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August 28 2023

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Spotlight www.joc.com 8 Journal of Commerce | August 28, 2023 Trending @ JOC.com Turn to www.joc.com for the latest breaking news, analysis, special projects and events-related information. Here's what's hot: FEATURED CONTENT WEBCASTS joc.com/webcasts Parish lawsuit won't derail new terminal project: Port NOLA CEO The Port of New Orleans' $1.8 billion con- tainer terminal remains "on track" despite a lawsuit from a nearby parish's district attor- ney seeking to block the project, the port's chief executive said Aug. 9, adding that claims contesting the port's jurisdiction in the nearby parish are "meritless." https://bit.ly/44rHCVb MSC adds Italian airline to expanding air cargo offering Mediterranean Shipping Co. has acquired a majority stake in Milan-based AlisCargo Air- lines as the ocean carrier continues to expand its air freight portfolio. https://bit.ly/44hIETf Forward Air looks to hook high-value shippers in Omni Logistics deal Forward Air's planned acquisition of Omni Logistics will add new international services to its portfolio, but the deal will also bring thousands of new customers to its domestic expedited less-than-truckload business, Forward CEO Tom Schmitt said Aug. 15. https://bit.ly/47wPHui RESOURCES Top 100 Importers and Exporters https://bit.ly/3MViTSn European Shipping and Trade Outlook: The Trans-Atlantic Thursday, Sept. 7, 2023, 10:00 AM EDT "The trans-Atlantic party is over," according to Alphaliner. It certainly marks the end of a wild three-year ride during which rates from North Europe to North America climbed steadily past $8,000 per FEU in the last quarter of 2022, and then fell off a cliff. The westbound trans-Atlantic was the last of the major east-west trades to "normalize," but it has been a particularly hard reset in the last seven months. By mid-August, short-term rate levels were half those recorded in pre-pandemic 2019, as low demand from US importers and an oversupply of vessels undermined prices. Carriers began to withdraw capacity this summer, but either the capacity cuts have not been sufficient or a lag effect means the impact on volume has yet to be seen. Although volume data for July is not available yet, rate levels continued to fall through August, with some rate indices noting spot prices dropping below $800 per FEU, indicating a continuation of the supply-demand imbalance. With too much capacity and no sign of rising demand, what is the outlook for the trans-Atlantic westbound trade? Should shippers prepare for an extended period of service cuts, blank sailings and disruption as carriers impose more aggressive capacity-management measures to rein in the tumbling rates? https://bit.ly/3OzKfhD Midyear Breakbulk and Project Cargo Report: MPV Fleet Update and Second-Half Outlook On demand, Free Multipurpose and heavy-li charter rates have dried lower but stabilized over the summer even as long-term carrier sentiment remains positive, supported by a healthy demand outlook and tightening capacity. While the minor bulk trades are seeing limited activity, cargo related to industrial and infrastructure-related mar- kets has begun to pick up momentum. What can cargo shippers and logistics service providers expect as we move into the second half of 2023? This midyear breakbulk and project cargo outlook webcast will examine fleet supply, fleet makeup and the demand picture, as breakbulk and project cargo research analyst Susan Oatway presents the findings of the first Journal of Commerce Breakbulk Quarterly Report. Industry executives will join the ses- sion for an in-depth discussion of the report's implications. https://bit.ly/3OFmDYO Midyear Trucking Report: The Second-Half Outlook On demand, Free Trucking's crystal ball isn't just cloudy, it's been cracked by a high level of economic uncertainty and the volatile events of 2023. A major strike or the loss of a large carrier could flip the market just as shippers prepare for the fall shipping season and overstocked inventories give way to replenishment. But shippers and carriers also could continue mapping the market bottom they reached in the second quarter. How much of a surge in demand should we expect for trucking services this fall? How should shippers be thinking not just about the second half but early 2024, when some see a tighter market emerging? This webcast, which will serve as an early look at some of the industry issues to be addressed at the Inland Distribution Conference on Sept. 25-27 in Chicago, will discuss these questions and all topics related to the trucking outlook. https://bit.ly/3rN6A3o of 100 million TEUs annually. ICTSI is also deeply embedded in emerging markets. In the first half of 2023, its global throughput increased 9% to 6.2 million TEUs. APM Terminals, a unit of the A.P. Møller-Maersk group, has been rapidly expanding new and existing infrastructure in its terminal portfolio in both emerging and developed markets over the past year. A €1 billion investment in Rotterdam's Maasvlakte II terminal will increase capacity by 2 million TEUs when it opens in 2026. APM Termi - nals is also investing $500 million in a new terminal in Suape, Brazil, and has com- mitted another $700 million to four other terminals and inland depots in the country. Air cargo rates defy overcapacity Global air cargo rates in the second quarter remained well above 2019 levels despite capacity steadily increasing to pre-pandemic levels and a sharp drop in demand across most major trade lanes. The supply-demand imbalance saw second- quarter pricing drop 40% year over year, but average air cargo rates in the period were still 34% above those recorded in 2019, according to air freight analyst WorldACD. The strength of second-quarter rates com - pared with pre-pandemic levels was clearly illustrated on the main export trades out of Asia. Shanghai–North Europe rates aver- aged $3.34 per kilogram for the quarter, down 53% year over year but up 32% from the second quarter of 2019, according to the Baltic Air Index. Similarly, average rates on the Shanghai–North America trade of $4.70 per kg were down 47% year over year but up 42% from the same three-month period in 2019. The surplus air freight capacity out of Asia that caused spot rates to fall from the highs seen last year could be seen clearly in the interim results of airline Cathay Pacific. But Cathay Pacific chairman Patrick Healy remained positive about air freight pros - pects through the remainder of the year, as the market continues to moderate from the "exceptional levels" of the past three years. Port NOLA AlisCargo Terry K / Shutterstock.com

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