Evergreen’s Ambitious Growth: Expanding Capacity and Embracing Innovation

Taiwanese shipping giant Evergreen has made waves in the logistics industry by announcing a massive order for 60,500 new containers, valued at nearly $187 million. The latest filings to the Taiwan Stock Exchange detail that 23,000 containers will be produced by CXIC Group, 21,000 by Guangdong Fuwa Equipment Manufacturing, and 16,500 by Dong Fang International, a subsidiary of Cosco Shipping Development.

This marks Evergreen’s second major capital investment of the year, building on its $348 million order in June for six 2,400 TEU methanol dual-fuelled ships from CSSC Huangpu Wenchong Shipbuilding and 50,000 containers from top Chinese manufacturers, including Dong Fang and China International Marine Containers, at a cost of $162 million.

Adding to its forward momentum, Evergreen recently sought quotes from major shipbuilders for 11 methanol dual-fuelled 24,000 TEU ultra-large container vessels, demonstrating its commitment to sustainable shipping solutions.

Responding to Challenges: Growth Amid a Supply Chain Crisis

The timing of these investments is critical. Evergreen has linked its increasing container inventory to its expanding fleet. With the Red Sea crisis disrupting equipment supply chains and driving container freight rates to record highs, container manufacturers—primarily in China—are operating at full capacity, with many booked out until year-end. This highlights the urgent need for resilience in global shipping operations.

Evergreen’s financial results reflect its ability to thrive amidst these challenges. In the first nine months of 2024, the company reported net profits tripling year-over-year to $3.5 billion, driven by 68% revenue growth to $11 billion.

A Technological Leap Forward

On Friday, Evergreen chairman Chang Yen-I, alongside Taiwan’s transport minister and Kaohsiung officials, officially inaugurated Kaohsiung port’s Terminal 7, Taiwan’s first fully automated container terminal. Built over four years at a cost of $1 billion (with the government investing $642 million), the terminal spans 149 hectares along 2.4km of coastline and features five deepwater berths capable of accommodating four 24,000 TEU vessels simultaneously. With an annual processing capacity of 4.5 million TEU, this state-of-the-art facility will serve as Evergreen’s strategic home base in Kaohsiung.

A Call for Greater Supply Chain Visibility

As Evergreen scales its operations and invests in sustainability, the global shipping industry faces growing complexities. The Red Sea crisis and fluctuating freight rates underline the need for real-time supply chain visibility. Implementing advanced software solutions can provide Beneficial Cargo Owners (BCOs) and Logistics Service Providers (LSPs) with critical data insights, enabling them to make informed decisions that mitigate risks, optimise operations, and adapt to market disruptions.

The integration of such technologies is no longer optional—it’s essential for building resilient and sustainable supply chains. With climate impacts and market volatility reshaping global trade, real-time visibility empowers stakeholders to address both environmental challenges and operational inefficiencies effectively.

Evergreen’s strategic investments signal an exciting future for shipping, but they also highlight the industry’s pressing need for innovation—not just in fleet and terminal upgrades but also in how we manage and monitor the flow of goods across the globe.

UK Leads Europe with Record 1.29 Billion Parcel Deliveries This Peak Season

A new study commissioned by FedEx has revealed a staggering forecast for the 2024 peak season: UK parcel carriers are expected to distribute 1.29 billion shipments between October and December. This marks a 10.9% increase compared to 2023’s figures, representing the largest projected growth in Europe. With the UK accounting for 21% of Europe’s total deliveries during this period, the nation is leading the pack in logistics demand.

Conducted by Effigy Consulting, the study analysed over 500,000 data points across 300 carriers in 41 countries, painting a detailed picture of the challenges and opportunities ahead. Alun Cornish, Operations Managing Director at FedEx, emphasised the critical nature of peak season for UK businesses: “Online shopping, e-commerce, and a shift towards deferred services are reshaping demand. FedEx’s networks will scale to meet this increase, using predictive technologies to navigate potential disruptions.”

