JUPITER SEA & AIR
SERVICES PVT. LTD, EGMORE – CHENNAI, INDIA.
E-MAIL : Robert.sands@jupiterseaair.co.in Mobile : +91 98407 85202
Corporate News Letter for Friday - April 04, 2025
Today’s
Exchange Rates
|
CURRENCY |
PRICE |
CHANGE |
%CHANGE |
OPEN |
PREV.CLOSE |
DAY's LOW-HIGH |
|
85.44 |
-0.07 |
-0.081861 |
85.73 |
85.51 |
85.4225- 85.7775 |
|
|
1.1064 |
0.0211 |
1.944167 |
1.0853 |
1.0853 |
1.0805- 1.1071 |
|
|
112.5203 |
1.811104 |
1.635911 |
112.0477 |
110.7092 |
111.8545- 112.6917 |
|
|
94.245 |
1.8564 |
2.009338 |
93.493 |
92.3886 |
93.422- 94.4294 |
|
|
146.45 |
-2.830002 |
-1.895768 |
149.27 |
149.28 |
146.297- 148.702 |
|
|
1.3183 |
0.0176 |
1.353122 |
1.3006 |
1.3007 |
1.2974- 1.3189 |
|
|
102.04 |
-1.766998 |
-1.702196 |
103.188 |
103.807 |
101.951- 103.379 |
|
|
0.5831 |
0.0099 |
1.727152 |
0.5732 |
0.5732 |
0.5732- 0.584 |
/// Sea Cargo News ///
CK
Hutchison pulls back from Panama ports sale?
Hong Kong based conglomerate CK Hutchison, headed by Magnate Li Ka-Shing, will not proceed signing a deal next week to sell its two key ports at the Panama Canal to the MSC/BlackRock consortium, according to recent reports.
Although the signing of the agreement was initially scheduled for April 02, following an announcement on March 04, the delay does not imply the deal is off.
However, the transaction has drawn criticism
from Chinese authorities, while US President Donald Trump has praised it,
viewing it as an opportunity to regain control over the strategic waterway.
CK Hutchison’s subsidiary, Hutchison Ports,
currently operates two (Balboa and Cristobal) of the five ports adjacent to the
Panama Canal, which handles approximately 3% of worldwide maritime trade.
Panama granted the company the concession in 1998 and extended it for another
25 years in 2021.
CK Hutchison finds itself in the middle of a
politically charged controversy involving the sale of assets near the vital
Panama Canal to a BlackRock/MSC group. The deal, valued at over US$ 20 Billion,
has come under scrutiny, especially from China.
The Hong Kong newspaper Ta Kung Pao, known
for its pro-Beijing stance, argued in a March 21 editorial that the sale should
be abandoned as it aligns too closely with US strategies aimed at containing
China.
Meanwhile, according to Bloomberg News,
Chinese officials have instructed state owned enterprises to pause any new
transactions with businesses associated with Li Ka-Shing and his family.
PSA sets new container throughput record despite declining profits
PSA International handled 100.2 Million TEUs
in 2024, representing a growth of 5.6% compared to the same period in 2023.
PSA Singapore contributed 40.9 Million TEUs
and PSA Terminals outside Singapore delivered a total throughput of 59.2
Million EUs, both increasing 5.5% and 5.7% respectively, from the previous
year.
Monsoon
anomaly holds up ships in Singapore and Port Klang
An unusual surge in monsoon winds in Southeast Asia resulted in congestion in the region’s key container port, Singapore and Port Klang, as the region experienced nearly a week of heavy rain.
Linerlytica’s report this week stated that
delays of up to three days have been recorded in Singapore and Port Klang.
Singapore, the world’s second largest container port and the busiest trans-shipment port, was assessed by Lloyd’s List Intelligence’s SeaSearcher as having moderate congestion with 329 ships in the port, of which 170 arrived today.
EconDB shows that the delayed ships include
the 15,254 TEU CMA CGM Galapagos and the 4,253 TEU Cosco Haifa. SeaSearcher
also rates congestion in Port Klang as moderate, with 77 ships now in the
Malaysian Port.
It is the third spike in monsoon winds in
2025 to date and is an unusual weather occurrence. Monsoon winds tend to be the
strongest in Southeast Asia between December and January, during the early
phase of the north east monsoon season. On average, Southeast Asia experiences
up to four monsoon surges each year, with each event lasting between 1 and 5
days.
