DP World Announces £1 Billion Expansion at London Gateway to Transform UK’s Container Trade and Supply Chain Resilience

DP World has unveiled a massive GB£1 billion (US$1.3 billion) expansion at London Gateway, with plans to make it Britain’s largest container port within the next five years. This ambitious project will see the construction of two additional berths, bringing the total to six, and the addition of a second rail terminal to accommodate the projected surge in container trade.

Once completed, the full quayside will stretch over 2.5 kilometres and be equipped to handle six of the world’s largest container vessels simultaneously, each more than 400 metres in length. Notably, the expansion will feature Europe’s tallest quay cranes, boosting the port’s handling capacity. This strategic development underscores DP World’s commitment to increasing Britain’s global connectivity and enhancing supply chain resilience.

London Gateway has already proven itself a key player in the UK’s logistics landscape, handling around 2 million TEUs (Twenty-foot Equivalent Units) annually. The site, originally a former oil refinery, has been transformed into one of the country’s largest logistics hubs, benefitting from significant investment. By 2024, DP World’s total investment at the port will exceed £3 billion (US$4 billion), highlighting its role as a catalyst for economic regeneration in the Thames Estuary, particularly in South Essex.

The addition of 400 new jobs brings the total workforce at London Gateway to 1,600, contributing to the economic revival of the area. The logistics park, Europe’s largest, currently employs 1,500 workers and offers integrated storage, warehousing, and distribution services. Tenants enjoy streamlined access to major motorway networks and rail freight connections, ensuring quick access to key markets in London and the South East.

Building Supply Chain Resilience and Sustainability

As the global supply chain landscape continues to evolve, businesses must navigate increasing complexity. DP World’s expansion is not just about growing capacity; it’s about preparing for the future of global trade. This growth reinforces the UK’s position as a critical hub for global trade, providing greater flexibility for businesses and ensuring that supply chains are resilient in the face of potential disruptions.

Sultan Ahmed bin Sulayem, Group Chairman & CEO at DP World, commented: “DP World London Gateway will help make Britain’s trade flow in the future by connecting domestic exporters with global markets and delivering vital supply chain resilience for the whole economy.”

The expansion of London Gateway, combined with its role as a logistics park, positions it as a central hub for forward-thinking companies looking to enhance their supply chain operations and sustainability efforts. As the world moves towards greener, more efficient logistics, DP World’s latest developments provide the infrastructure necessary for long-term growth and environmental responsibility.

The investment in London Gateway, including the fully electric £350 million fourth berth, reflects DP World’s larger goal of driving sustainability across the logistics sector. The latest expansion not only promises to bolster the UK’s position in global trade but also enables a greater focus on reducing emissions and creating a greener future for international logistics.

ILA’s Fierce Fight Against Automation Escalates Amid Strike Disruptions: Ports Face Lingering Delays and Supply Chain Chaos

The International Longshoremen’s Association (ILA) has vowed to escalate its fight against automation, as the fallout from last week’s three-day strike continues to ripple through supply chains. The strike, which saw major ports along the US East and Gulf coasts grind to a halt, has left behind significant congestion and disruptions that may persist until the end of the month. Around 50 vessels remain stranded at anchor, awaiting clearance to load or unload cargo.

While the ILA negotiated an “unprecedented” 61.5% wage increase across six years, the union has opted to defer acceptance. The reason? A no-strike clause tied to the wage deal, which would limit the union’s ability to address deeper issues like job security and port automation. By extending their labour contract until 15 January, the union maintains leverage to battle automation’s encroachment on longshoremen jobs, a key sticking point in negotiations.

The ILA’s resistance to port automation presents a significant obstacle, especially as automation continues to play an increasing role in improving port efficiency and modernisation. Many global ports are already too far advanced in adopting automated machinery. The union, however, is determined to ensure that ILA members continue to handle critical tasks such as manning cranes and servicing port equipment—tasks they fear could be outsourced to non-union workers or fully automated systems.

