Insights
Update N°11/2024
Important customer information on the current situation in global liner shipping
Dear Sir or Madam,
With this letter we would like to update you on the current situation in the worldwide shipping industry
including the impact to global supply chains and logistics networks.
Operational problems in the port of Hamburg
For several months, the inbound and outbound container traffic in the port of Hamburg has been suffering
from delays in the vessel and truck handling, mainly at the port’s three largest container terminals Eurogate,
HHLA-Burchardkai and HHLA-CT Altenwerder. IT problems, lack of staff and many large road construction
projects within the port (especially south of the Elbe River) have been the main cause for this problem.
In the recent weeks, vessel delays have even worsened the situation. Late vessel arrivals and departures
have again caused cargo backlogs at the terminals which need to be removed. Therefore, the delivery of
full export containers has been regulated again by implementation of fixed time slots at the terminals,
making a pre-delivery storage (at additional cost) outside of the terminals necessary.
In response to these operational problems, some container lines have started to cancel Hamburg calls with
some of their vessels, re-directing them to the ports of Bremerhaven or Wilhelmshaven. This has resulted
in additional expenses and delays to importers and exporters. Currently there are no prospects for
improvement. We therefore kindly ask all customers to continously keep in touch with our teams to stay
informed about the situation and its possible impact to their transports.
New formation of shipping line alliances as from early 2025
As you may have read in our last service information (No. 10/2024), worldwide container shipping trades
will be subject to significant changes in the composition of global shipping line alliances. The most important
change will be the merger of Maersk Line’s and Hapag-Lloyd’s liner services and capacities within the new
„Gemini Cooperation“, scheduled to start in February 2025. In preparation for this merger, the lines have
already started to phase their vessels into the new service schemes, resulting in some first schedule
changes and port omissions, for example in Hamburg. Some of the main east-west trades of the new
„Gemini Cooperation“ will shift a large part of their German port calls to the ports of Wilhelmshaven and
Bremerhaven.
As of today (December 2024), many details of the new global shipping line alliances and networks, such
as new schedules for particular trade lanes, are still subject to final agreement and publication. Therefore,
during the transition period until February 2025, changes in vessel schedules and transport plans must be
taken into account. Same applies to the availability of shipping capacities.
Import freight rates on the rise, expecting Chinese New Year 2025
Traditionally, the demand for vessel space and subsequently the container freight rates are moving upward
these days. In light of the upcoming Chinese New Year Holidays starting end of January 2025, especially
the Chinese export economy has been increasing the output, leading to an increase of vessel space
utilization. In addition, the current phase-over programme of the shipping lines in preparation for the new
liner alliance networks causes short-noticed port omissions and schedule changes. In the coming weeks,
importers must expect a noticeable increase of freight rates and capacity shortages.
Strike risk drives vessel utilization on the USA trade
A strong year-end business and the manufacturing industry’s fear of possible customs tariff increases under
the new U.S. administration have been pushing the utilization of shipping capacities on USA-bound trade
lanes. Some carriers report fully booked vessels through mid of January 2025, e.g. to the U.S. Gulf coast.
Additionally, the ongoing strike risk has been driving cargo volumes to new peaks. As the recent negotiation
talks between the port workers‘ union ILA and the liner alliances have failed, without giving any prospect
for an agreement by the current deadline (Jan 15, 2025), large-scale strikes in the East and Gulf coast ports
in the USA have become more and more likely. Shippers and forwarders must prepare for massive
disruptions to their container transports and supply chains within the USA, causing additional expenses
and delays. We will keep our customers informed.
Crisis in the Near and Middle East
As of today, nearly all global shipping lines in the container-, RORO- and breakbulk trade avoid the transit
through the Red Sea and skip the Suez Canal en route from Asia to Europe (and v.v.), in response to the
ongoing risk of armed incidents with civil commercial ocean vessels. The deviation around the Cape of
Good Hope and subsequently the African Continent has become a standard on major East-West-trades.
Due to the dynamics and the increasing complexity of the current situation in the Near and Middle East,
there are no real prospects for a return to the standard routing via the Suez Canal. Depending on a possible
further escalation of the situation in the Near East, further restrictions to the shipping and forwarding
industry are expected in the entire region including the Eastern Mediterranean.
Last, but not least…
We would like to ask you, our valued customers and business partners, for your understanding, that as
freight forwarders, we do not have any influence on the current geopolitical situation and the impact to
global supply chains, and shall not accept any liability for any consequences. Additional expenses resulting
from freight surcharges, storage fees, demurrage and detention, cargo deviation etc., which should result
from this situation, will be for account of the cargo (-owner). This applies both to new and existing transport
orders, also if these are covered with an existing freight agreement. Furthermore, delays and disruptions
need to be taken into account at any time.
The employees with all offices of the Alfons Köster & Co. group will continuously guarantee the high level
of service quality at all times. We all remain at your disposal for any question or request. We are in daily
contact with all involved parties along your transport chain and will keep you informed about latest
developments.
We would like to wish you and your families a joyful festive season and happy holidays, and thank you
for your support and the excellent cooperation in 2024!
With kind regards,
your team of
Alfons Köster & Co. GmbH
Global Freight Logistics
Update N°10/2024
Important customer information on the current situation in global liner shipping
Dear Sir or Madam,
With this letter we would like to update you on the current situation in the worldwide shipping industry
including the impact to global supply chains and logistics networks.
USA Port Strike delayed to January 2025
The strike in the US East and Gulf coast ports, which was announced by and commenced on October 1st,
ended just a few days later, based on a preliminary tariff offer submitted by the USMX Alliance to the port
workers‘ union ILA (International Longshoremen’s Association). However, key demands of the union, such
as automation of terminals and subsequently expected staff reduction, were not met by the Alliance.
