This week, U.S. ports continued their growth streak, with inbound container volumes rising 14.2% year-over-year in December. Severe storms disrupted UK and European ports, causing delays of over four days. The FMC threatened fines on Panama over alleged preferential treatment of Chinese companies at the canal. CPKC reported strong Q4 earnings, while Maersk secured a two-year extension for domestic transshipments in China. Americold announced an $80 million cold-storage warehouse near Port Saint John. Meanwhile, UPS’ SurePost changes have left shippers seeking alternatives like FedEx Ground Economy and USPS Ground Advantage. Read the full articles below.
Weekly Freight Report: January 31, 2025
January 31st, 2025
Surging Container Imports Signal U.S. Economic Strength
The nation’s ten largest ports saw a 14.2% year-over-year increase in inbound container volume in December, marking 15 consecutive months of growth and signaling continued economic strength, according to shipping expert John McCown’s analysis, which also projects long-term container volume growth of 2.7% annually despite a slowdown in outbound shipments.
Ocean Carriers Warn of Disruption as Storms Bear Down on Europe
Ocean carriers are warning of significant schedule disruptions in North Europe as extreme weather impacts the English Channel and Bay of Biscay, causing vessel delays of up to 4.25 days at major UK ports and threatening further disruptions across mainland European ports.
FMC Threatens Fines for Panama Over Canal Operations
Federal Maritime Commission (FMC) head Louis Sola has threatened Panama with hefty daily fines and a ban on Panamanian-flagged vessels at U.S. ports over concerns that Panama’s policies favor China, citing no-bid contracts and alleged toll refunds for Chinese companies as unfair advantages at the Panama Canal.
Americold Adding Port Saint John Warehouse as Part of CPKC Alliance
Americold Realty Trust is investing up to $80 million to build a 300,000-square-foot cold-storage warehouse near Port Saint John in New Brunswick, marking its first import-export hub under its partnership with CPKC to expand intermodal reefer capacity across North America.
First Look: CPKC Q4 Earnings Improve
Canadian Pacific Kansas City (CPKC) reported a rise in Q4 revenue to $3.9 billion, with diluted earnings per share increasing to $1.28, while its operating ratio improved to 59.7%, as the company cited strong volume growth, improved safety, and solid operational execution.
Maersk Wins China Cargo Relay Extension
Maersk has secured a two-year extension of China’s pilot cabotage program, allowing it to continue domestic container transshipments between Shanghai’s Yangshan port and northern China ports through December 2027, enhancing its service options in Asia.
UPS SurePost Changes Put Shippers at a Crossroads
UPS’ recent changes to its SurePost service, including insourcing final-mile deliveries and removing PO Boxes and non-contiguous U.S. addresses, have caught many shippers off guard, forcing them to evaluate costly contract constraints and explore alternatives like FedEx Ground Economy, USPS Ground Advantage, and package consolidators.
