“THE Alliance” Final Product/Port Rotations & Contingency Plan
March 9, 2017
Port rotations of 32 services finalized / First contingency mechanism of an alliance for case of financial distress of a partner / More safety for customers’ cargo
THE Alliance announced its final network after all needed preparations have been finalized. The product starting from April 2017 features fast transit times, a comprehensive port coverage and deployment of modern and most efficient ships. This is thanks to the “best ship for the loop principle” and a dedicated shuttle service design. More than 240 ships will be deployed in 32 services connecting over 75 major ports throughout Asia, North Europe, the Mediterranean, North America, Canada, Mexico, Central America, the Caribbean, Indian Sub Continent and the Middle East with a wide range of direct port-port-connections.
Trans Pacific – West Coast
PN 1:
Qingdao – Shanghai – Nagoya – Tokyo – Tacoma – Vancouver – Tokyo – Nagoya – Kobe – Qingdao
First Sailing Qingdao: “TBN”  April 07, 2017
First Sailing Tacoma: “TBN”  April 25, 2017

PN 2:
Singapore – Laem Chabang – Cai Mep – Kaohsiung – Yantian – Tacoma – Vancouver – Tokyo – Kobe – Kaohsiung – Singapore
First Sailing Singapore: “TBN”  April 01, 2017
First Sailing Tacoma: “TBN”  April 24, 2017

PN 3:
Hong Kong – Yantian – Ningbo – Shanghai – Pusan – Vancouver – Seattle – Pusan – Hong Kong
First Sailing Hong Kong: “Seaspan Zambesi”  April 05, 2017
First Sailing Vancouver: “Seaspan Zambesi”  April 27, 2017

PS 1:
Kobe – Nagoya – Tokyo – Sendai – Los Angeles / Long Beach – Oakland – Tokyo – Nagoya – Kobe
First Sailing Kobe: “TBN”  April 05, 2017
First Sailing Los Angeles: “TBN”  April 21, 2017

PS 2:
Kobe – Nagoya – Shimizu – Tokyo – Los Angeles / Long Beach – Oakland –Tokyo – Kobe
PS 3:
Singapore – Laem Chabang – Cai Mep – Hong Kong – Los Angeles / Long Beach – Oakland – Tokyo – Hong Kong – Singapore
First Sailing Singapore: “TBN”  April 08, 2017
First Sailing Los Angeles: “TBN”  May 04, 2017

PS 4:
Hong Kong – Yantian – Kaohsiung – Keelung – Los Angeles/Long Beach – Oakland – Keelung – Kaohsiung – Da Chan Bay – Hong Kong
First Sailing Hong Kong: “YM Mobility”  April 09, 2017
First Sailing Los Angeles: “YM Mobility”  April 27, 2017

PS 5:
Shanghai – Ningbo – Los Angeles/Long Beach – Oakland – Shanghai
First Sailing Shanghai: “NYK Argus”  April 07, 2017
First Sailing Los Angeles: “NYK Argus”  April 23, 2017

PS 6:
Qingdao – Ningbo – Shanghai – Pusan – Los Angeles/Long Beach – Oakland – Pusan – Qingdao
First Sailing Qingdao: “Hong Kong Bridge”  April 07, 2017
First Sailing Long Beach: “Hong Kong Bridge”  April 27, 2017

PS 7:
Xiamen – Hong Kong – Yantian – Los Angeles/Long Beach – Xiamen
First Sailing Xiamen: “MOL Breeze”  April 08, 2017
First Sailing Los Angeles: “MOL Breeze”  May 01, 2017

PS 8:
Dalian – Xingang – Qingdao – Pusan – Los Angeles/Long Beach – Oakland – Pusan – Kwangyang – Dalian
EC 1:
Ningbo – Shanghai – Pusan – Tokyo – (Panama Canal) – Manzanillo – Savannah – Jacksonville – Charleston – Norfolk – Miami (Seasonal) – Manzanillo – (Panama Canal) – Balboa – Los Angeles / Long Beach – Oakland – Tokyo – Kobe – Ningbo
First Sailing Ningbo: “TBN”  April 08, 2017
First Sailing Savannah: “TBN”  May 08, 2017

