News
Port of New York and New Jersey delay late container fee scheduled to hit ocean carriers today
Published
2 years agoon
By
New Yorker
New York and New Jersey port officials tell CNBC they are not going live with the container fee they had planned for September 1. The Port of New Jersey has had a container imbalance of over 200,000 since January and the fee was to encourage the evacuation of both late full and empty containers.
The decision was made after what port officials said were numerous discussions with ocean carriers in August which turned up what port officials described as unforeseen circumstances. Port officials say the ocean carriers have been “very engaged and responsive” in the last month.
Right now empty boxes are sitting at the port for around 30 days. Delays in moving out import containers into the U.S. and empties out so they can be reloaded with goods delays the delivery of goods for the U.S. supply chain.
According to MarineTraffic, the Port of New York ranked second among U.S. ports with the most containers waiting offshore. Savannah had the most, followed by Houston.
Shipping containers are unloaded from a ship at a container terminal at the Port of Long Beach-Port of Los Angeles complex, in Los Angeles, California, April 7, 2021.
Lucy Nicholson | Reuters
Several ocean carriers have made commitments and are actively working on plans to move empties and helping to restore fluidity to the port.
Once the modification is made, port officials tell CNBC the goal is to have the tariff in place for the fourth quarter of this year with the first invoices to be issued in January. The invoices would be based on the carrier’s Q4 balance of containers and their efforts to move out empties.
West Coast woes
The logistical woes on the West Coast continue. The Port of Oakland continues to move out containers that piled up during the five-day trucker strike back in July.
The rail delays are not improving on the West Coast. Logistics managers are measuring rail delays of 12 days at the Ports of Los Angeles and Long Beach. For containers that are moved by a combination of truck and rail, delays are at 30 days. The congestion on the rails is also impacting inland rails as well with delays between five to seven days.
New port strike in U.K. is possible
On the heels of the eight-day strike at the U.K.’s largest container port Felixstowe which tied up billions in trade, logistics managers are anxiously watching if the dockworkers will join Liverpool port workers in a possible strike on September 19.
The diversion of trade away from Felixstowe to the already congested German ports and the strike itself at Felixstowe have created massive gridlock, according to the CNBC Europe Supply Chain Heat Map.
Unions for both Felixstowe and Liverpool dockworkers are in active discussions with their respective port companies on wages. The length of time of this possible strike has yet to be announced.
“The 8-day strike in Felixstowe has ended without any agreement between the unions and the port,” said Andreas Braun, Europe, Middle East, and Africa ocean product director of Crane Worldwide Logistics. “Talks are ongoing but time is running out. If both parties will not settle for an agreement shortly, we can expect new strike actions by the unions most probably joining the actions of the unions in Liverpool.”
Liverpool is traditionally a U.K. gateway to and from the U.S.
“Right now congestion is only limited to Felixstowe but if Liverpool dockworkers strike, it will create additional congestion and delay container exports to the U.S,” explained Braun.
Liverpool’s main trading partner is North America, but relationships are expanding with Asia. Looking at the bills of lading using ImportGenius products exported out of Liverpool to the U.S. include Bailey’s, Walker’s shortbread, auto parts for Ford and other companies, toner cartridges, and parts for Xerox, Guinness from Diaego, wood furniture and sections for Raymour & Flannigan, air filtration parts for Donaldson, and long bar steel for Caterpillar
If these dock workers do strike, this will further push back the arrival of holiday items into at least December.
The CNBC Supply Chain Heat Map data providers are artificial intelligence and predictive analytics company Everstream Analytics; global freight booking platform Freightos, creator of the Freightos Baltic Dry Index; logistics provider OL USA; supply chain intelligence platform FreightWaves; supply chain platform Blume Global; third-party logistics provider Orient Star Group; marine analytics firm MarineTraffic; maritime visibility data company Project44; maritime transport data company MDS Transmodal UK; ocean and air freight rate benchmarking and market analytics platform Xeneta; leading provider of research and analysis Sea-Intelligence ApS; Crane Worldwide Logistics; and air, DHL Global Forwarding; freight logistics provider Seko Logistics; and Planet, provider of global, daily satellite imagery and geospatial solutions.
Source: CNBC
Watch as Dortmund tifo is set alight after ‘flares are thrown at it’ in PSG game
Texas Gov. Abbott calls National Guard, Space Force proposal a ‘power grab’
Kai Cenat won’t be prosecuted for chaos amid NYC PlayStation giveaway at Union Square
Video shows accused international jewelry thief swipe watch from Long Island store, police say
U.S. signals optimism for Gaza cease-fire as Israel moves into Rafah
A Walnut Recall Has Been Linked to a Multistate E. Coli Outbreak
We Asked a Psychologist Why So Many Average Men Think They Can Beat a Top Female Athlete in Her Sport
The Empty Promises of ‘Medical-Grade’ Skin Care
Election 2024 live updates: Trump to hold rallies in Wisconsin, Michigan during court break
Are Lululemon’s Leggings Getting Smaller?
‘Seeking Sister Wife’ Star Dannielle Merrifield Says She and Garrick Won’t End Up Like ‘Sister Wives’ Family
20-year-old fatally stabbed in Leominster apartment, no arrests made
Princess Beatrice Allegedly Overheard Meghan Tell Prince Harry That Princess Diana ‘Spoke to Her’ During Yoga
Chef Jody Adams will open La Padrona at Raffles Boston next week
Dolly Parton Was Miserable at a Party Thrown by Linda Ronstadt
Trending
-
News18 hours ago
GOP Pays the Price for Booting Kevin McCarthy
-
News16 hours ago
Who’s afraid of TSMC’s management culture? – Asia Times
-
News21 hours ago
Amazon’s AWS to invest nearly $9 billion in Singapore to grow cloud infrastructure
-
Tech23 hours ago
Darth Jar Jar Strikes in Lego’s Crazy New Star Wars Series
-
Auto20 hours ago
The New Kia EV3 Arrives May 23
-
News20 hours ago
Apple is reportedly developing chips to run artificial intelligence software in data centers
-
Tech15 hours ago
NVIDIA invests in AI-powered weed zapping ag-tech startup Carbon Robotics
-
News21 hours ago
2024 Met Gala: Glamorous Keeley Hawes holds hands with husband Matthew MacFadyen on the star-studded carpet