HAMBURG/TOKYO: July 02, 2019. Hapag-Lloyd and Ocean Network Express (ONE) are to join the blockchain-enabled digital shipping platform TradeLens, jointly developed by Maersk and IBM. The two carriers join CMA CGM and MSC Mediterranean Shipping Company to include more than half of the world’s ocean container cargo.
The addition of the world’s fifth and sixth largest box carriers respectively will help drive further adoption of TradeLens now that customers have access to major carriers in all three leading global vessel-sharing alliances.
TradeLens members gain a comprehensive view of their data and can collaborate as cargo moves around the world, helping create a transparent, secured, immutable record of transactions, according to IBM.
“Blockchain for the enterprise is solving previously unsolvable problems,” declared Bridget van Kralingen, IBM senior vice president Global Industries, Clients, Platforms & Blockchain. “Through improved trust, simplicity and improved insight into provenance, blockchain solutions such as TradeLens are delivering proven value across business processes for our clients and their ecosystems.
“Massive new efficiencies in global trade are now possible and we’re seeing similar effects across the food industry, mining, trade finance, banking and other industries where the value of blockchain is more apparent than ever before," she added.
Hapag-Lloyd and ONE will each operate a blockchain node, participate in consensus to validate transactions, host data, and assume a critical role of acting as Trust Anchors, or validators, for the network. Both companies will be represented on the TradeLens Advisory Board, which will include members across the supply chain to advise on standards for neutrality and openness.
MARSEILLE: July 01, 2019. CMA CGM has announced a war risk surcharge of US$36 per TEU from July 05 as a result of recent attacks on shipping in the Straits of Hormuz.
Likely to be emulated by other ocean carriers, CMA CGM said traffic to and from Oman, the UAE, Qatar, Bahrain, Saudi Arabia (Dammam and Jubail), Kuwait and Iraq will be subject to the surcharge for all trade lanes this month except the US and China that will be added from August 01.
The company, which has responded to six attacks on shipping in recent weeks, said other countries in the Gulf region could be added to the surcharge list in due course.
WASHINGTON, DC: June 18, 2019. The St. Lawrence Seaway, North America’s binational marine link between the Atlantic and the Great Lakes, has reported overall gains in project cargo in May due to an upturn in wind energy construction. Year-to-date cargo traffic from the opening of the navigation season on March 22 through May 31 totalled 8.27 million tonnes.
“Shipments of project cargo are particularly noteworthy, and a number of U.S. Great Lakes ports are reporting an outlook for continued movement of these high value cargoes such as windmill components, cranes, and heavy machinery,” said deputy administrator of the U.S. Saint Lawrence Seaway Development Corporation Craig Middlebrook.
The U.S. Great Lakes ports of Milwaukee, Monroe, Duluth-Superior, Indiana and Toledo all reported project cargo growth in large, heavy, high value, or complex pieces of equipment.
“After a slow start in March due to ice, the pace picked up considerably in April and May. Overall tonnage for the Port of Duluth-Superior increased nine percent over April 2018,” commented Jayson Hron, Duluth Seaway Port Authority’s Director of Communications and Marketing.
“We also welcomed the first of numerous wind energy cargo shipments scheduled to arrive throughout the summer,” he added. “The Port of Duluth-Superior is expecting at least 15 shipments to their Duluth Cargo Connect facilities in 2019. So far, they’ve welcomed two, both carrying towers, with a third, carrying blades, scheduled to arrive soon.”
Port Milwaukee saw a 220 percent increase in project cargo volume according to Municipal Port director Adam Schlicht as overall tonnage via the Port’s commercial tenants rose 10 percent year-on-year. Ports of Indiana report a 7.2 percent increase in the period, including a “significant” project cargo shipment of rubber-tire gantry cranes bound for a CSX container yard in Illinois.
Approximately 143.5 million tonnes is moved across the Great Lakes St. Lawrence Seaway system that extends 2,300 miles from Atlantic to the Great Lakes supporting US$35 billion in economic activity.
AMSTERDAM: June 18, 2019. ING Bank is one of 11 banks that have launched the Poseidon Principles to support the shipping industry’s reduction of carbon emissions by 50 percent from a 2008 base line by 2050.
