Tag Archives: ports

How Ultra-Large Container Ships are Transforming West Africa

Ultra-large container vessels are coming to West Africa. There is pent-up demand for goods in West Africa and throughout the continent. That’s because African economies are slowly improving, creating more consumers and businesses with money to spend.

Infrastructure to handle the ULCVs has been in short supply, but after considerable investment over the past few years, the giants can now land in numerous African ports.

With the impending container charges imposed by the US on containers arriving at its shores, more carriers and shippers are looking for ways to avoid landing in the US. Increasing West African trade is a natural way to use that capacity.

MSC is a major player in this trade. Their situation is helped by the fact that MSC has partial interests in port terminals in key West African locations, as the table below from the article shows. Tema is located in Ghana, Lome in Nigeria, Abidjan in Cote d’Ivoire, and Kribi in Cameroon. MSC has investments in Africa Global Logistics, which operates terminals at three of these ports; and a share in TIL, which has a terminal in Lome.

It’s good to see West Africa getting better access to the world’s goods. Trade improves the lives of both partners, exporter and importer.

Gavin van Marle  04/06/2025

https://theloadstar.com/asia-west-africa-ulcv-deployment-opens-new-markets-for-carriers

Red Sea ripples spread across trades

The repercussions of the Red Sea crisis have been longer-lasting and more severe than many shippers thought. Shippers expected delays proportional to the extra sailing time. They may have expected proportional cost increases as well.

But they did not count on such factors as the extreme congestion in Singapore and in other ports. And in ports that have become pivotal, there are looming shortages of equipment such as chassis.

It looks like the disruptions will be with us awhile.

Trade besides containers is also in an upheaval. Sam Chambers’s recent Splash story points out that there is landside competition for capesize ocean shipments of coal.

Mongolia has always had big coal deposits, but moving the coal to international users was a problem. But new rail lines are making the country a viable source for China. China is also importing more from Russia. This chart from Drewry’s shows how the mix of countries China imports from has changed over the past few years.

BAr chart of China coking coal imports

The impact on shipping is that there will be less demand for capesize bulkers to import from Australia and Indonesia.

This is one more piece of evidence that global trade is radically changing. It will affect both shipowners and shippers in ways that are hard to foresee. Hold on to your hat!

By Charlotte Goldstone  29/07/2024

Red Sea ripples spread across container trades

Sam Chambers July 30, 2024

soaring Mongolian coal shipments by rail to China

Detention and Demurrage claims are rolling in

Samsung Electronics of America (SEA) is a major user of container shipping. They have decided to fight back against excessive and frequently undocumented Detention and Demurrage (D&D) bills from carriers. This article spells out the claims.

Overall, Samsung thinks ocean carriers were selling door-to-door service and couldn’t deliver it. So they started billing customers to recover their costs.

The Federal Maritime Commission (FMC) has recently established rules about billing for such services, making the billing more transparent and requiring documentation for each charge. This will help shoppers, who are frequently baffled by the charges.

It’s essential to close down the practice of billing without thorough documentation. Seagate should have lots of winning arguments in these cases. There were so many temporary closures, changing windows for pickup and delivery, and other delays not caused by the shipper during the COVID era and after, that most D&D charges were probably due to slipups out of the shipper’s control, and perhaps even the carrier’s control. Carriers should not be entitled to profit from these.

Seatrade logo

Nick Savvides | Jun 17, 2024

Samsung Electronics America fires D&D claims at carriers