Meanwhile, the impacts of the strike are being felt far and wide. Major carriers, including CMA CGM, MSC, Hapag-Lloyd, and Maersk, have taken steps to mitigate the disruption. CMA CGM has adopted a first-in, first-out policy for vessels and suspended its local port charge. MSC has suspended its Emergency Operations Surcharge on east and Gulf coast exports, while Hapag-Lloyd has extended detention-free time and rerouted cargo to alternate ports to minimise delays. Maersk, on the other hand, has temporarily halted bookings for export refrigerated containers via ILA-affected ports.

Real-Time Data: A Critical Tool for Navigating Supply Chain Disruptions

With severe vessel bunching and potential long-term delays looming, the strike highlights the urgent need for Beneficial Cargo Owners (BCOs) and logistics service providers (LSPs) to gain real-time visibility into their supply chains. Real-time data insights allow businesses to make crucial, data-driven decisions that can mitigate the impact of such disruptions. Whether it’s identifying alternative routes, managing inventory, or adapting to climate-related challenges, access to real-time data can help companies react quickly and maintain business continuity.

Supply chain visibility software, powered by real-time data, is no longer a luxury—it’s a necessity. Especially in the current climate of port disruptions, automation debates, and global trade volatility, BCOs and LSPs require actionable insights to ensure resilience. As the January negotiation deadline approaches—a period coinciding with heightened pre-Chinese New Year demand—the ability to predict and plan for potential backlogs will be paramount in navigating the challenges ahead.

This ongoing conflict between automation and labour protections, coupled with escalating port disruptions, serves as a stark reminder of the importance of supply chain agility and visibility. As we move toward the future of modern logistics, the implementation of real-time data solutions will become even more critical for maintaining an efficient and sustainable global supply chain.

Port Strike Chaos Sparks Airfreight Surge: Shippers Brace for Disruption Amid Capacity Crunch

The recent confirmation of a potential strike by the US dockworker union ILA across east and Gulf coast ports is already causing significant disruption, with shippers bracing for increased airfreight costs. Even before the official strike, many businesses have had to pivot their strategies to mitigate the potential impact on their supply chains.

“Containers will be in the wrong spot, and shippers will have to deal with that,” said Niall van de Wouw, chief airfreight officer for Xeneta. “Some have already pulled back freight they had dispatched. So they will need to supplement their stock in a different way or stick it out. Either way, things are going to be a mess; and when there is a mess, airfreight comes in.”

This disruption is already evident. Shipco Transport has reported increased demand for airfreight as businesses look for alternative ways to keep their goods moving. According to Kim Ekstroem, global COO for airfreight at Shipco, “A couple of weeks ago, we started to see quote requests for large shipments that normally would be LCL or even FCL. Forwarders and their customers began bracing themselves for a potential strike. Now, many of these early requests have turned into bookings.”

But the strike isn’t the only factor. The confluence of seasonal trends, such as the typical Q4 ecommerce spike and the airline winter schedule reducing bellyhold cargo capacity by 20%, is adding to the pressure. “It’s a perfect storm,” warns van de Wouw. “Add a strike to an already tense supply chain, and the consequences could be severe.”

This heightened demand for airfreight has already started pushing up prices. “We’ve seen a slight increase in transatlantic air rates,” said Ekstroem, “but the question is, for how much longer?” He cautioned that airfreight rates could jump from $2 per kg to $6 or more within days if capacity continues to tighten.

While some shippers have opted to avoid east and Gulf coast ports altogether, many are turning to airfreight to bypass potential blockages. However, the airfreight market is quickly becoming a battleground where only the best-paying cargo will fly. “When demand and capacity are imbalanced, the market will go into a frenzy,” said Ekstroem. “Airlines will prioritise express or guaranteed products at premium rates, leaving many businesses scrambling for space.”

As capacity diminishes and rates skyrocket, the need for visibility and agility in supply chains has never been more critical. Implementing supply chain visibility software that provides real-time data is key. For BCOs (Beneficial Cargo Owners) and LSPs (Logistics Service Providers), such tools are vital for making fast, data-driven decisions in this volatile environment. By providing insights into port conditions, shipment statuses, and capacity constraints, visibility solutions can help businesses navigate disruptions and ensure critical goods are not delayed or lost in transit.