Therefore, the strike risk in US ports continues. The parties have agreed to a 100-day negotiation period
during which no strike action must be taken. This period will end by January 15, 2025. If no deal between
USMX and ILA will be made by this date, the strike will resume, with massive impact on supply chains in
ports on the US East and Gulf coast.
Following the temporary end of the strike in October, the booking situation on all trades from and to North
America has calmed and more or less went back to normal. However, as the new strike in January may
approach, shippers and forwarders must be prepared already during the coming weeks for more capacity
shortages, delays, schedule changes and subsequently increasing expenses.
New formation of shipping line alliances as from early 2025
Starting February 2025, worldwide container shipping trades will be subject to significant changes in the
composition of global shipping line alliances. As you may have known, the Danish carrier Maersk Line and
Germany’s Hapag-Lloyd Container Linie have agreed a strategic cooperation under the new name „Gemini“
as from 2025. The new cooperation has been launched with the goal to merge capacities on the world’s
large east - west trades, and to increase punctuality and schedule reliability by streamlining available
service loops. This streamlining shall be achieved through reduction of port calls. At the same time, the
global port coverage shall be maintained and even improved by making increased use of the „hub and
spoke“ principle.
This major change will also have a direct impact to other carrier alliances. The two largest container
shipping lines MSC from Switzerland and Maersk Line will end their strategic cooperation. Hapag-Lloyd’s
exit from „THE Alliance“ will create the need of a reorganisation within this Alliance and its remaining
members, being ONE from Japan, HMM from South Korea and Taiwan’s Yang Ming Line. MSC and ONE
already published plans to strategically cooperate on the major east – west trades. However, as of today
(November 2024), many details of the new global shipping line alliances and networks are still subject to
final agreement and publication.
To shippers and forwarders, the new formation of container shipping alliances will mean noticeable changes
in sailing schedules and service networks especially on the major trade lanes between Asia, Europe and
North America. The future products offered by the liner alliances have partly not been published yet, and
are subject to final conclusion and presentation. Your Alfons Köster team will keep you informed.
Reduction of shipping capacities in Asia
In response to decreasing cargo volumes on the inbound trade from Asia to Europe, several shipping lines
have initiated measures to stabilize freight rates by cancelling westbound voyages on short notice (so-
called „blank sailings“), with the aim to create a massive upturn on freight rates in November. However, it
is not clear yet if these measures will materialize in the end. The „blank sailings“ will later also have an
impact to outbound vessel schedules on the export trades from Europe to Asia.
Crisis in the Near and Middle East
As of today, nearly all global shipping lines in the container-, RORO- and breakbulk trade avoid the transit
through the Red Sea and skip the Suez Canal en route from Asia to Europe (and v.v.), in response to the
ongoing risk of armed incidents with civil commercial ocean vessels. The deviation around the Cape of
Good Hope and subsequently the African Continent has become a standard on major East-West-trades.
Due to the dynamics and the increasing complexity of the current situation in the Near and Middle East,
there are no real prospects for a return to the standard routing via the Suez Canal. Depending on a possible
further escalation of the situation in the Near East, further restrictions to the shipping and forwarding
industry are expected in the entire region including the Eastern Mediterranean.
Last, but not least…
We would like to ask you, our valued customers and business partners, for your understanding, that as
freight forwarders, we do not have any influence on the current geopolitical situation and the impact to
global supply chains, and shall not accept any liability for any consequences. Additional expenses resulting
from freight surcharges, storage fees, demurrage and detention, cargo deviation etc., which should result
from this situation, will be for account of the cargo (-owner). This applies both to new and existing transport
orders, also if these are covered with an existing freight agreement. Furthermore, delays and disruptions
need to be taken into account at any time.
The employees with all offices of the Alfons Köster & Co. group will continuously guarantee the high level
of service quality at all times. We all remain at your disposal for any question or request. We are in daily
contact with all involved parties along your transport chain and will keep you informed about latest
developments.
We would like to wish all of you a good summer holiday season!
With kind regards,
your team of
Alfons Köster & Co. GmbH
Global Freight Logistics
Update N°9/2024
Important customer information on the current situation in global liner shipping
Dear Sir or Madam,
With this letter we would like to update you on the current situation in the worldwide shipping industry
including the impact to global supply chains and logistics networks. *)
US East & Gulf Coast port strike
In the United States, port workers have been called for a strike in all seaports on the East and Gulf Coast
effective tomorrow, October 1st, 2024. The current labour contracts between the International
Longshoremen’s Association (ILA) and the shipping lines expire today (Sept 30th). To-date, no terms for a
future extension of these contracts could be agreed. In all major seaports from Maine in the North East
down to Texas on the Gulf Coast, shipping lines, terminals, crews, forwarders, truckers and subsequently
the manufacturing industry are preparing for a temporary port shutdown. This is expected to have a massive
impact on vessel schedules, transportation and supply chains. Many major shipping lines have already
announced plans for their vessels to anchor at sea outside of the ports for the duration of the strike, or to
reduce speed and slow-steam to their designated destination port. As a consequence, this will result in
significant delays and service disruptions.
Additionally, most shipping lines have announced plans to implement „Port Congestion Surcharges“ in
order to forward additional laytime expenses to shippers – on top of the „Peak Season Surcharges“ which
have already been announced earlier to become effective in October due to high space demand. These
Congestion Surcharges may range in a 4-digit area for which shippers need to prepare in October. Due to
the strike, shippers need to take yet additional expenses into account such as demurrage, detention,
storage, waiting time, dead freight etc. These fees will be charged for the account of the cargo (-owner),
also for those shipments which are already en route to a US port, or have arrived there already.