EC 2:
Qingdao – Ningbo – Shanghai – Pusan – (Panama Canal) – New York – Boston – Wilmington – Savannah – (Panama Canal) – Pusan – Qingdao
First Sailing Qingdao: “Helsinki Bridge”  April 04, 2017
First Sailing New York: “Helsinki Bridge”  May 04, 2017

EC 3:
Kaohsiung – Xiamen – Hong Kong – Yantian – Shanghai – (Panama Canal) – Savannah – Norfolk – (Panama Canal) – Balboa – Pusan – Kaohsiung
First Sailing Kaohsiung: “TBN”  April 07, 2017
First Sailing Savannah: “TBN”  May 10, 2017

EC 4:
Kaohsiung – Hong Kong – Yantian – Cai Mep – Singapore – (Suez Canal) – New York – Norfolk – Savannah – Jacksonville – Charleston – (Suez Canal) – Singapore – Kaohsiung
First Sailing Kaohsiung: “Northern Jupiter”  April 07, 2017
First Sailing New York: “Northern Jupiter”  May 09, 2017

EC 5:
Laem Chabang – Cai Mep – Singapore – Colombo – (Suez Canal) – Halifax – New York – Savannah – Norfolk – Halifax – (Suez Canal) – Jebel Ali – Singapore – Laem Chabang
First Sailing Laem Chabang: “Ningbo Express”  April 08, 2017
First Sailing New York: “Ningbo Express”  May 09, 2017

Vessels indicated in this newsletter are subject to change.
Through this robust network, THE Alliance will offer a superior, reliable, efficient, and wide ranging product suite to shippers in the East/West lanes. The partners of THE Alliance will keep monitoring customers’ demand and will react to markets if needed.
Furthermore, the members of THE Alliance announced today a new and unique contingency plan in the unlikely event a member of THE Alliance suffers a bankruptcy. The five member lines will establish an independent trustee to manage funds to be used in the case there is insolvency within the group. It is envisioned that the fund will be used to continue alliance operations in the event of insolvency of one or more member lines. The independent trust fund shall safeguard that customers’ cargo on board of the affected members’ ships will be carried to the port of destination. “Customers’ reaction to the incident last summer showed a clear demand for such a safety net and the partners of THE Alliance are proud to present the first contingency plan of its kind in liner shipping”.

Ocean carriers warn of cargo diversions as port strikes loom
By Alexander Whiteman
02/03/2017
Maersk Line has warned shippers that some cargo will be re-routed or diverted to avoid strikes in Spanish ports.
In response to the  labour disputes in Spanish ports next week, the carrier will divert westbound services to avoid Algeciras.
Members of the International Dockworkers Union will strike every other day between 6 and 25 March following the Spanish government’s decision to alter legislation and adhere to the EU Treaty’s freedom of establishment principle.
A spokesperson advised: “As a customer of Spanish ports highly dependent on undisrupted terminal operations, Maersk Line hoped for a positive solution to the dispute and has been committed to a constructive dialogue with all parties. Regretfully, stevedores’ unions have announced a series of strikes.”
Under current Spanish law, all dockworkers must be members of stevedoring societies, known as Sociedad Anonima de Gestion de Estibadores Portuarios (Sageps), which recruit and train port workers before making them available to terminal and cargo operators.
The European Court of Justice ruled that this limits employer options for sourcing workers and last July levied a €15.6m fine on Spain’s government, adding a €134,000 daily penalty until amendments are made.
However, the International Dockworkers Community (IDC) argued that the Spanish government sought to make the change without consultation.
Maersk said it would re-route vessels from Algeciras to other facilities in the Mediterranean where it has secured capacity. Eastbound services and transhipment connections will continue to call at the Spanish port.
The carrier said some shippers may experience vessel re-routing, port omissions and additional transhipment of cargo.
“Kindly note that this is an exceptional situation and contingency plans may be subject to change due to urgent or unforeseen circumstances,” added the line.
“We remain committed to providing … timely updates and will continue to do so as the situation develops and as soon as new information is available.”
Meanwhile, Hapag-Lloyd has warned that while industrial action in Gothenburg has ended, the “negative impact” from the Dockworkers’ Union strike continues and it has diverted its Gothenburg express service to Varberg until further notice.
“Overtime work at the terminal is still voluntary and there is currently quite a high rate of absence,” said the carrier in a statement.
By Alexander Whiteman
02/03/2017
“A high-level meeting last week between terminal management and the IDC ended without any results, therefore we are expecting more notices of strikes and blockades.”
The carrier added it could not “under any circumstances” absorb any additional costs arising from the situation in Gothenburg, advising shippers to book “as much cargo as possible via Vargberg” to ease the situation and avoid the risk of waiting-time, short-shipment and storage costs.
The carrier’s Loop 7 and Sweden Denmark Express services will still call at Gothenburg, while calls to Helsingborg and Halmstad are not affected.
The action in Spain and Sweden has been supported by US International Longshoremen’s Association (ILA) vice president Kenneth Riley, who visited the ports last week to “build solidarity” and boost his own call for action at American east coast ports.
However, ILA president Harold Daggett this week countered Mr Riley’s calls and urged members not to engage in any work stoppage or any other violations of the ILA’s current master contract.
“We hear your anger, we hear your frustration and we intend to address it,” said Mr Daggett. “With a delegation of ILA leaders, I will be heading to Washington to seek help for our industry from Congress.
“I am confident Congress will understand the urgency of our issues and help us resolve all problems.”
Mr Riley has called for a shutdown of US east coast ports in protest over mounting jobs losses and ongoing interference by the South Carolina Port Authority – Mr Riley also presides over the ILA Local 1422 Charleston South Carolina – and the Waterfront Commission of New York Harbour.
He initially called for east coast ILA dockworkers to march on Washington on 27 February to vent their displeasure at practices that “deliberately reduced dockworker numbers”.
This date was pushed back by a “week or so”, with Mr Riley telling The Loadstar the postponement had been made to “educate rank and file members” and industry stakeholders.
Asked by The Loadstar if Mr Daggett had given his support to the planned protest, Mr Riley said they had not consulted the national branch of the ILA, noting that “this was a rank and file decision”.

