<div class="phx-topic abstract-wrapper">I like to imagine business schools as being full of practical people pursuing tangible goals, occupy</div>

I like to imagine business schools as being full of practical people pursuing tangible goals, occupy

<div>I like to imagine business schools as being full of practical people pursuing tangible goals, occupying a red-brick annex to the university's ivory tower.But the annex is being remodeled in the fashionable postmodern style. Concern for ''stakeholders'' displaces accountability to shareholders, and students may learn more about diversity and environmentalism than about finance and marketing.That's the dispiriting picture painted by Marianne Jennings, professor of legal and ethical studies in business and director of the Joan and David Lincoln Center for Applied Ethics at Arizona State University.She was a member of a panel on professional education at the National Association of...

I like to imagine business schools as being full of practical people pursuing tangible goals, occupying a red-brick annex to the university's ivory tower. But the annex is being remodeled in the fashionable postmodern style. Concern for ''stakeholders'' displaces accountability to shareholders, and students may learn more about diversity and environmentalism than about finance and marketing.That's the dispiriting picture painted by Marianne Jennings, professor of legal and ethical studies in business and director of the Joan and David Lincoln Center for Applied Ethics at Arizona State University. She was a member of a panel on professional education at the National Association of Scholars conference in Chicago this month. The other panelists talked about schools of medicine and public health, law and education, which have all been affected by current theories. These theories assert that language is meaningless, that there are no facts and no objective truth, nothing but the quest for power driven by race, class and gender. The theories are dominant in humanities departments, though the natural sciences and mathematics have been largely unaffected. But the professional schools have not been immune. Not even business, which by its nature undergoes regular reality checks. Business classes commonly use case studies, and the objection was raised that there are not enough women executives represented. If race and gender are of fundamental importance, and truth is unachievable anyway, the obvious solution was to change the gender of the protagonists. In blunt words, just make up cases for study. When some professors see nothing wrong with altering reality to fit their political preferences, perhaps no one should be surprised that some of their students see nothing wrong with a business being less than truthful to advance its economic interests. In one ethics case study, Ms. Jennings said, students were asked whether a company planning a public offering should disclose possible patent litigation that could put it out of business. No, they said, just keep quiet and hope for the best. The business schools have had to start teaching ethics themselves, she said; the ethics courses they were taking in other departments left them believing capitalism was a tool of the devil. But what they're currently learning may not be that different. Rather than a curriculum focused on skills like accounting and marketing, Ms. Jennings said, students learn to apply a stakeholder model, which considers the interests of everybody - customers, employers, suppliers, the community, even the media before the interests of stock - and bondholders. It's business as an agent of socialism. Some of the changes in business-school practices are driven by accrediting agencies, which have virtually eliminated mastery of content and instead require efforts for ''demographic diversity'' in the evaluation of faculty, the selection of students, and the institution's mission and curriculum. And her students have been taught that how they feel is more important than results. One despondent recipient of a near-failing grade protested, ''But I worked so hard.'' ''The answers are wrong,'' Ms. Jennings replied. ''How can it be wrong in an essay?'' the student asked. People tend to dismiss the airy theories of literature professors. But when their impractical ideas shape the training of our accountants and lawyers, our doctors and teachers, everyone should be worried.

BUSINESS EDUCATION?

<div class="phx-topic abstract-wrapper">The all-Scandinavian takeover will combine data sources in a move designed to bring transparency and efficiency to how ocean freight is bought and sold, Xeneta CEO Patrick Berglund says. </div>

The all-Scandinavian takeover will combine data sources in a move designed to bring transparency and efficiency to how ocean freight is bought and sold, Xeneta CEO Patrick Berglund says.

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<div class="phx-topic">Rate benchmarking platform Xeneta said Monday it has acquired fellow maritime and supply chain data company eeSea, creating a combined data source meant to provide deeper insight into an increasingly disrupted container shipping market. Oslo-based Xeneta will add Copenhagen-headquartered eeSea’s global schedule, capacity, transit time and reliability data to its wide range of freight rate information and analysis across major trade lanes, Xeneta said in a statement. Financial details of the transaction were not disclosed. Xeneta CEO Patrik Berglund said the acquisition would further a shared mission by the two companies to bring transparency and efficiency to how ocean freight is bought and sold. “Our combined data sources and coverage will provide customers with more actionable intelligence to control freight spend, as well as delivery reliability,” Berglund said in the statement. Xeneta counts global shippers such as Nestlé, Volvo and Coca-Cola among the customers that use its platform. Simon Sundboell, eeSea’s founder and CEO, said he was fully onboard with Xeneta’s commitment to changing the way ocean freight is negotiated. “A true partnership between carriers and cargo owners relies not only on the freight rates paid, but also on the operational performance provided by the carrier, such as transit times, reliability, canceled sailings, weekly stability and schedule forecasting accuracy,” Sundboell said in the statement. Founded in 2015, eeSea offers insights and predictive analysis for the global container shipping industry. Combining multiple data sources and understanding historical patterns, the eeSea platform offers real-time vessel tracking and forecasting, reliability and transit time analytics and strategic insight into trade lane capacity, including canceled sailings. The Journal of Commerce has data usage deals with both Xeneta and eeSea. Contact Greg Knowler at <a href="mailto:greg.knowler@spglobal.com">greg.knowler@spglobal.com</a>. </div>