A Peak Like No Other

The UK is forecast to handle nearly 1.3 billion parcels this year during peak season, far outpacing Germany’s projected 1.1 billion deliveries and France’s 524.7 million. Cornish noted that the UK’s return to pre-pandemic levels signals renewed confidence in both British businesses and consumers, underscoring the critical role logistics and transportation play in supporting economic recovery.

But this surge doesn’t come without its challenges. Retailers must contend with three distinct peaks within the peak: Singles’ Day, Black Friday and Cyber Monday, and the lead-up to Christmas. Each period demands specific strategies to address the surge in volume, with some businesses experiencing as much as a 30% increase in trading during this time.

The Role of Technology in Managing the Surge

To meet this rising demand, logistics companies are leveraging cutting-edge technology. FedEx has introduced AI-driven tools like Surround, which uses weather data to reroute packages and avoid delays, and SenseAware, which provides real-time package location updates using RFID technology. These innovations ensure smoother operations and help logistics service providers (LSPs) manage their supply chains with precision.

Visibility software plays an increasingly pivotal role here. By providing real-time data insights, businesses can make informed decisions that mitigate disruptions. For Beneficial Cargo Owners (BCOs) and LSPs, such tools are indispensable for navigating the high-stakes “golden quarter,” where timing is everything.

Sustainability and Visibility: The Future of Logistics

With the surge in parcel volumes comes the urgent need to address environmental impacts. Technologies that enhance supply chain visibility not only improve operational efficiency but also allow businesses to track and reduce carbon footprints. As the logistics sector balances growth with sustainability, real-time data insights become critical in enabling eco-conscious decision-making.

The UK’s leadership in parcel logistics is a testament to its resilience and adaptability. However, to maintain this position, businesses must embrace the dual goals of operational excellence and environmental stewardship. For BCOs and LSPs, this means leveraging visibility software to make data-driven decisions that enhance both performance and sustainability.

US East Coast Port Negotiations Stalled Again Over Automation, Raising Concerns for Supply Chain Stability

East Coast Port Contract Talks Stalled Amid Automation Debate

Negotiations over a new master contract between US East Coast port employers and the International Longshoremen’s Association (ILA) appear to have stalled yet again, as disputes over the future of automation threaten to delay a final agreement. The employer association US Maritime Alliance (USMX) issued a statement indicating that, while there was “positive progress on a number of issues,” talks had broken down over the implementation of port automation technologies, which have been in place in some US ports for almost two decades.

As the extended deadline for the new contract looms just over two months away, on 15 January, USMX confirmed that the current round of negotiations had ended inconclusively. The statement expressed a desire to resume discussions but underscored the sticking point: USMX wants to modernise port operations using technology to improve safety, efficiency, and supply chain capacity—without eliminating jobs. However, the ILA remains adamant that an agreement supporting automation would threaten jobs and reduce union influence over time.

A Complex Issue with Wide-Ranging Implications

Automation has become a vital tool for ports worldwide, not only to improve efficiency and safety but also to address pressing environmental concerns by reducing emissions and energy consumption. In today’s global landscape, where climate impacts are increasingly monitored, the inability to modernise ports could lead to severe bottlenecks, impacting everything from business profitability to carbon footprint management.

The demand for automation is also being driven by unprecedented supply chain pressures that surfaced in recent years, revealing significant inefficiencies in ports still reliant on manual processes. With major freight forwarders and logistics service providers (LSPs) now dependent on real-time data to mitigate disruptions, the stakes for a digitally integrated supply chain have never been higher.

USMX has emphasised that it seeks a balance, arguing that technological upgrades in East Coast ports are not about eliminating jobs but about evolving to meet current and future demands. “What we need is continued modernisation that is essential to improve worker safety, increase efficiency in a way that protects and grows jobs, keeps supply chains strong, and increases capacity that will financially benefit American businesses and workers alike,” the statement said.