The other banks are Citi, DNB, Danish Ship Finance, Danske Bank, Société Générale, DVB Bank, Nordea, Crédit Agricole, Amsterdam Trade Bank and ABN AMRO. Together they hold US$100 billion in shipping loans, around 20 percent of the global ship finance portfolio.
Developed by the banks, ship owners, charterers and classification societies – with support from the Global Maritime Forum, Rocky Mountain Institute and University College London Energy Institute - the Poseidon Principles establish a way to assess and disclose whether financial institutions’ lending portfolios are in line with adopted climate goals.
“Banks have an important role to play in promoting sustainable development. The Poseidon Principles fit perfectly with our Terra approach, our strategy to steer our portfolio towards the Paris Agreement’s well-below two-degree goal,” declared Stephen Fewster, global head of Shipping Finance at ING. “The Principles will be integrated into this approach to support our ambition. It’s encouraging to see so many banks collaborate for a low-carbon future and we are delighted to be part of this important initiative.”
ING says the 11 banks will implement the Principles via internal policies, procedures and standards and will apply them in all credit products secured by ships that fall under the purview of the International Maritime Organisation (IMO).
“Shipping’s decarbonization will require unparalleled innovation. A modern ship is a highly capital-intensive asset with a typical life span of 25-30 years. To deliver on ambitious climate targets, zero-emission vessels will need to enter the fleet by 2030,” explained Søren Toft, COO of A.P. Møller Mærsk.
“This leaves us only 10 years to develop the new marine fuels, propulsion technologies and infrastructures that will be required. The Poseidon Principles will help us catalyze this transition,” he added.
COPENHAGEN/ARMONK, NY: May 28, 2019. Global container carriers CMA CGM and MSC Mediterranean Shipping Company (MSC) are to join TradeLens, a blockchain-enabled digital shipping platform developed by A.P. Moller - Maersk and IBM.
As a result, data for nearly half of the world's ocean container cargo will be available on TradeLens to enable what is claimed as greater trust, transparency and collaboration across global supply chains.
CMA CGM and MSC will operate a blockchain node, participate in consensus to validate transactions, host data, and act as Trust Anchors, or validators, for the network.
"Digitization is a cornerstone of the CMA CGM Group's strategy to provide an end-to-end offer tailored to our customers' needs. We believe that TradeLens, with its commitment to open standards and open governance, is a key platform to help usher in this digital transformation," said Rajesh Krishnamurthy, CMA CGM executive vice president IT & Transformations. “ [The] TradeLens' network is already showing that participants from across the supply chain ecosystem can derive significant value."
TradeLens says with more than 100 participants on the platform it is processing over 10 million discrete shipping events and thousands of documents each week - providing shippers, carriers, freight forwarders, Customs officials, port authorities and inland transportation providers a common view of transactions.
"Digital collaboration is a key to the evolution of the container shipping industry. The TradeLens platform has enormous potential to spur the industry to digitize the supply chain and build collaboration around common standards," added André Simha, MSC Chief Digital & Information Officer.
In April this year, A.P. Møller – Mærsk, Hapag Lloyd, MSC and Ocean Network Express formed the Digital Container Shipping Association (DCSA) following regulatory approval from the US Federal Maritime Commission. One month later they were joined by CMA CGM, Evergreen Line, Hyundai Merchant Marine, Yang Ming and ZIM.
"While carrier participation is critical, it is important to note that the TradeLens platform relies on participation from across the entire supply chain ecosystem," declared Vincent Clerc, A.P. Moller – Maersk Chief Commercial Officer.
"P&G ships a significant volume of ocean containers every year. Whether filled with our products or the materials used in production, understanding the status of our containers helps us manage an efficient supply chain,” noted Michelle Eggers, Proctor & Gamble director Global Logistics Purchases.
“We are convinced that the industry will benefit from the transparency and accuracy of blockchain solutions and we are pleased to see MSC, CMA CGM, and Maersk all on the TradeLens platform. We have been testing TradeLens for the P&G business and see potential as the solution scales,” she continued.
LE BOURGET, Paris: June 18, 2019. Airbus technology spinoff Airseas has signed a 20-year agreement with Kawasaki Kisen Kaisha Ltd. (‘K’ Line) to install and service a ship with its Seawing automated kite by 2021.