These disruptions and the looming climate impact make supply chain visibility software indispensable. Real-time data gives businesses the insights they need to not only manage immediate concerns but also optimise long-term resilience, counteract climate impacts, and improve overall sustainability.

As van de Wouw pointed out, with limited options on the ocean and airfreight costs set to soar, only those equipped with the right tools will be able to navigate the complexities of the coming months. The storm is brewing—businesses need to be ready.

Montreal Port Strike Looms: Navigating Supply Chain Disruptions Amid Labour Tensions

The Port of Montreal’s longshore workers have entered mediation talks with the Maritime Employers’ Association (MEA) after voting overwhelmingly to strike earlier this week. With 99.63% of members rejecting the MEA’s latest offer and 97.88% voting for pressure tactics “up to and including strike action,” tensions at one of Canada’s key ports are running high.

The longshore workers, represented by the Local 375 branch of the Canadian Union of Public Employees (CUPE), have been without a collective agreement since the start of the year. Despite months of negotiation, core issues like wages and work-life balance remain unresolved. The dockworkers are demanding a 20% wage increase over four years and improvements to their work-life balance.

Under Canadian labour law, dockworkers must provide 72-hours’ notice before commencing any strike action. The union has up to 60 days to exercise this mandate, raising the possibility of a strike coinciding with similar labour actions at ports along the US east and Gulf coasts.

Economic and Supply Chain Impact

The uncertainty surrounding this labour dispute is already having ripple effects across the Canadian supply chain. According to the MEA, a significant drop in cargo at the Port of Montreal, driven by ongoing labour disputes, is posing severe financial challenges. “The Canadian supply chain is already fragile,” the MEA stated, pointing out that delays and recurring labour disputes are affecting both the Québec and Canadian economies. It also noted that Canada’s reputation as a resilient and reliable trading partner is at risk.

In this context, the ability of businesses to maintain visibility and control over their supply chains has never been more critical. The potential for simultaneous strikes at key North American ports could create widespread disruptions, making it imperative for Beneficial Cargo Owners (BCOs) and Logistics Service Providers (LSPs) to prepare for every eventuality.

The Need for Real-Time Data Visibility in Supply Chains

In these unpredictable times, real-time data visibility software can provide BCOs and LSPs with the critical insights they need to make informed business decisions. By leveraging advanced supply chain visibility platforms, companies can track cargo movements, predict delays, and quickly respond to disruptions caused by labour strikes or other unforeseen events.

Additionally, with climate change increasingly affecting shipping routes and port operations, the integration of climate impact visibility into supply chain management becomes even more crucial. Real-time data not only helps businesses adapt to immediate disruptions but also provides insights to plan for long-term resilience. Implementing such systems is no longer optional; it’s essential for safeguarding supply chains in an increasingly volatile global market.

Labour Disputes and Government Intervention

The CUPE has urged the government to refrain from intervening in this round of negotiations. National president Mark Hancock stated that government interference during the 2021 negotiations—when the Trudeau government imposed forced arbitration and legislated workers back to work—had only prolonged the issues, which have now resurfaced.

“Our message to the Trudeau government is simple – back off; let the parties negotiate a fair deal,” said Hancock. He warned that government involvement would only stifle genuine negotiations and delay a fair resolution for both parties.

Meanwhile, the MEA has emphasised the need to reach a negotiated agreement swiftly, stating, “Our priority remains the signing of a negotiated collective agreement as soon as possible, in order to work on bringing the cargo back to the port.”

A Call for Preparedness

As labour disputes continue to destabilise key North American ports, businesses reliant on maritime trade must stay ahead of disruptions. Implementing real-time data visibility and climate impact tracking software is essential for BCOs and LSPs to navigate these challenges, ensuring they can make timely, informed decisions that safeguard their supply chains.

Prolonged Or Swift Strikes on US East and Gulf Coasts Could Disrupt Global Supply Chains

A looming strike along the US east and Gulf coasts threatens to unravel global container supply chains, with significant ramifications for businesses far beyond American shores. Experts are warning that even a short-lived strike could ripple through logistics networks well into 2025, leaving major importers and exporters scrambling to adjust.

