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Summary for November 5 - November 9, 2007:
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Monday, November 5, 2007

Ports urge override of Bush’s veto

THE AMERICAN Association of Port Authorities (AAPA) is calling for its members and related port industries to mount a “full-court press on Congress” to achieve an override of President George W. Bush’s veto Nov 2 of the 2007 Water Resources Development Act (HR 1495).

 The act would authorize “critically needed legislation to advance water resources projects throughout the United States, including those that would improve navigation, repair hurricane damage, restore wetlands, and prevent flooding,” according to the AAPA announcement.

 Kurt Nagle, AAPA president and CEO, emphasized that by overriding the President’s veto, Congress can proactively address the seven-year backlog of water infrastructure projects and policy changes “that are sorely needed to keep our marine highways and trade gateways open and functioning.”

 AAPA is urging its 86 member ports in the US to “act quickly and decisively to ensure members of Congress understand the importance” of voting to override the President’s WRDA bill veto.

 The bill received overwhelming support from both houses of Congress, receiving votes of 91-4 in the Senate and 394-25 in the House.

 Web site:

 American Association of Port Authorities
www.aapa-ports.org

TSA box group plans rate increases

CONTAINER shipping lines in the busy trans-Pacific route between Asia and the United States plan to raise freight rates and restore fuel surcharges to offset surging oil prices, according to an announcement Nov 2.

 The Transpacific Stabilization Agreement (TSA) container carrier group, which represents 14 shipping firms that sail between Asia and US ports, said the changes will be factored into future contracts.

 The price of bunker fuel used by ships has risen 34% in the first nine months of this year, according to the announcement.

 The group plans an increase of $400/FEU to the US West Coast and $600/FEU for shipments to all other US destinations.

 The TSA group also plans to impose a $400 peak season surcharge from June to October 2008.

 “Lines will, of necessity, be pressing the issue of a full, floating bunker charge very seriously in upcoming contract negotiations,” said TSA chairman and Neptune Orient Lines executive Ronald Widdows.

 TSA said other operating costs, including inland rail and truck charges and port handling fees, are also expected to increase up to 8%.

 Web site:

 Transpacific Stabilization Agreement
http://www.tsacarriers.org/

Antwerp first into Prince Rupert Port

THE 5,400-TEU COSCO container vessel Antwerp Oct 30 sailed into B.C. Prince Rupert Harbor and berthed at the new Fairview Container Terminal, two years from the start of construction to transform the Fairview Terminal from breakbulk to containers.

 “The significance of the event goes well beyond opening a new chapter for Prince Rupert or even British Columbia,” noted Prince Rupert Port Authority Chair Dale MacLean.

 “When it touched the shores of North America at the Fairview Container Terminal, the Antwerp activated the first new trans-Pacific trade corridor to be created on this continent in 100 years,” said MacLean. “The wave from this ripple effect will travel from Prince Rupert to the Midwest and back again.”

 “We were in the enviable position of building, not only this state-of-the-art container terminal, but a high-efficiency express trade corridor virtually from the ground up,” explained PRPA President & CEO Don Krusel.

 The new service is a collaboration of CN, Maher Terminals, and the PRPA, in partnership with the government of Canada and the government of British Columbia.

 Web site:

 Port of Prince Rupert
http://www.rupertport.com

<<<•>>>

Tuesday, November 6, 2007

POLB ratifies dirty truck ban

As expected, Long Beach Harbor Commissioners Nov 5 voted to ban the oldest, dirtiest trucks from operating at the Port of Long Beach, through approval of a port tariff that will gradually limit access to all but the cleanest vehicles.

 The tariff, which matches one enacted last week by the Port of Los Angeles, will cut air pollution from short-haul (or “drayage”) trucks working in the harbor by nearly 80% within five years, said the port.

 “We’ve begun the process of linking growth at these ports with real progress on clean air,” said Long Beach Mayor Bob Foster during a joint news conference with Los Angeles Mayor Antonio Villaraigosa.

 The tariff is based on a progressive ban of the oldest trucks. The schedule is:

    Oct 1, 2008: All pre-1989 trucks will be banned from port service.

