Tag Archives: technology

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

Is Ammonia cheapest long-term for IMO carbon rules?

University College London has published a new study considering in detail how shipowners can comply with the IMO rules for carbon emission compliance. It’s very detailed and takes into account not only the different technologies available, such as methanol and LNG, but also the timing of implementing the various regulations. One has to consider all these factors over the 25 or so years of the lifetime of a ship.

Granted, new technologies and availability of different fuel choices can change from what we can see now, but this impartial study favors ammonia-powered ships over the longer time frame. They suggest dual-fuel ammonia ships might be the best bet for investors in new shipping.

“Although there are significant complexities and uncertainties in what was agreed [at IMO MEPC 83] in April, even conservative projections of how remaining policy details will be finalised results in a ‘no brainer’ choice for shipowners in dual fuel ammonia,” said Dr. Tristan Smith, Professor of Energy and Transport at the UCL Energy Institute. 

The report is available here.

This figure from the report indicates when different fuel choices become cheapest in terms of abatement cost. It seems that e-ammonia never outcompetes blue ammonia before 2050. And LNG remains viable for quite a while, especially with integrated carbon capture.

There are a lot of assumptions in any such study, and the IMO could change the rules in the meantime. But shipowners should be thinking hard about ammonia, and so should international bunker fuel providers.

Published May 29, 2025 9:08 PM by The Maritime Executive

https://www.maritime-executive.com/article/ucl-ammonia-is-the-cheapest-compliance-option-for-new-imo-carbon-rules

Update 6/5/2025: Fortescue is jumping on the dual-fuel ammonia bandwagon, and has some not-so-polite comments about others in shipping sticking with LNG.

Sam Chambers June 5, 2025

https://splash247.com/fortescues-mission-to-champion-ammonia-goes-global/

SONAR data show shippers’ East Coast strike worries

It’s interesting how when we measure something we soon are able to pick up signals that something different is happening. Freightwaves has been publishing SONAR data on different logistical measures for quite a while. This article shows several measurements which tell us that shippers are looking for alternatives in advance of any East Coast port strike in the US.

Inbound bookings are up at Los Angeles. Outbound container volume is up at LA and down at New York.

The trick in the graphs here (from the article) is to look at the white line representing 2024 volumes. It’s only two-thirds of the way across. But it’s way up in LA.

So already there is evidence of a flight by shippers to the West Coast ports from the East Coast ports. That’s not good news for the East Coast and South ports, who are the potential targets of the strike by the International Longshoremen’s Association (ILA). Those who follow the news know that September 30 is the date by which an agreement should be reached. So far the government has not intervened to force arbitration and require work to continue.

I love the statistics in this article. For instance the Long Outbound Tender Volume Index (tender bids (measured by an index) for trucking outbound from LA is up to 171 this year, way above the las two years. It will be hard to get trucking services outbound from LA in the immediate future; capacity will be short.

A logistics pro might well consider using the SONAR data to look for trends that might affect how she looks for transportation services, and the price she’s willing to offer.

Michael Baudendistel·Tuesday, September 10, 2024

https://www.freightwaves.com/news/shippers-wariness-of-potential-ila-strike-visible-in-sonar-data