IMO 2020

Late last week, at the COP28 conference in Dubai, leadership for some of the largest global container shipping lines banded together to issue a joint declaration for an end date for newly-built fossil fuel-powered vessels, while also calling on the International Maritime Organization (IMO) to establish regulatory conditions needed to move on to green fuels to power vessels.

Over the course of 2021, ocean carriers will continue to operate at high capacity utilization levels, and ocean rates will remain high. Moreover, along with the need for elevated container circulation, high demand will continue to favor the Pacific Coast ports for Asian imports destined for the Midwest.

During the interim, shippers can expect ample capacity for moving product at rates not seen for quite some time.

As if the newly imposed IMO 2020 fuel standards and greenhouse gas emissions reduction discussions weren’t enough, carriers now face fresh costs related to maintenance and insurance heading into the post-COVID era.

Now more than ever, business leaders should be planning for the worst, and hoping for the best.

Our European correspondent explores seven key areas that U.S.-based global shippers will need to keep a keen eye on as they roll into another year of forecast uncertainty.

It’s contract season in the trans-Pacific trade, and beneficial cargo owners (BCOs) should consider the challenges facing ocean carriers as they make ship deployment decisions that will inevitably affect service levels and the propensity for blanked sailings.

The unstable market conditions with respect to price, capacity, service and cost means that it’s simply not possible to maximize network effectiveness and performance with traditional methods. Looking ahead at each of the key modes, our team of experts offers a series of observations and recommendations as we launch into 2020.

In this webinar, our team of experts share their insights on rate patterns in all the major transport modes and offer recommendations to help shippers prepare their freight transportation budget amidst all this uncertainty.

In its quarterly “Market Trends” report, IANA reported that total third quarter volume––at 4,662,488––was off 3.7% annually, marking the fourth consecutive quarter of annual declines after a lengthy stretch of gains going back to the third quarter of 2016. The first quarter of 2019 was down 1.5% annually, following 4.7% and 4.2% annual gains from the third and fourth quarters of 2018, respectively. And second quarter volumes were off 3.8% annually.