If you need to find out if your US-bound cargo booked through Alfons Köster is exposed to the risks of this
situation, please contact your Alfons-Köster team in charge.
Strike in the port of Montreal, Canada
Following the strike announcements in the U.S., the Canadian port workers‘ union Montreal
Longshorement’s Union has now implemented a short-noticed 72-hours strike action effective today (Sept
30th) until October 2nd, 2024 which will affect the container terminals of Viau and Maisonneuve. These
terminals handle a considerable part of the Port of Montreal’s container volume, so that shippers need to
expect a similar impact to their supply chains in the days to come, caused by delays and service disruptions.
Crisis in the Near and Middle East
As of today, nearly all global shipping lines in the container-, RORO- and breakbulk trade avoid the transit
through the Red Sea and skip the Suez Canal en route from Asia to Europe (and v.v.), in response to the
ongoing risk of armed incidents with civil commercial ocean vessels. The deviation around the Cape of
Good Hope and subsequently the African Continent has become a standard on major East-West-trades,
and most carriers have been able to adopt the longer turnaround times into their schedules
Due to the dynamics and the increasing complexity of the current situation in the Near and Middle East,
there are no real prospects for an end of the crisis and a return to the standard routing via the Suez Canal.
Depending on the future development of the current, very unfortunate situation in the Near East, further
restrictions to the shipping and forwarding industry are expected in the entire region including the Eastern
Mediterranean.
Waiting time for special cargo road transportation permits in Germany
Due to a backlog of open permit applications with German road construction authorities, combined with a
large number of construction sites on Germany’s highly used „Autobahn“ motorways, the lead times for the
application and receipt of transportation permits for heavy and oversized cargo have again increased to up
to 12 weeks, partly more. Once more, this rarely acceptable situation means a massive challenge for all
project cargo shippers, and especially for Germany’s strong machinery making industry.
Last, but not least…
We would like to ask you, our valued customers and business partners, for your understanding, that as
freight forwarders, we do not have any influence on the current geopolitical situation and the impact to
global supply chains, and shall not accept any liability for any consequences. Additional expenses resulting
from freight surcharges, storage fees, demurrage and detention, cargo deviation etc., which should result
from this situation, will be for account of the cargo (-owner). This applies both to new and existing transport
orders, also if these are covered with an existing freight agreement. Furthermore, delays and disruptions
need to be taken into account at any time.
The employees with all offices of the Alfons Köster & Co. group will continuously guarantee the high level
of service quality – also in difficult times. We all remain at your disposal for any question or request. We
are in daily contact with all involved parties along your transport chain and will keep you informed about
latest developments.
With kind regards,
your team of
Alfons Köster & Co. GmbH
Global Freight Logistics
Update N°8/2024
Important customer information on the current situation in global liner shipping
Dear Sir or Madam,
With this letter we would like to update you on the current situation in the worldwide shipping industry
including the impact to global supply chains and logistics networks.
Strike in German seaports
In view of the ongoing negotiations between the German labour union ver.di and the port operators in the
German seaports, the talks have been suspended on 26/08/2024 without any results. Therefore, new
strikes have been announced for today, 30/08/2024 for the German seaports in Hamburg, Bremen,
Bremerhaven and Emden. Since June 2024, the short-noticed strike actions have repeatedly caused
severe disruptions in delivery and collection of containers and other cargoes at the terminals, as well as
vessel operations. Exporters and importers need to consider additional expenses and delays caused by
shutdowns and waiting times in the ports. Depending on the progress and the duration of the tariff
negotiations, a continued strike risk has to be expected in German seaports.
Continuous strike risk in North America
Also in the ports on the US East and Gulf coast, strike actions are expected in the weeks and months to
come. The current labour contracts between the port worker’s union ILA and the ocean carriers will expire
by end of Q3/24. As of today (30/08/2024), the parties could not manage to commit to any general
agreement. From well informed sources, one can hear that even a time and date for the upcoming major
talks has not yet been fixed. Hence, difficult and long negotiations must be expected. This can lead to
massive strikes with noticeable impact to transports and supply chains within the USA.
In Canada, the rail operators just recently announced an upcoming strike which could be avoided in „last
minute“ by intervention of the Canadian government. Therefore, the strike risk in Canada has been banned
until further notice.
Crisis in the Near and Middle East
As of today, nearly all global shipping lines in the container-, RORO- and breakbulk trade avoid the transit
through the Red Sea and skip the Suez Canal en route from Asia to Europe (and v.v.), in response to the
ongoing risk of armed incidents with civil commercial ocean vessels.
The deviation around the Cape of Good Hope and subsequently the African Continent has become a
standard on major East-West-trades, and most carriers have been able to adopt the longer turnaround
times into their schedules. In most cases, shippers can expect (more or less) regular departures between
Asia and Europe again. However, there may be blank sailings in some cases, as the available capacities
are not sufficient to guarantee fixed-day weekly schedules. This will also have an impact on availability of
empty containers in European seaports.
Due to the dynamics and the increasing complexity of the current situation in the Near and Middle East,
there are no real prospects for an end of the crisis and a return to the standard routing via the Suez Canal.
Ocean freight - general market situation
On the inbound trade from Asia to Europe, the overall space situation has eased, and the availability of
container shipping capacities has improved significantly. Freight rates have come down to a more
acceptable level, and bookings are possible on shorter notice.
In turn, on some outbound trades from the European continent, the space situation has become increasingly
tense, especially on the Europe to US trade, where shippers are concerned about possible impacts to their
supply chains caused by the expected strike in October. On the India and Middle East trades, space is
becoming more tight due to good demand and still limited availability of vessel capacities to the Red Sea
and Arab Gulf destinations. Many container lines have already announced Peak Season Surcharges on
beforementioned trades, effective 01/09/2024, which may have a solid chance to last if the situation should
not change. Cargo owners are recommended to place their bookings early in advance.