Visibility Software: A Critical Tool for Navigating Disruptions

As uncertainty mounts, LSPs and Beneficial Cargo Owners (BCOs) are increasingly concerned about the risk of a second port stoppage, which could severely disrupt US supply chains. Many LSPs have already pointed out the critical need for supply chain visibility software that provides real-time data insights. This technology allows businesses to make informed, business-critical decisions that counteract potential supply chain disruptions, particularly if negotiations continue to falter.

Such visibility is becoming indispensable in a climate where organisations must consider both supply chain efficiency and environmental impact. By leveraging real-time data insights, LSPs and BCOs can proactively manage climate impacts, mitigate delays, and optimise routes to reduce emissions.

Team Worldwide’s SVP International, Bob Imbrani, weighed in on the ILA’s stance, noting that “for the union, automation is an existential issue, as a reduction of its numbers over time would diminish its standing.” With automation posing both a potential risk and an opportunity, the importance of an innovative, tech-driven solution is evident as companies prepare to navigate the uncertain waters of 2024.

As the East Coast port negotiations continue, the US shipping industry stands at a crossroads. Whether the outcome of these talks leans toward innovation or tradition, one thing is clear: real-time supply chain and climate impact visibility will be crucial tools for LSPs, BCOs, and businesses alike to weather the challenges ahead and optimise their operations in an evolving global landscape.

Shanghai’s Bold Green Shipping Goal: Transforming the World’s Busiest Port

Shanghai, China’s largest metropolis and home to the world’s busiest port, has set an ambitious course to become a global centre for green shipping. As climate pressures intensify, Shanghai plans to build its capacity for low-carbon bunkering, preparing for anticipated emissions mandates from the International Maritime Organization (IMO). The city aims to supply over 1 million tons of low-carbon fuel annually by 2030, laying the groundwork for what could be a major shift in Asia’s maritime fuel market.

Rising to the Challenge of Decarbonisation

China’s green pivot comes amid growing competition with Singapore, Asia’s current bunkering hub, which also has a target of 1 million tons of low-carbon methanol by 2030. Singapore remains the world’s leading supplier of bunker fuel, providing over 50 million tons last year alone, compared to China’s 20 million tons in 2023. While the transition to alternative, hydrogen-based propellants such as methanol and ammonia is expected to take years, Shanghai’s focus on renewable energy-powered solutions may give it a strategic edge.

Building a Greener Maritime Supply Chain

China’s robust investments in solar and wind power position it strongly to lead in hydrogen-based fuels. Industry giants are mobilising: Longi Green Energy Technology Co., a top solar panel producer, has partnered with A.P. Moller-Maersk A/S to supply bio-methanol, while wind turbine manufacturer Goldwind Science & Technology Co. has launched projects for green ammonia and methanol valued at 200 billion yuan ($28 billion). The China Classification Society, a key maritime standards authority, projects that China will be able to supply 161 million tons of green ammonia and 143 million tons of green methanol by 2050—an impressive leap from current capacities.

This shift is crucial not only for emissions reduction but also for global supply chains navigating decarbonisation. With this rapid transition, Beneficial Cargo Owners (BCOs) and Logistics Service Providers (LSPs) will face increasing challenges. As China builds this green energy capacity, real-time visibility solutions that monitor fuel sources, emissions, and climate impact across supply chains will be critical. Access to data insights can empower BCOs and LSPs to make informed decisions, mitigating potential disruptions and enabling strategic adjustments as mandates evolve.

The Long Game: Why Visibility Software Matters Now

With Shanghai’s green ambitions, the need for visibility software becomes evident. Real-time climate impact and supply chain data will empower stakeholders to adapt to this shift, manage costs effectively, and align with stricter global standards. As Shanghai steps into a pioneering role in green shipping, it presents a compelling case for embracing digital solutions that provide transparency and enable proactive, data-driven decisions in the journey towards a cleaner maritime industry.

