Daily Logistics News

Milad Nabi|Oct 25, 2022|No Comment

Supply Chain Latest News - Logistics Daily Updates | TGL
25/10/22

NSW ports releases freight rail expansion plans.

NSW Ports has presented its strategy for expanding freight rail capacity to congestion off roads. The plan aims to make Australia’s freight industry more efficient by:

Expanding Port Botany’s rail capacity.
Increasing the two-way loading of trains.
Use metropolitan intermodal terminals for the "last mile" journey to Port Botany and collection of empty containers.

24/10/22

China is losing more of its manufacturing and export dominance.

China's dominance in manufacturing and exporting has taken a massive hit in the past few years, the global share of exports in consumer shown a downward pattern since 2016. Other key economies in Asia have benefited from this, with Vietnam, Malaysia, Bangladesh, India, and Taiwan producing more. All major industries such as furniture, apparel, baggage and technology are all declining, due to China’s ‘Zero Covid’ policy.

23/10/22

Airlines fill less cargo space as consumer spending and trade fall

The likelihood that the logistic sector will grow in the fourth-quarter is looking slim, macroeconomic conditions imply that air freight could face a darker 12 to 18 months. Overall volumes were down 2.4% and will continue to go downward. The dire state of air logistics is due to U.S. and European retailers pre-ordering many products; a shift in consumer spending to services; slower e-commerce growth and ocean freight having significantly lower rates.

22/10/22

Industrial and logistics space supply falling short as delays continue

The space needed for 3PL warehouses has decreased over 2022, the industry is now predicted to fall 600,000 sqm short compared to previous predictions. However the logistics vacancy rate in Australia is has also dropped, it now sits at  0.8% according  and Sydney’s ranks the lowest in the country.

21/10/22

Rail Logistics Market to Hit $3,579.7 Billion by 2031.

Rail the global rail logistics market accrued revenue worth $1,995 billion in 2021, and will reach $3,579.7 billion by 2031, registering a CAGR of 6.1% from 2022 to 2031.Logistics Market to Hit $3,579.7 Billion by 2031. lockdowns and trade restrictions severely impacted the growth of the global rail logistics market during the COVID-19 period.

20/10/22

Strategic Fleet Taskforce Launched.

The Australian Government has introduced a new taskforce to guide Australia’s Maritime Strategic Fleet, It will strengthen the economy and improve national security. The fleet will be made up of up to 12 vessels and will secure ongoing access to fuel supplies and other essential imports. The taskforce will also guide legislation and how to rebuild Australian shipping, 99 per cent of the volume of Australia goods trade moved by sea.

19/10/22

Europe’s largest onshore intermodal logistics terminal is now open.

The Australian Government has pledged $670 million for vital infrastructure projects in WA. Additionally, the government also included a budget for major freight routes in Western Australia, it includes a $1.5 billion freight highway upgrade. The new upgrade delivers priority improvements to various nationally significant freight routes.

Many major freight roads in NSW have been closed due to recent floods, reports that show that the Sturt Highway is closed in both directions between Darlington Point and Collingullie due to flooding. The Newell Highway is closed northbound from Jerilderie to Narrandera. Trucks moving freight must be aware of these closures and find alternate routes to deliver goods.

18/10/22

Europe’s largest onshore intermodal logistics terminal is now open.

The Australian Government has pledged $670 million for vital infrastructure projects in WA. Additionally, the government also included a budget for major freight routes in Western Australia, it includes a $1.5 billion freight highway upgrade. The new upgrade delivers priority improvements to various nationally significant freight routes.

Many major freight roads in NSW have been closed due to recent floods, reports that show that the Sturt Highway is closed in both directions between Darlington Point and Collingullie due to flooding. The Newell Highway is closed northbound from Jerilderie to Narrandera. Trucks moving freight must be aware of these closures and find alternate routes to deliver goods.

17/10/22

Freight highway boost for Western Australia.

The Australian Government has pledged $670 million for vital infrastructure projects in WA. Additionally, the government also included a budget for major freight routes in Western Australia, it includes a $1.5 billion freight highway upgrade. The new upgrade delivers priority improvements to various nationally significant freight routes.

Road freight NSW provides information on flood road closures.