  Jan 1, 2010: 1989-93 trucks will be banned along with unretrofitted 1994-2003 trucks.

   Jan 1, 2012: All trucks that do not meet the 2007 federal standard will be banned.

Web site:

Port of Long Beac
hhttp://www.polb.com

Houston/Seabrook sign Memorandum Agreement

The Port of Houston Authority and the city of Seabrook Nov 5 signed a landmark Memorandum of Settlement Agreement.

According to port authorities, the agreement defines mutually agreed upon terms for the continued development of the Bayport container terminal facilities, land planning and development in adjoining areas within Seabrook, and the resolution of siltation in Pine Gully.

 The agreement outlines a series of public steps that the port authority and Seabrook have agreed to take over the next three months to carry out the settlement process to resolve legal matters and address quality of life enhancements, land usage, and environmental initiatives.

 As part of the Memorandum, the port authority and Seabrook have each contracted with the Galveston Bay Foundation to investigate and mitigate sedimentation of Pine Gully in Seabrook.

 Pine Gully is a tidal creek that flows east into Galveston Bay. The port authority and Seabrook will share the responsibility and cost as well as overseeing engineering design and permitting for the restoration project, according to the announcement.

 Web site:

 Port of Houston Authority
http://www.portofhouston.com

Lufthansa plans daily Seattle flight

The Port of Seattle and Lufthansa Airlines Nov 5 announced the start of new daily international non-stop service between Seattle International Airport and Frankfurt, Germany, starting Mar 30, 2008.

 Lufthansa is the largest carrier of international passengers in the world, according to the announcement.

 A 221-seat Airbus A330-300 aircraft will provide daily service between Seattle and Frankfurt.

 Lufthansa’s service also will allow their passengers to make connections to Europe, Russia, the Middle East, Asia, Africa, and India, said the announcement.

 This is the third new international route announcement by the Port of Seattle for Sea-Tac Airport this year. Earlier new service was begun by AeroMexico to Mexico City and by Air France to Paris.

 The addition of Lufthansa brings the total number of European service routes at Sea-Tac to five: British Airways to London, Northwest Airlines to Amsterdam, SAS to Copenhagen, Air France to Paris, and Lufthansa to Frankfurt.

 Other international service from Sea-Tac includes six airlines serving Asia, two serving Mexico, and four providing service to Canada.

 Web sites:

 Port of Seattle
http://www.portseattle.org

<<<•>>>

Wednesday, November 7, 2007

Retail box traffic continues lower

TRAFFIC at the nation’s major retail container ports dropped below last year’s levels for the second month in a row in September, according to the monthly Port Tracker report released Nov 6 by the National Retail Federation and Global Insight.

“Container traffic is expected to continue at a slow pace due to weakness in the US economy,” Global Insight Economist Paul Bingham said, “… but all ports are rated low for congestion, as are truck and rail operations.”

 “These numbers show that retailers are carefully managing their inventories so that supply won’t exceed demand,” said NRF Vice President for Supply Chain and Customs Policy Jonathan Gold.

Ports surveyed handled 1.46mn TEUs of container traffic in September, the most recent month for which actual numbers are available. That’s down about 6,000 containers, or 0.4%, from August, and 1.9% from September 2006. (August 2007 was down 1.4% from August 2006.)

 Ports covered for the report are Los Angeles/Long Beach, Oakland, Tacoma, and Seattle on the West Coast; New York/New Jersey, Hampton Roads, Charleston, and Savannah on the East Coast; and Houston on the Gulf Coast.

 Web sites:

 National Retail Federation
http://www.nrf.com

 Global Insight
http://www.globalinsight.com

New Maersk reefer box software cuts CO2

MAERSK LINE Nov 6 announced the implementation of QUEST, a software system that will enable “a significant reduction in the energy consumption and CO2 emissions” of the company’s refrigerated containers.

 QUEST (“Quality and Energy efficiency in Storage and Transport”) is a software solution, providing a new temperature control regime, according to the announcement.

 Maersk says the company can “cut the energy consumption used for cooling up to 50% without impacting the quality of our refrigeration solutions.”

 Maersk Line estimates that QUEST will lead to CO2 emission reductions of 325,000 tonnes annually when fully implemented in 2008.