In the RORO shipping industry, the booking situation on the major trades to North America and Asia has
improved, and bookings can be accommodated again on a shorter notice.
Waiting time for special cargo road transportation permits in Germany
Given the summer holiday season and a high level of absent staff with German road construction
authorities, combined with a large number of construction sites on Germany’s highly used „Autobahn“
motorways, the lead times for the application and receipt of transportation permits for heavy and oversized
cargo have again increased to up to 12 weeks, partly more. Once more, this rarely acceptable situation
means a massive challenge for all project cargo shippers, and especially for Germany’s strong machinery
making industry.
Last, but not least…
We would like to ask you, our valued customers and business partners, for your understanding, that as
freight forwarders, we do not have any influence on the current geopolitical situation and the impact to
global supply chains, and shall not accept any liability for any consequences. Additional expenses resulting
from freight surcharges, storage fees, demurrage and detention, cargo deviation etc., which should result
from this situation, will be for account of the cargo (-owner). This applies both to new and existing transport
orders, also if these are covered with an existing freight agreement. Furthermore, delays and disruptions
need to be taken into account at any time.
The employees with all offices of the Alfons Köster & Co. group will continuously guarantee the high level
of service quality – also in difficult times. We all remain at your disposal for any question or request. We
are in daily contact with all involved parties along your transport chain and will keep you informed about
latest developments.
With kind regards,
your team of
Alfons Köster & Co. GmbH
Global Freight Logistics
Update N°7/2024
Important customer information on the current situation in global liner shipping
Dear Sir or Madam,
With this letter we would like to update you on the current situation in the worldwide shipping industry
including the impact to global supply chains and logistics networks.
Strike in German seaports
The ongoing negotiations between the German labour union ver.di and the port operators in the German
seaports have repeatedly caused short-noticed strike actions in the ports of Hamburg, Bremen,
Bremerhaven and Emden since June 2024. This has led to severe disruptions in delivery and collection of
containers and other cargoes at the terminals, as well as vessel operations. Exporters and importers need
to consider additional expenses and delays caused by shutdowns and waiting times in the ports. Depending
on the progress and the duration of the tariff negotiations, a continued strike risk has to be expected in
German seaports.
Expected strikes in the United States
Also in the ports on the US East and Gulf coast, strike actions are expected in the weeks and months to
come. The current labour contracts between the port worker’s union ILA and the ocean carriers will expire
by end of Q3/24. As of today, there is a large gap between the both parties‘ interests so that difficult and
long negotiations must be expected. This can lead to massive strikes with noticeable impact to transports
and supply chains within the USA.
Crisis in the Near and Middle East
As of today, nearly all global shipping lines in the container-, RORO- and breakbulk trade avoid the transit
through the Red Sea and skip the Suez Canal en route from Asia to Europe (and v.v.), in response to the
ongoing risk of armed incidents with civil commercial ocean vessels.
The deviation around the Cape of Good Hope and subsequently the African Continent has become a
standard on major East-West-trades, and most carriers have been able to adopt the longer turnaround
times into their schedules. In most cases, shippers can expect (more or less) regular departures between
Asia and Europe again. However, there may be blank sailings in some cases, as the available capacities
are not sufficient to guarantee fixed-day weekly schedules. This will also have an impact on availability of
empty containers in European seaports.
Due to the dynamics and the increasing complexity of the current situation in the Near and Middle East,
there are no real prospects for an end of the crisis and a return to the standard routing via the Suez Canal.
Ocean freight - general market situation
On the inbound trade from Asia to Europe, the strong demand for vessel space persists. Due to the
deviation around the African Continent, space remains short, with a negative impact on availability of empty
container equipment. The freight rates have continuously ranged on a high level, and are even likely to
increase further, in case the demand should remain unchanged in the coming weeks.
On outbound trades from Europe, freight rates have stabilized on different levels depending on the trade
lane. The shipping lines try to increase the pressure to the freight markets by implementing „blank sailings“
(cancellation of fixed departures) to take capacities off the market. This puts them into a position to consider
General Rate Increases (GRI) in some trades by 1st of September or 1st of October.
In the RORO shipping industry, there are still some bottlenecks in the supply of vessel space especially on
the trade from Europe to North America, with pre-advice needed for new bookings of up to two months. For
the second half of the year, shippers can carefully expect the situation to improve.
Last, but not least…
We would like to ask you, our valued customers and business partners, for your understanding, that as
freight forwarders, we do not have any influence on the current geopolitical situation and the impact to
global supply chains, and shall not accept any liability for any consequences. Additional expenses resulting
from freight surcharges, storage fees, demurrage and detention, cargo deviation etc., which should result
from this situation, will be for account of the cargo (-owner). This applies both to new and existing transport
orders, also if these are covered with an existing freight agreement. Furthermore, delays and disruptions
need to be taken into account at any time.
The employees with all offices of the Alfons Köster & Co. group will continuously guarantee the high level
of service quality – also in difficult times. We all remain at your disposal for any question or request. We
are in daily contact with all involved parties along your transport chain and will keep you informed about
latest developments.
We would like to wish all of you a good summer holiday season!
With kind regards,
your team of
Alfons Köster & Co. GmbH
Global Freight Logistics
Update N°6/2024
Important customer information on the current situation in global liner shipping
Dear Sir or Madam:
With this letter we would like to update you on the current situation in the worldwide shipping industry
including the impact to global supply chains and logistics networks.
Strike in German seaports
The German labour union ver.di has called port workers in the German Seaports Hamburg, Bremen,
Bremerhaven, Brake and Emden for a strike on 17 and 18/06/2024. Due to the strike, the handling of
vessels, cargoes and trucks at the terminal has been stopped temporarily, resulting in delays and
disruptions to many transports. Also additional costs have to be taken into account by the cargo owners.
