Aug 2023 Local and Industry Updates
After a 5 week disruption from the Canadian West Coast port labour dispute, the backlog is slowly getting cleared. Here’s the latest on what is happening in the industry for empty containers:
- One of the Vancouver ports closed for two days last week, because their yard was full.
- The West Coast 20’ST, 40’ ST and 40’HC containers inventory look sufficient to fulfill current export bookings. 40’HC inventory is limited at off-dock depots and majority of 40’HC export bookings are released at port terminals.
- Demand for 20’ ST containers will increase after the Labour Day weekend, as agriculture shipping season starts.
- The East Coast rail yards continue to prioritize returning empty containers back to the West Coast.
Here are a few important industry articles we have read recently:
South Korea’s largest shipping company is for sale, and three of South Korea’s top 50 business groups have submitted preliminary bids to purchase HMM. Hapag-Llyod has also reportedly joined the bidding.
The Port of Vancouver is actively working to clear the backlog of waiting ships caused by the recent strike. Rail dwell times at the port were an average of 6.2 days in July, and will likely be higher in August.
One of the United State’s largest LTL carrier is preparing for bankruptcy after years of financial struggles.
Container lines look set to be sailing in 'choppy water’ (The Loadstar)
Global cargo demand remains sluggish due to the persistent impact of inflation and rising interest rates, which are eroding consumers' purchasing ability worldwide.