A monsoon surge involved bursts of cold air
from the north-east, such as Central Asia, which warms as it sweeps southwards
towards the tropics and rolls over the South China Sea. It then picks up
moisture, causing dense rain clouds to form, leading to heavy precipitation.
On Marcy 19, the Maritime and Port Authority
of Singapore issued a notice, advising ship owners to stay vigilant during the
monsoon surge. The authority stated that vessels must be properly secured for
the sea at all times, as heavy showers and strong winds were expected.
ICTSI – operated MICT welcomes Hapag Lloyd’s inaugural CPF service call
International Container Terminal Services, Inc’s (ICTSI’s) flagship terminal, the Manila International Container Terminal, marked a milestone with the arrival of Hapag-Lloyd’s newly launched China-Philippines Feeder (CPF) service at the Port of Manila.
The German carrier’s first ever call to the
Philippines was highlighted by the arrival of Tokyo Express on March 27, 2025.
The CPF service follows a rotation through Nansha – China, Tanjung Pelepas –
Malaysia, Singapore, Batangas, Manila and Subic Bay (Philippines) before
returning to Nansha.
In addition to the Tokyo Express, HL has also
deployed the container vessel Seoul Express to operate on the CPF route.
Hapag
Lloyd increases rates from Indian Sub and Middle East to US East Coast.
German Container Line Hapag Lloyd has
announced a General Rate Increase (GRI) / General Rate Adjustment (GRA) for shipments from the Indian Subcontinent
and Middle East to the United States East Coast.
Hapag Lloyd will apply a rate increase of USD
500 per Container for cargo transported in 20’ and 40’ Dry, Reefer and Special
Containers, including the High Cube equipment. The GRI/GRA adjustment will be
effective from May 01, 2025 and will be valid until further notice.
Top 10 Ocean Carriers by Revenue in 2024.
The global shipping industry continues to be
dominated by key players, with Maersk and CMA CGM leading the pack in 2024,
each generating an impressive US$ 55.5 billion in revenue.
Following behind is COSCO with US$ 32.3
billion, solidifying its position as a major force in maritime logistics.
Hapag Lloyd and Ocean Network Express (ONE)
secured the fourth and fifth spots with US$ 20.7 Billion and US$ 18.8 Billion,
respectively, reflecting steady growth in global trade and container demand.
Evergreen, another major carrier, reported
US414.1 Billion in revenue, while ZIM, HMM and Yang Ming saw earnings of US4
8.4 Billion, US$ 8 Billion and US$ 6.9 Billion, respectively. Wan Hai rounds
out the top 10 with US$ 4.9 Billion in revenue.
It is important to note that MSC, a major
industry player, is absent from this list as it remains privately held and does
not disclose financial results.
With ongoing challenges in global supply
chains, including geopolitical tensions and fluctuating freight rates, these
carriers continue to adapt and play a crucial role in international trade.
CIMC
achieves record profit in 2024
China International Marine Containers (CIMC) announced a record profit of around US$410 Million, translating to an astonishing increase of over 600% compared to the previous year. Additionally, the Chinese box manufacturer increased its revenue by 40% to US$24.5 Billion.
According to the company’s statement, there
were no significant changes in the Group’s principal operating model, and the
products and businesses contributing 10% or more to the Group’s revenue
included the container manufacturing business, road transportation vehicles
business and energy, chemical and liquid food equipment business and logistics
service business.
CIMC Chairman Mai Boliang anticipates a
decline in container demand in 2025 following the record breaking results of
2024. He expects a market correction after China’s container output surpassed 8
million TEUs last year, while uncertainties stemming from US-China tensions
could further impact container shipping.
US to do away with de minimis exemption; Trump announces new tariffs Around four million parcels were entering the U.S. via the de minimis route.
U.S.
President Donald Trump announced sweeping changes to tariff structures
across-the-board, redrawing the global trade map. "Except as otherwise
provided in this order, all articles imported into the customs territory of the
United States shall be, consistent with law, subject to an additional ad
valorem rate of duty of 10 percent," Trump said in his executive order.
"Such
rates of duty shall apply with respect to goods entered for consumption or
withdrawn from warehouse for consumption on or after 12:01 a.m. eastern
daylight time on April 5, 2025, except that goods loaded onto a vessel at the
port of loading and in transit on the final mode of transit before 12:01 a.m.
eastern daylight time on April 5, 2025, and entered for consumption or
withdrawn from warehouse for consumption after 12:01 a.m. eastern daylight time
on April 5, 2025, shall not be subject to such additional duty."