Rate benchmarking platform Xeneta said Monday it has acquired fellow maritime and supply chain data company eeSea, creating a combined data source meant to provide deeper insight into an increasingly disrupted container shipping market. Oslo-based Xeneta will add Copenhagen-headquartered eeSea’s global schedule, capacity, transit time and reliability data to its wide range of freight rate information and analysis across major trade lanes, Xeneta said in a statement. Financial details of the transaction were not disclosed. Xeneta CEO Patrik Berglund said the acquisition would further a shared mission by the two companies to bring transparency and efficiency to how ocean freight is bought and sold. “Our combined data sources and coverage will provide customers with more actionable intelligence to control freight spend, as well as delivery reliability,” Berglund said in the statement. Xeneta counts global shippers such as Nestlé, Volvo and Coca-Cola among the customers that use its platform. Simon Sundboell, eeSea’s founder and CEO, said he was fully onboard with Xeneta’s commitment to changing the way ocean freight is negotiated. “A true partnership between carriers and cargo owners relies not only on the freight rates paid, but also on the operational performance provided by the carrier, such as transit times, reliability, canceled sailings, weekly stability and schedule forecasting accuracy,” Sundboell said in the statement. Founded in 2015, eeSea offers insights and predictive analysis for the global container shipping industry. Combining multiple data sources and understanding historical patterns, the eeSea platform offers real-time vessel tracking and forecasting, reliability and transit time analytics and strategic insight into trade lane capacity, including canceled sailings. The Journal of Commerce has data usage deals with both Xeneta and eeSea. Contact Greg Knowler at greg.knowler@spglobal.com .

Container Shipping News

Logistics Technology News

Maritime

Xeneta expands shipping data footprint with acquisition of eeSea

<div class="phx-topic abstract-wrapper">Outpost’s technology aims to answer key supply chain security questions and clarify visibility at terminal gates. </div>

Outpost’s technology aims to answer key supply chain security questions and clarify visibility at terminal gates.

<div class="phx-topic">A company building a network of <a href="https://www.joc.com/article/shipper-need-for-agility-fuels-growth-of-us-shared-terminal-trucking-network-6026788">shared terminals for trucking companies</a> and their customers is offering technology designed to overcome one of the main obstacles to supply chain visibility and security: the gate. Outpost, a company founded in 2021 to provide secure fleet yards for truck parking, on Thursday launched a gate automation platform based in part on AI. The technology is designed to identify trucks, tractors, drivers and trailer seals as a vehicle approaches the gate and then clear the vehicle to enter or decline entry. “The reality of a modern industrial gate is that it’s both a security point and an operational control point,” Greg Akselrod, chief technology officer for Outpost, told the Journal of Commerce. The security function is focused on the actual location and decides whether a tractor-trailer gets access to a facility. The operational function is more closely tied to overall supply chain visibility and integrated with Outpost’s network and the customer’s systems. “Tying all this information into one central management layer creates a level of coordination that’s an overlooked opportunity for visibility and control in the supply chain,” said Akselrod. “That creates a ton of ways to offer efficiencies and lower costs.” <h3>Working in a shared space </h3>Outpost isn’t alone in recognizing the problem with gates. Companies, including logistics provider C.H. Robinson Worldwide, are looking into ways to use AI to tackle security issues at terminal and warehouse gates and <a href="https://www.joc.com/article/ch-robinson-using-ai-to-advance-touchless-truck-scheduling-5214959">help speed truck appointments</a>. What differentiates Outpost is its terminal model, in which several trucking companies, shippers and logistics partners work together in a shared space. “We really see this as key to the fabric of interconnected terminals,” Akselrod said. However, the gate to a truck yard or distribution center or manufacturing plant often is the least automated part of a facility. The historical solution has been to put someone in a gatehouse, but that’s an increasingly inefficient solution, according to Outpost. “Our research shows that the average cost of having someone at a gate, 24/7, is about $25,000 a month,” he said, claiming automation can reduce that cost by 70%. Outpost is offering the technology to customers within its network and to those who want to install it at external facilities, Akselrod said. “We’ve had strong interest from motor carriers, shippers, distribution centers and even railroads,” he said. “The value is outsized when you have a network of facilities.” Contact William B. Cassidy at <a href="mailto://bill.cassidy@spglobal.com">bill.cassidy@spglobal.com</a>.</div>