Maersk Halifax Sets Sail for Green Shipping – First Large Containership Converted to Methanol Fuel

In a significant milestone for sustainable shipping, Maersk has completed the conversion of its Maersk Halifax to run on dual-fuel methanol, marking it as the first large, in-service vessel to undergo such a transformation. Celebrated in a ceremony in China on 29 October, this achievement signals a new chapter in green shipping as carriers strive to reduce their carbon footprints and meet rising environmental regulations.

The Maersk Halifax, built in 2017 and measuring 1,158 feet (352 metres) with a capacity of 15,226 TEU, is now a striking 1,204 feet (367 metres) long and boasts a nominal capacity of 15,262 TEU. This complex retrofit took place at Zhoushan Yatai Ship Engineering and Repair Co., where the shipyard’s prefabricated approach helped complete the project within 236 days, significantly accelerating the transition. Maersk’s conversion project included a main engine upgrade, installation of dedicated methanol fuel tanks, and integration of a dual-fuel line. Alfa Laval supplied the fuel system, and a specialised zinc coating was applied to protect the new methanol tanks by Chengxi Walxin Special Coatings Co., covering 2,800 square metres.

Klaus Rasmussen, Head of Projects and PVU Sales at MAN PrimeServ, explained the conversion’s feasibility, noting that “retrofitting a MAN B&W engine to dual-fuel running is straightforward as our standard, electronically-controlled ME-C diesel engines are constructed as ‘dual-fuel ready’ and therefore readily retrofittable.”

The Maersk Halifax began sea trials on 16 October and completed them within four days. According to Maersk’s systems, the vessel departed Shanghai on 5 November and is set to make stops in China and South Korea before arriving at APM Terminals Lazaro Cardenas in Mexico. Maersk has confirmed that similar methanol conversions are planned for sister ships, with the next retrofit scheduled for 2027.

A Wave of Methanol Conversions Sweeps the Industry

Maersk’s pioneering effort underscores a broader trend across major shipping lines, as competitors COSCO, CMA CGM, and Seaspan (in partnership with Hapag-Lloyd) are actively planning their own methanol conversions. Recently, work began on a 20,000 TEU COSCO containership at Shanghai COSCO Shipping Heavy Industry, which will also be outfitted to run on methanol using both the MAN S90 main engine and the Wärtsilä W32 auxiliary engine.

This wave of conversions marks a fundamental shift in how the shipping industry approaches fuel efficiency and emissions, setting new standards for sustainability in global logistics. However, as companies increasingly adopt methanol and other alternative fuels, the need for visibility and real-time data becomes essential. Effective supply chain management is no longer just about moving goods—it’s about understanding the environmental impact and enabling Beneficial Cargo Owners (BCOs) and Logistics Service Providers (LSPs) to make informed decisions that drive sustainability and efficiency.

The Role of Real-Time Data in Green Shipping

As these advancements accelerate, implementing supply chain and climate-impact visibility software will be critical. Real-time data insights empower BCOs and LSPs to track vessel fuel efficiency, route emissions, and potential disruptions, equipping them to make timely, business-critical decisions. By monitoring environmental impact in real time, stakeholders can optimise their supply chain operations, adapt routes as needed, and achieve greater transparency in their climate commitments. This digital shift is essential for mitigating the environmental impacts of global shipping and ensuring that supply chains are not only efficient but also sustainable.

In embracing methanol and technology-forward solutions, Maersk and other leading shipping companies are forging a path toward a greener future, and robust data-driven tools will be instrumental in helping them reach that goal.

Biden’s $3 Billion Clean Ports Initiative to Revolutionise U.S. Port Infrastructure and Tackle Climate Impact

Today, at the Port of Baltimore, President Joe Biden announced the U.S. Environmental Protection Agency’s (EPA) selection of 55 projects across 27 states and territories, set to receive a transformative $3 billion investment under the Clean Ports Program. This initiative is part of the administration’s broader strategy to modernise infrastructure while addressing urgent climate goals, a vital step towards creating resilient, low-emission supply chains in America’s logistics hubs.