Trump also ordered country-specific ad valorem duty ranging from 46 percent on Vietnam, 26 percent on India and 20 percent on European Union. Credit: Donald Trump/@Truth Social De minimis to be cancelled On de minimis (shipments with a value of less than $800), the order states that duty-free imports will be in place until notification by the Secretary of Commerce to the President that adequate systems are in place to "fully and expeditiously process and collect duty revenue applicable pursuant to this subsection for articles otherwise eligible for de minimis treatment."
On
last count, around four million parcels were entering the U.S. via the de
minimis route, Lars Jensen, container shipping expert writes in his LinkedIn
column.
"The
de minimis exemption in the U.S. where shipments with a value less than $800
were duty-free is now set to expire on May 2. Instead, such small shipments
will face either 30 percent of their value or $25 – increasing to $50 per item
from June 1.
Each
transportation provider can choose whether the percent or USD method applies,
but must use the same method for all their shipments. They can change methods
once per month."
Imported
goods sent through means other than the international postal network that are
valued at or under $800 and that would otherwise qualify for the de minimis
exemption will be subject to all applicable duties, which shall be paid in
accordance with applicable entry and payment procedures, according to the
update from Cirrus Global Advisors.
"All
relevant postal items containing goods that are sent through the international
postal network that are valued at or under $800 and that would otherwise
qualify for the de minimis exemption are subject to a duty rate of either 30
percent of their value or $25 per item (increasing to $50 per item after June
1, 2025).
This
is in lieu of any other duties, including those imposed by prior Orders."
Supply chain professor Jason Miller says "many of the benefits of China +
1 sourcing were just eliminated by POTUS. I feel bad for Americans who, living
paycheck to paycheck, are now going to struggle even more to afford products
like clothing and shoes.
Back
to school season 2025 is going to be brutal for the average U.S.
household." Ryan Petersen, Chief Executive Officer, Flexport said in his
LinkedIn post: "While the end of de minimis has been long foreshadowed for
goods imported from China, ending it for all countries is a shock that was not
widely anticipated buried in the executive order.
"This
is a gamechanger, because for many brands, this was their backup plan. Many
brands we’ve spoken to had a "China + 1" strategy, but in this case,
no one is exempt."
Lufthansa Cargo saves 25,000 tonnes of
CO2 with sustainability efforts
Lufthansa Cargo took significant steps in 2024 to reduce its carbon footprint, reinforcing its commitment to making air freight more sustainable. The company, which has long prioritised environmental responsibility, focused on cutting emissions through modern aircraft, fuel-efficient operations, and the use of Sustainable Aviation Fuel (SAF).
Nicole
Mies, Head of Communications & Corporate Social Responsibility at Lufthansa
Cargo, highlighted the airline’s progress, stating, “We want to take
responsibility and drive forward our ambitious climate targets. In 2024, we
worked closely with customers, partners, and researchers to explore new
possibilities and make meaningful progress. We haven’t reached every goal yet,
but we are continuously working towards a more efficient and innovative
airfreight system.”
Investing
in a greener fleet Aircraft are the biggest contributors to an airline’s carbon
footprint, and Lufthansa Cargo has been upgrading its fleet to tackle this
issue. The company exclusively operates Boeing 777F freighters, which are among
the most fuel-efficient cargo planes in the industry.
In
mid-2024, Lufthansa Cargo welcomed its 18th Boeing 777F to Frankfurt Airport,
and by 2030, it expects to add seven more Boeing 777-8 freighters, which come
with the latest fuel-saving technology. These new-generation aircraft use up to
30% less fuel than older models, significantly cutting emissions. Sustainable
fuel and smarter flying One of the most impactful ways to reduce aviation
emissions is through SAF, a fuel made from biogenic residues that has 80% lower
carbon emissions than traditional kerosene.
Lufthansa
Cargo expanded its “Sustainable Choice” programme, allowing customers to
support decarbonisation by opting for SAF-powered flights. In 2024, this
initiative alone helped save approximately 8,500 tonnes of CO₂.
The
airline also focused on optimising flight operations to improve fuel
efficiency. By implementing smarter fuel planning methods and reducing
unnecessary fuel reserves, Lufthansa Cargo saved 5,700 tonnes of kerosene last
year, equivalent to cutting 18,000 tonnes of CO₂.
