To Our Valued Customers:

 

We know the situation impacting all of us is evolving hourly it seems, we wanted to continue to advise you all of what we are seeing and experiencing in the market.  At Laufer, we are committed to providing you with as much information as possible as quickly as possible, understanding of course that the events are quite fluid and changing rapidly.

So here is a shortlist of what we are seeing so far today:

 

Market Conditions: Ocean carrier services continue to deteriorate as carriers cut services and increase blank sailings.  Schedule reliability has worsened for non-canceled sailings as delays for late vessels soar. These conditions are expected to continue through May and into June.

 

Blank Sailings:   The Covid-19 virus is now affecting a drop in demand on the US to Europe trade.  Ocean carriers are beginning to blank sailings to Europe in addition to Asia. As demand drops carriers are cutting more services to prevent ocean rates from falling.

 

General Rate Increase:  Ocean carriers have begun announcing May 1st general rate increases to the Far East, Asia, India Subcontinent and the Middle East.    Initial indications have GRI amounts at $80 per 20’ and $ 100 per 40’.

 

MSC Network Outage:  MSC experienced a network outage on April 9th.   This affected MyMSC as well as communication with INTTRA.  We recommend that you resubmit your booking request or shipping instructions if you have not received booking or proof bill of lading.

 

Federal Emergency Management Agency (FEMA) places export restrictions on PPE:  MSC experienced a network outage on April 9th.   This affected MyMSC as well as communication with INTTRA.  We recommend that you resubmit your booking request or shipping instructions if you have not received booking or proof bill of lading. 

 

Country Updates

Philippines:    Land, Air, and Sea travel has been restricted causing slow movement of cargo and increasing port congestion.  Import volume has yet to be cleared in Manila ports due to local customs office lockdown. Ocean carriers are implementing port congestion surcharges for Manila ports. 

 

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 essential export and import cargo.

 

Malaysia:   Due to COVID-19, Malaysia has issued a Control Movement Order for container haulage.  Only essential commodities that are approved by the government may be moved from the port.  

 

India:   India has the world’s largest lockdown closing all factories, shops and places of worship.  India’s 3-week lockdown is scheduled to end on April 14th but could be extended. Ocean carriers are now canceling sailings to India ports.  

 

Bangladesh:   The slowdown of import customs clearance has caused terminals to become congested reducing the space to discharge import containers and limiting the availability of reefer plugs.

 

Singapore:   Singapore government announced workplace closure with the exception of those providing essential services on April 3rd.

 

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.



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