Shipping giant Maersk (the largest Container Shipping Line in the World) was hit by a major cyber-attack last Tuesday, June 27th, 2017. This has been coined as the Petya Cyber Attack and has caused major repercussions in the shipping industry.
Maersk was forced to suspend its main platforms. This included email, phone system, bookings, releases, finance, pricing, and terminal operations. This virtually shut down all of Maersk’s communications.
At this writing, some of their emails have been restored but phone systems are still down in the U.S. According to Reuters Maersk’s port operator APM Terminals said on Sunday all terminals had resumed operations and productivity and available services will continue to increase.
Sea Cargo has been diligently monitoring this situation and any resulting shipping issues as they arise. We apologize for any delays this may cause and want to assure you that we will stay on top of this and keep you posted on any relevant developments.
Vietnam’s cold chain industry is poised to rise significantly over the next four years as demand for chilled and frozen food surges across the country, in large part due to a steady increase in convenience stores across the country. According to a recent study by international grocery research organization IGD, Vietnam is expected to be the fastest-growing convenience market in Asia by 2021. Predictions show the market growing by as much as 37.4 percent in that time, based on performance assessments of the leading convenience store operators in markets across Asia.
Spurred by rapid urbanization, a growing young population and greater levels of disposable income, convenience stores show the strongest growth prospects among all brick-and-mortar grocery channels, according to IGD.
Vietnam c-stores have become increasingly popular destinations in recent years, especially for young consumers looking for an all-in-one, air-conditioned place to both shop and socialize. Savvy operators have recognized local demand by modernizing merchandising systems, providing freshly prepared foods, retailing a mix of both local and imported goods, and – in some stores – even offering free Wi-Fi, in an effort to court and keep consumers.
The formula is working and major players (FamilyMart, Aeon) are speeding up store rollout in a battle for market share. Local players are also gaining a foothold, with domestic brands such as VinMart scaling up operations and establishing leadership in their local markets. By last June there were 1,500 convenience stores across the country and the number is expected to boom in the next three years, with 1,300 new supermarkets and around 350 trade centers by 2020, according to ABA Cooltrans, a domestic refrigerated transport specialist.
This rapid growth is driving demand for refrigerated transport to support the expansion. ABA plans to add 200 reefer trucks by 2020, and the U.S. should see an increase in both used and new refrigerated truck and van exports to Vietnam. This presents a huge opportunity to upscale efficiently to meet the needs of the increasing cold chain market.
Sea Cargo Inc. is uniquely positioned to support cold truck import and export into Vietnam. In the past 2 years, we have successfully shipped more than 200 trucks to the country and have an excellent agent to support customs clearance and documentation.
Beginning April 2017, we will be seeing entirely restructured vessel sharing alliances. Please see the below for clarification.
Ocean Alliance- CMA, CGM (includes acquisition of APL), COSCO Shipping, Evergreen Line and OOCL
THE Alliance: MOL, NYK Line, and ’K’ Line, Hapag Lloyd and Yang Ming
2M Alliance – Maersk and MSC
These new alliances will bring change to the current shipping environment. Please note, we are anticipating current sailing schedules, space, and vessel availability to be skewed throughout the next few months as the carriers work out their respective vessel sharing agreements. This may lead to shipping delays as well as equipment shortages and transit time variations. We will keep our customers well informed of any issues stemming from the initial phase of the new carrier alliances.
Sea Cargo Inc. is pleased to be an exhibitor at the Mine Expo in Elko, Nevada on June 8th and 9th
The Elko Mine Expo is one of the oldest and most respected mining expos held in the United States. Covering all aspects of the industry, the 2017 event is expected to draw close to 8,000 people from across the U.S. and abroad.
This will be Sea Cargo Inc.’s Fourth year exhibiting at Elko. A cornerstone of our company is building strong personal relationships with our valued customers, with a commitment to face-to-face communication whenever possible. We hope we have the opportunity to meet with you and discuss how SeaCargo can help your business grow and succeed.
If you are planning to attend please stop by our booth (#11) in the main exhibit hall. Drop off your business card and you could win a gift certificate from Harry & David or Omaha Steaks!
For more information on Mine Expo, please visit www.elkocva.com.
The November 1st GRI primarily affected exports originating in the Pacific Northwest (Vancouver, Seattle, Tacoma, and Oakland), as well as inland locations that require rail services to port (Chicago, Kansas City, Cleveland, etc.). The Nov 1st GRI was the second general rate increase in the fourth quarter of 2016 which stemmed from a handful of industry wide influences including the bankruptcy of Hanjin shipping line. Other industry wide announcements that may lead to price fluctuations include the recently declared merger of Japan’s three largest shipping companies, Nippon Yusen K.K. (NYK), Mitsui O.S.K Lines (MOL), and Kawasaki Kisen Kaisha (Kline) which was announced on Monday October 31st. While this joint venture won’t begin operating until April 2018, it may greatly influence market rates for both imports and exports.