Major carriers including Hapag-Lloyd, Maersk, and Zim are slashing costs as freight rates continue to decline across global trade lanes. Executives warn that expenses such as shipbuilding, chartering, fuel, and port labor have risen sharply since the pandemic, pushing unit costs well above 2019 levels. Zim highlighted higher fuel costs, port congestion, and increased dockworker […]
Read MoreSouth Korean carrier HMM cautioned Wednesday that global container shipping faces heightened volatility as tariff grace periods expire and trade negotiations continue. “The expiry of tariff grace periods and ongoing renegotiations are expected to increase market volatility, with regional demand shifts likely to sustain supply chain congestion,” HMM said in its first-half earnings commentary. The […]
Read MoreThe World Bank has downgraded growth projections for 70% of global economies, blaming escalating trade tensions and policy uncertainty. JPMorgan Chase warns the U.S. economy is likely to grow at a sluggish pace, while Elon Musk predicts tariffs could spark a recession in the second half of the year. This turbulence raises a central question: […]
Read MoreOcean freight rates from Asia to Europe soared ahead of the carriers’ June 1 general rate increases, fueled by growing congestion at major ports and a shift in vessel deployment toward the booming Asia-U.S. trade lane. Severe delays at key port hubs on both ends of the Asia-Europe route are absorbing available capacity. At the […]
Read MoreFollowing a trade de-escalation agreement between the United States and China announced on Monday, May 12, the White House released an Executive Order outlining how the temporary tariff suspension will be implemented. The order addresses ad valorem duty rates, tariff classifications, and de minimis thresholds affecting goods imported from China and Hong Kong. Key Provisions […]
Read MoreThe suspension of China–U.S. shipments and a wave of blank sailings on the trans-Pacific trade lane may lead to a significant redistribution of vessel capacity, according to Alexandra Ilascu of Kuehne + Nagel. Speaking during the Journal of Commerce’s Asia-Europe webinar, Ilascu warned that these shifts are likely to impact other trade routes, including Asia-Europe […]
Read MoreAir cargo demand rebounded in March, driven in part by businesses accelerating shipments ahead of anticipated U.S. tariff changes. According to the International Air Transport Association (IATA), global airfreight demand, measured in cargo tonne kilometers (CTK), rose 4.4% compared to the same month last year. Capacity also increased by 4.3%, while the cargo load factor […]
Read MoreA renewed push to revive US commercial shipbuilding is stirring debate, following the Biden administration’s decision—carried over from a Trump-era stance—to levy steep fines on Chinese-built and Chinese-owned vessels. Announced on April 17 by the Office of the United States Trade Representative (USTR), the policy aims to send a “demand signal for US-built ships,” according […]
Read MoreA recent report from consultancy firm Trade Partnership Worldwide has raised concerns over the potential impact of heightened tariffs and port fees on the US apparel trade. If current tariff hikes become permanent and additional fees on Chinese vessels are enforced, the US could see a noticeable decline in clothing imports, the study warns. While […]
Read MoreRising trade tensions between the United States and China are expected to trigger significant shifts in Asia’s supply chain dynamics, as regional manufacturers look to diversify markets and mitigate risks, according to Indian industry sources. Speaking to the Journal of Commerce, several experts noted that Chinese exporters, grappling with declining demand from the US due […]
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