 “Traditionally, we maintain a constant supply air temperature in the reefer container, a process that uses high amounts of energy. QUEST, on the other hand, focuses on the temperature of the transported commodity,” said Maersk.

 “With Quest our customers and their commodities will benefit from all the usual features provided by our refrigeration solutions, and at the same time we all benefit from lower energy consumption and reduced emissions,” said Thomas Eskesen, senior director responsible for reefer management for Maersk.

 Web site:

 Maersk Line
http://www.maerskline.com

AMB Property acquires 128 acres in Paris

AMB PROPERTY Corp., a leading global developer and owner of industrial real estate, Nov 6 announced the acquisition of 128 acres (520,000 sq meters) in the Paris market for a development project to be named AMB St. Pathus Logistics Park.

 When fully developed, the park is expected to total more than 2.3mn sq ft (212,000 sq meters) of distribution space.

 The site for the AMB logistics park is 12 miles north of Paris’ Charles de Gaulle International Airport off the N2, a major freeway connecting Paris to Brussels.

 The multi-phase plan for AMB St. Pathus Logistics Park will accommodate speculative, build-to-suit, and build-to-sell development, according to the announcement.

 “Land of this size is at a premium in Ile-de-France, providing AMB with a competitive advantage in this region,” commented Mo Barzegar, AMB’s managing director, Europe.

 “Our European development program gained noticeable traction this year,” said Guy Jaquier, AMB’s president, Europe & Asia. “This acquisition adds to our land bank and gives increased visibility to our ongoing development program over the next couple of years.”

 Web site:

 AMB Property Corp.
http://www.amb.com

<<•>>>

Thursday, November 8, 2007

Port Newark welcomes Atlantic Container

Port Newark Container Terminal Nov 6 welcomed Atlantic Container Line to its facility.

ACL has signed a seven year agreement with PNCT and will call the terminal twice weekly. The carrier will load and discharge containers only at PNCT.

 “We are delighted to have another first-class ocean carrier such as ACL join PNCT’s customer roster,” said PNCT President Don Hamm.

 “The facilities of Port Newark Container Terminal can easily serve ACL’s requirements with an efficient and quick turnaround. We look forward to a long and successful relationship,” added Hamm.

 Port Newark Container Terminal is the most advanced multi-purpose container terminal on the US East Coast, according to port information.

 PNCT’s facilities can accommodate super post-Panamax vessels utilizing state-of-the-art container cranes, including 2 new ZPMC cranes.

 PNCT is owned by Ports America Inc., a wholly owned company of the AIG Global Investment Group. 

 Web site:

 Port Newark Container Terminal

http://www.pnct.net

Baltimore Port sees its largest ship

THE MSC Michaela Nov 7 docked at the Port of Baltimore, making it the largest ship to call on the port in its 301-year history.

 Owned by the Mediterranean Shipping Company, the MSC Michaela is 997 ft long, 191 ft high, and 131 ft wide. The ship weighs 73,819 tons and can carry 6,724-TEU containers.

 Maryland Port Administration Executive Director James White said that the port has a channel able to handle large ships with a 50-ft draft, but warned the port could suffer because it does not have a berth capable of offloading those vessels.

 Building that berth will cost $100mn, according to press reports.

 “We will only be able to get smaller containerships, and that’s not the way the industry is going,” said White. “We’d more than likely lose jobs and lose economic impact. We’re fighting for the funds we need to grow the port.”

 As White spoke, five gantry cranes worked to load the Michaela, mostly with empty containers it will take on stops up the East Coast before arriving in Antwerp, Belgium, according to its captain, Velimir Vasilievic of Montenegro.

 Web site:

 Port of Baltimore
http://pob.mpa.state.md.us/

Nichols Boat Builders’ future still uncertain

WHIDBEY Island, WA–based Nichols Brothers Boat Builders, after suddenly laying off its entire 250-person workforce Nov 2, might be back in business soon, according to its president, Bryan Nichols.

 Nichols said, “I’m in sales, so I’m always optimistic. As a business person I’m very optimistic we’ll have our doors opening again in eight weeks or less.”