Cargo Ship Partially Sinks Off Ecuador
February 27, 2017 by Mike Schuler,
www.gcaptain.com

The Isla Bartolome aground off Ecuador
Officials in Ecuador are coordinating the environmental response and salvage of the general cargo ship Isla Bartolome, which ran aground and partially sank last Thursday in the main shipping channel from the port of Guayaquil.
The 3,818 DWT Isla Bartolome had just departed Guayaquil for the Galápagos Islands when it ran aground on a sandbar near the town of Posorja on the afternoon of February 23. All crew have been removed from the vessel.
Officials observed a small sheen which was expected to evaporate.
The Ecuadorian Navy said it is coordinating with the shipowner and other stakeholders regarding a salvage plan for the vessel.
The Isla Bartolome is operated by Ecuardor’s Transnave and under contract with the Navy.
The Navy said it will update its plan on the vessel once details are confirmed.

Every Shipper Needs Cargo Insurance
Global trading involves risk; however, broad insurance coverage minimizes your financial risk. Don’t leave your livelihood up to chance! Statistics show that one ship sinks each day and you will experience a General Average loss every eight years.
Protecting your investments by insuring your goods provides peace of mind.
Who’s really responsible if your product is lost or damaged in transit?
How much is that insurance really costing you?
Is the coverage your supplier purchased for you adequate?

New Direct Boston Service Added, Cosco Direct Boston Adjusts Partners and Rotation
 
Ocean Alliance (Adjusted)
 

AWE1: (PNW2)-Qingdao-Ningbo-Shanghai-Pusan-New York-Boston-Norfolk-Singapore-(PNW2)
PNW2: (AWE1)-Singapore-Cai Mep-Hong Kong –Yantian-Shanghai-Ningbo-Prince Rupert-Vancouver-Qingdao-(AWE1)
 
THE Alliance (New)
 

EC 2: Qingdao – Ningbo – Shanghai – Busan – Panama Canal – New York – Boston – South Atlantic (US) – Panama Canal – Busan – Qingdao
 

The BOC Blast 181 – Port of Boston/Conley Terminal and Ports of New York/New Jersey all container terminals will be closed today due to weather