The Seawing, based on parafoil technology, will be used to test the viability of towing a ‘K’ Line vessel using wind propulsion. Airbus claims a 20 percent reduction in CO2 emissions and, if proved successful, expects ‘K’ Line to order 50 kites.
Airseas launched the development of Seawing in 2016, tested its prototype at sea at the end of 2017 and install a 500 sq.mt. Seawing by the end of 2020 onto its RoRo vessel operating between Saint-Nazaire, France and its assembly plant in Mobile, Alabama.
“Seawing represents a breakthrough for our industry and for the environment. ‘K’ Line has always been committed to demonstrating that shipowners are prioritising technology to improve ship efficiency and to solve the core issue of maritime emissions,” said managing executive officer Akira Misaki.
“By utilising aeronautical competences, Seawing reduces the environmental footprint of Capesize ships by 5,200 tons of CO2 per year depending on the vessel voyage route. This will contribute to achieving our goal to reduce CO2 emissions by half in the ‘K’ Line Environmental Vision 2050,” he added.
LILLESTRØM, Norway: May 27, 2019. Six Nordic companies have formed the Zero Emission Energy Distribution at Sea (ZEEDS) initiative to help reduce maritime shipping CO2 emissions from its current level of one billion tonnes annually.
The group is made up of Wärtsilä, producer of smart technologies for the marine and energy markets; Aker Solutions, a global engineering company; Equinor, a multinational energy company; shipping and logistics company DFDS; ship owner and operator Grieg Star; and Kvaerner, an engineering, procurement and construction company.
“The ZEEDS-partners recognise that the transition to clean fuels will require a collective effort. We believe that by addressing the supply, storage and distribution chain, we can accelerate the switch to cleaner shipping fuels,” said Cato Espero, Wärtsilä Sales Director, Marine division, Nordics and Baltics.
The ZEEDS project partners say they have already explored potential solutions and will present them in Oslo at the Future Innovation Day – Horizons on June 03 & June 04.
“In order to develop a sustainable solution to this challenge, we, as a society have to work together,” added Espero. “[This means] we need the support from authorities and are calling for them to implement incentives that will enable us to find the fastest route to zero emission shipping.”
Pictured: Reinert Fredriksen, Aker Solutions; Karin Liset, Aker Solutions; Hans-Kristian Gjever-Enger, Grieg Star; Cato Esperø, Wärtsilä; and Miika Heikkinen, Northen Works Design.
ST. PETERSBURG: June 10, 2019. Russia’s energy shipping company Sovcomflot and China’s COSCO Shipping Corporation are to set up Maritime Arctic Transport, a joint venture to transport LNG across the Northern Sea Route that also includes natural gas producer Novatek and the Silk Road Fund.
The four companies have agreed to manage an icebreaking tanker fleet of new and existing Arctic ice-class vessels to deliver LNG from oil and gas projects in Russia, including Yamal LNG and Arctic LNG 2. Sovcomflot operates over 80 ice class vessels.
"The sheer scale and level of technical complexity of the new international project to provide safe, year-round, transportation for LNG across the Northern Sea Route have required the combination of a whole range of intellectual, technological, human and financial resources, from leading Russian and Chinese organisations and businesses,” explained Sovcomflot president and CEO Sergey Frank.
“The project's transport and logistics are consolidated around a single operational platform that will contribute to increased efficiency, safety, and further optimisation of the entire cargo transit traffic system through the waters of the [NSR], including the Polar Silk Road project," he added.
Sovcomflot’s is headquartered in St. Petersburg with offices in Moscow, Novorossiysk, Murmansk, Vladivostok, Yuzhno-Sakhalinsk, London, Limassol, and Dubai.
Pictured: The agreement was signed at the St. Petersburg International Economic Forum by Sergey Frank, president and CEO of Sovcomflot; Leonid Mikhelson, chairman of the Management Board of Novatek; Xui Lizhong, chairman of the Board of COSCO Shipping Corporation; and Wang Yanzhi, president of the Silk Road Fund.
FUKUOKA, Japan: May 24, 2019. Eco Marine Power (EMP) has installed its ship solar power array on the 54,690-tonne general cargo ship MV Panamana as part of a two-year renewable energy project with Zeaborn Ship Management (Singapore).