Many major freight roads in NSW have been closed due to recent floods, reports that show that the Sturt Highway is closed in both directions between Darlington Point and Collingullie due to flooding. The Newell Highway is closed northbound from Jerilderie to Narrandera. Trucks moving freight must be aware of these closures and find alternate routes to deliver goods.

16/10/22

China: Exporters gain from lower sea freight rates.

The drop-in sea freight rates will benefit China’s exports in Q4, this can indicate better demand in the global market. These comments came after spot rates for container shipments from Shanghai plunged 10.6 percent to $2,399 per forty-foot equivalent unit (FEU) on Sept 30,

China ocean freight rates have continued to show a downward trend for 20 weeks for some routes to the USA and Europe. The main contributor for these plunging rates are the COVID-19 pandemic, insufficient shipping capacity, fluctuating demand and various geo political factors. A silver lining is that lower shipping rates can help domestic companies ease the burden on some logistics expenses and cut goods’ costs in many parts of the world. 

15/10/22

Global trade at the crossroads: Risks from geopolitics, inflation looms.

Freight rates for US trade lanes look to remain under pressure as market begins to correct and US importers have moderate volume outlooks through the rest of the year.Rates are expected to slide further in the fourth quarter and into the new year before leveling out in February.

The market is currently is currently experiencing a slow peak season, carriers have taken to cancelling some services in the face of weak demand.

With China’s continued loyalty to Russia, tensions with the U.S and other countries around the world continue to grow. 

14/10/22

3PL Warehouse Market Forecast.

The global 3PL logistics sector is projected to reach USD $1,789.94 billion by 2027, with a CAGR of 7.1% for the period.

They key factors contributing to this growth is the rising e-commerce industry, growth trading activities and much more.

The food segment is projected as the most profitable segment for the 3PL industry and . The Latin America, Middle East and Africa regions are the biggest contributors to this growth.

13/10/22

Automotive Logistics Market Set to Increase by 6.1% CAGR.

The global automotive logistics market is expected to reach $433.6 billion by 2031. Some of the contributing factors for this growth includes an expansion of global trade activities, booming e-commerce and a surge in free-trade agreements.

Asia-Pacific was one of the biggest contributors to the global automotive logistics market share in 2021, and is expected to continue its dominance during the forecast period. The region also appears to contribute significantly toward the global market size in 2031, it is anticipated to record the highest CAGR of 7.1% between 2022-2031.

12/10/22

Supply chain fragility an ‘existential threat’ for nation.

Australia faces its most serious existential crisis from supply chain disruptions due to the global pandemic and the war in Europe. Other disruptions over the years were contained and only impacted the manufacturing and barely impacted the demand from customers. Australia focuses 98 per cent of trade through its ports, therefore ports are central to the supply chain. Global disruptions in sea freight posed heightened challenges for Australia.

11/10/22

Australia Post suspends sea mail amid prohibited item concerns.

Australia Post has suspended mail and items coming into the country via sea due to a spike of prohibited items being shipped across the border. From October 1st, the carrier suspended sea mail services temporarily and are aiming to resolve this as soon as possible.

While there has been significant delays and safety concerns, Australia Post’s air freight service will not be affected by this incident

10/10/22

China’s logistics industry index shows improvement.


China’s logistics sector has shown signs of improvement over the last month, with market demand recovering and business operations improving. The country’s prosperity index for the logistics industry improved by 4.3 percent, reaching 50.6 percent in September. This reflects an increase in orders for domestic industry players, the central and eastern regions of China have played a major role for this improvement.

Overall data showed that the third quarter has been significantly better than the second quarter, the quarterly profit index increased by 1.2 percent from the previous quarter.

09/10/22

Tidal wave of new container ships: 2023-24 deliveries to break record


The container industry has been the most profitable two years, now owners ordered more new container ships than ever before. Even though ocean freight rates are tumbling shipping lines are still ordering more, reports show that the order book stands at 7.1 million twenty-foot equivalent units. Most orders will be delivered the next two years, 2.34 million TEUs in 2023 and 2.83 million TEUs in 2024.

08/10/2022

The future of China logistic market

Over the next five years China plans to grow their logistic markets even more, their new five-year plan is to improve domestic consumption to boost annual consumer spending. Another part of China’s plan is to revolutionise agriculture and strengthen logistics processes in the food industry. Experts say that this should encourage the demand for specialised warehousing services.

