Spotlight
ILA says strike ‘ more likely ’
The International Longshoremen ’ s Association ( ILA ) in mid-July said it ’ s still far from reaching an agreement with maritime employers along the East and Gulf coasts over a new master contract , citing ongoing complaints against Maersk ’ s terminal arm . The union ’ s latest salvo — saying a strike “ is becoming more likely ” — adds pressure to ocean carriers and marine terminals set to meet soon on labor talks . ILA President Harold Daggett issued a blistering July 12 statement about the lack of progress in talks with the United States Maritime Alliance ( USMX ) over a new six-year master contract for the union ’ s 45,000 members working along both coasts . Daggett , who is leading the union ’ s negotiations , said USMX members “ are running out of time ” to sign a new contract before the current deal expires on Sept . 30 . Daggett emphasized that his members would not work past the current contract ’ s expiration , and he rebuffed calls from US shippers advocates asking for federal intervention . The ILA broke off master contract talks in early June , claiming Maersk violated the current deal because of technology projects at the Port of Mobile .
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FMC pauses , probes Gemini alliance
The US Federal Maritime Commission ( FMC ) is delaying its approval of the operational partnership between Maersk and Hapag-Lloyd pending the receipt of further information from the two carriers and shippers about the new container alliance . The FMC said July 12 that the information the two carriers filed with the agency about the Gemini Cooperation partnership “ lacks sufficient detail to allow for a complete analysis of its potential competitive impacts .” The agency said it wants both carriers to submit more information about Gemini . The agreement would have been in effect as of July 15 , but the FMC said its request for additional details will delay the effective date . Once the additional information is received , the agency has another 45 days to review the Gemini agreement . Maersk said in a statement that the FMC ’ s request for additional information is standard and should not delay the planned February 2025 start of the Gemini Cooperation .
More Asia-Mexico services en route
Ocean Network Express ( ONE ) is adding an express shuttle service from China to Mexico ’ s West Coast , the latest in a spate of new trans- Pacific services capitalizing on strong freight rates for the container trade between the two countries . The new string joins three other ONE services that also call Mexico and South America ’ s west coast . Mexico ’ s West Coast ports of Lazaro Cardenas and Manzanillo have seen strong growth in their container volumes since 2023 as Mexico has become an important destination as more Asian manufacturers set up factories in the country . Manzanillo and Lazaro Cardenas have seen the number of ship calls grow
throughout 2024 , according to Seaweb , a sister product of the Journal of Commerce within S & P Global . ONE ’ s announcement follows a similar move by Mediterranean Shipping Co ., which announced in June it would start its sixth container service between Asia and Mexico . Cosco Shipping , OOCL and CMA CGM are also starting shuttle services between the two regions .
Singapore port congestion eases
Singapore ’ s Tuas mega-port has opened one berth and plans to bring two more online this fall as congestion and ship waiting times abate at the second-busiest global container port . Terminal operator PSA International commenced operations at the
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6 Journal of Commerce | July 29 , 2024 www . joc . com