Peter Sand, chief analyst at Xeneta, highlighted the critical nature of the issue. “There are ships on the ocean right now carrying billions of dollars of cargo, heading to ports on the US east and Gulf coasts,” he said, warning of congestion at anchorages that could send shockwaves across international trade routes.

For logistics service providers (LSPs) and beneficial cargo owners (BCOs), the risk is not just in delays but in lost opportunities, missed connections, and unanticipated costs. Many vessels, such as the Monte TamaroOOCL Guangzhou, and Seaboard Pioneer, are scheduled to arrive at key ports, including Port Elizabeth in New Jersey, on or just after the 1 October strike deadline. A delay for these ships could mean extensive rerouting or a painful wait offshore.

According to the latest analysis from eeSea’s liner schedules, a total of 39 container ships are expected to arrive at the Port of New York and New Jersey in Week 40. While 28 remain on schedule, 11 are already delayed—underscoring the fragile state of the current logistics environment.

“This is not just a local problem,” Sand continued, “The knock-on effect will be felt across global schedules, particularly with vessels heading back to the Far East. A strike lasting even a single week could push disruptions into January, delaying ships bound for the US from Asia.”

Given the complexity of global supply chains, real-time data insights are no longer a luxury but a necessity. For BCOs and LSPs navigating these challenging waters, tools providing real-time visibility into port conditions, rerouting options, and alternative supplier networks could be the difference between absorbing the shock and sustaining severe operational impacts.

Visibility software can empower decision-makers to pre-emptively divert shipments or optimise their logistics strategies, mitigating the economic fallout. As John McCown, a noted maritime economist, pointed out, the US port system handles nearly $194 billion in goods each month, with the east and Gulf coasts responsible for more than half of that. Given that 16% of the global container fleet operates in this region, the scale of disruption is almost unimaginable.

While a Maine-to-Texas strike could have devastating consequences, some believe it’s unlikely to reach that point. McCown speculates that the economic risks are so severe that President Biden may be forced to invoke the Taft-Hartley Act, requiring an end to the strike. Others anticipate selective action targeting specific ports, which could still be highly disruptive but more contained.

Government intervention, says Sand, could be critical to prevent a widespread shutdown. “Closing the east and Gulf coasts would be toxic for supply chains,” he said, arguing that it’s imperative to find a resolution before severe damage is done to the economy.

But for LSPs and BCOs, waiting for government action may not be an option. With advanced visibility tools, they can make swift, business-critical decisions to counteract the looming strike’s impact. As the world of logistics becomes increasingly complex, embracing real-time data insights is the only way forward.

US Port Strike Looms: Carriers Respond with Surcharges and Operational Halts as Disruptions Near

With just one week until a potential strike threatens to halt operations at US East and Gulf Coast ports, carriers are rolling out contingency plans in anticipation of significant disruptions. Shipping giants, including Maersk, Hapag-Lloyd, CMA CGM, and ONE, have announced a range of surcharges, halts on inland cargo movement, and reefer container monitoring limitations, all aimed at mitigating the impact on the global supply chain.

As the strike looms, the need for advanced supply chain visibility has never been more apparent. Beneficial Cargo Owners (BCOs) and Logistics Service Providers (LSPs) must leverage real-time data to make critical business decisions, ensuring minimal disruption to their operations.

Maersk will introduce a ‘local port disruption surcharge’ of $1,500 per TEU and $3,000 per FEU for cargo moving to and from US East and Gulf Coast terminals starting 21 October. This surcharge is designed to cover the additional operational costs due to service interruptions. Meanwhile, Hapag-Lloyd will implement a Work Interruption Destination Surcharge (WID) of $1,000 per TEU for imports from East Asia on 19 October, and a Work Disruption Surcharge (WDS) for the rest of the world on 18 October.