The Clean Ports Program, an essential element of Biden’s infrastructure plan, focuses on deploying zero-emission equipment, converting traditional energy sources to shore power, and advancing cleaner technologies across America’s ports. According to EPA Administrator Michael S. Regan, “Our nation’s ports are critical to creating opportunity here in America, offering good-paying jobs, moving goods, and powering our economy. Today’s historic $3 billion investment builds on President Biden’s vision of growing our economy while ensuring America leads in globally competitive solutions of the future.”

These efforts to “green” ports couldn’t be more necessary. Port and freight equipment—ranging from trucks and marine vessels to cargo-handling machinery—are known contributors to diesel pollution, which impacts communities around port areas and accelerates carbon emissions. The EPA’s analysis indicates the Clean Ports Program’s investment will cut over 3 million metric tonnes of carbon emissions, equivalent to the energy usage of 391,220 homes for one year.

Among the ports receiving significant funding are:

  • Port Authority of New York and New Jersey: £344 million
  • Port of Oakland, California: £322 million
  • Maryland Port Administration: £147 million
  • Philadelphia Regional Port Authority: £77.7 million
  • Georgia Ports Authority: £49 million
  • Port of Detroit, Michigan: £21.9 million
  • Port of Houston Authority: £3 million
  • Northwest Seaport Alliance (Washington): £3 million
  • Puerto Rico Ports Authority: £1.8 million

This funding is set to be transformational, enabling these ports to deploy a range of clean technologies, including over 1,500 units of cargo-handling equipment, 1,000 zero-emission drayage trucks, 10 electric locomotives, and 20 green-energy vessels. Additional investments will go towards shore power systems, solar energy, and both battery-electric and hydrogen charging infrastructure.

Real-Time Data: The Missing Link in a Climate-Resilient Supply Chain

As port operations and technology rapidly evolve, so too does the need for data-driven insights to ensure resilience in an increasingly complex logistics environment. Real-time supply chain visibility software, designed to track climate impact and operational efficiency, is essential for Beneficial Cargo Owners (BCOs) and Logistics Service Providers (LSPs) in order to make informed, timely decisions. By integrating this technology, LSPs can identify and counteract disruptions—whether from equipment delays, port congestion, or climate-related events—before they impact the broader supply chain.

The need for visibility and adaptability is further underscored by the unprecedented interest in clean technology funding: in early 2024, the EPA reported over £8 billion in grant requests from ports nationwide. Following a rigorous review process, 55 top applications were chosen, each designed to address critical issues in emissions and infrastructure sustainability. For example, the Port Authority of New York and New Jersey will deploy electric cargo-handling equipment and drayage trucks, phase out parts of its legacy fleet, and install shore power systems. Meanwhile, the Port of Oakland will install electric and hydrogen-based cargo equipment, a charging system, and a battery energy storage solution.

Supported by the Inflation Reduction Act of 2022, this landmark funding sets the stage for the adoption of real-time climate and supply chain visibility software. As U.S. ports increasingly integrate zero-emission technologies, the capacity to monitor these investments in real-time will prove invaluable. With climate and supply chain impacts now inextricably linked, the capability to provide immediate data insights will enable LSPs and BCOs to make business-critical adjustments—aligning with evolving environmental standards and market demands.

The Clean Ports Program promises a greener, data-driven future, ultimately setting a new standard for sustainable logistics across U.S. ports and opening the door for broader application of visibility technologies.

How Air Cargo Can Tackle the Carbon Challenge: The Role of Digitised Community Systems

Reducing CO2 emissions across the logistics industry is a pressing global priority, with governing bodies, regulatory frameworks, and corporate ESG standards increasingly focused on reducing carbon footprints. Yet, a vital question remains: how can air cargo—a rapidly growing sector—minimise its environmental impact? Aviation is the fastest-growing mode of transport, and in 2022 alone, it accounted for 2% of global energy-related CO2 emissions—a significant figure for a single industry.

