feedback when you suppose I received the order unsuitable or left one thing out that ought to have made the record.

#10 – Ocean Transport Reform Act of 2021

This may doubtless be a much bigger storyline in 2022, because the story – as Karen Carpenter would say – has solely simply begun. Thus, it sits at quantity 10 on our record of high worldwide transport information storylines of 2021. Nonetheless, it’s nonetheless an enormous deal. Shippers have been begging the FMC, Congress, and even the president to do one thing about unfair practices within the worldwide transport business. Listed here are a pair examples:

Posted March 2, 2021:

US Ag Exporters Urge President Biden Take Motion In opposition to Ocean Freight Carriers’ Practices

Posted April 20, 2021:

FMC Deregulates on Ocean Service Service Contracts – Shippers Await Motion on Charges

Often, shipper complaints appear to fall on def ears. However in 2021, Congress really listened and, extra amazingly, took motion.

In a uncommon bipartisan effort, the Home of Representatives shortly and overwhelmingly handed the Ocean Transport Reform Act of 2021. The invoice isn’t with out criticism from the transport business, nevertheless it has advocates working inside the business too. If the invoice makes it via the Senate, you may count on fairly a number of weblog posts on the subject in 2022.

Final week, Common Cargo shared the complete textual content of the invoice in our weblog:

Posted December 16, 2021:

Full Textual content of the Ocean Transport Reform Act of 2021 the Home Simply Handed

#9 – New Regular Narrative

I’ve come to hate the phrase “new regular.” Not solely has it been used to attempt to get folks to just accept irregular practices as regular and never resist intrusive authorities overreach into their lives, however the phrase has made it into the worldwide transport vernacular too.

There are most likely few phrases I’ve learn extra in worldwide transport articles in 2021 than “new regular.” In worldwide transport it has been used to check with service manipulation of capability, made attainable by service alliances, excessive freight charges, and even every now and then of port congestion.

Right here’s a put up on the topic from earlier this yr.

Posted April 15, 2021:

Document Imports & No Extra Overcapacity – Are We Actually Seeing a “New Regular” in Worldwide Transport?

#8 – Dockworker Unions Battle Automation

That is a world transport storyline that most likely didn’t get sufficient consideration in 2021. On each the east and west coasts, the dockworker unions have continued their battle in opposition to automation on the ports this yr.

The Worldwide Longshoremen’s Affiliation (ILA) and Worldwide Longshore & Warehouse Union (ILWU) have lengthy fought automation on the ports, which has resulted in much less environment friendly ports within the U.S. in comparison with others around the globe and contributed to the horrible congestion U.S. ports have suffered all through 2021. Spoiler alert: that congestion storyline will seem on this record.

The ILA put a stranglehold on a Port of Charleston terminal over automation, inflicting containerships to not name on it. The ILWU opposed automation at Whole Terminals Worldwide on the Port of Lengthy Seaside, which was talked about within the “3 Worldwide Transport Information Tales Shippers Ought to Know About” put up linked to beneath.

This difficulty of dockworker unions preventing automation might develop into a a lot greater storyline in 2022. The ILWU grasp contract is ready to run out and negotiations are anticipated to get ugly over this very difficulty. When dockworker union contract negotiations get contentious, severe port congestion is commonly the end result, in order that’s thrilling for shippers who’ve suffered via greater than a yr of extreme congestion on the ports.

Posted Might 6, 2021:

ILA Strangling Port of Charleston’s New Terminal

Posted Might 20, 2021:

3 Worldwide Transport Information Tales Shippers Ought to Know About

Posted on August 24, 2021:

ILWU & PMA Seemingly Heading for Battle that Will Price Shippers

#7 – A Collection of Disruptions Hit the Provide Chain

The availability chain has been within the information an ideal deal towards the tip of of 2021. However it’s suffered issues all yr lengthy – and never simply of the port congestion selection. There have been a collection of disruptive occasions, slowing cargo and making congestion worse. On high of COVID protocols limiting productiveness on the ports, there have been partial port shutdowns and rolling manufacturing unit shutdowns in China amongst different disruptive occasions.