The Port of New York and New Jersey will close Thursday and other ports across the US Northeast say they will closely watch the progression of a fierce winter storm expected to dump six inches of snow in the region.
The operators of New York’s six marine terminals announced Wednesday morning their decision to close, and some chassis and container pools said they will as well. Baltimore said Wednesday afternoon that no decision to close has yet been made.
Officials at the Port of Boston were not available for comment.
Baltimore is on the edge of what forecasters say will be the area affected by the storm, which stretches north
up the East Coast to Bar Harbor, Maine. Baltimore is expected to get one to three inches of snow, and New York and Philadelphia could see five inches to  eight inches, according to Weather.com. Boston may get
eight inches to 12 inches, the weather news
website said.
Source:  https://www.ajot.com/news/channel/ports-terminals

10 Tips to Protect High-Value Shipments
Regardless of what you are shipping, theft, fraud, and loss are always top concerns. However, when you’re shipping high-value items, how you approach shipping and risk mitigation is critical to your company’s bottom line and your brand’s reputation. Because these kind of situations at any time during the sales and shipping process, it’s important for retailers to use a layered approach when shipping their high-value goods. here are 10 tips that will help shippers minimize risks while maximizing sales.

1.Perform a risk-assessment of your high-value shipments.
2.Ensure your packaging/labeling is nondescript with no indication of contents.
3.Validate your customers.
4.Coordinate delivery of high-value goods with recipients.
5.Use carriers experienced in transporting high-value goods.
6.Assess/develop security procedures at your shipping facilities
7.Understand and follow best practices when shipping internationally
8.Proactively monitor shipments in transit or work with a partner who can do it for you.
9.Understand and effectively layer insurance products to mitigate potential losses.
10.Actively train employees on security procedures.

Blank Sailings Announced for 2017 Chinese New Year
Due to the upcoming 2017 Chinese New Year Holiday, many carriers will be implementing blank sailings. The below chart is an example; it is not a complete listing. Please contact your local BOC Representative for more details.
Example of Blank Sailings:

Severe Fog Impacts North China Ports
Seamaster Global, December 19, 2016
Due to the heavy fog, many operations in Beijing, Dalian and Tianjin have been affected.

• In Beijing, all highways around the capital have been closed as a safety precaution.
• Local authorities in Dalian have issued a red alert announcing the closure of all airports, sea ports and highways till 1800hrs today (19 December 2016).
• The situation in Tianjin is most severe as highways are closed and the Port of Tianjin has suspended bulk cargo operation until 21 December 2016.
• It is reported that some factories in Hebei, Henan, Shandong, Shaanxi and Shanxi provinces have closed as well.
• Qingdao, at present, is seeing normal operation for both airport and seaport.

Please expect delays in cargo deliveries within Beijing, Dalian and Tianjin areas.
 
We will monitor the situation and update the network. In the meantime, we seek your patience as we await the lifting of the fog to resume normal operation.
Heavy smog disrupts traffic in north China
Excerpted from ShanghaiDaily.com; Source: Xinhua | December 19, 2016, Monday
AIR pollution worsened on Monday in many parts of northern China, with poor visibility disrupting air and ground traffic.
Tianjin airport said that from 8:30 p.m. Sunday to 10 am Monday they suspended service, leaving 131 flights canceled and 75 delayed.
Meanwhile, all expressways in the northern municipality of Tianjin were closed.

Maersk Line snaps up Hamburg Sud
Maersk Line said Thursday it will buy German operator Hamburg Süd from the Oetker Group and plans to close the deal by the end of 2017.

