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Getbig Main Boards => Gossip & Opinions => Topic started by: Marty Champions on October 09, 2021, 07:27:03 AM
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im guessing its a union foreman ransom sort of dealings? Im sure its complicated if ports arent accepting wich creates a ripple delay price gouge effect basically
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from reports its seems 1000's of huge container ships just floating going nowhere
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https://www.popsci.com/technology/record-breaking-container-ships-awaiting-entry/
"The cause of the backup, say port officials, is strictly-enforced Covid restrictions at the ports, including those in Asia, as well as unprecedented demand for goods from China, South Korea, and other Asian exporting countries. The top items on backed-up ships include furniture, auto parts, and textiles."
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The story is make it seem like things are in short supply form COVID to run up the price meanwhile everything we need is sitting offshore. Thanks Biden administration.
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The story is make it seem like things are in short supply form COVID to run up the price meanwhile everything we need is sitting offshore. Thanks Biden administration.
i may be wrong but bleach , masks and gloves and rags to be absolutley sanitary, but shit they can just pressure wash these metal boxes at the ports... Use gov money to hire people to pressure wash. No excuses for such delays but whatever gov excuse people beleive this gross mismanagment
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From what I have heard, there’s a labor shortage on the west coast for unloading and the union is talking about a strike. The longshoreman union on the east coast is now going to use this as a bargaining chip to renegotiate on their behalf.
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From what I have heard, there’s a labor shortage on the west coast for unloading and the union is talking about a strike. The longshoreman union on the east coast is now going to use this as a bargaining chip to renegotiate on their behalf.
Isn’t it one union and different fractures on either coast?
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Entirely financial
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Isn’t it one union and different fractures on either coast?
No. Different CBA and separate EC/leadership. I’m not affiliated or anything, but it’s crazy how many different unions/locals etc are all involved in the unloading of ships. Crane operators are different from strato-carriers, markers are different from folks who unload. It’s all different crap.
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No. Different CBA and separate EC/leadership. I’m not affiliated or anything, but it’s crazy how many different unions/locals etc are all involved in the unloading of ships. Crane operators are different from strato-carriers, markers are different from folks who unload. It’s all different crap.
Ok. That sounds way complicated!
I would have at least thougt that there is some kind of cover organisation on the stevedor side!
I am somewhat involved with this kind of stuff so this was cool info. Thanks.
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https://www.popsci.com/technology/record-breaking-container-ships-awaiting-entry/
"The cause of the backup, say port officials, is strictly-enforced Covid restrictions at the ports, including those in Asia, as well as unprecedented demand for goods from China, South Korea, and other Asian exporting countries. The top items on backed-up ships include furniture, auto parts, and textiles."
Sounds like it’s being done deliberately to dampen demand and keep prices down.
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im guessing its a union foreman ransom sort of dealings? Im sure its complicated if ports arent accepting wich creates a ripple delay price gouge effect basically
Google: The Legend of the Flaying Dutchman !.
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Covid restrictions
Reduced staff to off load
Rail shortages
Import business is higher than normal.
Container circulation is not balancing re the imbalance fee charged buy all the large carriers
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l3ts go brandon!
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im guessing its a union foreman ransom sort of dealings? Im sure its complicated if ports arent accepting wich creates a ripple delay price gouge effect basically
The only point you really need to truly gasp is that we cannot move the volumes we did in 2019 around the globe with the pandemic because our air freight system has collapsed. That's it. The system cannot cope with volume and seasonality on top without the airline network in full effect.
The reason for delayed boats is:
We are already using all the big boats so we added in smaller boats now for overflow but they are less efficient at port which creates a bottleneck for unloading. This causes boats to be anchored offshore waiting to be unloaded.
The next bottleneck is removing containers from the port. We have a shortage of trucks because the drivers are getting covid and we tell them to remain at home. Some ports fill up and we need to wait for the trucks to come in order to unload the next boat which also adds to vessels being anchored offshore.
We wind up with multiple bottlenecks and the result is shortages and spot rates go from 1k before pandemic to 5k mid 2021 and right now it's up at 15k-20k.
Pretty much every second day i receive emails about our freight forwarders advising of industrial action and/or surcharges. Anyone shipping bulky low value goods is completely fucked until mid Q1 2022.
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The only point you really need to truly gasp is that we cannot move the volumes we did in 2019 around the globe with the pandemic because our air freight system has collapsed. That's it. The system cannot cope with volume and seasonality on top without the airline network in full effect.
The reason for delayed boats is:
We are already using all the big boats so we added in smaller boats now for overflow but they are less efficient at port which creates a bottleneck for unloading. This causes boats to be anchored offshore waiting to be unloaded.
The next bottleneck is removing containers from the port. We have a shortage of trucks because the drivers are getting covid and we tell them to remain at home. Some ports fill up and we need to wait for the trucks to come in order to unload the next boat which also adds to vessels being anchored offshore.