CMA CGM, which introduced an $800 surcharge per TEU and $1,000 per FEU on exports from East and Gulf Coast ports starting 11 October, will also add a peak season surcharge of $1,000 per unit for imports from the Indian Subcontinent and the Middle East on 1 November. Similarly, Japanese carrier ONE has warned of potential booking cancellations and vessel rollovers, while North American intermodal operator CSX is halting Canadian exports and will only accept imports until the strike commences.

The threat to refrigerated (reefer) cargo is particularly critical. Maersk and ONE have both urged customers to pick up their imports before 30 September, as the ability to monitor temperature-sensitive containers will be severely hampered if ports go on strike. Hapag-Lloyd has taken precautionary measures, pausing reefer bookings for US exports after 1 October and stopping East Coast export traffic from 29 September.

While these surcharges and operational halts aim to protect carriers and the supply chain from the most severe impacts, they underscore a larger issue: the pressing need for real-time supply chain visibility and climate impact monitoring. For BCOs and LSPs, the ability to access accurate, real-time data will be essential to counteract potential delays, reroute shipments, and make strategic decisions that mitigate risks across their logistics networks.

As Sara Dandan, founder of FourOneOne, a company specialising in detention, demurrage, and maritime dispute resolution, stated: “Any LSP worth their salt has contingencies in place to mitigate issues caused by a strike at these ports. We’ve been given plenty of warning, and most shippers and LSPs should already have alternative plans and routes in place.”

This evolving scenario serves as a reminder that in today’s complex and climate-sensitive global trade environment, having the right technology to provide real-time data insights is no longer a luxury—it’s a necessity. The integration of supply chain visibility software allows companies to monitor their shipments in real-time, providing critical information that can prevent costly disruptions, reduce emissions, and ensure smoother, more sustainable logistics operations. As the US port strike nears, these tools are more vital than ever.

Breaking the Cycle of “Hurry-Up-and-Wait” in Container Shipping – A Call for Real-Time Supply Chain Visibility

The long-standing issue of container shipping’s “hurry-up-and-wait” scenario continues to plague the industry, leading to inefficiencies, higher CO2 emissions, and mounting costs. In this all-too-familiar situation, box ships race to catch up on schedules by increasing speed, only to find themselves anchored outside their destination ports, waiting for a berth to become available. Estimates suggest that this inefficient practice increases container shipping’s CO2 emissions by up to 15%, a staggering figure that adds to the industry’s carbon footprint and hinders global decarbonisation efforts.

While technology has long been touted as the solution to this problem, the reality is that neither VSAT broadbanddigitalisationmachine learning, nor AI have been able to make “smart-steaming” a widespread practice. Despite years of technological advancements, the solution to smarter shipping – essentially adjusting speeds based on real-time berth availability – could be as simple as a phone call. Yet, the practice remains stubbornly elusive.

This issue persists in part because of the high demurrage charges carriers can levy on shippers, creating a perverse incentive for shipping lines to perpetuate the “hurry-up-and-wait” behaviour. As Napa CEO Mikko Kuosa explains, “Often, demurrage can be more profitable than doing normal business.” This leads to a misalignment of priorities, where the short-term financial gains from demurrage charges outweigh the long-term benefits of improved fuel efficiency and lower emissions.

Despite a growing recognition of the problem, industry efforts over the past decade to address this inefficiency have fallen short. The conflicting interests embedded in shipping contracts have thwarted progress, with incentives driving behaviour that runs counter to sustainability goals. In fact, queues of more than a dozen vessels waiting at major global ports have become routine, exacerbating the problem.

However, there is hope on the horizon. Finland’s Napa has launched its latest initiative, Napa Studio, bringing together a wide range of industry stakeholders including shipyards, owners, classification societies, and technology providers, as well as legal and commercial entities. This collaborative approach aims to create a solution that neutralises the conflicting interests embedded in contracts, realigning the shipping industry towards decarbonisation.

Kuosa emphasises that the key to solving this issue lies in sharing the benefits across the entire supply chain: “There needs to be a solution that neutralises these conflicting interests, so that shipping, from a contractual point of view, would be aligned toward this decarbonisation market.”

