News / Peak season capacity cuts hit home as Asia-Europe spot rates edge back up

first_img After weeks of erosion, Asia-North Europe container spot rates appear to have responded to peak season capacity cuts and are edging back up. The North Europe component of today’s Shanghai Containerized Freight Index (SCFI) recorded a 12.2% increase in rates to $754 per teu, while rates for Mediterranean ports were up by a more modest 3.3%, to $718 per teu. Asia-North Europe ocean carriers serving the route have withdrawn some 150,000 teu of capacity this month and next, due to weak demand, and in order to ‘stop the rot’ in the spot market – North Europe rates still around a third lower than at the beginning of the year and about 20% below the equivalent week of 2018. Despite weekly capacity on the route having been slashed by approximately 7% since the beginning of the month, consultancy Alphaliner has questioned whether the temporary capacity adjustments would be sufficient to address the imbalance of supply and demand. It noted that no service suspensions had been announced so far, in contrast to last year when 2M carriers Maersk Line and MSC suspended their AE2/Swan loop for 12 weeks, which it said had “helped to stabilise freight rates in the face of slower demand growth”. Elsewhere, the SCFI recorded a second consecutive week of spot rates declines on routes to the US west coast, which shed a further 6.9% to $1,433 per 40ft. For east coast ports, there was a decline of 3.1%, to $2,800 per 40ft. Tariffs on Chinese imports into the US are beginning to have an impact on throughput volumes, particularly for the west coast, statistics this week showing a 5.4% slump in container imports in June, compared with the same month of last year. New York-based consultancy Blue Alpha Capital, which compiled the June data from the 10 largest US ports, warned that if the remaining annual $325bn of Chinese imports are also subjected to 25% duty, in a further escalation of the US-China trade war, the impact could mean “double-digit declines” at most US ports. Nevertheless, some analysts are predicting a silver lining for transpacific carriers from geopolitical and regulatory threats. “Despite the gloomy economic forecasts and lowered World Bank projections, transpacific rates and volumes will likely increase, come August,” said Eytan Buchman, CMO of online freight forwarder Freightos. He explained that “the accumulation of potential risk factors later this year, including the switch to low-sulphur (higher-cost) fuel, trade disruptions from EU tariffs, Brexit and security issues in the Persian Gulf” could be a positive for carriers, prompting another wave of front-loading and thus a spike in rates. Meanwhile, the premium for 0.5% low-sulphur fuel required by the IMO, to fuel all ships from 1 January next year that do not have scrubbers fitted, is still an unknown calculation for carriers that hope to pass the extra cost onto their shipper customers. George Griffiths, editor, Global Container Freight Market and S&P Global Platts, told The Loadstar today that, although the bunker market appeared to have stabilised after a turbulent few weeks, the industry was still no closer to determining the spread between HFO (heavy fuel oil) and the new LSFO (low-sulphur fuel oil). “Eyes are focused on the narrowing relationship between IFO 380 (HFO) and 0.5% LSFO, which is currently at $100 per ton, but is expected to widen again as demand for low-sulphur fuel ramps up ahead of 1 January,” said Mr Griffiths. By Mike Wackett 26/07/2019 © Vladimir Serebryanskiy Maersklast_img read more

Cape Coral man pulls gun during fit of road rage, lies about being police officer

first_imgAdvertisementCape Coral police said the victim pulled into a lot to try and read the SUV’s plate, obtained a number, and saw the driver openly carrying a pistol on his hip. The victim was approached by a witness who saw the road rage incident. The witness approached Bartlett at Sam’s gas pumps to tell him he could not openly carry in Florida, according to Cape Coral police. Bartlett told them that he was a law enforcement officer and gave the witness his name. Bartlett was identified as the suspect by Cape Coral police. He was arrested for aggravated assault with a deadly weapon, improper exhibition of a firearm, false personation of a law enforcement officer, and open carrying a weapon. AdvertisementTags: Cape Coralpolice CAPE CORAL, Fla. – A man was arrested for pointing a gun at a person during a road rage incident and falsely claiming to be a police officer. Cape Coral police arrested Thomas Bartlett, 59, at his home Friday. The police department’s telephone response unit received a report of a road rage incident at around 9 a.m. on Thursday, an hour after the incident happened. A man said he was making a U-turn at the intersection of Santa Barbara Boulevard and Tropicana Parkway to head south when an SUV tailgated him. The SUV also pulled alongside him and swerved toward him. The man told police the driver of the SUV pointed a black pistol on his hip. The man pulled over to avoid the threat, then saw the SUV pull into the parking lot of Sam’s Club off of SW Pine Island Road. AdvertisementRecommended ArticlesBrie Larson Reportedly Replacing Robert Downey Jr. As The Face Of The MCURead more81 commentsGal Gadot Reportedly Being Recast As Wonder Woman For The FlashRead more29 comments AdvertisementDC Young Fly knocks out heckler (video) – Rolling OutRead more6 comments’Mortal Kombat’ Exceeded Expectations Says WarnerMedia ExecutiveRead more2 commentsDo You Remember Bob’s Big Boy?Read more1 commentsKISS Front Man Paul Stanley Reveals This Is The End Of KISS As A Touring Band, For RealRead more1 comments RELATEDTOPICS Cape Coral break in foiled by barking dog June 17, 2021center_img He was taken to the Lee County Jail. Advertisement Cape Coral canal levels remain low even after recent rains June 17, 2021 27 Cape Coral bridges up for repairs after minor cracks found June 17, 2021 Cape Coral man tries to figure out meaning of his 25-year-old tattoos June 16, 2021last_img read more