We wind up with multiple bottlenecks and the result is shortages and spot rates go from 1k before pandemic to 5k mid 2021 and right now it's up at 15k-20k.
Pretty much every second day i receive emails about our freight forwarders advising of industrial action and/or surcharges. Anyone shipping bulky low value goods is completely fucked until mid Q1 2022.
All true.
Execpt air cargo is only a droplet compared to shipping.
Ok volume in the US could be so much bigger but still. One can easily put one aeroplane fleet worth of in a couple of containers.
And that does not include any industrial type cargo. Machinery, steel, wood etc.
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All true.
Execpt air cargo is only a droplet compared to shipping.
Ok volume in the US could be so much bigger but still. One can easily put one aeroplane fleet worth of in a couple of containers.
And that does not include any industrial type cargo. Machinery, steel, wood etc.
I used air freight for most products through Asia Pacific. When that ended I moved to sea freight. A temporary measure became a permanent one because of the cost saving.
We had air freight and sea freight pre pandemic and the system could cope. We don’t have planes zooming around and consumer is now asking for sea freight.
Sorry but you’re wrong, the system cannot cope with everybody using sea freight. We are already consuming less in 2020 and 2021 yet our global logistics cannot cope anymore. It doesn’t mean we are using the majority but it means we can afford 30x standard prices whenever we want it. And yet again it’s high seasonality that has ground things to a half.
It’s the straw that broke the camel’s back. You only need 10% of volume to be willing to pay a 5x premium everyday to cause prices to go up. Product shortages are getting worse, not better and will continue to get worse in 2022.
The resolution of this is decreased volumes and higher prices. Once that happens, magically our global supply chain will be ok. Its been almost 2yrs now and they haven’t fixed shit.
I’m in a different industry now and I modelled their business with all of this in mind. Nobody wants to believe but there I am with a 2% error rate and yet the business is following data with a 40% error rate……
Back to the 1960s we go. Range rationalisation is coming followed by brand rationalisation followed by eventual monopolies…….
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@ Mayday.
Yes. A straw an a camels back sounds fair. And I tried to say that I do not have the knowledge about the volume of US or Asia air freight. I’ll stand corrected that it does indeed add up to significant amount of volume just based on the sheer number of planes going back and forth.
Then again with people already starting to hop on those planes it lessens the cargo capacity even more?
I work in a large scandinavian port but compared to mid European ports it is still wery small scale. Much more in comparison to Atlantic feeder ports. Biggest containerships we have can have three cranes on them simultaneously.
Anyway. Even bigger ships are on the way. Maersk has ordered, pre covid, 25 ships able to handle 18.000 TEUs. Almost 5.000more than their previous M/S Emma etc.
That is a shit load of air freight!
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@beefjake
For this stuff you need to look at the outcomes to make the right conclusions. It’s also somewhat easier to do it that way vs freight analysis.
In 18mths we have not fixed the supply chain. We also have a decarbonisation program now launched alongside the pandemic.
I can get shit made no problem, but it’s fucked to get it from A to B because global companies all have contract rates and so we get bumped from vessels if someone pays a higher spot rate.
With the current state of play the cure for everything is much higher prices. High prices will dampen demand which lowers production which lowers energy requirements which results in less need for sea freight volume and ultimately reduces carbon output.
2022 is going to be brutal. Shortages and delays will get worse and then we will see a nasty uptick in prices.
For those who aren’t sure, this is wage deflation. The hyperinflation happens right at the very end which is years away.
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White House begs UPS, FedEx, Home Depot, Target and Wal Mart to work harder to fix poor policy...of course it's not them that control the containers or over the road trucks sitting.
Meanwhile the USPS just announced SLOWER delivery times.
https://www.whitehouse.gov/briefing-room/statements-releases/2021/10/13/fact-sheet-biden-administration-efforts-to-address-bottlenecks-at-ports-of-los-angeles-and-long-beach-moving-goods-from-ship-to-shelf/
LET'S GO BRANDON
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White House begs UPS, FedEx, Home Depot, Target and Wal Mart to work harder to fix poor policy...of course it's not them that control the containers or over the road trucks sitting.
Meanwhile the USPS just announced SLOWER delivery times.
So America is starving , great publicity for a SENILE JOE ;D
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There’s a video on Twitter of a guy at a tractor trailer spot next to a shipyard and he says all the trucks are ready to go and the drivers need work, but there is no freight to move as the ships aren’t being unloaded.
This is being done purposely it seems..
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Mayor Pete is supposed to be heading up the supply chain task force right? Seems he is in his 2nd month of Maternity leave. :-X
Great plan, Brandon. Reading the article below game me a headache just trying to sort out all the nonsense.