At the heart of this solution is the need for real-time supply chain visibility software that provides accurate data insights to help Beneficial Cargo Owners (BCOs) and Logistics Service Providers (LSPs) make critical business decisions. By leveraging real-time data, stakeholders can optimise operations, avoid costly delays, and reduce their carbon footprint – moving towards more sustainable, efficient, and resilient supply chains.

Ultimately, smart shipping isn’t just about technology; it’s about aligning the interests of all players in the supply chain, and ensuring that decisions are driven by data that enable BCOs and LSPs to counteract potential disruptions. With the right tools in place, the shipping industry can break free from the “hurry-up-and-wait” cycle, reduce emissions, and pave the way for a more sustainable future.

East and Gulf Coast Port Strike Looms, With Devastating Economic and Supply Chain Implications

A strike across US East and Gulf Coast ports is looking increasingly likely today, as the White House confirmed it will not invoke its legal authority to intervene in the ongoing labour dispute. This response comes after 177 trade associations sent an urgent letter requesting government action to avoid a strike that could cripple supply chains across the country.

The US Maritime Alliance (USMX), representing terminal employers, welcomed the plea, calling on the government to “immediately work with both parties to resume contract negotiations and prevent disruption to port operations and cargo flow.”

While the White House had previously intervened to prevent strike action, the current stance is to allow the International Longshoremen’s Association (ILA) and USMX to negotiate independently. A collective strike, however, could significantly damage the economy just as inflation trends downward. The letter sent by trade associations warned that such a disruption could have “devastating effects” on businesses that rely on fluid port operations.

The Growing Tension and the Stakes at Hand

The White House does have a powerful tool in the form of the 1947 Taft-Hartley Act, which allows for an 80-day cooling-off period if a strike is deemed to threaten national health or safety. However, the administration made it clear that it is not considering invoking this act. “We’ve never used Taft-Hartley to break a strike and are not considering it now,” a White House spokesperson told Reuters.

Both politics and trade are heavily intertwined in this matter. The Democratic Party, currently in an election year, is leaning towards supporting the unions. Still, a potential strike could have severe repercussions for the economy, leaving the administration in a difficult position.

Industry observers also speculate that ILA President Harold Daggett is aiming for a historic agreement that would solidify his legacy. Daggett has continued to take a firm stance, stating, “A sleeping giant is ready to roar on Tuesday 1 October if a new master contract agreement is not in place. My members have been preparing for over a year for the possibility of a strike.”

Preparing for Disruption: Real-Time Data Key to Mitigating Risk

As the threat of a strike looms, shippers and logistics service providers (LSPs) are advised to prepare contingency plans. Angel Rodriguez, president of forwarder ASF Air, emphasised that shippers should be seeking alternatives and discussing solutions with service providers. “Shippers should be discussing contingency plans with their service providers now, to identify solutions, including air freight, that will keep their production lines moving undisturbed,” Rodriguez said. He noted that many clients have already begun securing full and part-charter flights to ensure they have sufficient stock in case of disruption.

If the strike materialises, air freight is expected to become exceptionally busy in Q4, with costs potentially skyrocketing as shippers look to air cargo to sidestep the effects of a port shutdown. But air freight is only one part of the solution.

Real-Time Visibility: A Critical Edge in Uncertain Times

In this volatile environment, the need for real-time data insights and supply chain visibility has never been clearer. The implementation of supply chain software capable of providing instant, actionable information is essential for Beneficial Cargo Owners (BCOs) and Logistics Service Providers (LSPs) to make business-critical decisions quickly. With real-time visibility, companies can better manage inventory, pivot to alternative transportation options, and mitigate risks related to strikes and other unforeseen disruptions.

Moreover, supply chain visibility tools can monitor climate impact and optimise routes to reduce environmental footprints, further aligning with sustainability goals. With the looming strike, businesses equipped with these tools will be in a far stronger position to counteract the economic and operational impacts on their supply chains.

The stakes are high, and as the clock ticks down to 1 October, companies must arm themselves with the technology and insights necessary to weather whatever disruption lies ahead.

