International Housewares Shippers Association

Asia to U.S. Contracted Container Space is Sold Out

It is going to be a challenging year for the entire shipping industry. March imports in the Transpacific jumped 51%. Every major trade publication is predicting that the 2021 space issues will be much worse than what the industry experienced in 2020. The carriers have sold out all space for the 2021-22 contract period. This unprecedented space crisis is going to present many…

Ocean Freight Rates Trending Higher

A reputable consulting firm, Drewry Shipping Consultants, is forecasting ocean freight rates in the Asia to US trade will increase in 2017. If the forecast is accurate, it would mark the first time since 2010 where there have been any significant increases in ocean freight rates. Carriers have been warning shippers about unsustainable rates since September 2015. Carrier…

IHSA Issues A Rebate

The past twelve months will be remembered as one of the most tumultuous times that the shipping industry has ever faced. Freight rates reached historical lows which sent ocean carrier profits spiraling downward. Shifting carrier alliances and carrier consolidation added to the uneasiness shippers were feeling in the shipping industry. The uneasiness reached its peak on August…

MOL, NKY and K-line to Merge

The International Housewares Shippers Association has been informed by MOL, NYK and K-line of their intentions to consolidate their container shipping divisions into a single operating entity. In the meantime, it is business as usual, and all three companies will continue to operate and serve their customers as they do today on an ongoing basis. Some key points of the…

Space is Tight, Are Your Protected?

Container ships sailing from China to the U.S. have remained full since Hanjin unexpectedly filed for bankruptcy at the end of August. Specific areas, such as Ningbo and Shanghai, are providing far greater challenges for shippers to secure space than the Southern China region. Ocean carriers have been actively rolling cargo from Shanghai and Ningbo for over a month. Some…

Hanjin Bankruptcy is a Game Changer

It was only a matter of time before the unthinkable happened in the shipping industry. On August 31, 2016, Hanjin Shipping filed for bankruptcy protection sending shockwaves through the shipping industry. Bankruptcies are not new to the shipping industry. There have been numerous bankruptcies over the last 15 years with the most notables being Cho Yang in 2001 and Hainan POS in…

Possible Impacts of Hanjin’s Bankruptcy on Current Shipments

By: David P. Street and Brendan Collins, IHSA Legal Council As you are probably aware, Hanjin filed for bankruptcy protection in Korea on Wednesday August 31st. The filing came just a day after the company creditor's discontinued financial assistance of more than USD $896 million to keep the company operating. The Korean bankruptcy court will determine whether Hanjin should…

Hanjin Financial Issues

Although the International Housewares Shippers Association (IHSA) does not have a contract with Hanjin, we wanted to address their current financial situation. As expected, Hanjin did file for court receivership on August 31 after losing support of its banks. The court will decide whether Hanjin will continue to operate or be dissolved. This process normally takes two months…

Mounting Losses Persist for Container Lines

Carrier profitability, or lack of profitability, is causing uncertainty with shippers heading into the busiest shipping period of the year. After reaching historical lows, container rates from Asia to United States have stabilized. Although stabilized, the rates have not rebounded to profitable levels. Hanjin and Hyundai are two carriers that have been fighting off bad…