Maersk Line and the Oetker Group have reached an agreement for Maersk Line to acquire Hamburg Süd, the German container shipping line.
Copenhagen, 1 December 2016
Maersk Line and the Oetker Group have reached an agreement for Maersk Line to acquire Hamburg Süd, the German container shipping line. The acquisition is subject to final agreement and regulatory approvals.
Hamburg Süd is the world’s seventh largest container shipping line and a leader in the North – South trades. The company operates 130 container vessels with a container capacity of 625,000 TEU (twenty-foot equivalent). It has 5,960 employees in more than 250 offices across the world and market its services through the Hamburg Süd, CCNI (based in Chile) and Aliança (based in Brazil) brands. In 2015, Hamburg Süd had a turnover of USD 6,726 million of which USD 6,261 million stems from its container line activities.
“Today is a new milestone in Maersk Line’s history. I am very pleased that we have reached an agreement with the Oetker Group to acquire Hamburg Süd. Hamburg Süd is a very well-run and highly respected company with strong brands, dedicated employees and loyal customers. Hamburg Süd complements Maersk Line and together we can offer our customers the best of two worlds, first of all in the North – South trades,” says Søren Skou, CEO of Maersk Line and the Maersk Group.
“We are proud to join the global market leader Maersk Line. While gaining access to a superior network and systems we will continue the Hamburg Süd brand and business model offering personalized solutions to our shippers and consignees. By joining forces both Maersk and Hamburg Süd will strengthen their product portfolio and cost position to the benefit of their customers,” says Dr. Ottmar Gast, Chairman of the Executive Board of the Hamburg Süd Group.
“Giving up our engagement in shipping after an 80 year-long ownership in Hamburg Süd was not an easy decision for my family. We are very confident, though, to have chosen the best of all possible partners. Maersk will preserve and grow Hamburg Süd and what the brand and the whole organization and a highly dedicated workforce stand for: reliable and high quality logistical services to our customers,” says Dr. August Oetker, Chairman of the Advisory Board of Dr. August Oetker KG, the management holding company of the Oetker Group.
On 22 September 2016, Maersk Line announced that it would grow market share organically and through acquisitions.
“The acquisition of Hamburg Süd is in line with our growth strategy and will increase the volumes of both Maersk Line and APM Terminals,” says Søren Skou.
Hamburg Süd and Aliança will continue as separate brands and continue to serve customers through their local offices.
“Hamburg Süd and Aliança have competitive and attractive customer value propositions, which we want to preserve and protect. We wish to maintain the personal touch and engagement they offer their customers. In ,” says Søren Skou.
In the combined network, Hamburg Süd and Maersk Line’s customers will have access to the dedicated end-to-end services provided by Hamburg Süd in the North – South trades as well as the flexibility and reach provided in Maersk Line’s global network. Furthermore, the combined network will enable Maersk Line to develop new products with more direct port calls and shorter transit times.
“Our combined network will provide exciting opportunities to develop new products and exploit operational synergies. Hamburg Süd and Maersk Line customers will benefit from more choice and better products,” concludes Søren Skou.] The acquisition is subject to a satisfactory due diligence, final agreement and subject to regulatory approval in amongst others China, Korea, Australia, Brazil, the United States and the EU. Maersk Line will work closely with the authorities. Maersk Line expects the regulatory process to last until the end of 2017. Until then, Hamburg Süd and Maersk Line will continue business as usual.

With the acquisition, Maersk Line will have container capacity of around 3.8 million TEU (3.1 million TEU) and an 18.6% (15.7%) global capacity share. The combined fleet will consist of 741 container vessels with an average age of 8.7 years (9.2 years).
The agreement with Hamburg Süd has no financial impact in 2016.

PSA Singapore gives shippers 28 November deadline to claim laden Hanjin containers
Marcus Hand, Editor, Seatrade Maritime News| 09 November 2016
Singapore container terminal operator PSA is warning shippers they have till 28 November to claim laden containers from bankrupt Hanjin Shipping.
In a notice to cargo owners, consignees, shippers and/or freight forwarders PSA said there laden container owned or operated lying in its facilities.
“To ensure that we maintain an optimal port capacity to serve all our customers and partners, cargo owners, consignees, shippers and/or freight forwarders are urged to contact PSA and claim the containers and/or the cargo therein by 28 November 2016,” PSA said.
The terminal operator said that if containers remained unclaimed by 28 November it would either dispose of or sell the cargo and the containers as it deemed fit.
PSA is levying a SGD5,000 refundable deposit from cargo owners claiming Hanjin containers from its terminals. The deposit will be refunded when the empty container is returned to the terminal operator.
A total of 17 Hanjin vessels called at PSA’s Singapore terminals between 21 September and 31 October to discharge containers, and it is understood not further vessels from Korean line are due to call.
According to analyst Alphaliner in its weekly newsletter Hanjin only had 14 vessels left under its control as of 8 November, five of which were under arrest.
Read all the background to the Hanjin Shipping bankruptcy on our timeline