Shipex

Operational Ripple Effects from Alliance Reshuffles

We would like to bring to your attention the significant impact that the ongoing reshuffling of container shipping alliances is having on global logistics and day-to-day operations. As the major carriers reorganize their vessel schedules and service structures, we are facing challenges that are directly affecting container movements, terminal operations and your respective load planning.

 

Key impacts

  1. Schedule restructuring and vessel delays

The restructuring of alliances, including the formation of Gemini Cooperation (Maersk & Hapag-Lloyd) and MSC going at it alone, is causing significant vessel delays. These delays directly impact shippers’ load planning, as terminals operate on a cargo opening window – only allowing containers on quay x-amount of days before the seagoing vessel arrives at the port.

 

  1. Increased congestion at ports & terminals

Due to these vessel delays, an increasing number of containers are accumulating at terminals, leading to operational bottlenecks. As from 75% occupancy, terminals are considered congested. Major terminals in North European ports are now well above that rate.

 

  1. Terminal restrictions

Terminals are implementing drastic measures to prevent a complete standstill. For example, DP World’s Quay 1700 in Antwerp – the 2nd largest container terminal – has reduced truck arrivals by 70% and is cancelling vessel calls to manage congestions levels. These restrictions may result in further delays for containers pickups and drop-offs.

 

  1. Container equipment shortages

The major alliance transition is also impacting equipment availability. Both Maersk and Hapag Lloyd, are struggling with container shortages in Antwerp.

 

Communication and flexibility to remain key

At Shipex, we are closely monitoring vessel schedules based carrier’s and terminals input. Doing so we aim for the most timely updates on load planning and any necessary adjustment.

Furthermore, we are working directly with terminals and trucking partners to navigate congestion challenges and ensure the smoothest possible movement of your cargo.

Plan ahead: Allow extra lead time for shipments, especially on time sensitive lanes.

Stay flexible: Be prepared for changes in the load planning in order to stuff the most containers possible

 

We understand that these disruptions create additional challenges, and we appreciate your patience and cooperation as we work together to navigate these industry-wide changes. Please do not hesitate to reach out to your account representative for further details or assistance.

The Shipex team