Listed here are a number of posts about such disruptions:

Posted June 22, 2021:

What’s Disrupting Worldwide Transport Now?

Posted June 24, 2021:

Good Information, Dangerous Information: Yantian Port Again to Full; Freight Charges Rise Even Larger

Posted September 28, 2021:

Now What’s Hitting Container Transport? Energy Shortages?!

Posted March 25, 2021

#6 – Megaship Clogs the Suez Canal

This storyline might be a part of the earlier merchandise, however the story captured mainstream consideration so absolutely, it deserves its personal place on this record. The Ever Given is among the largest containerships on this planet. So it was a sight to see it caught sideways within the Suez Canal.

Not solely was it a majorly disruptive occasion for worldwide transport, rippling the world over’s provide chains, nevertheless it additionally impressed many memes. My favourite meme was Austin Powers making an attempt to show it round in Dr. Evil’s too slender underground hallway as a result of that was additionally my first thought after I noticed photographs of the ship turned sideways within the canal.

Posted March 25, 2021:

Aground Megaship Might Block Suez Canal for Weeks

Posted March 30, 2021

Ever Given Free, Let the Fallout Start

#5 – China’s Heavy-Handed COVID Insurance policies Make Issues Worse

China’s Covid Zero insurance policies had them shutting down main port terminals on the drop of a hat. Or fairly, on the drop of a single optimistic Covid check. I want that they had this type of warning when it got here to experimenting on or enhancing coronaviruses in laboratories. Their insurance policies additionally create issues for ships altering crews, forcing many ships to reroute. Total, China’s Covid insurance policies have added to provide chain issues with out creating any actual advantages.

Listed here are some posts on the storyline:

Posted August 12, 2021:

Single COVID Case Shuts Down Main Chinese language Port Terminal

Posted August 19, 2021:

Updates on the Port of Ningbo Terminal Closure

Posted November 30, 2021:

China’s Covid Zero Insurance policies Worsen Provide Chain Issues

#4 – Ocean Freight Carriers Make Billions and Billions

This storyline requires little rationalization. For the reason that pandemic hit final yr, ocean freight carriers have cashed in to the tune of billions and billions of {dollars}. Excessive demand, capability manipulation, and skyrocketing freight charges are all excellent news for carriers. It’s fairly the turnaround for these large corporations that for years struggled with overcapacity and profitability.

The one ones doubtless making more cash than ocean freight carriers over the past yr are pharmaceutical corporations that promote Covid vaccines. ‘Nuff stated.

Posted Might 4, 2021:

Simply How A lot Are Carriers Incomes with These Excessive Freight Charges?

Posted July 8, 2021:

12 Determine Income for Carriers? Is determined by How Peak Season Performs Out

#3 Main Retailers Constitution Ships Solely for Their Personal Items

Delays, congestion, excessive freight charges, cargo getting rolled over to later sailings, carriers not honoring contracts, and bother getting house on ships had shippers so determined {that a} development began with main retailers large enough to comply with it. They began chartering entire ships solely for their very own items. House Depot was the primary I keep in mind doing it, however the observe quickly caught on.

Listed here are some associated posts:

Posted June 15, 2021

Might This Transfer Disrupt the Ocean Transport Enterprise?

Posted August 31, 2021

Greenback Tree Exemplifies Losses Shippers Dealing with & Options

Posted September 9, 2021

Massive Transport Development – Retailers Guide Their Personal Ships

#2 – Sky-Excessive Freight Charges

For shippers, freight charges have been outrageous everything of 2021. Charges began the yr unbelievably excessive, and out of doors of occasional moments of holding pretty regular and the uncommon small decline, charges have primarily simply climbed and damaged extra data.

