Americas
August 27, 2024
On the ocean
We've been managing capacity as best as possible given unprecedented circumstances to support our customers and keep their cargo moving. We encourage you to continue to communicate with our dedicated sales organization and provide accurate forecasts. Accurate forecasts will support better deployment of our capacity across our trades and in turn better support your business.
In addition, given port congestion and labor constraints at some of our ports in North America, please consider delivering your cargo following cut off guidelines (taking into account washing and fumigation timelines). As a result, we kindly ask you to consider delivery of your cargo as close as possible to receiving cut off (vessel ETA). This will allow us to better utilize space at our ports and terminals as well as allow for more efficient vessel loading and unloading operations. Early delivery of cargo is causing high inventory levels and it is impacting our efficiency and flexibility to operate our vessels.
In ports and terminals
Port operations are working very hard to ensure safe and efficient service in our ports. High occupancy levels at some of our key ports, as well as very low pick-up rates, are some of the main challenges. We are continuing to work with partners to mitigate further delays and ensure safe and efficient vessel operations.
Baltimore: Operations are back to normal and there are no longer any restrictions for booking cargo to Baltimore.
New York/Newark: The port is at full capacity due to construction work on the port authority's ramp expansion project. Exports of POV continue to be restricted. However, when these restrictions are lifted, capacity issues are expected to worsen.
Brunswick: Port and terminal congestion has seen some recent relief since the Port of Baltimore re-opening. This reduction in cargo has also allowed the Port to continue striping our terminal to increase efficiency significantly.
Charleston: Only European-bound vehicles will load out of Columbus Street. Columbus Street implementing infrastructure updates to mitigate flooding for upcoming hurricane season. Other vehicles will transition to HLT Terminal.
Galveston: The port is open and operational however, experiencing space congestions caused by lack of timely cargo pick-ups in conjunction with bundling of vessel calls.
Tacoma: The port is currently experiencing vessel congestion due to a significant increase in the influx of newly manufactured cars from Asia. Additionally, there is a shortage of railcars, which is further impacting our operations. As a result, we anticipate delays ranging from 1 to 21 days for certain vessels.
Port Hueneme: The port is facing congestion, which has raised the risk of delays. Vessels carrying OEM vehicles from Asia in particular are experiencing extended wait times, with delays potentially reaching up to seven days.
San Diego: High risk of vessel bunching-related delays up to 14 days.
Vancouver: “The Canadian Industrial Relations Board (CIRB) has ordered the Teamsters Canada Rail Conference (TCRC) back to work, mandating final binding arbitration to resolve their contract dispute with the railways. As a result, we expect rail service to gradually resume in the coming days. We will meet with CN and CPKC tomorrow to assess the start-up process at our terminal. Our operations teams will reach out to individual OEMs to address any issues related to rail loading and vessel arrivals. We will continue to monitor the situation and provide updates as operations return to normal, ensuring minimal disruption to your business.”
Panama: Effective immediately, the Panama Canal Authority (ACP) announces that the maximum authorized draft for vessels transiting the Neo-Panamax Locks is 14.94m (49.0 feet) TFW. The number of transits has increased, improving the situation and stabilizing our ocean product.
Mexico: The increase in car volume has caused congestion and delays in docking at the port of Lazaro.
Caldera, Costa Rica: Delays at Puerto Caldera have significantly decreased, but issues remain. Container vessels with designated berth windows are not adhering to their assigned times, docking ahead of those already waiting. This disrupts the scheduling system and creates unfair advantages. We are following up on a case-by-case basis each month to minimize waiting times.
At our processing centers
Vehicle processing:
Operations: Our port processing centers are open and operational. As production continues to be disrupted, we continue to be flexible in the services we offer, and how we organize our sites, as well as seeking additional storage options where necessary.
Mexico: All facilities remain open and fully operational. We continue to work closely with plant production and vehicle distribution areas across every facility nationwide to ensure resources are effectively adjusted.
Canada: We're experiencing record-breaking volumes at our Richmond and Annacis ports, exceeding forecasts. Infrastructure improvements are underway, and while this temporarily reduces capacity, we're managing increased volumes through added staff and partnerships with shipping agents and railroads. There may be constraints on vessel discharges due to this surge.
Equipment processing:
Operations: Our equipment processing centers in the U.S. and Panama are open and operational, though with reduced staff in some locations to reflect demand.
Capacity: We continue to see strong volumes at both our on-port and off-port EPC sites and encourage our customers to both look at their upcoming forecasts and any planned changes to assist planning for our operations teams.
Inland distribution
Keen Transport’s trucks are operational and deliver units to and from ports, plants and dealerships. The regional maintenance facilities are open to keep the fleet on the road, as well as our permitting team to secure necessary approvals.