Amidst war, price hikes, and demands
This week’s communication reveals an agenda filled with international news.
- The fuel surcharge continues to increase, and some carriers are now forced to adjust it every week to cope with the situation.
- Spain: Strikes are ongoing, severely affecting import/export flows.
- Port of Le Havre: Terminal construction works.
- Maersk, CMA-CGM, and Hapag-Lloyd are under investigation by the U.S. Congress regarding their maritime tariffs and revenues generated since 2020.
- The return of COVID and lockdown in China is once again heavily impacting maritime activity.
- Additional sanctions have been imposed on Russia, further restricting exports.
1..The fuel surcharge continues to increase, and some carriers are now forced to adjust it every week to cope with the situation.
As you may know, the war in Ukraine and global sanctions against Russia have significantly increased fuel costs. To maintain the continuity of their services, some transport companies are obliged to make weekly adjustments.
2. Spain: Strikes are ongoing, severely affecting import/export flows.
The effects of the strike by Spanish carriers against rising fuel prices continue to be felt. Delivery or pickup is no longer possible in certain highly affected sectors. Several instances of disruptions and vandalism targeting drivers attempting to continue their deliveries have also been reported.
We draw your attention to the exceptional and extreme nature of this strike situation. If your supply chain allows, consider postponing your imports/exports to this destination.
3. Port of Le Havre: Terminal construction works.
Construction works are currently underway at the Port of Le Havre, resulting in only one quay berth available for 400-meter vessels. This leads to delays if two to three 400-meter vessels arrive simultaneously.
Work schedule :
Phase 4: Until April 4th – impact on quay berths (only one quay berth for vessels over 400 meters)
Phase 5: From April 4th to the end of July 2022 – all quay berths will be available, no further impact.
This may slightly increase waiting times for ships but should not cause major disruptions.
1..Maersk, CMA-CGM, and Hapag-Lloyd are under investigation by the U.S. Congress regarding their maritime tariffs and revenues generated since 2020.
U.S. representatives are requesting the three companies to address their three main demands:
- Unallocated transport capacity for the period between September 9, 2021, and February 1, 2022.
- Reasons why the revenues generated in the transpacific market significantly exceed their operating costs.
- Measures planned to lower rates, including fees and surcharges, in the coming year.
This request is a positive sign for the maritime market as it could lead to a downward normalization of prices within a closer timeframe than previously mentioned.
2. The return of COVID and lockdown in China is once again heavily impacting maritime activity.
China’s zero COVID policy has led to a seven-day lockdown for tens of millions of people in eleven cities, including major ports in Shanghai and Shenzhen.
While the main ports of Shenzhen and Shanghai have declared normal operations, logistics service providers have reported trucking delays due to road restrictions and extensive COVID testing. Additionally, a shortage of truck drivers and port workers is also expected.
This situation could significantly extend lead times from China and drive prices upward. We will keep you informed of any developments.
3. Additional sanctions have been imposed on Russia, further restricting exports.
The supply, transfer, or export of luxury goods to Russia is now prohibited.
Direct or indirect importation, purchase, and transportation of steel and iron originating from Russia, as well as the provision of any associated services, are also prohibited.
Feel free to contact our THEMATRANS team if you have any questions!