US EAST COAST PORT TALKS SET TO RESUME
Talks are set to resume tomorrow between employers and dockworker unions across the US east and Gulf coasts in a last-ditch bid to avert a strike pencilled in for January 15. Following a three-day strike last October, the International Longshoremen’s Association (ILA) reached an agreement with the United States Maritime Alliance (USMX) on wages, suspending their walkout until January. Both sides returned to the bargaining table in November to negotiate outstanding issues with their existing contract due to expire on January 15, five days before Donald Trump takes office as the 47th president of the US. However, negotiations on the master contract broke down in November, with Trump coming out in support of the unions. The issue causing negotiations to break down surrounds the use of semi automated cranes. If there are not any signs of a possible deal in the coming days, Lars Jensen, who heads up container advisory Vespucci Maritime, suggested terminals will likely announce extended gate hours for the week leading up to January 15. “Shippers should stay close to the development and plan accordingly to mitigate the risk of having cargo stuck in the ports in case of a strike,” Jensen advised in a post on LinkedIn.
BOXSHIP CAPSIZES AT TURKISH PORT
A Comoros-flagged containership, Amnah, tilted sideways and then capsized at the Ambarli port in Turkey. The incident took place on Monday at about 04.00 hrs local time due to imbalanced load distribution. The rescue team evacuated 10 of the 15 crewmembers, while the remaining five were forced to jump into the waters around the 101-m-long ship. One of the crew members sustained minor injuries and was taken to the hospital for medical treatment. Turkish General
Directorate of Shipping said in a social media post that a floating barrier was deployed around the ship to control the risk of pollution, while the rescue operations were initiated under the coordination of the port authority. The incident is still under investigation, and a final report is expected once salvage operations and technical assessments are concluded. The 508 teu ship recently changed its name from FESCO Nagaevo and has been working for the Turkish shipping firm Sidra Line. Ship register Equasis shows the 1996-built vessel switched ownership and flag in October from Russian carrier FESCO to Belize-registered Amnah Maritime.
CONTAINER FREIGHT RATES ON THE INCREASE AS YEAR STARTS
The Drewry World Container (WCI) posted on 2 January was up 3% at $3,905 per feu driven by the transpacific trade to both US West and East Coasts from Asia. Meanwhile the Shanghai Containerized Freight Index (SCFI) was up 1.8% on 3 January 2025 over 27 December 2024 at 2,505.7 points. According to Drewry spot rates from Shanghai to Los Angeles increased 7% or $330 to $4,829 per 40ft container, and Shanghai to New York rose 6% or $371 to $6,445 per feu. By contrast on the Asia – Europe trade Shanghai to Rotterdam rates were down 1% at $4,774 per feu and rates from Shanghai – Genoa were flat at $5,420 per feu. Looking ahead Drewry said it, “expects rates on the Transpacific trade to rise in the coming week, driven by front-loading ahead of the looming ILA port strike in January 2025 and the anticipated tariff hikes under the incoming Trump Administration”. It also coincides with a traditional increase in activity in the weeks ahead of the Lunar New Year at the end of January.
MSC CEO SOREN TOFT ELECTED CHAIR OF WSC
In addition to MSC’s Toft taking up the role of chairman at WSC the group announced with Wan Hai Lines’ vice chair, elected to the position of vice chair. The elected positions are for two-year periods with the previous incumbents Rolf Habben Jansen, CEO at Hapag-Lloyd, and Jeremy Nixon, CEO at ONE, having each served two, two-year terms. Joe Kramek, the President and CEO of WSC, who was appointed to his position last summer, said of the two men: “Both are esteemed leaders with a proven track record of driving innovation and sustainability in the global shipping industry. Their experience and expertise will be instrumental in continuing to develop the World Shipping Council as the united voice of liner shipping.” Soren Toft when previously at Maersk was seen as a possible successor to Soren Skou, however, in a surprise move he left the company in 2020, joining the Dane’s competitor, and soon to be former alliance partner, MSC on the 1 December in that year.