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DHL Q1 sales slip to US$17.4 billion because of unit sale
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"We're pleased with the levels of efficiency and productivity we're witnessing at our terminals," said port executive director Gene Seroka. "We continue to bring technology enhancements like GE Transportation's Port Optimizer to our customers so that we can continue the unparalleled service that cargo owners need and expect," he said. April 2018 imports dropped 2.9 per cent to 361,108 TEU compared to the previous year. Exports increased 4.5 per cent to 164,703 TEU while empties slipped 2.9 per cent to 179,724 TEU. Combined, April overall volumes were 705,536 TEU. Four months into 2018, overall volumes have decreased 4.7 per cent compared to 2017. |
THE Panama Canal announced that it has added an additional reservation slot to its neopanamax locks, bringing the total available booking slots to eight daily. The announcement also follows an increase in the maximum allowable beam. Effective June 1, the maximum beam will be 51.25 metres (168.14 feet), up from 49 metres. The decision to offer additional capacity to shippers was made as a part of the canal's routine careful planning and analysis to meet the increased demand at the interoceanic route, inaugurated nearly two years ago. Since then, the global maritime community has increasingly taken advantage of the time and cost savings afforded by the canal. So far this fiscal year 2018, from October 1, the canal has transited 1,183 neopanamax vessels including containerships, liquefied petroleum gas, liquefied natural gas, dry bulk and more - a 39 per cent increase in cumulative transits year on year. "At the Panama Canal, we are constantly evaluating and optimising our operations to ensure our service is as efficient and safe as possible for customers across segments," said Panama Canal Administrator Jorge Quijano. "This increase allows us to offer our customers even more flexibility, and was made possible by strategic planning and the experience the Panama Canal team has our accrued in the last two years, especially considering that almost 150 personnel are involved in each transit." The added slot allows ships greater flexibility and options for booking their desired transit dates. The increase was made possible as a result of the efficiencies gained by the canal's continued investment into its operations and resources, and due to the ongoing excellence and experience of its employees. |
HONGKKONG International Terminals Limited (HIT) recently held its fourth Shipping Summit to call for industry collaboration to achieve competitive gain and unleash innovation in the supply chain, the company announced. Before the event, a survey was conducted to gauge the opinion and interest of the audiences, so as to make sure their priorities and questions were fully addressed. The event attracted more than 200 delegate from shipping lines and feeder companies, as well as government representatives from the Transport and Housing Bureau. HIT stood out among more than 1,600 companies to win "Bronze Award" presented at 2017 Hong Kong Awards for Environmental Excellence Ceremony under "Transport and Logistics" in recognition of its all-round environmental performance. On the same day, HIT also attained the "Manpower Developers Award" under "ERB Manpower Developer Award Scheme" organised by Employees Retraining Board for its achievement in leading a learning culture and developing talents. |
CHINA's already approved Belt and Road Initiative schemes will be subject to review after the recent election of the Pakatan Harapan government that opposes some of its projects. "We would not like to see too many warships in this area, because warships attract other warships, and this place may become tense because of the presence of warships," said Prime Minister Mahathir Mohamad. Prime Minister Mahathir returns to office at the age of 92, after an absence of 15 years, having defeated his successor Najib Razak, who has been subject to corruption allegations, noted Seatrade Maritime News of Colchester, England. Speaking at a press conference the new prime minister said that previous investments projects by China in Malaysia would be reviewed. "We need to study all the things done by the previous government. It is not only about China, it's about a lot of things within the country," he said. Included in the planned Chinese investments in Malaysia is a massive 30 million TEU capacity container port on Carey Island close to the country's existing largest container port in Port Klang. The scale of the project has raised eyebrows among industry observers and analysts. Another project with Chinese investors behind it is Kuala Linggi International Port, which aims to capture a slice of the oil transshipment and storage market, as well as ship repair, from Singapore 200 kilometres away. Prime Minister Mahathir favours a major overland rail link with China saying he had written a personal letter Chinese President Xi Jinping suggesting one. "As you know, when the demand for oil grew, ships were built bigger and bigger until they were almost half a million tonnes, but trains have remained small, and not long enough. "So we should have big trains, and China has the technology to build big trains, which can carry goods from China to Europe, and will also make Central Asia-Kazakhstan and Uzbekistan, and all that, more accessible," he said. At the same time he worked about the heavy burden placed on the country by investments such as the US$13 billion East Coast Rail Link project being built by China Communications Construction Co. |