A company building a network of shared terminals for trucking companies and their customers is offering technology designed to overcome one of the main obstacles to supply chain visibility and security: the gate. Outpost, a company founded in 2021 to provide secure fleet yards for truck parking, on Thursday launched a gate automation platform based in part on AI. The technology is designed to identify trucks, tractors, drivers and trailer seals as a vehicle approaches the gate and then clear the vehicle to enter or decline entry. “The reality of a modern industrial gate is that it’s both a security point and an operational control point,” Greg Akselrod, chief technology officer for Outpost, told the Journal of Commerce. The security function is focused on the actual location and decides whether a tractor-trailer gets access to a facility. The operational function is more closely tied to overall supply chain visibility and integrated with Outpost’s network and the customer’s systems. “Tying all this information into one central management layer creates a level of coordination that’s an overlooked opportunity for visibility and control in the supply chain,” said Akselrod. “That creates a ton of ways to offer efficiencies and lower costs.” Working in a shared space Outpost isn’t alone in recognizing the problem with gates. Companies, including logistics provider C.H. Robinson Worldwide, are looking into ways to use AI to tackle security issues at terminal and warehouse gates and help speed truck appointments . What differentiates Outpost is its terminal model, in which several trucking companies, shippers and logistics partners work together in a shared space. “We really see this as key to the fabric of interconnected terminals,” Akselrod said. However, the gate to a truck yard or distribution center or manufacturing plant often is the least automated part of a facility. The historical solution has been to put someone in a gatehouse, but that’s an increasingly inefficient solution, according to Outpost. “Our research shows that the average cost of having someone at a gate, 24/7, is about $25,000 a month,” he said, claiming automation can reduce that cost by 70%. Outpost is offering the technology to customers within its network and to those who want to install it at external facilities, Akselrod said. “We’ve had strong interest from motor carriers, shippers, distribution centers and even railroads,” he said. “The value is outsized when you have a network of facilities.” Contact William B. Cassidy at bill.cassidy@spglobal.com .

Supply chain

Trucking News

Surface

Shared-terminal operator rolls out AI-based gate security platform

<div class="phx-topic abstract-wrapper">Less-than-truckload costs are up 7.3% year over year, according to the latest US data, but changes to the LTL classification system are adding little, if anything, to shipper rates. </div>

Less-than-truckload costs are up 7.3% year over year, according to the latest US data, but changes to the LTL classification system are adding little, if anything, to shipper rates.

