WEEK 44 MARKET UPDATE

NY-NJ PORT, TERMINALS TAKE NEXT STEP IN RAIL TRACK PROJECT

The Port of New York and New Jersey and two of its marine terminals are funding further planning on a track project  that would mean fewer delays out of the port. 

HOUSTON APPROVES LONG-DWELL BOX FEES TO PROD SHIPPERS

The move to impose fees on long-dwelling containers comes as the import backlog at Port Houston has created truck  queues outside its terminals and increased turn times for drivers. 

MSC unit teaming up to develop new Baltimore container terminal

Mediterranean Shipping Co.’s terminal arm is working with a developer to build a container facility at the Sparrows Point  industrial park near the Port of Baltimore. 

Container Cargo freight ship by crane bridge.

LA/LB PORTS CONTAINER DWELL FEE STILL NOT IMPLEMENTED ONE YEAR ON

A year on from its announcement a container dwell fee by the Ports of Los Angeles and Long Beach (LA/LB) has yet to be  implemented. One year ago, on 25 October 2021, the Southern California gateway ports of LA/LB announced plans for a  $100 per container, per day, charge for boxes left on the terminal for more than nine days, in a bid to reduce record  levels of congestion that were being experienced at the ports at the time. The charge was due to be implemented on 15  November 2021, but a significant improvement in the volume of aging cargoes left on the docks resulted in the first of  many postponements to the charge being levied on shipping lines. On 25 October 2022 the latest postponement of the  dwell fee was announced for a four-week period until 18 November, meaning the earliest the charge could be  introduced is now a year after its original date. Since the container dwell fee was announced congestion has improved  dramatically from over 100 ships queued outside of the ports of LA/LB for weeks on end to the terminals having spare  capacity. The volume of aging cargo the docks has reduced by 69% compared to the same time a year earlier. 

NEW YORK CITY RECEIVES $5 MILLION GRANT TO IMPROVE WATER FREIGHT SERVICES AND MARINE HIGHWAYS

New York City Economic Development Corporation (NYCEDC) today announced that New York City has been selected for  a $5.16 million federal grant to upgrade and improve six harbour landings. The funding comes from a U.S. Department of  Transportation (USDOT) Maritime Administration (MARAD) grant and will be used to strengthen critical freight  movement on waterways by enabling these landings to dock watercraft and prepare cargo for local delivery. The  harbour landings proposed in the application are located at Stuyvesant Cove (Manhattan), Downtown Manhattan  Heliport (Manhattan), Pier 36 (Manhattan), Oak Point (Bronx), 29th Street Pier (Brooklyn), and 23rd Street Pier  (Manhattan). 

Import/Export Market Trends –

  • Congestion continues at Canadian ports and rail ramps. Yard utilization at Vancouver and Prince Rupert is >95%.  Import rail dwell in Vancouver is over 7 days, and over 14 in Prince Rupert. 
  • Chassis shortages continue in inland markets: Ohio Valley, Memphis, Dallas, Chicago. 
  • Ports in Florida and elsewhere in the Southeast have been greatly impacted by Hurricane Ian. Tampa and  Jacksonville were closed at the end of September. Closings or limited operations occurred in Miami, Savannah,  and Charleston. 
  • LA/LB is largely improving, though still congested with imports. 
  • Oakland is seeing continued delays due to import volume and labor shortage, along with high yard utilization.

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