To address these challenges, infrastructure providers are under increasing pressure to invest in sustainable, digital solutions that enable greater visibility and oversight across supply chains. One of the most promising solutions is the Airport Cargo Community System (ACS), which connects air cargo operators through a unified platform that enables seamless data sharing. This supports greener decision-making, more efficient operations, and reliable CO2 emission reporting.

How Airport Cargo Community Systems Drive Sustainable Logistics

Airport Cargo Community Systems (ACSs) act as the bridge between landside and airside operations, providing a centralised platform where customs agents, logistics service providers (LSPs), and cargo handlers can access and share real-time data. ACSs streamline efficiency across all points of cargo transit, from customs processing to final delivery, allowing stakeholders visibility over the entire process. This connected approach reduces delays, minimises redundant paperwork, and optimises routes—significantly lowering fuel consumption and carbon emissions.

Through ACSs, LSPs and other stakeholders can make swift, data-driven decisions that directly support sustainable supply chain practices. With real-time insights into cargo flow and emissions, operators are better equipped to meet compliance requirements, improve ESG reporting, and achieve carbon reduction goals. ACS technology drives route optimisation, paperless trade processes, and reduces congestion at loading and offloading points, allowing end customers and shippers confidence that their goods are transported in an environmentally responsible way.

Expanding Digital Community Systems Across the Logistics Industry

While ACSs are transforming air cargo, the concept of community systems has applications beyond aviation. In ports, digital systems such as Port Community Systems integrate environmental monitoring, enabling real-time tracking of emissions, fuel use, and equipment efficiency. Community systems are increasingly being explored for “sea-air corridors” that promote multimodal transport, linking sea, road, and rail operations to further reduce carbon emissions across logistics modes. By digitally connecting these sectors, stakeholders can create transparency and sustainability far beyond a single mode of transport, enabling informed, environmentally conscious decisions throughout the logistics network.

The Future of Sustainable Logistics: Real-Time Visibility and Data-Driven Decisions

The future of sustainable logistics hinges on visibility. With platforms like ACS, Beneficial Cargo Owners (BCOs) and LSPs can access critical real-time data insights, empowering them to make business-critical decisions that counteract supply chain disruptions and mitigate environmental impact. By embedding data transparency into everyday operations, ACS and other community systems are shaping a greener, more responsible logistics future.

Vessel Bunching Surges Again: A Monster Challenge for Global Supply Chains

In its latest analysis, Sea-Intelligence has shed light on the growing phenomenon of “vessel bunching,” which refers to the number of sailings in a given week exceeding the scheduled weekly services. This occurrence is becoming a pressing challenge for ports, terminals, and supply chain stakeholders.

Sea-Intelligence explains, “For every weekly deep-sea liner service, one vessel would typically depart from an origin region each week. However, in reality, multiple vessels may depart in the same week on the same service due to vessel delays, shortages, or the use of extra-loader vessels to accommodate excess demand or cargo backlog.” As a result, if 17 sailings occur in one week but only 15 weekly services are scheduled, vessel bunching equals 2.

Before the pandemic, vessel bunching was relatively low, but the pandemic caused a dramatic surge in this inefficiency. Analysts note that while conditions began to normalise towards the end of 2023, the recent Red Sea crisis has triggered a new spike in vessel bunching, returning it to levels close to the pandemic peak.

“Higher vessel bunching puts immense pressure on ports and terminals,” says Alan Murphy, CEO of Sea-Intelligence. “Even if the offered capacity remains constant over two weeks – for example, no vessel in one week and two vessels in the next – this uneven distribution creates an extraordinarily high workload in one week, with none in the second.”

This creates ripple effects across the entire logistics network. As Murphy highlights, ports are not the only ones impacted. “This bottleneck leads to congestion across trucking, rail, and barge capacity, exacerbating the strain on already stretched supply chains.”