<div class="phx-topic">Revisions to the US less-than-truckload (LTL) classification system that were expected to result in higher LTL costs have proven more of a damp squib than a high explosive. Almost a month after the <a href="https://www.joc.com/article/lack-of-accurate-data-a-threat-to-us-shippers-as-ltl-reclassification-nears-5990210">July 19 implementation</a> of the new National Motor Freight Classification (NMFC), shippers, carriers and logistics providers report little to no change in freight invoices. Carriers are reporting few complaints from customers, if any. LTL rates continue to rise, but little if any of that increase can be attributed to changes to the NMFC. The US long-distance LTL producer price index (PPI) — a measure of all-inclusive LTL costs — rose 1.7% from June to 265.45 in July, a 7.3% year-over-year gain, according to data released by the US Bureau of Labor Statistics (BLS) Thursday. LTL costs are now 15% higher than they were when the then third-largest provider Yellow collapsed in July 2023, according to the BLS PPI index, now at a record high. The fear was that the “reimagination” of the NMFC would push rates even higher. The changes to the NMFC shifted more than 2,000 products or commodities into classes determined by density alone, rather than other shipping characteristics. Although the NMFC does not set pricing, it helps determine how shipments are priced. In interviews over the past month, large shippers told the Journal of Commerce they either prepared for the revised NMFC ahead of time or that the revisions didn’t affect their freight or their business. Many used FAK (freight-all-kinds) pricing methods for LTL freight. That’s not what LTL executives expected from the biggest overhaul to the NMFC — a system of classifying commodities used to create LTL pricing structures — in its 90-year history. “Leading up to [the revisions], about two months prior, we got a lot of questions,” National Motor Freight Traffic Association (NMFTA) COO Joe Ohr told the Journal of Commerce. “But the level of preparation the industry did was amazing.” (The NMFTA oversees the NMFC).“We’re pleasantly surprised,” said Geoff Muessig, chief marketing officer at Pitt Ohio, a multi-regional LTL provider based in Pittsburgh. Pitt Ohio spent several months prepping its customers for classification changes, and Muessig expected some pricing shock. However, in the past month, “I have not seen any significant change in invoice amounts,” Muessig told the Journal of Commerce. “Customer acceptance [of the revisions] has been solid. We’ve had very few requests to make changes to price structures.” “We expected pricing adjustments, calls and complaints, but it’s been quiet for us, and many of the carriers we work with have said it’s been quite quiet,” said Mich Fabriga, vice president of LTL pricing for AFS Logistics, a third-party logistics provider. AFS Logistics handles freight bill auditing for shipper customers. Fabriga told the Journal of Commerce he has seen minor changes to billing caused by the NMFC revisions. “We’re not seeing the big uproar we were expecting” in the wake of NMFC revisions, he said. “It’s almost like a Y2K moment,” he added, referring to the much-predicted computer apocalypse that failed to materialize when 1999 ended and 2000 began. <h3>A muted marketplace </h3>There are several possible reasons why the impact of the NMFC revisions has been muted. One is that many shippers, especially large-volume shippers, did indeed prepare. “Many customers certainly did the research, they made the changes” needed to avoid price increases, said Muessig, namely providing their LTL carriers with accurate information on shipment dimensions and weight to determine density. “My take is the marketplace has absorbed the change,” he said. It’s also early in the data collection process, AFS’ Fabriga said. “It’s probably too early” to make definitive statements about the impact of the classification changes, he acknowledged. Larger shippers are also more likely to use FAK pricing embedded in their contracts to avoid relying on class-based rates, Muessig noted. The impact of the NMFC revisions may become more apparent as annual contracts come up for negotiation. FedEx Freight, the largest US LTL provider, <a href="https://www.joc.com/article/fedex-freight-delays-enforcement-of-ltl-re-classification-6047284">delayed implementing the NMFC revisions</a> until Dec. 1, giving thousands of shippers a 150-day reprieve. FedEx Freight said shippers needed more time to get ready for the new classifications. But the rest of the LTL sector did not automatically follow suit. “In terms of the [NMFC] changes, look, we’re not backing down on the implementation,” Matthew Batteh, CFO at Saia, told Wall Street analysts during a July 25 earnings call. Saia runs 75% of its freight through equipment that captures shipment dimensions every day, Batteh said. “We sell space on our trailers, and this aligns more of the book to be density-based,” he said. “We’ve invested heavily in dimensioners for that exact reason.” <h3>Absorbing change </h3>Others have questioned whether LTL carriers would enforce changes that could raise rates in a soft LTL freight market. “Carriers aren’t being very strict about it,” said Satish Jindel, president of SJ Consulting Group, a transportation research firm. “Many carriers aren’t set up to capture dimensions and shippers aren’t set up to supply dimensions,” Jindel said. “They both are not letting go of the old system.” It’s also not clear that carriers have much to gain by pushing shippers — especially large customers that provide high volumes of freight in critical lanes. Smaller shippers with low LTL volumes and irregular shipping are most likely absorbing higher costs, but as they deal with increased costs related to higher US tariffs, the NMFC revisions may be the least of their worries. “When we say improve your packaging to improve density, that sounds like an easy ask, but it’s actually not,” Fabriga said. “You often simply can’t add or subtract product to adjust the size of your shipment,” he added. “The cost of offsetting the change can be higher than the revised rate itself.” Contact William B. Cassidy at <a href="mailto://bill.cassidy@spglobal.com">bill.cassidy@spglobal.com</a>.</div>