 The company, founded in 1964, cited financial problems and pending litigation in its brief announcement of the lay-off.

 Nichols said he’s been busy talking to possible financial backers and trying to work out problems with a lawsuit filed by Hornbeck Offshore Services in a dispute over a contract.

 Sheryl Hutchinson, communications director for the state Employment Security Dept., Nov 6 said that Nichols Brothers just that morning had estimated in writing that workers might be unemployed only until Nov 30.

 “That’s the most solid indication we have right now of the company’s intent,” she said.

 Nichols Brothers and two other shipyards have a $348mn joint contract with the state of Washington to build four new state ferries.

 Web site:

 Nichols Brothers Boat Builders
http://www.nicholsboats.com/

 The Atlantic Companion, one of ACL’s five combination ro-ro containerships, will make the New York/New Jersey container terminal its port of call in ACL’s “A” Service, according to port authorities.

<<<•>>>

Friday, November 9, 2007

Cargo ship hits S.F. bridge, spills oil

ABOUT 58,000 gallons of oil spilled from a South Korea–bound containership when it struck a tower supporting the San Francisco–Oakland Bay Bridge in dense fog Nov 7, officials said.

 The oil spill fouled miles of fragile coastline as tides carried a plume of heavy fuel beneath the Golden Gate Bridge and into the Pacific Ocean.

 The accident did not damage the span, but the vessel’s hull was gashed, officials said. The ship, the 900-ft Cosco Buson, is owned by Hong Kong’s Regal Stone Ltd., which had leased it to South Korea’s Hanjin Shipping for the voyage, according to press reports.

 City officials said the Coast Guard initially underreported the size of the spill, believed to be the biggest in the bay since 1988.

 “We would have responded differently if we had accurate information from the get-go,” such as laying more boom lines to contain the oil, said Nathan Ballard, spokesman for San Francisco Mayor Gavin Newsom.

 “This is a very environmentally sensitive area, so it’s of great concern,” said Coast Guard Capt. William Uberti, captain of the Port of San Francisco.

Port of Tacoma launches TWIC program

PORT workers, longshoremen, truckers, and others at the Port of Tacoma Nov 7 became the first in the region to enroll in the Dept. of Homeland Security’s Transportation Worker Identification Credential (TWIC) program.

 Thousands of workers are expected to enroll over the coming months at the Port of Tacoma and also at the Port of Seattle, which begins enrollment mid-December.

 Nationwide, more than 1mn workers with unescorted access to secure areas will apply during the rest of 2007 and 2008, according to DHS.

 The program’s goal is to ensure that any individual who has unescorted access to secure areas of port facilities and vessels has received a thorough background check and is not a security threat.

 Tacoma, the Port of Honolulu, and the Port of Baton Rouge, LA, all started enrollment Nov 7. This brings to five the total number of ports actively enrolled in the nationwide program.

 Ultimately, established fixed enrollment centers will be in place at 147 ports along with mobile enrollment centers at dozens of other locations as needed, said DHS.

 Web site:

 Dept. of Homeland Security
http://www.dhs.gov

Nichols Boat Builders’ future still uncertain

WHIDBEY Island, WA–based Nichols Brothers Boat Builders, after suddenly laying off its entire 250-person workforce Nov 2, might be back in business soon, according to its president, Bryan Nichols.

 Nichols said, “I’m in sales, so I’m always optimistic. As a business person I’m very optimistic we’ll have our doors opening again in eight weeks or less.”

 The company, founded in 1964, cited financial problems and pending litigation in its brief announcement of the lay-off.

 Nichols said he’s been busy talking to possible financial backers and trying to work out problems with a lawsuit filed by Hornbeck Offshore Services in a dispute over a contract.

 Sheryl Hutchinson, communications director for the Washington State Employment Security Dept., Nov 6 said that Nichols Brothers just that morning had estimated in writing that workers might be unemployed only until Nov 30.

 “That’s the most solid indication we have right now of the company’s intent,” she said.

 Nichols Brothers and two other shipyards have a $348mn joint contract with the state of Washington to build four new state ferries.

 Web site:

 Nichols Brothers Boat Builders
http://www.nicholsboats.com/

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