Murphy concludes with, that given current data “There is no sign that the pressure on ports is about to ease.” In this challenging landscape, investing in visibility software and tools that provide actionable insights is not just a choice, but a necessity for BCOs and LSPs to stay ahead and mitigate the growing risks in global supply chains.

The Need for Supply Chain Visibility in Combating Vessel Bunching

Vessel bunching can be viewed as a proxy for the pressure on ports and the likelihood of congestion. To manage this effectively, BCOs and Logistics Service Providers (LSPs) need more than just awareness; they need real-time insights into their supply chain to make business-critical decisions.

This is where supply chain visibility software becomes essential. With real-time data analytics, BCOs and LSPs can foresee vessel delays, adjust their plans accordingly, and counteract disruptions caused by vessel bunching. These tools can also provide visibility into climate-related risks, helping firms manage the environmental impacts of their operations while ensuring efficiency.

 Airlines Shift Capacity as Asia Pacific-North America Routes Surge Amid Christmas Rush and E-commerce Boom

As disruption from China’s Golden Week subsides, airlines are swiftly reallocating capacity to the lucrative Asia Pacific-North America routes, just as the holiday shopping season ramps up. According to the US National Retail Federation (NRF), consumer spending for the holidays is expected to rise by 2.5%-3.5% compared to last year, with e-commerce seeing a robust growth of 8%-9%, potentially reaching $297.9 billion.

“The economy remains fundamentally healthy and continues to maintain its momentum heading into the final months of the year,” said Matthew Shay, NRF president and CEO. He highlighted that wage growth and a strong job market are set to bolster consumer spending during the critical winter holidays.

Airlines are responding to these economic conditions, ramping up capacity in key routes. Data from Rotate’s capacity database shows that Asia Pacific to North America saw a 6% rise in available seats last week alone. The increase is even more pronounced in specific regions, with capacity out of Shanghai to North America up 17.5% and from Hong Kong up 11.7%.

Cathay Pacific’s chief customer and commercial officer, Lavinia Lau, confirmed the demand surge: “We expect robust demand during the peak season, driven by e-commerce, high-tech goods, and perishables from Asia and the Americas.” Cathay Pacific reported a strong 11% year-on-year increase in volumes for September, underscoring the buoyant market conditions.

The Growing Importance of Real-time Data and Supply Chain Visibility

While airlines are racing to meet demand, the complex global supply chain is under mounting pressure. From unpredictable weather events, such as hurricanes, to economic factors like tariffs, the ability for Beneficial Cargo Owners (BCOs) and Logistics Service Providers (LSPs) to make agile, data-driven decisions is critical.

The need for real-time supply chain and climate impact visibility software is increasingly clear. Such tools enable businesses to access real-time insights, anticipate potential disruptions, and counteract supply chain risks before they escalate. As Cathay Pacific observed an uptick in shipments across its Cathay Fresh and Cathay Priority solutions, it becomes evident that time-sensitive shipments require a heightened level of visibility and coordination to succeed in today’s fast-paced logistics environment.

According to the NRF, however, risks remain on the horizon. The organisation recently warned that any new tariffs imposed by the US could stifle consumer spending. Research from the Peterson Institute for International Economics estimates existing tariffs already cost US households between $1,500 and $3,000 annually, and this could rise to over $4,000 under further trade restrictions.

NRF’s Shay emphasised the downstream impact of tariffs, stating: “Tariffs are paid by the importer, not the producing country, and that cost is passed directly onto consumers.”

Climate and Supply Chain Resilience: The Path Forward

The aviation and logistics sectors must continue innovating to ensure resilience and sustainability. Airlines and LSPs that leverage advanced supply chain software will be better positioned to manage challenges such as economic shifts, tariffs, and climate disruptions. This technology is no longer a luxury—it’s a necessity for those aiming to remain competitive and mitigate risks in an increasingly uncertain world.

In the fast-evolving landscape of global trade, visibility isn’t just about knowing where goods are; it’s about using real-time data to forecast, react, and safeguard business-critical decisions.

