• China – Australia ocean services continue to be affected by overcapacity and lack of demand. Rates for July are still soft as demand only increases slowly. Zero freight rates have been offered to enable repositioning of special-use containers.

• European summer holidays will affect supply lines from those countries. During July/August many businesses in Europe close for 3-4 weeks or operate with skeleton staff only.

• Air cargo rates continue to soften resulting in more cargo aircraft grounded as yield evaporates.

• U.S. Port congestions is on increase yet again with vessel waiting times up to 4-5 days. Rail ramps are experiencing congestion in several main centers and along with container chassis shortages across the U.S. contributes to delays in collecting/delivering containers.

• BMBS season starts on 01 September. These are the last few weeks to ship cargo before import measures such as mandatory fumigation take effect.

• Canada port workers union calls of strike but not before $ 6.5 billion in trade is anchored offshore and the supply chain will be affected for several months.

• Pressure mounts on transport operators to lower their landside rates – see

  attached.

• U.S. suppliers are circulating warning of supply-chain disruption due to anticipated

  UPS work stoppage in August.

• Yellow Freight (a U.S. LCL trucker) was thrown a life line by creditors before

  going into chapter 11.

• Hong Kong + Chinese ports halt operations as Typhoon Talim hits Guangdong,

  Hainan as well as Guangxi Zhuang Autonomous Region with T8 force (highest

  typhoon rating).

• Panama Canal water levels are too low for fully loaded vessel to navigate due to

  reduced flows from feeding lakes. Surcharges are applied by affected carriers to compensate for loss of yield.

BSI is offering additional information, and we hope you remain safe and well.