MASSIVE congestion at India's biggest container terminal Jawaharlal Nehru Port Trust (JNPT) built up after the first day of a local truckers' strike, which has since been called off. Truckers called off the strike after local politicians wrested an assurance from the four new transporters selected by the port authority not to proceed with their work until the Supreme Court rules on a petition from the striking truckers, reported the Chennai-based Hindu daily. Representatives from a common front of 11 transport associations spearheading the strike and those from the four new transporters were also present, said the Hindu report. While it may well have come to an end, shippers should expect problems at the big Mumbai terminal as truckers protest four firms monopolising the work. Harbour truckers took vehicles off the roads to pressure authorities to reconsider the new regulated transport system. The disruption and resulting congestion threaten hard-won productivity improvements through a spate of government ease-of-doing-business initiatives in the past few years, reports the American Journal of Transportation. Maersk's APM Terminals warned customers of possible disruption to laden import and empty container handling in the event of a strike. Efforts to reach the port and terminals for updates regarding the truckers' boycott were unsuccessful. Truckers protest JNPT's awarding container delivery to the port to four companies, that idle most truckers doing the work. The logistics contracts cover five busy hinterland points in Maharashtra and Gujarat, which combined is estimated to generate nearly 600,000 TEU. |
CLEAN LNG-powered feeders with good reefer capacity are enjoying a resurgence to meet rising European demand for perishables, reports IHS Media. Maersk's short-sea Seago Line recently launched the first of seven of the world's biggest ice-strengthened containership designed to serve Russian and Baltic ports. The new 3,600-TEUers sport 600 reefer plugs to capitalise growing volumes of citrus fruit, tomatoes, and potatoes on these routes. "This new class of vessel plays a vital role in our strategy of growing with our customers and building on our market leadership position with transport of refrigerated cargo," said Copenhagen-based Seago Line CEO Soren Castbak. Unifeeder, a leading pan-European short-sea operator, began operating the world LNG-powered box feeder between Rotterdam, Poland and Baltic ports. "Larger vessels tend to result in a reduction of service frequency in the major trades. However, this leads to a situation in which less frequent service depends on more feedering," said maritime research house SeaIntel. Feeders are much in demand at Europe's rival northern range ports anxious to attract and retain ocean carriers with smooth transshipment service, a rivalry made keener by the advent of carrier alliances. Feeder demand is also strong in the Mediterranean, particularly in Algeciras, Piraeus, Spezia, Malta Barcelona, which was last year's' fastest growing continental port, soaring 33 per cent year on year to 2.97 million TEU, with transshipments rocketing 137 per cent. Unifeeder last year set up three new regional centres "to face two market trends that are getting progressively significant," said CEO Jesper Kristensen. Feeder market growth is enlarging short-haul container shipping, already expanded by a worsening truck driver shortage, said Hong Kong’s Hutchison Ports UK chief Clemence Cheng. |
HONG KONG's Kerry Logistics Network is to co-operate with Hong Kong-listed D&G Technology Holding through an investment in its wholly-owned subsidiary Topp Financial Leasing (Shanghai). The cooperation serves as a first step for the two parties to further explore collaboration opportunities under the Belt and Road initiative. D&G Technology is in manufacturing, distribution, R&D, leasing of asphalt mixing plants, and the provision of road construction support services in China, Australia, Russia, South and Southeast Asia, the Middle East and Africa. Kerry Logistics expects to deliver products to customers along Belt and Road trade routes and to enhance the development of D&G operations. "Cooperation is part of Kerry Logistics' strategy to tap into the growth opportunities from the Belt and Road initiative," said Kerry's China and North Asia chief Edwardo Erni. "This allows us to support D&G Technology in Belt and Road countries. We have been expanding across Central Asia and countries in the Commonwealth and believe this collaboration can bring new business and customers." Topp Financial Leasing is primarily engaged in the business of finance leasing of asphalt mixing plants and road construction equipment to D&G Technology's customers in China. Currently, Kerry Logistics moves 200-300 TEU per week through its twice-weekly block train service from China's Lanzhou to Kazakhstan and Uzbekistan via the Alashankoy or Khorgos gateways. It also runs a weekly rail freight service from Yinchuan to Kazakhstan and Uzbekistan, handling 100 TEU per week. |
DEUTSCHE Post DHL Group's first quarter 2018 revenues dropped to EUR14.7 billion (US$17.445 billion) from EUR14.9 billion the previous year due to the sale of UK supply chain subsidiary Williams Lea Tag and negative currency adjustments. Removing currency and portfolio effects from the equation and DP-DHL's first quarter revenue rose 6.4 per cent, while EBIT was up 2.3 per cent to EUR905 million. The global forwarding, division continued its turnaround in the first quarter with revenue up by 1.3 per cent to EUR3.6 billion. Adjusted for negative currency effects the improvement was 7.2 per cent, London's Air Cargo News reported. Said DP-DHL: "The division was increasingly able to pass on higher freight market rates to its customers. At the same time, the additional measures introduced to raise profitability are proving effective. The division's EBIT therefore increased by a considerable 75 per cent to EUR70 million." Revenue in the post-e-commerce parcel division rose 1.7 per cent to EUR4.6 billion in the first quarter. Express revenue grew 4.9 per cent to EUR3.8 billion. Adjusted for currency effects, the increase was 13.2 per cent on the back of 9.6 per cent volume growth increase in the international time-definite (TDI) delivery business, where daily volumes rose. The supply chain division saw first quarter revenue of EUR3.1 billion in the first quarter, down from EUR3.5 billion in the same period 2017. In addition to negative currency effects, the revenue decline reflects the sale of UK subsidiary Williams Lea Tag in the fourth quarter of 2017. After adjusting for those factors, the division's revenue rose 3.8 per cent. Operating profit dropped to EUR55 million, down from EUR99 million in 2017 on account of the one-time effects. Adding on the "deconsolidation" of Williams Lea Tag, the operating profit reflects negative one-off effects of EUR50 million from customer contracts. DP-DHL Group chief executive Frank Appel said: "Overall, we had a good start to the year, although we still have a lot of work ahead of us. Global e-commerce continues to boom, meaning that the most important growth driver for our businesses is still intact. We remain confident that we will achieve our ambitious goals for 2018 and beyond." |