Typhoon Bebinca Paralyzes Shanghai Ports, Triggering Massive Shipping Delays Across Asia

Typhoon Bebinca, the strongest storm to strike Shanghai since 1949, has wreaked havoc on the city’s vital container terminals, causing severe disruptions and highlighting the vulnerability of global supply chains to extreme weather. As the storm made landfall early Monday, it forced vessels to divert from Shanghai’s two key ports—Yangshan and Waigang—leading to significant congestion and erratic departures. The ripple effects from this storm have now spread across Southeast Asia, putting further strain on the global shipping network.

According to data from Windward AI, the immediate impact was stark: port calls at Shanghai plummeted by 56% from Friday to Saturday and a further 95% into Sunday, with neighbouring Ningbo experiencing an 86% drop in vessel arrivals before coming to a complete standstill on Sunday. The storm’s aftermath is expected to persist for over a week, with delays of up to 60 hours for ships attempting to berth in Shanghai and up to 48 hours in Ningbo.

This disruption comes at a particularly challenging time, as southern China and Vietnam are still reeling from Typhoon Yagi’s impact just a week prior, causing heavy congestion in ports like Yantian, where ships are currently facing a four-day wait to berth. Further compounding the issue, ongoing disruptions in the Red Sea and rerouting of vessels around Africa’s Cape of Good Hope have worsened bottlenecks at major Southeast Asian ports, including Singapore and Kelang.

S&P Global reports that container operations at Shanghai and Ningbo were suspended starting Saturday and Sunday, respectively, with no sign of a quick recovery. Kuehne + Nagel’s Seaexplorer tool also indicates “heavily disrupted operations” at both ports. As of Monday, 36 vessels were anchored near Shanghai and Ningbo, intensifying the backlog.

Despite these challenges, industry analysts such as Linerlytica suggest that these disruptions are unlikely to reverse the current downward trend in long-haul freight rates. Demand for cargo remains weak, with carriers fiercely competing for market share in anticipation of upcoming alliance reshuffles.

Climate and Supply Chain Visibility: A Critical Need

The chaos unleashed by Typhoon Bebinca has brought to light an urgent need for real-time supply chain visibility tools, which can provide immediate insights to assist Beneficial Cargo Owners (BCOs) and Logistics Service Providers (LSPs) in making critical, data-driven decisions.

Given the increasing frequency of climate-related disruptions, such as typhoons and storms, the capacity to predict, monitor, and react in real-time is essential to minimising delays and financial losses. Visibility software with advanced data analytics could enable firms to swiftly adjust routes, optimise inventory levels, and forecast alternative port solutions. Without these capabilities, BCOs and LSPs risk navigating blind in the face of major disruptions like Typhoon Bebinca.

Beyond the shipping sector, the typhoon’s broader impact has been severe. Flights at both Pudong and Hongqiao International Airports were cancelled, railway operations at Shanghai Railway Station were suspended, and highways imposed strict speed limits. Winds reached 151 kph (94 mph), and torrential rainfall—up to three inches in some areas within an hour—crippled infrastructure. Over 400,000 people were evacuated, with 30,000 households losing power, and more than 10,000 trees were felled by the storm.

As Typhoon Bebinca moves inland towards Anhui and Henan provinces, it is expected to weaken, but heavy rainfall of up to 12 inches is still forecast for the region over the next 48 hours. The timing of the storm, coinciding with China’s three-day Mid-Autumn Festival holiday, adds further complexity to recovery efforts.

Embracing Technology to Navigate Supply Chain Disruptions

As the global shipping industry faces increasingly unpredictable challenges, there has never been a more pressing need for implementing real-time supply chain and climate visibility software. Such tools can provide the critical insights BCOs and LSPs need to make proactive, informed decisions to mitigate the impact of extreme weather events. Typhoon Bebinca serves as a harsh reminder that without these technological advancements, supply chains remain vulnerable to severe disruptions, resulting in delays, financial losses, and uncertainty.