Depending on the results of the ongoing talks between ver.di and the port operators, further strike actions
must be expected in German ports during the upcoming weeks.
Expected strikes in the United States
Also in the ports on the US East and Gulf coast, strike actions are expected in the weeks and months to
come. The current labour contracts between the port worker ’ s union ILA and the ocean carriers will expire
by end of Q3/24. As of today, there is a large gap between the both parties ‘ interests so that difficult and
long negotiations must be expected. This can lead to massive strikes with noticeable impact to transports
and supply chains within the USA. We will keep you informed.
Red Sea and Gulf of Aden crisis
As of today, nearly all global shipping lines in the container-, RORO- and breakbulk trade avoid the transit
through the Red Sea and skip the Suez Canal en route from Asia to Europe (and v.v.), in response to armed
incidents with civil commercial ocean vessels which have occurred on regular basis.
The deviation around the Cape of Good Hope has meanwhile become the new standard on major East-
West-trades, and most carriers have been able to adopt the longer turnaround times into their schedules.
In most cases, shippers can expect (more or less) regular departures between Asia and Europe again.
However, there may be blank sailings in some cases, as the available capacities are not sufficient to
guarantee fixed-day weekly schedules. Unfortuately there are no prospects for an end of this crisis and a
return to the standard routing through Suez, at least not for such cargo originating or having its destination
in countries beyond the Gulf of Aden.
Ocean freight - general market situation
The ocean carriers on the inbound trade from Asia to Europe have recently been able to implement massive
freight rate increases in several steps, thanks to a high demand and a lack of capacities. The freight rates
have reached very high levels and are even expected to increase further in the coming weeks, while vessel
space and empty equipment remain short in most Asian loading ports. This shortage is caused by the long
vessel turnaround times while travelling around the Cape of Good Hope, which slow down the flow of empty
equipment.
On outbound trades from Europe, freight rates have mostly stabilized on different levels depending on the
trade lane. The shipping lines try to increase the pressure to the freight markets by implementing „ blank
sailings “ (cancellation of fixed departures) to take capacities off the market. On the Transatlantic trade from
Europe to North America, the upcoming strike risk in the U.S. may likely have some impact to the rate
development, depending on how the capacities may be affected by possible strike.
In the RORO shipping industry, there are still some bottlenecks in the supply of vessel space especially on
the trade from Europe to North America, with pre-advice needed for new bookings of up to two months. For
the second half of the year, shippers can carefully expect the situation to improve.
Alfons Köster: New image video trailer on our hopepage
„ I am Alfons Köster “ . Our employees proudly use this slogan in our brand new image video, while taking
you on a tour and telling you more about our interesting and challenging day-to-day work.
Please take some time to have a look and watch
Last, but not least …
We would like to ask you, our valued customers and business partners, for your understanding, that as
freight forwarders, we do not have any influence on the current geopolitical situation and the impact to
global supply chains, and shall not accept any liability for any consequences. Additional expenses resulting
from freight surcharges, storage fees, demurrage and detention, cargo deviation etc., which should result
from this situation, will be for account of the cargo (-owner). This applies both to new and existing transport
orders, also if these are covered with an existing freight agreement. Furthermore, delays and disruptions
need to be taken into account at any time.
The employees with all offices of the Alfons Köster & Co. group will continuously guarantee the high level
of service quality – also in difficult times. We all remain at your disposal for any question or request. We
are in daily contact with all involved parties along your transport chain and will keep you informed about
latest developments.
With kind regards,
your team of
Alfons Köster & Co. GmbH
Global Freight Logistics
Update N°5/2024
Important customer information on the current situation in global liner shipping
Dear Sir or Madam:
With this letter we would like to update you on the current situation in the worldwide shipping industry
including the impact to global supply chains and logistics networks. *)
Port of Baltimore, MD, USA closed after bridge collapse
After the collision of the container vessel „Dali“ with the Francis Scott Key Bridge in Baltimore, MD on
26/03/2024, measures have been initiated to remove the vessel and parts of the collapsed bridge. This has
allowed a partial recovery of the port entry, giving access to the port for smaller and lighter cargo vessels.
RORO and breakbulk carriers have already resumed their scheduled port calls in Baltimore, while for
container carriers, the port can only be reached for smaller vessels with a limited TEU capacity for time
being. However, the situation is expected to normalize in the weeks to come so that the port will be fully
accessible again.
Red Sea and Gulf of Aden crisis
As of today, nearly all global shipping lines in the container-, RORO- and breakbulk trade avoid the transit
through the Red Sea and skip the Suez Canal en route from Asia to Europe (and v.v.), in response to armed
incidents with civil commercial ocean vessels which have occurred on regular basis.
The deviation around the Cape of Good Hope has meanwhile become the new standard on major East-
West-trades, and most carriers have been able to adopt the longer turnaround times into their schedules.
In most cases, shippers can expect (more or less) regular departures between Asia and Europe again.
However, there may be blank sailings in some cases, as the available capacities are not sufficient to
guarantee fixed-day weekly schedules.
Unfortuately there are no prospects for an end of this crisis and a return to the standard routing through
Suez, at least not for such cargo originating or having its destination in countries beyond the Gulf of Aden
(the major trade capital Jeddah in Saudi Arabia and the country of Jordan have remained accessible via
the Mediterranean Sea and the Suez Canal as of today). Until further notice, customers need to take into
account that the reliability in the planning of seaborne transportation may be reduced.
