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Home » Logistics » Shippers See Some Port Calls Skipped, Cargo Rolled

Shippers See Some Port Calls Skipped, Cargo Rolled

October 28, 2011
JOC Sailings

Some trans-Pacific ocean carriers are skipping port calls and holding back vessel departures if bookings are weak, illustrating how feeble the peak shipping season has been and how aggressive carriers will get in the coming months to manage overcapacity.

Ocean World Lines CEO Dan Gardner said carriers have made route changes "in less than an organized fashion" as they grapple with overcapacity and declining freight rates in the eastbound Pacific.

Capacity shortages could worsen if more carriers discontinue vessel strings for several months this winter. Imports normally spike for a brief period in January or February as factories in China churn up production before closing for lunar New Year celebrations, which could last up to two weeks, Gardner told the Footwear Traffic Distribution and Customs Conference Monday.

Some carriers also canceled voyages in the first week of October to coincide with the shutdown of Chinese factories for the Asian country's annual National Day celebration.

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    KEYWORDS Business Strategy Alignment Global Logistics Global Supply Chain Management Logistics Logistics Outsourcing Ocean Transportation Supply Chain Analysis & Consulting Technology Transportation & Distribution Transportation Management
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