“We are very appreciative of the support provided by the crew and I’ve been impressed by the skill and dedication they have shown during the entire project,” said EMP CTO Greg Atkinson. “This has allowed us to achieve what I believe is a world first – the installation of a ship solar power system entirely by the crew while the ship operated normally. The solar panel array on the ship for example was installed whilst the ship was at sea.”
The equipment, which was delivered in kit form, includes a class-approved hybrid battery pack, battery charging equipment, flexible marine-grade photovoltaic (PV) panels with special mounting frames and a computer automation and management system.
“This project also dismisses the myth that solar power is difficult to install on ships or requires the ship to spend days alongside,” added Atkinson. “Yes there were challenges, but thanks to years of R&D including ship solar power trials we were able to deal with these and this also allowed us to further fine tune our installation kits.
“If shipping companies are serious about reducing emissions then solar power is an option that can help achieve this and it’s ready now for use on almost any type of ship,” he continued.
ST PETERSBURG: June 10, 2019. DP World has signed a Letter of Intent with the Russian Direct Investment Fund to develop a port infrastructure along the Northern Sea Route (NSR) linking Asia with Europe via the Russian Arctic coast.
The agreement, which also included Rosatom, Russia’s nuclear energy corporation and Norilsk Nickel, a Russian nickel and palladium mining and smelting company, was signed during the St. Petersburg International Economic Forum last week.
As a first step, the potential partners will produce a feasibility study by the end of the year with a view to increasing the volume of containers and other bulk cargo along the NSR via a joint venture. They note any development will include funding for the design and construction of an additional ice-class fleet and icebreakers, as well as the port infrastructure.
Norilsk Nickel, whose production facilities are located in northern Russia, provides cargo transportation on its own behalf and other NSR participants. “Norilsk Nickel is one of the pioneers in the development of the Arctic, a company with unique experience in operating the Northern Sea Route. We will share it for the further development of this unique route,” noted president Vladimir Potanin.
“DP World is uniquely positioned to help drive the development of the NSR. We are excited about the possibilities and the benefits this will bring not only to the Russian economy, but to customers in Asia and Europe,” commented DP World chairman and CEO Sultan Ahmed Bin Sulayem. “Our expertise in developing new ports, infrastructure and innovative new supply chain solutions, are key factors in our successes over the last few decades. We see enormous potential in NSR and look forward to creating new successes with our partners.”
Pictured: The agreement was signed by Dmitriyev Kirill Alexandrovich, Director General of the RDPI Management Company; Vladimir Potanin, President of Norilsk Nickel; Alexey Likhachev, Director General of Rosatom; and Sultan Ahmed Bin Sulayem, Chairman and CEO of DP World.
PALMA DI MALLORCA: May 20, 2019. Prompted by a second fire on one of its ConRo vessels in just over two months, the Grimaldi Group has called for “more stringent controls and regulations” on the carriage of both vehicles and containers aboard ship.
The Grimaldi ConRo vessel Grande Europa was hit by a fire that broke out during the night of May 15 while 25 miles offshore Palma de Mallorca sailing from Salerno to Valencia.
In addition to 25 crewmembers, the ship was carrying 1,687 vehicles including cars, vans, trucks and excavators plus 49 containers of mainly food products.
The first fire began on deck three that was put out by the crew in less than hour and then at 04:00 a second fire broke out on deck eight of the ship that then spread to deck nine.
By 14:00 the crew, with assistance from a Spanish firefighting tug, had put out the fire and the vessel was subsequently towed to the port of Palma de Mallorca.
The company says a preliminary investigation suggests the two fires started from two different new vehicles stowed on board, and then spread to nearby units.
“Following the umpteenth case of a fire that broke out on vehicles transported by cargo vessels,” says Grimaldi, the company wants more control on car batteries “which often cause short-circuits on board vessels, as well as in port terminals”.
Grimaldi also wants a total ban on personal effects in second-hand vehicles carried by RoRo vessels and calls on the International Maritime Organisation to make mandatory the certification by a classification society of the correct stuffing of containers carrying dangerous goods.
In March this year the Grimaldi ConRo vessel Grande America caught fire and sank in the Bay of Biscay en route to its first port call of Casablanca. The ship was transporting 2,210 vehicles and 365 containers, of which 45 were IMO-classified hazardous cargo.
Picture courtesy Spanish government rescue agency Salvamento Marîtimo.