High utilization of container terminals in Europe
In the ports of Hamburg and Antwerp, the container terminals currently face a very high utilization and
massive waiting times for trucks at the gates. Several National Holidays in Germany in the month of May
lead to time bottlenecks for terminals and truckers to handle the cargo volume. At the same time, the
terminals still have to cope with delayed vessel arrivals and departures which cause large cargo backlogs.
*) Copies of previous service information letters are available on request. 1
Continued from page 1
In Antwerp, some terminals have returned to the „Cargo Opening“ procedure. Containers booked for a
particular vessel are not allowed to enter the terminal outside of a firm time frame before the intended
departure, and must be stored outside the gate at shipper’s expense.
Ocean freight - general market situation
The increased transit times for vessels travelling around the Cape have created a basis for new tariff
surcharges implemented by the shipping lines to compensate the additional costs on the trade between
Europe and Asia, but also on other trade lanes such as the Transatlantic trade from Europe to North
America.
On the inbound trade from Asia and Europe, a high demand paired with a shortage of vessel capacities
has led to a significant increase of freight rates. On the major outbound trades from Europe, however, the
booking situation has recently calmed and stabilized.
In the RORO shipping industry, there are still some bottlenecks in the supply of vessel space especially on
the trade from Europe to North America, with pre-advice needed for new bookings of up to two months. For
the second half of the year, shippers can carefully expect the situation to improve.
Alfons Köster at the „Breakbulk Europe 2024“ in Rotterdam
Also in this year, we will be present with our own booth in cooperation with the Port of Hamburg Marketing
Reg. Assoc. (HHM) on Europe’s leading trade show for the project logistics industry. From May 21 to 23,
you will find us in Hall 1, booth 1B11-C11. More information can be found on https://europe.breakbulk.com/home.
Please come and visit us!
We would like to ask you, our valued customers and business partners, for your understanding, that as
freight forwarders, we do not have any influence on the current geopolitical situation and the impact to
global supply chains, and shall not accept any liability for any consequences. Additional expenses resulting
from freight surcharges, storage fees, demurrage and detention, cargo deviation etc., which should result
from this situation, will be for account of the cargo (-owner). This applies both to new and existing transport
orders, also if these are covered with an existing freight agreement. Furthermore, delays and disruptions
need to be taken into account at any time.
The employees with all offices of the Alfons Köster & Co. group will continuously guarantee the high level
of service quality – also in difficult times. We all remain at your disposal for any question or request. We
are in daily contact with all involved parties along your transport chain and will keep you informed about
latest developments.
With kind regards,
your team of
Alfons Köster & Co. GmbH
Global Freight Logistics
Update N°4/2024
Important customer information on the current situation in global liner shipping
Dear Sir or Madam:
With this letter we would like to update you on the current situation in the worldwide shipping industry
including the impact to global supply chains and logistics networks. *)
Port of Baltimore, MD, USA closed after bridge collapse
As you may have taken from the news on the media, on 26/03/2024, the container vessel „Dali“ collided
with the Francis Scott Key Bridge in the port of Baltimore, Maryland (USA). The bridge, spanning the port
of Baltimore’s marine entrance, has completely collapsed and now blocks the entry and exit to/from the port
for ocean vessels. Tragically, six people are reported to be missing following the accident. The port of
Baltimore will not be accessible for ocean vessels until further notice. Vessels currently berthed in the port
are not able to depart until further notice.
Shipping lines affected by the port closure will now re-book cargo with destination Baltimore, MD to other
U.S. East Coast ports such as New York, NY and Norfolk, VA – subject to availability of capacities and in
coordination with the concerned customers. Cargo owners must take into account that delays and additional
expenses may arise from this situation. In case your shipment booked through Alfons Köster & Co. is
affected from the Baltimore port closure, we will inform you about possible alternative options on short
notice. At this moment, it is not known yet when the port of Baltimore will be open and accessible for vessels
again. We will keep you informed as usual with our regular service updates.
Red Sea and Gulf of Aden crisis
As of today, nearly all global shipping lines in the container-, RORO- and breakbulk trade avoid the transit
through the Red Sea and skip the Suez Canal en route from Asia to Europe (and v.v.), in response to armed
incidents with civil commercial ocean vessels which have occurred on regular basis.
The deviation around the Cape of Good Hope continues to have a direct and noticeable impact on vessel
schedules. In European ports, there have been massive vessel delays and cargo backlogs which can result
in additional expenses for temporary storage.
Unfortuately there are no prospects for an end of this crisis and a return to the standard routing through
Suez, at least not for such cargo originating or having its destination in countries beyond the Gulf of Aden
(the major trade capital Jeddah in Saudi Arabia and the country of Jordan have remained accessible via
the Mediterranean Sea and the Suez Canal as of today). Until further notice, customers need to take into
account that the reliability in the planning of seaborne transportation may be reduced.
Ocean freight - general market situation
The increased transit times for vessels travelling around the Cape have created a basis for new tariff
surcharges implemented by the shipping lines to compensate the additional costs on the trade between
Europe and Asia, but also on other trade lanes such as the Transatlantic trade from Europe to North
America. However, since the global booking situation and space demand has calmed down recently, freight
rates have lately very much stabilized on individually different levels.
In European ports, there has been some shortage of empty container equipment, caused by longer
turnaround times. In some cases, this can lead to additional expenses and delays in transport
arrangements. We recommend all customers to plan their ocean transports with a fair amount of time in
advance!
In the RORO shipping industry, a continuous shortage of vessel capacity and shipping space, paired with
a high demand, leads to very long waiting times for rolling and breakbulk cargoes to the United States and
North America. Depending on the destination, shippers need to calculate with a pre-notice of up to two
months for new bookings. On the RORO trade to Asia, the round-the-Cape deviation results in a reduced
sailing offer and limited capacities.