Clearly, as is evident from earlier on this record, ocean freight carriers love these excessive charges. They’re raking it in. Total although, I’d say these astronomical freight charges are unhealthy information for companies and shoppers in an economic system already being choked by out-of-control inflation and suffocating overregulation fueled by concern and energy grabbing within the midst of a pandemic.

Freight Rates

Listed here are posts you may revisit from over the yr to inform the story of 2021 freight charges.

Posted January 7, 2021:

Transpacific Freight Charges Begin Climbing Once more to New Document Highs

Posted April 6, 2021:

What’s Taking place With Worldwide Transport Freight Charges

Posted April 13, 2021:

Shocker: Carriers Increase Ocean Freight Charges in April

Posted March 23, 2021:

US Importers’ Transport Contracts Double: What Does That Imply for Spot Charges?

Posted April 22, 2021:

Transpacific Freight Charges Come Down a Little Bit

Posted April 29, 2021:

COVID-19 Did Not Trigger These Excessive Freight Charges

Posted Might 11, 2021:

At Least 2 Extra Years of Excessive Freight Charges Says Drewry

Posted Might 18, 2021:

Freight Charges Handle to Climb Even Larger

Posted June 24, 2021:

Good Information, Dangerous Information: Yantian Port Again to Full; Freight Charges Rise Even Larger

Posted December 14, 2021:

Freight Charges Fell Final Month However Climb Once more Now

#1 – Port Congestion

I feel it could come as no shock to anybody that port congestion is the primary worldwide transport information storyline of 2021. It might come as a shock to many exterior the business – actually to not common readers of this weblog – that this has been an issue actually all yr lengthy.

The availability chain disruption on the ports turned a significant political speaking level however solely only in the near past – most likely as a result of it helped push the information cycle away from President Biden’s disastrous pull-out from Afghanistan, the disaster on the southern border his administration has fostered, and terribly underperforming financial numbers – for a few of which the provision chain has been used as a scapegoat.

Right here in Common Cargo’s weblog, we’ve been speaking concerning the port congestion earlier than 2021 even started. Nonetheless, let’s stick simply with this yr. Pulling headlines from a handful of our blogs over the yr tells the story of port congestion. Sadly, this storyline nonetheless isn’t over. Port congestion remains to be unhealthy.

Posted January 14, 2021:

Container Ship Backups Worse Than Throughout 2014/15’s Devastating Labor Contract Negotiations

Posted February 11, 2021:

Chinese language New Yr Chinese language Port Congestion

Posted March 11, 2021:

Congestion Seems Like It Will Snowball into Peak Season, However There’s Hope

Posted March 9, 2021:

Sure, Port Congestion Is Nonetheless Dangerous & Not Going Away Quickly

Posted June 1, 2021:

Rail Shrinking Free Time to Battle Congestion – Shippers Pay the Value

Posted June 8, 2021:

Carriers Pause Transpacific Calls to Port of Oakland

Posted September 23, 2021:

How Dangerous Port Congestion Is & the Little Being Executed About It

Posted October 14, 2021:

Port Congestion, 24/7 Gate Hours, Biden, & Inflation

Posted October 19, 2021:

Biden Lastly Nominates Maritime Administrator

Posted October 21, 2021:

6 Causes Biden Immediately Cares Concerning the Provide Chain

Posted November 2, 2021:

Charges, Fines, Fo Fum – Shippers Get Able to Pay a Hefty Sum

Posted November 18, 2021:

UPDATE: Charges Delayed at Ports of Los Angeles & Lengthy Seaside

Posted November 22, 2021:

Ports of Los Angeles & Lengthy Seaside Delay Charges Once more – Comfortable Thanksgiving!

Posted December 7, 2021:

Ports of LA & LB Hold Resetting Countdown Till You’re in Hassle

Posted December 10, 2021:

Biden-Backed Port Congestion Plan Not as Profitable as Marketed

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