07/10/2022

Australia sees longer commodity boost from Russia’s Ukraine war.

Australia expects a boost to its commodity export earnings caused by Russia’s vs Ukraine war; the government expects this to last into 2024.The latest quarterly report released, indicated that export earnings would rise to a record $450 billion 2022-23 fiscal year. Australia is the world’s largest exporter of iron ore, coal, liquefied natural gas (LNG) and lithium.
LNG export earnings will increase by 29%, even though volumes are expected to drop to 80 million, for lithium earnings are expected to jump 182% to A$13.8 billion in 2022-23. Iron ore revenue is expected to drop to $119 billion in 2022-23 even though volumes are expected to increase. The government also expects that the current high prices for energy commodities will drive a faster transition to renewable energy.

06/10/2022

A record-breaking cargo ship has arrived at Patrick Terminals in Port Botany.

The CMA CGM Estelle is nearly 300 metres long and weighs 95,256 tonnes.
Estelle has been named the ship carrying the most containers to ever visit Australia, with nearly 11,000 TEU on board. 
The previous record was set by the CMA CGM Ural in 2020, with 10,662 containers.
The ship is docked at Patrick Terminals, which has the largest ship-to-shore cranes in Australia. 
NSW Ports CEO Marika Calfas welcomed the vessel's arrival and said it demonstrated Port Botany's infrastructure capabilities.

04/10/2022

Healthcare supply chain set to increase globalisation to drive sector growth.


The global healthcare supply chain market is expected to grow from $2.05 billion in 2021 to $2.30 billion in 2022, forecasts also show that the market is expected to grow to $3.67 billion in 2026. North America was the largest contributor for the healthcare supply chain market in 2021, and the Asia-Pacific is expected to be the fastest-growing region in the forecast period. 

Increasing globalisation is expected to drive the growth of the healthcare sector going forward by improving healthcare knowledge and providing low-cost healthcare technologies. Product innovations are a key trend gaining popularity in the healthcare supply chain management market.

03/10/2022

Air Cargo Priorities: Sustainability, Modernisation, Safety & People


The International Air Transport Association (IATA) highlighted four priorities to strengthen air cargo’s after COVID-19 .The social and economic challenges have caused economic volatility has slowed GDP growth.

Some of the priorities include:
1. Achieving net zero carbon emissions by 2050.
2. Continuing to modernize processes.
3. Finding better solutions to safely carry lithium batteries.
4. Making air cargo attractive to new talent.
Industry to use technology such as DG auto check to more easily and accurately verify that the shipment complies with DG requirements. IATA’s is also aiming to make it possible for everyone across the industry’s value chain to see the same information on shipments.

02/10/2022

Intra-Asia ocean freight rates on the slide, but still stronger than long-haul lanes


According to experts the Intra- Asian ocean freight rates are declining, but the market is holding up better than long-haul trades. The September Asia Pacific freight report stated that demand for ocean freight was weakening worldwide due to economic recession and inflation.
The South-east Asia Freight Index fell 2.5%, while the Shanghai Containerised Freight Index dropped by 10.4%. The intra-Asia and intra-Africa were the only trades globally to see container volumes increase between May-July, growing by 3.7% for the period. Asia Pacific-Oceania trade was also softening, Maersk said, while New Zealand demand was stable.

01/10/2022

Australia needing 1.8 million sqm for e-commerce boom


According to experts, the latest E-Commerce Trends seem to be growing significantly. It is predicated that an additional 1.8 million sqm of industrial and logistics space will be needed in Australia over the next 5 years.
E-commerce has grown significantly in the past five years, and these trend will continue into the near future. E-commerce sales grew from 9 per cent of total retail spending in 2019 to 14.3 per cent in July 2022 and are forecast to reach 17 per cent by 2026. Trends also show that Australian consumers’ total spending online rose from $30 billion in 2019 to $53 billion last year and is projected to hit $78 billion by 2026.

At TGL, we offer business to business logistics services, including sea freight, air freight, domestic freight, warehousing, and customs clearance to all industries. Get a quote today.
If you require further information about us and the services we provide, book a free no-obligation consultation session with our logistics professionals.