Revisions to the US less-than-truckload (LTL) classification system that were expected to result in higher LTL costs have proven more of a damp squib than a high explosive. Almost a month after the July 19 implementation of the new National Motor Freight Classification (NMFC), shippers, carriers and logistics providers report little to no change in freight invoices. Carriers are reporting few complaints from customers, if any. LTL rates continue to rise, but little if any of that increase can be attributed to changes to the NMFC. The US long-distance LTL producer price index (PPI) — a measure of all-inclusive LTL costs — rose 1.7% from June to 265.45 in July, a 7.3% year-over-year gain, according to data released by the US Bureau of Labor Statistics (BLS) Thursday. LTL costs are now 15% higher than they were when the then third-largest provider Yellow collapsed in July 2023, according to the BLS PPI index, now at a record high. The fear was that the “reimagination” of the NMFC would push rates even higher. The changes to the NMFC shifted more than 2,000 products or commodities into classes determined by density alone, rather than other shipping characteristics. Although the NMFC does not set pricing, it helps determine how shipments are priced. In interviews over the past month, large shippers told the Journal of Commerce they either prepared for the revised NMFC ahead of time or that the revisions didn’t affect their freight or their business. Many used FAK (freight-all-kinds) pricing methods for LTL freight. That’s not what LTL executives expected from the biggest overhaul to the NMFC — a system of classifying commodities used to create LTL pricing structures — in its 90-year history. “Leading up to [the revisions], about two months prior, we got a lot of questions,” National Motor Freight Traffic Association (NMFTA) COO Joe Ohr told the Journal of Commerce. “But the level of preparation the industry did was amazing.” (The NMFTA oversees the NMFC). “We’re pleasantly surprised,” said Geoff Muessig, chief marketing officer at Pitt Ohio, a multi-regional LTL provider based in Pittsburgh. Pitt Ohio spent several months prepping its customers for classification changes, and Muessig expected some pricing shock. However, in the past month, “I have not seen any significant change in invoice amounts,” Muessig told the Journal of Commerce. “Customer acceptance [of the revisions] has been solid. We’ve had very few requests to make changes to price structures.” “We expected pricing adjustments, calls and complaints, but it’s been quiet for us, and many of the carriers we work with have said it’s been quite quiet,” said Mich Fabriga, vice president of LTL pricing for AFS Logistics, a third-party logistics provider. AFS Logistics handles freight bill auditing for shipper customers. Fabriga told the Journal of Commerce he has seen minor changes to billing caused by the NMFC revisions. “We’re not seeing the big uproar we were expecting” in the wake of NMFC revisions, he said. “It’s almost like a Y2K moment,” he added, referring to the much-predicted computer apocalypse that failed to materialize when 1999 ended and 2000 began. A muted marketplace There are several possible reasons why the impact of the NMFC revisions has been muted. One is that many shippers, especially large-volume shippers, did indeed prepare. “Many customers certainly did the research, they made the changes” needed to avoid price increases, said Muessig, namely providing their LTL carriers with accurate information on shipment dimensions and weight to determine density. “My take is the marketplace has absorbed the change,” he said. It’s also early in the data collection process, AFS’ Fabriga said. “It’s probably too early” to make definitive statements about the impact of the classification changes, he acknowledged. Larger shippers are also more likely to use FAK pricing embedded in their contracts to avoid relying on class-based rates, Muessig noted. The impact of the NMFC revisions may become more apparent as annual contracts come up for negotiation. FedEx Freight, the largest US LTL provider, delayed implementing the NMFC revisions until Dec. 1, giving thousands of shippers a 150-day reprieve. FedEx Freight said shippers needed more time to get ready for the new classifications. But the rest of the LTL sector did not automatically follow suit. “In terms of the [NMFC] changes, look, we’re not backing down on the implementation,” Matthew Batteh, CFO at Saia, told Wall Street analysts during a July 25 earnings call. Saia runs 75% of its freight through equipment that captures shipment dimensions every day, Batteh said. “We sell space on our trailers, and this aligns more of the book to be density-based,” he said. “We’ve invested heavily in dimensioners for that exact reason.” Absorbing change Others have questioned whether LTL carriers would enforce changes that could raise rates in a soft LTL freight market. “Carriers aren’t being very strict about it,” said Satish Jindel, president of SJ Consulting Group, a transportation research firm. “Many carriers aren’t set up to capture dimensions and shippers aren’t set up to supply dimensions,” Jindel said. “They both are not letting go of the old system.” It’s also not clear that carriers have much to gain by pushing shippers — especially large customers that provide high volumes of freight in critical lanes. Smaller shippers with low LTL volumes and irregular shipping are most likely absorbing higher costs, but as they deal with increased costs related to higher US tariffs, the NMFC revisions may be the least of their worries. “When we say improve your packaging to improve density, that sounds like an easy ask, but it’s actually not,” Fabriga said. “You often simply can’t add or subtract product to adjust the size of your shipment,” he added. “The cost of offsetting the change can be higher than the revised rate itself.” Contact William B. Cassidy at bill.cassidy@spglobal.com .

US LTL rates still rising after muted response to shipment reclassification

<div class="phx-topic abstract-wrapper">Mediterranean Shipping Co. is adding new calls to West Africa on its South Africa service as former alliance partner Maersk pulls out of direct services from the continent.</div>

Mediterranean Shipping Co. is adding new calls to West Africa on its South Africa service as former alliance partner Maersk pulls out of direct services from the continent.

<div class="phx-topic">Mediterranean Shipping Co. is expanding its South Africa-US East Coast service to cover some West African ports, a move that comes as Maersk plans to vacate its direct Africa service and the continent faces new US tariffs.MSC said this week the South Africa direct service it announced in May would now include a northbound call at the Ivory Coast’s Port of San-Pedro, while the southbound rotation would include a call at Togo’s Port of Lomé starting Oct. 1. The US rotation would include the ports of New York and New Jersey, Baltimore and Savannah, along with a seasonal call at Philadelphia and transshipment at Freeport in the Bahamas. The service will use a rotation of eight ships, along with four additional ships available to ensure schedule consistency. MSC’s expansion of direct call services from Africa to the US comes as one-time alliance partner Maersk plans to discontinue its Amex service between South Africa and the US East Coast in October. Amex’s end will leave transshipping African goods through Europe as the only option on Maersk services. The service expansion also leverages MSC’s terminal network throughout Africa, which expanded with the 2021 purchase of the <a href="https://www.joc.com/article/msc-offers-6-billion-for-bollors-african-terminal-assets-5228988">Bollore Group’s portfolio of 16 marine terminals on the continent</a>. MSC’s Terminal Investment Ltd. (TiL) runs Lomé’s largest marine terminal and operates the main cocoa export terminal in the Ivory Coast.<h3>MSC leads US-Africa market share </h3>The container trade between Africa and North America is still small, with only 120,972 TEUs of imports from Africa to the US for all of 2024, according to PIERS, a sister product of the Journal of Commerce within S&amp;P Global. MSC vessels handled 48% of that volume, while Maersk was second at 38%. US exports to Africa totaled 280,097 TEUs last year, with MSC handling 37% of that share and Maersk 33%. Those market shares have become even more lopsided this year due to frontloading. Through Aug. 15, MSC handled 54% of African exports to the US, while Maersk had a 34% share. The second quarter saw volumes from Africa jump 24% from the first quarter, according to PIERS data. The Trump administration has targeted South Africa with a 30% tariff rate that began Aug. 7. Contact Michael Angell at <a href="mailto:michael.angell@spglobal.com">michael.angell@spglobal.com</a>. </div>

