This week's latest ocean freight, air freight, and trade & compliance updates.
Blank sailings have continued this month, but there are less blank sailings expected in July than there were in May and June. However, capacity remains tight across the board. Rolling issues are continuing into July for cargo bound to both the USWC and USEC. Make sure to book at least 2-3 weeks in advance to secure space. Now, let's take a look at ocean freight market conditions by trade lane.
Space from Central China to the USEC is full and carriers are implementing weight limitations for sailings transiting the Panama Canal due to the dry season.
Space continues to be tight and blank sailings are affecting equipment availability in inland locations and Houston in particular. Nine additional blank sailings were announced for the Trans-Atlantic trade, bringing that total to 23 blank sailings in Q3, JOC reported.
| Total | 2M Alliance | Ocean Alliance | THE Alliance | |
| Q1 | 148 | 36 | 76 | 36 |
| Q2 | 130 | 33 | 50 | 47 |
| Q3 | 12 | 4 | 3 | 5 |
| Total | 290 | 73 | 129 | 88 |
Note: Report only covers cancelled transpacific sailings from East Asia to all USA and Canada destinations. Updated July 1, 2020.
For a complete list of announced blank sailings, download this report.
(Excel .XLSX 1.33 MB) | Updated on July 1, 2020
Demand for airfreight is beginning to slow down now that importers have built up their inventories of PPE, FreightWaves reports. Rates are still high but slowly returning to normal levels, and congestion at major Chinese airports, like Shanghai, has improved.
Importers are shifting from moving PPE products like masks and gloves, to moving products that are popular during COVID-19 quarantine, like "athleisure" clothing, office equipment, and home improvement supplies.
Delta Airlines has restored international service from Seattle (SEA) to Shanghai (PVG) and service from Detroit (DTW) to Shanghai (PVG) will be restored beginning July 1.
We are still seeing ground handling delays across major US hubs. US air export volume is growing as businesses return to work, however, capacity still remains tight.
Airlines are expected to add some USA domestic capacity in July and August.
The USTR is requesting comments as it considers possibly extending tariff exclusions for Chinese import products on Section 301 List 1, which are set to expire on Sept. 1, for another year.
Exclusions will be evaluated independently, with the primary focus being whether the product remains only available in China despite the imposition of the tariffs.
Comments will be accepted beginning July 1 and are due by July 30.
The USTR is requesting comments as it considers possibly extending tariff exclusions on Chinese imports on Section 301 List 2 for another year.
Exclusions will be evaluated independently, with the primary focus being whether the product remains only available in China despite the imposition of the tariffs.
Comments will be accepted beginning July 1 and are due by July 30.
In addition to the Section 301 List 2 exclusions that expire on Sept. 20, the USTR is also considering extending the Section 301 List 2 product exclusions that expire on Oct 2.
Exclusions will be evaluated independently, with the primary focus being whether the product remains only available in China despite the imposition of the tariffs.
Comments will be accepted beginning July 1 and are due by July 30.
Take a deeper dive into the current freight market conditions by checking out these news stories.
We will continue to keep you informed of the latest market developments.
Should you have any questions or if you need assistance, please contact your local UWL customer service representative or reach out here.