LATEST NEWS & EVENTS
The Australian investment group’s purchase of a multiyear concession to run the Long Beach Container Terminal in Southern California comes with a guarantee from the seller, Hong Kong-based shipping and ports operator Orient Overseas International Ltd. , that the facility will generate $9 billion in revenue over 20 years.
Macquarie paid $1.78 billion to run LBCT until 2051 under a sale that was triggered by U.S. national security concerns. The site is a major gateway for trans-Pacific container trade crucial to retailers and manufacturers. This place will give Macquarie a kind of bookend for its North American maritime infrastructure portfolio, alongside the Maher Terminals LLC operation at the Port of New York and New Jersey that the group bought in 2016.
Amazon just upped the ante for the retail industry once again, saying it is moving fast to evolve its signature two-day free shipping for Prime members into one-day free shipping.
“This is a big investment,” said Brian Olsavsky, Amazon’s chief financial officer.
Amazon plans to spend an incremental $800 million in Q2 alone—that’s more than one-fifth of its net income in Q1—on this new initiative, with plans to build out the “capacity” the rest of this year, Olsavsky said. In the past month, Amazon “significantly” expanded the selection of products and zip codes eligible for one-day shipping, he said.
Ship orders world-wide have shrunk to the lowest level in 15 years. Indeed, vessel owners are struggling with excess capacity that has kept freight rates well below break-even levels.
According to marine data provider Clarksons PLC report released Friday, there were 3,200 vessels of a combined 81 million gross tons ordered globally in the first quarter, the lowest figure since 2004.
“The global order book has declined to its lowest level since the early stages of the shipbuilding boom,” George Warner of Clarksons Research said.
Crude tankers and bulkers made up around two thirds of all orders a decade ago, but this year the share has dropped to 42% as volatility in commodity markets and changes in global energy consumption have triggered shifts in ocean-going trade.
The biggest change in ship propulsion since the maritime industry moved from coal to heavy oil early in the 20th century will be the introduction of low-sulfur fuels in oceangoing vessels next year to meet new emissions standards .
The new formulation of low-sulfur fuel is supposed to replace bunker, which propels most of the world’s oceangoing vessels.
The emissions mandate taking effect at the start of 2020 cost the industry up to $50 billion and will affect at least 60,000 vessels according to shipping executives’ estimates.
Besides, the shipping world faces a new consensus that customers will have to bear the higher costs across supply chains, as long as carriers are clear and transparent about how much more they have to pay to keep ships moving.
We are excited to announce the establishment of TGL branded offices in Vietnam and New Zealand.
We will be based in Ho Chi Minh City and Christchurch.
We will continue to expand on our global presence to reinforce our network and bring the TGL difference to new customers around the world.
Air Freight, Sea Freight, Domestic Freight, Warehouse 3PL and Customs Clearance. Think Global Logistics provide logistics and transport services that simplify your supply chain needs. Our dedicated and proactive freight experts will create value and solutions for your freight forwarding requirements. We service both domestic and international markets.