Mediterranean Shipping Co. is expanding its South Africa-US East Coast service to cover some West African ports, a move that comes as Maersk plans to vacate its direct Africa service and the continent faces new US tariffs. MSC said this week the South Africa direct service it announced in May would now include a northbound call at the Ivory Coast’s Port of San-Pedro, while the southbound rotation would include a call at Togo’s Port of Lomé starting Oct. 1. The US rotation would include the ports of New York and New Jersey, Baltimore and Savannah, along with a seasonal call at Philadelphia and transshipment at Freeport in the Bahamas. The service will use a rotation of eight ships, along with four additional ships available to ensure schedule consistency. MSC’s expansion of direct call services from Africa to the US comes as one-time alliance partner Maersk plans to discontinue its Amex service between South Africa and the US East Coast in October. Amex’s end will leave transshipping African goods through Europe as the only option on Maersk services. The service expansion also leverages MSC’s terminal network throughout Africa, which expanded with the 2021 purchase of the Bollore Group’s portfolio of 16 marine terminals on the continent . MSC’s Terminal Investment Ltd. (TiL) runs Lomé’s largest marine terminal and operates the main cocoa export terminal in the Ivory Coast. MSC leads US-Africa market share The container trade between Africa and North America is still small, with only 120,972 TEUs of imports from Africa to the US for all of 2024, according to PIERS, a sister product of the Journal of Commerce within S&P Global. MSC vessels handled 48% of that volume, while Maersk was second at 38%. US exports to Africa totaled 280,097 TEUs last year, with MSC handling 37% of that share and Maersk 33%. Those market shares have become even more lopsided this year due to frontloading. Through Aug. 15, MSC handled 54% of African exports to the US, while Maersk had a 34% share. The second quarter saw volumes from Africa jump 24% from the first quarter, according to PIERS data. The Trump administration has targeted South Africa with a 30% tariff rate that began Aug. 7. Contact Michael Angell at michael.angell@spglobal.com .

Trans-Atlantic

Container lines

MSC will expand Africa-US trade with new calls

<div class="phx-topic abstract-wrapper">Carriers have responded by adjusting schedules and blanking sailings, but the capacity management has so far failed to hold up prices on the trade lane.</div>

Carriers have responded by adjusting schedules and blanking sailings, but the capacity management has so far failed to hold up prices on the trade lane.

<div class="phx-topic">The spot market on the Asia-Europe ocean trade continues to decline as carriers battle to overcome a growing capacity overhang despite reports of solid demand through the summer and ongoing port congestion in Europe. While carriers have responded by adjusting schedules and blanking sailings on routes to both North Europe and the Mediterranean, pulling the capacity management levers has not yet been able to slow the steadily falling rates. Hapag-Lloyd CEO Rolf Habben Jansen told analysts during a first-half earnings call Thursday that bookings on Asia-Europe remain “robust.” And although rates were falling, he described that as normal for this time of year. “Sometimes the peak season ends a little bit early, and right now it looks like we won’t see a strong peak running up to the end of September,” the CEO said. “Volumes into Europe have been pretty steady, and bookings are still robust, but we now need to see what happens in the coming couple of weeks.” Asia to North Europe spot rates of $2,700 per FEU this week are half the level recorded at the beginning of January and have fallen 15% in the past two months, according to Platts, a sister company of the Journal of Commerce within S&amp;P Global. Asia-Mediterranean rates have been on an even more dramatic slide, falling 44% in the past two months to this week’s price of $2,600/FEU, also a decline of 50% compared with the first week of January. “Carriers face an immense challenge in preventing freight rates from falling further against the backdrop of significant overcapacity in the global fleet,” Emily Stausbøll, senior analyst at rate benchmarking platform Xeneta, noted in a recent market update. “It is unlikely the Red Sea will open up to container shipping at large during 2025, but in this scenario the challenge facing carriers in managing capacity would increase exponentially,” she added. <h3>Conservative capacity cuts </h3>The order book is currently at 9.3 million TEUs, or 29% of the in-service container shipping fleet, according to Sea-web, a sister company of the Journal of Commerce. Just over 1.2 million TEUs of vessels above 14,501 TEUs are expected to be delivered this year, mostly for Asia-Europe, while just 91,000 TEUs will be scrapped. Carriers are blanking sailings in an attempt to slow the rate decline but remain surprisingly conservative in their capacity withdrawals. <div class="wrapper-narrow"><dynamic-object type="jocchartid" resource-id="eebb48eb-ad03-4e0f-a647-67693692edb4"></dynamic-object></div>Asia-North Europe carriers will deploy 1.1 million TEUs in capacity in August while blanking 94,470 TEUs, down from the 120,000 TEUs blanked in July, data from visibility provider eeSea shows. Capacity available in September will drop to just over 1 million TEUs, with blank sailings of 42,601 TEUs. Destine Ozuygur, chief analyst at eeSea, said the persistent port congestion in Europe could be contributing to carriers announcing fewer blanks during August and September on Asia-North Europe. “Blanks last August accounted for about 13% of planned calls, and 15% of total planned calls in September, while this year it shapes up to 11% of planned calls in August and just 6% in September,” Ozuygur told the Journal of Commerce. C.H. Robinson advised Asia-Europe shippers in a recent market update to continue booking space three to four weeks ahead, as August capacity was expected to remain tight despite demand softening in some segments. “The combination of port congestion and deliberate capacity cuts favors advance planning over spot market strategies,” the forwarder noted. Schedule reliability data for the Asia-North Europe trade lane reveals the impact of the port bottlenecks. After reaching a 2025 high of 45% in May, on-time performance on the trade lane in July was 28%, according to eeSea. Contact Greg Knowler at <a href="mailto:greg.knowler@spglobal.com">greg.knowler@spglobal.com</a>. </div>