Amazon’s Climate Pledge: A Commitment Falling Short Without Supply Chain Transparency

In September 2019, Amazon made waves by announcing its ambitious Climate Pledge, committing to reach net-zero carbon emissions by 2040. It was seen as a bold move, positioning the e-commerce giant as a leader in sustainability. Yet, a recent report from the Stand.Earth Research Group, Ship It Zero, and Pacific Environment casts doubt on the company’s environmental progress, exposing a staggering 25% increase in CO2 emissions since the pledge’s launch.

This report brands Amazon’s green initiatives as “greenwashing,” revealing that despite its public commitments, the company’s carbon footprint continues to climb. Between 2019 and 2023, emissions from Amazon’s logistics network skyrocketed, particularly within air transport, which saw a 67% increase in emissions. Airfreight now accounts for more than 42% of the carbon emissions for every parcel delivered through Amazon’s U.S. system. The company’s heavy reliance on air transport and fossil fuel-powered delivery vans — whose emissions have surged 195% — are seen as major contributors to its rising carbon footprint.

The Cost of Speed: Air Freight and Carbon Emissions

The growing role of air transport in Amazon’s logistics network has been a key driver of emissions. Between 2019 and 2023, emissions from airfreight surged, contributing to the 5.84 million tonnes of CO2 from transporting goods in 2023. Airfreight was initially ramped up to counteract port disruptions during the pandemic, but remains a significant source of emissions as Amazon continues to prioritise speed over sustainability.

Despite introducing initiatives such as the deployment of 120,000 electric vans by 2030, these efforts are seen as insufficient. Even with this fleet, annual emissions growth would only decrease marginally, from 36% to 35%. Given its dominance in the U.S. e-commerce market, where it controls 38%, Amazon holds the market power — and responsibility — to make significant changes in its logistics network.

The most concerning area is Amazon’s aviation operations, which contributed 2.5 million tonnes of CO2 in 2024 alone. With 93 planes in operation, the environmental impact is profound. However, transparency around Amazon’s aviation emissions remains limited, as the company outsources much of its logistics to third-party carriers, making it difficult to assess the full environmental impact.

Lack of Transparency: An Ongoing Challenge

While Amazon’s competitors, such as UPS and FedEx, provide more detailed reporting on their environmental footprint, Amazon lags behind. Critics argue that Amazon’s limited transparency makes it difficult for stakeholders, including Logistics Service Providers (LSPs), to fully understand the environmental impact of their operations and make informed business decisions.

A pressing need exists for real-time data insights that can provide BCOs and LSPs with critical visibility into their supply chains. By leveraging technology that offers real-time monitoring of carbon emissions and logistics efficiency, businesses could counteract the impacts of climate-related disruptions and optimise their operations.

Such tools are essential for companies like Amazon, where fast-paced expansion demands greater oversight. For instance, despite Amazon’s recent pledge to deploy 100,000 electric vans by 2030, a report from Stand.Earth estimates the company will need 400,000 electric vehicles to fully decarbonise its logistics network at its current growth rate.

Moving Forward: The Path to Zero Emissions

As Amazon’s logistics operations continue to expand, the environmental toll is expected to increase. Despite Amazon’s public commitments to sustainability, its “Shipment Zero” initiative, which aimed to make 50% of shipments net-zero by 2030, has been quietly dropped, raising further concerns. Projections suggest that Amazon’s overall emissions will grow at an annual rate of 5.5% to 11.5% through 2030.

Amazon Employees for Climate Justice, an internal group, has also raised questions about the company’s claims regarding renewable energy achievements, further challenging its green credentials. The Science Based Targets Initiative (SBTI), a UN-backed organisation, recently removed Amazon from its list of climate-conscious companies for missing deadlines related to emission reduction targets.

With Amazon holding such a significant share of the logistics market, its decisions have wide-reaching impacts. Critics argue that cutting reliance on air freight would be an obvious first step in reducing emissions. Joshua Archer, a senior campaigner at Stand.Earth, suggested, “If Amazon is serious about climate progress, stop flying so much.”

Without stronger commitments to decarbonisation and greater visibility into its operations, Amazon’s environmental promises risk being perceived as hollow. By embracing real-time data solutions, Amazon and its partners could gain the insights needed to reduce their carbon footprint and make the operational shifts necessary to achieve genuine sustainability.