Hong Kong Strengthens Aviation and Maritime Sectors in Bid to Become Global Logistics Powerhouse

Hong Kong is making bold strides to cement its status as a global logistics hub, with significant initiatives aimed at enhancing both its aviation and maritime sectors. As part of a broader strategy to revitalise its role in global trade, the city is positioning itself to leverage new opportunities and streamline logistics for businesses in an increasingly complex supply chain environment.

Boosting Air Connectivity and Opportunities

In the aviation sector, the Hong Kong government has rolled out plans to fortify the city’s status as an international aviation hub. Local firms, particularly Cathay Pacific, have voiced strong support for these initiatives. Cathay Pacific has emphasised the importance of boosting air connectivity with Mainland China and fostering ties with emerging markets in the Middle East and ASEAN. These moves are expected to open up new avenues for tourism and business, driving growth in multiple sectors.

Meanwhile, U-Freight Group’s subsidiary, e+Solutions, has participated in a promotional campaign to showcase Hong Kong’s logistical advantages, with a focus on its capacity to manage e-commerce at a global scale. This dovetails with Hong Kong’s push to not only enhance airfreight capabilities but also streamline integrated logistics processes.

Integrating Air and Maritime Logistics for Cost Efficiency

A key innovation in this strategy involves integrating air and maritime logistics to reduce handling costs and improve efficiency. Hong Kong International Airport (HKIA) has established a logistics park in Dongguan, enabling cargo to be transported via barge to Hong Kong for outbound airfreight. This seamless sea-air intermodal system cuts handling moves by 25%, lowering costs and boosting the speed of cargo transfers. Cathay Group CEO Ronald Lam highlighted the importance of this development in expanding Hong Kong’s transhipment capacity and enhancing global connectivity.

However, as Hong Kong expands its air freight capacity, its maritime sector faces challenges. The city’s port, once a global powerhouse, has seen a sharp decline, falling out of the world’s top 10 container ports with a 14.1% drop in volume last year. Mainland ports such as Shenzhen and Yantian have overshadowed Hong Kong’s maritime presence, shifting the city’s logistics focus towards air freight. Despite this, Hong Kong continues to use its maritime expertise through services like the Pearl River Delta barge system to maintain critical connections with Mainland ports.

Revitalising the Maritime Sector

In response to its maritime sector’s challenges, Hong Kong is establishing a new, industry-led Maritime and Port Development Board to replace the existing Maritime and Port Board. This reformed body will guide the government on policies and strategies to bolster Hong Kong’s role as an international shipping centre. With enhanced funding for research, talent development, and promotional activities, the new board aims to revitalise Hong Kong’s maritime sector, with a particular focus on Mainland China and international markets.

Chief Executive John Lee has underscored the importance of advancing high-value maritime services. Hong Kong is offering tax exemptions for ship leasing, marine insurance, and shipbroking, alongside efforts to promote green shipping and create a green bunkering centre to support environmentally sustainable maritime operations. These steps are part of a broader vision to attract more maritime enterprises and keep Hong Kong competitive in the global shipping industry.

The Need for Real-Time Data Insights

As Hong Kong advances its logistics capabilities, the need for supply chain visibility software becomes increasingly crucial. The city’s complex logistics environment, spanning air and sea transport, demands real-time data insights to assist Beneficial Cargo Owners (BCOs) and Freight Forwarders in making critical business decisions. By leveraging this data, businesses can anticipate and mitigate disruptions, navigate the impacts of climate change, and optimise their supply chains. Visibility software provides crucial insights that allow companies to react swiftly to evolving conditions, helping them maintain efficiency, reduce carbon footprints, and strengthen resilience against global supply chain challenges.

By integrating cutting-edge technology into both air and maritime sectors, Hong Kong is not only improving operational capacity but also positioning itself as a future-ready logistics hub. With a commitment to sustainability, innovation, and efficiency, the city is paving the way for the future of global trade.