The spot market on the Asia-Europe ocean trade continues to decline as carriers battle to overcome a growing capacity overhang despite reports of solid demand through the summer and ongoing port congestion in Europe. While carriers have responded by adjusting schedules and blanking sailings on routes to both North Europe and the Mediterranean, pulling the capacity management levers has not yet been able to slow the steadily falling rates. Hapag-Lloyd CEO Rolf Habben Jansen told analysts during a first-half earnings call Thursday that bookings on Asia-Europe remain “robust.” And although rates were falling, he described that as normal for this time of year. “Sometimes the peak season ends a little bit early, and right now it looks like we won’t see a strong peak running up to the end of September,” the CEO said. “Volumes into Europe have been pretty steady, and bookings are still robust, but we now need to see what happens in the coming couple of weeks.” Asia to North Europe spot rates of $2,700 per FEU this week are half the level recorded at the beginning of January and have fallen 15% in the past two months, according to Platts, a sister company of the Journal of Commerce within S&P Global. Asia-Mediterranean rates have been on an even more dramatic slide, falling 44% in the past two months to this week’s price of $2,600/FEU, also a decline of 50% compared with the first week of January. “Carriers face an immense challenge in preventing freight rates from falling further against the backdrop of significant overcapacity in the global fleet,” Emily Stausbøll, senior analyst at rate benchmarking platform Xeneta, noted in a recent market update. “It is unlikely the Red Sea will open up to container shipping at large during 2025, but in this scenario the challenge facing carriers in managing capacity would increase exponentially,” she added. Conservative capacity cuts The order book is currently at 9.3 million TEUs, or 29% of the in-service container shipping fleet, according to Sea-web, a sister company of the Journal of Commerce. Just over 1.2 million TEUs of vessels above 14,501 TEUs are expected to be delivered this year, mostly for Asia-Europe, while just 91,000 TEUs will be scrapped. Carriers are blanking sailings in an attempt to slow the rate decline but remain surprisingly conservative in their capacity withdrawals. Asia-North Europe carriers will deploy 1.1 million TEUs in capacity in August while blanking 94,470 TEUs, down from the 120,000 TEUs blanked in July, data from visibility provider eeSea shows. Capacity available in September will drop to just over 1 million TEUs, with blank sailings of 42,601 TEUs. Destine Ozuygur, chief analyst at eeSea, said the persistent port congestion in Europe could be contributing to carriers announcing fewer blanks during August and September on Asia-North Europe. “Blanks last August accounted for about 13% of planned calls, and 15% of total planned calls in September, while this year it shapes up to 11% of planned calls in August and just 6% in September,” Ozuygur told the Journal of Commerce. C.H. Robinson advised Asia-Europe shippers in a recent market update to continue booking space three to four weeks ahead, as August capacity was expected to remain tight despite demand softening in some segments. “The combination of port congestion and deliberate capacity cuts favors advance planning over spot market strategies,” the forwarder noted. Schedule reliability data for the Asia-North Europe trade lane reveals the impact of the port bottlenecks. After reaching a 2025 high of 45% in May, on-time performance on the trade lane in July was 28%, according to eeSea. Contact Greg Knowler at greg.knowler@spglobal.com .

