[FFW News] 2024 ocean freight rates

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📈 BY THE NUMBERS: Important numbers impacting freight and logistics

⛽ Diesel: $4.092 gal (🔽from $4.146 last week) - Source: EIA

✈️ Air Cargo Index (Oct ‘23): 165.1 (🔽from 166.9 in Sep ‘23) - Source: FRED

🚢 Global Container Index: $1,179.14 - Source: Freightos

Logistics News for Dec. 8, 2023

🌱Hapag-Lloyd CEO: 2024 will see higher shipping rates due to climate rules

Rolf Habben Jansen of ocean carrier giant Hapag-Lloyd said that ocean freight rates will have to rise by at least 25 percent to cover higher operating costs and to accommodate the expenditure of new carbon emissions fees on shipping. This is noteworthy because the decarbonization of the ocean shipping industry is expected to be a very costly effort over the coming years. More information…

🚆Canadian National wants to buy shortline to expand Class I rail network

Montreal-based Canadian National, a Class I rail, wants to acquire Iowa Northern Class III shortline to further expand its network into the continental United States to compete with other Class I rails that followed a similar strategy. This becoming a common practice as large rail networks continue to gobble up regional and shortline networks as transcontinental and intercontinental lines are the agenda — especially in an ever-integrated North American economy. More…

📦Unreliable delivery experiences forcing consumers to in-person stores

Blue Yonder, a supply chain management tech company, surveyed 1,300 people and found that consumers' wariness of home delivery and expedited shipping has led to more people shopping at in-person retail locations in Q4. More…

🚢Port Houston saw cargo volumes dip by 2 percent in October 2023

Port Houston explained that cargo volume dipped by 2 percent in October. But the leading Texas port had its busiest month ever in loaded exports. “We are excited to announce the arrival of the first vessel at our newest wharf, which symbolizes a bright future for the Port and the culmination of more than five years of planning,” said Roger Guenther, the port’s executive director. Read here

🌊New York City pushes “Blue Highways” for more freight on waterways

The economic and transportation chiefs for New York City introduced a call to “create solutions” to realize the city government’s "Blue Highways” initiative to boost the movement of freight on water instead of on already-congested roads. Thomasnet.com reports that this project “could modernize the city’s marine infrastructure and waterfront access, as well as revolutionize costly “last-mile” delivery operations.” This could be a huge game-changer for forwarders. More

☕Read these over your coffee?☕

• “House GOP Votes to Block EPA Tailpipe Emissions Rule” - Associated Press via Transport Topics

• “Panama Canal Restrictions Hit US East and Gulf Coast Port Volumes” - GCaptain

• “Houthi attacks on vessels in Red Sea sound alarm for global trade” - Financial Times (paywall)

• “Most in new poll say inflation has resulted in holiday shopping cutbacks” - The Hill

• “Western Australian Government Unveils Plan for Relocation of Fremantle Port” - The Maritime Executive

Compiled by Michael McGrady – news analyst and writer.

Do you have a tip? Feedback? Email him – [email protected]