(https://cms.zerohedge.com/s3/files/inline-images/butti1_0.jpg?itok=TKULeQqw)
https://www.politico.com/newsletters/west-wing-playbook/2021/10/14/can-pete-buttigieg-have-it-all-494710
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There’s a video on Twitter of a guy at a tractor trailer spot next to a shipyard and he says all the trucks are ready to go and the drivers need work, but there is no freight to move as the ships aren’t being unloaded.
This is being done purposely it seems..
Each port will have a different feel but that guy’s comment is nothing like what is going on in the overall picture.
We have smaller ships now involved which are less efficient when unloading at port. So you can get delays from that.
I heard about Biden’s comment and it’s a really weird thing to say. Then again, look at what you posted and you seem to believe information along the line of what Biden said. It’s batshit crazy stuff to think retail is causing their own inventory shortages.
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(https://cms.zerohedge.com/s3/files/inline-images/trends.jpg?itok=-ADl89GV)
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In 2019, California Assembly Bill 5 was passed regulating the use of independent truckers (Newsom's hand job to the unions). This is probably one of the biggest factors affecting the supply chain. Additionally, close to 40% (if I'm not mistaken) of the country's goods flow through CA and another factor which greatly impacts truckers is the fact that trucks older than 2011 are not allowed in CA.
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In 2019, California Assembly Bill 5 was passed regulating the use of independent truckers (Newsom's hand job to the unions). This is probably one of the biggest factors affecting the supply chain. Additionally, close to 40% (if I'm not mistaken) of the country's goods flow through CA and another factor which greatly impacts truckers is the fact that trucks older than 2011 are not allowed in CA.
You left out the part where trucking companies won't buy new trucks because California outlawed them starting 2035. There are no interstate electric trucks invented that are capable of pulling 80,000 pounds any distance without massive down time. The Democrats are great at destroying jobs. Too bad all the west coast states are bat shit liberal. They could steal the shipping industry coming from China heading to California. The California regulation is going to cause severe economic problems across the country.
1. No independent truckers allowed. Only Union endorsed companies.
2. No trucks can be used older than 2011
3. Trucking companies don't want to buy new trucks knowing they will be outlawed by 2035 in California. Interstate tractors start at around $140,000 for base models.
4. No feasible electric tractor trailer exists that can get goods thousands of miles in a reasonable time.
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(https://cms.zerohedge.com/s3/files/inline-images/trends.jpg?itok=-ADl89GV)
Hey, where is BoB Straw-Lurker ???
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In 2019, California Assembly Bill 5 was passed regulating the use of independent truckers (Newsom's hand job to the unions). This is probably one of the biggest factors affecting the supply chain. Additionally, close to 40% (if I'm not mistaken) of the country's goods flow through CA and another factor which greatly impacts truckers is the fact that trucks older than 2011 are not allowed in CA.
All the Chinese junk comes from the west coast. Send them back, we have landfills full of the stuff - all of it built like BIC lighters.
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;)
Saw one of these stickers today at my local grocery store. No saltine crackers...12 foot shelf completely empty except for this sticker.
(https://m.media-amazon.com/images/I/61HMsx5p+iL._AC_SL1254_.jpg)
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;)
Saw one of these stickers today at my local grocery store. No saltine crackers...12 foot shelf completely empty except for this sticker.
2022 is looking to be considerably worse shortage wise than this year.
The fact world leaders just met and said ‘let’s shutdown more energy plants’ is a sign they are wanting more volume/productivity/consumption decreases.
Stock up on wants but I don’t mean useless dumb shit like the latest iPhone (which Tesla will murder in the near future with their Starlink mobile).
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2022 is looking to be considerably worse shortage wise than this year.
The fact world leaders just met and said ‘let’s shutdown more energy plants’ is a sign they are wanting more volume/productivity/consumption decreases.
Stock up on wants but I don’t mean useless dumb shit like the latest iPhone (which Tesla will murder in the near future with their Starlink mobile).
They want world parity as far as living standard for the average person. They've been using boom and bust to rattle capital out of private hands into more and more concentrated pools. The next bust is going to be really bad for small people, but guess who is on the other side of that trade?
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im guessing its a union foreman ransom sort of dealings? Im sure its complicated if ports arent accepting wich creates a ripple delay price gouge effect basically
I’m sure it’s that and nothing to do with the big guys 10%
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i may be wrong but bleach , masks and gloves and rags to be absolutley sanitary, but shit they can just pressure wash these metal boxes at the ports... Use gov money to hire people to pressure wash. No excuses for such delays but whatever gov excuse people beleive this gross mismanagment
Idk what the end game is but Palosi and newsome seem set on destroying the economy here and it has nothing to do with safety
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Nearly 60,000 containers are getting $100 a day storage fine for not moving at Long Beach port. We are now 9 days in.... tick tock.
https://www.freightwaves.com/news/58900-long-dwelling-containers-now-on-penalty-clock-in-la-long-beach