Panama Canal water level shortage
As mentioned in our last letter already, the Panama Canal has been facing a very low water level for several
months, being a cause for noticeable restrictions to the ocean traffic in the region. The number of vessels
allowed for transit per day has been reduced, resulting in backlogs and waiting times for vessels on both
ends. At the beginning of 2024, shipping lines trading through the Panama Canal have started to implement
Panama Canal Transit surcharges which are payable by shippers along with the freight.
We would like to ask you, our valued customers and business partners, for your understanding, that as
freight forwarders, we do not have any influence on the current geopolitical situation and the impact to
global supply chains, and shall not accept any liability for any consequences. Additional expenses resulting
from freight surcharges, storage fees, demurrage and detention, cargo deviation etc., which should result
from this situation, will be for account of the cargo (-owner). This applies both to new and existing transport
orders, also if these are covered with an existing freight agreement. Furthermore, delays and disruptions
need to be taken into account at any time.
The employees with all offices of the Alfons Köster & Co. group will continuously guarantee the high level
of service quality – also in difficult times. We all remain at your disposal for any question or request. We
are in daily contact with all involved parties along your transport chain and will keep you informed about
latest developments.
*) Copies of previous service information letters are available on request.
With kind regards,
your team of
Alfons Köster & Co. GmbH
Global Freight Logistics
Update N°3/2024
Important customer information on the current situation in global liner shipping
Dear Sir or Madam:
With this letter we would like to update you on the current situation in the worldwide shipping industry
including the impact to global supply chains and logistics networks. *)
Red Sea and Gulf of Aden crisis
As of today, nearly all global shipping lines in the container-, RORO- and breakbulk trade avoid the transit
through the Red Sea and skip the Suez Canal en route from Asia to Europe (and v.v.), in response to armed
incidents with civil commercial ocean vessels which have occurred nearly on a daily basis. The deviation
around the Cape of Good Hope, combined with much longer lead times, has become an every-day-standard
to both shippers, importers and forwarders, while the impact to global supply chains is significant.
Unfortuately there are no prospects for an end of this crisis and a return to the standard routing through
Suez, at least not for such cargo originating or having its destination in countries beyond the Gulf of Aden
(the major trade capital Jeddah in Saudi Arabia and the country of Jordan have remained accessible via
the Mediterranean Sea and the Suez Canal as of today). Until further notice, vessel delays caused by long
transit times and occupied berthing space in the ports need to be taken into account, same as a reduced
reliability in the planning of seaborne transportation.
In addition, most of the global cargo insurances have withdrawn from the coverage of war and strike risks
for their customers‘ cargo shipments transiting a regionally limited corridor in the Southern Red Sea and
the Gulf of Aden. It ranges from the Northern Eritrean border through to the border between Yemen and
Oman. This means a major challenge to both shippers and forwarders, as one has to safeguard that this
restricted area will not be transited with affected cargoes. Shipments with destination in the restricted area
cannot be insured against political risks for time being until futher notice.
Ocean freight - general market situation
The increased transit times for vessels travelling around the Cape have created a basis for new tariff
surcharges implemented by the shipping lines to compensate the additional costs on the trade between
Europe and Asia, but also on other trade lanes such as the Transatlantic trade from Europe to North
America. However, since the global booking situation and space demand has calmed down recently, freight
rates have lately very much stabilized on individually different levels.
Carriers on the Transatlantic Trade to the United States and Canada have announced General Rate
Increases on all freight agreements effective April 1st, 2024. In European ports, there has been some
shortage of empty container equipment, caused by longer turnaround times. In some cases, this can lead
to additional expenses and delays in transport arrangements. We recommend all customers to plan their
ocean transports with a fair amount of time in advance!
*) Copies of previous service information letters are available on request.
In the RORO shipping industry, a continuous shortage of vessel capacity and shipping space, paired with
a high demand, leads to very long waiting times for rolling and breakbulk cargoes to the United States and
North America. Depending on the destination, shippers need to calculate with a pre-notice of up to two
months for new bookings. On the RORO trade to Asia, the round-the-Cape deviation results in a reduced
sailing offer and limited capacities.
Panama Canal water level shortage
As mentioned in our last letter already, the Panama Canal has been facing a very low water level for several
months, being a cause for noticeable restrictions to the ocean traffic in the region. The number of vessels
allowed for transit per day has been reduced, resulting in backlogs and waiting times for vessels on both
ends. At the beginning of 2024, shipping lines trading through the Panama Canal have started to implement
Panama Canal Transit surcharges which are payable by shippers along with the freight.
Strike situation in Europe
For several months already, Germany and its European neighbour countries have been facing several
strike and protest actions initiated by rail and port workers, airport ground staff, flight attendants and
farmers. These actions have already had a remarkable impact on logistics operations and supply chains in
Europe, caused by delays and additional expenses, and will likely continue to have in the near future. The
situation is expected to remain tense and challenging until further notice.
We would like to ask you, our valued customers and business partners, for your understanding, that as
freight forwarders, we do not have any influence on the current geopolitical situation and the impact to
global supply chains, and shall not accept any liability for any consequences. Additional expenses resulting
from freight surcharges, storage fees, demurrage and detention, cargo deviation etc., which should result
from this situation, will be for account of the cargo (-owner). This applies both to new and existing transport
orders, also if these are covered with an existing freight agreement. Furthermore, delays and disruptions
need to be taken into account at any time.
The employees with all offices of the Alfons Köster & Co. group will continuously guarantee the high level
of service quality – also in difficult times. We all remain at your disposal for any question or request. We
are in daily contact with all involved parties along your transport chain and will keep you informed about
latest developments.