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Asia-Europe ocean rates edging down despite ‘robust’ bookings

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At SSA Marine Mexico, we firmly believe that business development must go hand in hand with social and environmental well-being. Our vision is not solely focused on operating efficiently, but also on creating a meaningful and positive impact in the communities where we are present. Since 1995, we have reaffirmed this commitment through tangible actions that reflect our core values of responsibility, solidarity, and sustainability. <span class="joc_admin__inline-image joc_admin__inline-image-aspect-ratio-3_2 joc_admin__inline-image-position-left joc_admin__inline-image-size-medium" data-figure-size="medium" data-figure-position="left" data-figure-aspect-ratio="3:2"><img src="/content-assets/1752584535914_Photo%201.jpg" alt="" class="joc_admin__inline-image-inherit"> A Year of Major Achievements Over the past year, we allocated more than $107,000 USD to the implementation of 60 social and environmental projects, positively impacting over 7,800 people across various regions of Mexico. Each initiative was designed with a holistic approach, addressing key areas that contribute to long-term community development. Education: Laying the Foundation for the Future Education is one of the most powerful tools to promote social mobility and equitable development. At SSA Marine Mexico, we support academic initiatives that inspire and empower the next generation of leaders. One of our most impactful partnerships was with the University of Colima, where we sponsored the “Reto Camp” program. This initiative encourages university students to develop innovative solutions in the fields of sustainability, logistics, and port operations, offering them mentorship, tools, and real-world challenges to solve. In addition, we donated microscopes, school supplies, and educational materials to institutions in underserved communities, helping to improve the learning environment and provide students with the resources they need to succeed. Health and Sports: Promoting Wellness We believe that healthy communities are strong communities. We have supported several local sporting events and provided direct assistance to talented athletes, enabling them to pursue their passions and represent their regions with pride. Beyond sports, we also strengthened our collaboration with critical emergency response organizations such as the Mexican Red Cross and Civil Protection. Our contributions helped enhance their readiness and capabilities in times of crisis, ensuring better outcomes for those affected by emergencies. Supporting Vulnerable Groups: Reaching Those Who Need It Most A core part of our social responsibility efforts is directed toward supporting vulnerable populations. We have contributed to a range of initiatives focused on children, migrants, and at-risk families. These efforts included donations to orphanages and shelters, as well as support for the National Institute of Migration and grassroots organizations dedicated to protecting and empowering people facing adversity. By standing with those in need, we reinforce our commitment to inclusion and social justice, values that are central to our identity as a responsible company. <span class="joc_admin__inline-image joc_admin__inline-image-aspect-ratio-3_2 joc_admin__inline-image-position-left joc_admin__inline-image-size-medium" data-figure-size="medium" data-figure-position="left" data-figure-aspect-ratio="3:2"><img src="/content-assets/1752584944645_Photo%202.png" alt="" class="joc_admin__inline-image-inherit">Culture: Strengthening Community Identity Cultural identity is a key element in building resilient and united communities. At SSA Marine Mexico, we actively participate in the organization and sponsorship of cultural events that celebrate local traditions and foster civic pride. Working alongside port authorities and municipal governments, we helped bring music, art, and heritage to the forefront, creating spaces for community engagement and intercultural dialogue. Environment: Investing in the Planet Our commitment to sustainability goes beyond operations—it’s a philosophy that drives every decision we make. We have partnered with environmental institutions to carry out reforestation campaigns, beach cleanups, and conservation efforts. In collaboration with the Institute for the Environment, we supported initiatives aimed at decarbonization, biodiversity protection, and environmental education. By involving our employees and local volunteers in these actions, we also foster a culture of environmental stewardship throughout our organization and our surrounding communities. Innovation for a Sustainable Future Sustainability is not just about doing good—it’s also about doing things better. In 2024, we invested $22 million USD in the acquisition of 11 state-of-the-art E-RTG cranes. These electric rubber-tired gantry cranes represent a significant technological advancement in port equipment. Seven of them are already operating on clean electric energy, resulting in a reduction of nearly 4,000 tons of CO₂ emissions and improving operational efficiency by 7%. The remaining four cranes are fully compatible with future electrification, underscoring our long-term strategy to modernize our operations in an environmentally responsible way. This investment is part of a broader innovation roadmap that includes digitalization, automation, and cleaner energy sources—all designed to ensure that our ports continue to grow without compromising the health of our planet. Building a Better Tomorrow, Together At SSA Marine Mexico, we understand that sustainability is a shared and ongoing responsibility. True impact requires collaboration across sectors, long-term vision, and unwavering commitment. That is why we continue to work hand-in-hand with local authorities, non-profit organizations, universities, and our own employees to create solutions that are both scalable and sustainable. Our journey is far from over. In the years ahead, we will continue to deepen our community engagement, explore cleaner technologies, and strengthen the social fabric of the regions where we operate. Each initiative, no matter the size, is a step toward building a future where business success goes hand-in-hand with human and environmental prosperity. We are proud of what we have achieved in 2024, but we are even more excited about what lies ahead. SSA Marine Mexico — Moving the World, Caring for People and Planet. LINK: https://www.ssamarine.mx/

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