One
key initiative, Statistical Contingency Fuel (SCF), fine-tunes the amount of
extra fuel needed for each flight by analysing historical data and real-time
conditions. Additionally, the airline improved ground fuel efficiency with
techniques like “Reduced Engine during Taxi In” (RETI), which involves shutting
down one engine during taxiing.
This
simple adjustment saved 400 tonnes of fuel and cut CO₂ emissions by 1,200
tonnes annually. Sustainability beyond the skies Lufthansa Cargo’s green
efforts go beyond flight operations. On the ground, the company has committed
to achieving carbon neutrality by 2030. One major step was switching its
company car fleet at Frankfurt Airport to electric vehicles.
The
first batch of new EVs arrived in 2024, supported by the installation of six
charging stations across two buildings. The airline also tackled waste
reduction by recycling old cargo belts in partnership with the Rhein-Main
Association of Sheltered Workshops (WfB). The belts are repurposed into
construction safety barriers and insulation panels, while the metal components
are recycled.
These
efforts help reduce waste and support sustainability in ground operations.
Researching climate-friendly flight paths In 2024, Lufthansa Cargo played a key
role in a government-backed research initiative called the “100 Flights
Programme.” The project, run in collaboration with Lufthansa Airlines and other
German carriers, explored ways to reduce the environmental impact of
condensation trails (contrails), which contribute to climate change. The
airline adjusted flight altitudes on 13 selected routes to test whether these
changes could prevent contrail formation.
Satellite
data was used to monitor results, and findings from the study will help improve
future flight planning to minimise climate impact. A team effort for a
sustainable future Lufthansa Cargo knows that achieving long-term
sustainability requires collaboration across industries. In 2024, the airline
joined the Smart Freight Centre (SFC), a global non-profit focused on cutting
greenhouse gas emissions in freight transport.
The
partnership aligns with Lufthansa Cargo’s mission to create a zero-emission
logistics sector by 2050. With a mix of technological advancements, operational
improvements, and strategic partnerships, Lufthansa Cargo is steadily moving
towards a more sustainable air cargo industry. While there’s still a long way
to go, the company’s 2024 achievements mark a strong step in the right
direction.
Air Europa joins WebCargo by Freightos platform
Freightos
announced that Air Europa, a leading Spanish airline, has joined WebCargo by
Freightos cargo booking platform. "With the addition of Air Europa,
WebCargo strengthens its offering across key Spain-Latin America trade lanes,
providing freight forwarders instant access to Air Europa’s network of 15
domestic destinations within Spain and 40 international routes across Europe,
North America and Latin America," says an official release.
Initial
digital booking capabilities will focus on the Spanish export routes,
connecting Madrid with Barcelona, Bilbao and Valencia with all of Air Europa’s
global network, and then add key international origins in Europe, the Americas
and Asia Pacific, including perishable cargo capacity from Latin America, the
release added.
"Bringing
Air Europa onto the WebCargo by Freightos platform marks another important
milestone in air cargo’s digital transformation in the Spanish and Latin
American markets," says Wayne Tyndall, SVP Commercial - Forwarders &
Airlines, WebCargo by Freightos.
"This
partnership gives forwarders the ability to instantly secure shipments through
Air Europa's extensive network, offering much-needed supply chain resilience
while strengthening the critical Spain-Latin America corridor." Jordi
Pique, General Cargo Manager, Air Europa adds: "Air Europa is committed to
innovation and digital optimisation across our operations.
Joining
WebCargo by Freightos is a natural extension of this strategy, allowing us to
make our capacity more accessible to freight forwarders while streamlining our
booking processes. This partnership enhances our ability to serve the growing
cargo demand between Europe and Latin America, providing our customers with the
efficiency and transparency that modern supply chains require."
I hope you have enjoyed reading the above news letter.
Robert Sands
Joint Managing Director
Jupiter Sea & Air
Services Pvt Ltd
Casa Blanca, 3rd Floor
11, Casa Major Road,
Egmore
Chennai – 600 008.
India.
GST Number :
33AAACJ2686E1ZS.
Tel : + 91 44 2819 0171
/ 3734 / 4041
Fax : + 91 44 2819 0735
Mobile : + 91 98407
85202
E-mail : robert.sands@jupiterseaair.co.in
Website : www.jupiterseaair.com 1Branches : Chennai, Bangalore,
Mumbai, Coimbatore, Tirupur and Tuticorin.
Associate Offices : New
Delhi, Kolkatta, Cochin & Hyderabad.
Thanks to : Container News, Indian Seatrade & Air Cargo News.
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