The space crisis has been dominating the Asia to U.S. market since the end of June 2018. The crisis continues to cause major disruptions in import supply chains and increase freight costs of container shipments to the United States. The experts that project supply/demand balances were way off the mark leaving no warning of an impending space crunch to importers. In a two-week…
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Tariffs Impacting Supply Chains
The threat of tariffs from China are causing inventories in the US to spike. Shippers importing from China have been pulling holiday cargo ahead since June to avoid potential tariffs. The latest threat of a 25% tariff scheduled to be implemented January 1, 2019 has both shippers and warehouse operators concerned. Distribution facilities that specialize in handling import…
CONTINUE READINGStrong Demand Powers Rate Increases
Rates continue to escalate in the Eastbound Transpacific market. Strong demand, reduction of capacity, and the threat of tariffs are all contributing factors that are causing the high rates shippers are being forced to pay to move their cargo from Asia to the United States. Ocean rates to both the US East Coast and US West Coast are 53% higher than they were this time last…
CONTINUE READINGShips From Asia to U.S. Are Full
Shippers have become accustomed to seeing space on container ships in the Transpacific trade fill up during the traditional peak shipping season, but the current Asia to U.S. market is experiencing something much more than a traditional peak season. The majority of the space on ships is already sold out for the entire month of August. No one could have predicted the severity…
CONTINUE READINGOcean Network Express Startup Issues
The merger of the three major Japanese container lines, K-line, MOL and NYK into Ocean Network Express (ONE) has gotten off to a rocky start. Industry experts expected a few hiccups during the startup phase of the merger. However, anyone that has shipped or has attempted to ship with ONE can safely say the issues have gone far beyond a few hiccups. IHSA has a contract with…
CONTINUE READINGTruck Capacity Creating Challenges for Importers
The shipping industry has been anything but normal the last five years. During this time period, U.S. importers have dealt with gridlock at the ports, bankrupt carriers, ransomware attacks, customer service failures and severe space shortages. The newest problem looming over the shipping industry is the lack of truck capacity. U.S. importers moving cargo from the ports to…
CONTINUE READINGOcean Contract Negotiations
Ocean contract negotiations covering cargo moving from Asia to the United States are nearing completion. The negotiation process has become very cumbersome for shippers due to the lack of communication provided by the carriers. A large part of the lack of communication can be blamed on the recent wave of acquisitions that have taken place in the containership industry. Fewer…
CONTINUE READINGOptimize Shipping Advantages for Your Business
IHA continues successful partnership with International Housewares Shippers Association (IHSA). The International Housewares Shippers Association (IHSA) is the not-for-profit shippers’ association formed by IHA to lower supply chain costs for its members at the highest quality service levels. Through combined leverage of members, IHSA negotiates freight contracts with more…
CONTINUE READINGTruck Power Shortage
The U.S. market is facing a serious shortage of qualified truck drivers. The driver shortage is impacting the carriers’ ability to deliver containers in a timely manner. The shortage is so severe in some U.S. regions that some carriers are refusing to quote new cargo opportunities where door delivery is being requested. There are several factors that have contributed to the…
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