To Our Valued Customers:
Market Conditions: US Exporters continue to find vessel space and equipment availability difficult to secure for the Transpacific trade. Vessel space is booked out 4 to 6 weeks to Asia. We expect these adverse conditions to continue through April and May.
Blank Sailings: With the ongoing Covid-19 virus causing a steep drop in demand, ocean carriers are increasing blank sailings from Asia. US exporters will see this disruption in April, May and now thru the entire second quarter as this is when these vessels were scheduled to arrive US ports.
General Rate Increase: Ocean carriers have begun announcing May 1st general rate increases to Far East, Asia, India Subcontinent and Middle East. Initial indications have GRI amounts at $80 per 20’ and $ 100 per 40’.
Hyundai has joined THE Alliance: The first import sailing from Asia is this week. Hyundai’s first export sailing will be in Mid-May.
Philippines – Many carriers are not accepting bookings to the Philippines due to a lack of Customs officials, who are being affected by the COVID-19 lockdown. This is causing severe congestion.
Vietnam – Began a 15 day nationwide social distance campaign to fight the Covid-19 pandemic on April 1st. The country will still ensure the movement of export and import cargo with a priority on essential goods, medical equipment and exports.
Malaysia – Due to COVID-19, Malaysia has issued a Control Movement Order for container haulage. Only commodities that are approved by the government may be moved from the port. These items include agriculture, livestock, farming, fisheries and other essential items.
India: India has the world’s largest lockdown closing all factories, shops and places of worship. India’s 3 week lock down is scheduled to end on April 14th but could be extended.
Bangladesh – Bangladesh has imposed a nationwide lockdown from March 26th through April 4th. Transportation for medicine, fuel and perishable items is still permitted.
If you are exporting to any of these countries, please work with your consignees to confirm that containers can be picked up to avoid potential demurrage and detention fees.
Our #1 priority as always is to help maintain our customers’ competitiveness, to keep your cargo flowing as quickly and as consistently as possible, and to continue to communicate effectively along the way. Our nimbleness, market awareness, and “Built Different” philosophy enable us to do this - as your partner.
Thank you very much for all your support.