With kind regards,
your team of
Alfons Köster & Co. GmbH
Global Freight Logistics
Update N° 2/2024
Important customer information on the current situation in global liner shipping
Ladies and Gentlemen:
In our last letter dated January 4, 2024, we informed you in detail about the recent events in the Gulf of Aden and the Red Sea, and the resulting disruptions and impacts on shipping in this region.
The situation has grown in complexity and global significance in recent days, which is why we would like to bring you up to date with this update.
Almost all international liner shipping companies in container, RORO and general cargo traffic continue to avoid the Red Sea and the Suez Canal on the way from Asia to Europe and vice versa. Almost all ships in this shipping area take the detour around the Cape of Good Hope, which is currently leading to significantly longer transit times and therefore significant delays, schedule changes, a lack of empty containers and capacity bottlenecks. This massively affects the ability to plan sea transport reliably.
Access to the ports in the Red Sea, especially Jeddah in Saudi Arabia, is severely restricted from both Asia and Europe due to the diversion of east-west traffic. Some shipping companies already unload cargo for these ports in other safe ports outside the Red Sea, such as Dammar (Saudi Arabia) or Jubel Ali (UAE). You are entitled to do this in accordance with the B/L conditions.
In Asia, freight rates for sea transport to Europe are currently increasing many times over due to high demand. For outbound scheduled services from Europe to the Middle and Far East, the Indian subcontinent and Australia/Oceania, additional “emergency contribution” or “peak season” surcharges have been due since the beginning of the crisis in the Gulf of Aden (approx. USD 400-800 per TEU, sometimes more).
From February 2024, this effect will most likely spread to other shipping areas, such as transatlantic traffic to North and South America.
The liner shipping companies operating here have already published corresponding announcements according to which freight rates will be increased and “peak season” surcharges will be introduced on February 5th, 2024 (approx. USD 500-1000 per TEU, in some cases more). Increasing freight costs and delays can also be expected in all other shipping areas from February onwards due to the tense capacity situation.
In addition, the low water level in the Panama Canal has been causing significant disruption to shipping traffic for months. Passage through the canal is currently only possible for a limited number of ships per day, causing lengthy backlogs on both sides. Since the beginning of the year, additional surcharges have been due for the Panama Canal transit, which are billed to the shippers with the sea freight.
We ask our valued customers to understand that, as freight forwarders, we have no influence on the current geopolitical situation and the resulting effects on global supply chains and do not accept any liability for this. Additional costs from freight surcharges, storage fees, humiliation, detention, alternative and diversion costs, etc., which result from this situation, are borne by the goods and therefore the cargo owner. This applies to both new and existing transport orders, even if a freight agreement already exists for these orders. Delays in the transport process must also be accepted at any time.
The employees in all offices of the Alfons Köster & Co. Group continuously guarantee you a high quality of service - even in difficult times - and are available to answer all your inquiries at any time. We are in close contact with everyone involved along your transport chain on a daily basis and always keep you informed about the latest developments.
Your team of
Alfons Köster & Co. GmbH
Global Freight Logistics
Update N° 1/2024
Important customer information on the current situation in the Red Sea and the Gulf of Aden
Ladies and Gentlemen
As you have already learned from our letter of December 18, 2023 and certainly also from the media, there are currently repeated armed incidents with civilian merchant ships in the Gulf of Aden. This poses a real danger to people, ships and cargo moving on this important trade route between Asia and Europe.
In order to prevent risks from this danger, almost all important liner shipping companies in traffic between Asia, the Middle East and Europe have now rerouted their ships around the Cape of Good Hope in South Africa. This is already resulting in noticeable delays in ship arrivals and departures, as well as a partially unclear timetable situation for the coming weeks. This applies to container transport as well as RORO and conventional general cargo transport.
In order to compensate for the additional costs for the longer travel times, the shipping companies have introduced risk surcharges since the end of December 2023, which are billed to the shipper with the sea freight. The amount of these surcharges depends on the destination and shipping company and, depending on the port of destination, can be between USD 400.00 and 1,000.00 per TEU (20' standard unit), sometimes even more. In incoming traffic from Asia to Europe, a significant increase in sea freight rates can also be observed due to tight capacities before the Chinese New Year. Due to ships arriving late from Asia, a temporary shortage of empty containers for European exports is expected in the coming days.
Due to the diversion of services via the Cape route, the transport capacity to the ports in the Red Sea, especially to Jeddah (Saudi Arabia), is also significantly limited. Customers with shipments to the Red Sea must prepare for canceled ship departures, reduced capacities and likely rising freight costs in the short term. In individual cases, shipping companies can also exercise their right under the B/L conditions to unload cargo at sea with a port of destination in the Red Sea in a safe alternative port of their choice. The cargo owner is then responsible for forwarding the goods to the receiving location.
We would like to point out to our valued customers once again that as freight forwarders we have no influence on the current geopolitical situation and the resulting effects on global supply chains and do not accept any liability for this. Additional costs from freight surcharges, storage fees, demurrage, detention, alternative and diversion costs, etc. that result from this situation will be borne by the goods. Delays in the transport process must also be accepted at any time. We also ask you to treat media reporting on the shipping situation and price developments in a differentiated manner and with caution. Only your Alfons Köster contact person will provide you with binding information about your shipment(s) and possible extra costs or delays.
We are in close contact with everyone involved along your transport chain every day and always keep you informed.
Your team of
Alfons Köster & Co. GmbH
Global Freight Logistics
Update 4th quarter 2023
The Radio Hamburg “Listeners Help Children e.V. Donation Marathon 2023” once again raised a great sum of 680,110.49 euros! Not a given, especially this year, and absolutely great!
Guests at Radio-HH presenter Martin Putz on December 18, 2023: Florence Willoughby and Wolfgang Schmidt handed over a donation of EUR 5,000 on behalf of the management.