EU | UK news digest. 24 June
Rail advances are sprawling all over Europe as ocean freight is still not showing promising signs of recovery.
All berths of Yantian including the West Port area will resume normal operations commemorating the end of one of the most damaging congestion. Laden gate-in tractors will be increased to 9,000 per day, and the pickup of empty containers and import laden containers remain normal. However, industry players have different opinions on how much time it will require to clear up the backlog with the best-case scenarios suggesting it could take several weeks to process it. Overall, such disruptors as Yantian and the Suez Canal incident have cost large companies an average of $184 million annually and unexpectedly taken a worldwide domino effect.
The path to a sustainable future is thorny and has never promised to be easy, hence, experts advocate for collaboration, which is why the shipping sector is looking within World Shipping Council framework to find a common carbon-free solution. Carriers want a global decarbonisation system rather than regional regulations from jurisdictions in Asia, Europe and the US. However, taking all factors into account, it is clear that the joint efforts are also subject to the laws of the countries they are in, which makes the process more complex and does not allow bypassing the discussion of jurisdictions.
While the green debates are on the roll, rail freight wastes no time, rigorously moving forward like a locomotive. Recently, CMA CGM has announced it will improve its intermodal coverage of Zaragoza, Spain, adding a new service from the Port of Valencia. The new Valencia — Zaragoza shuttle train is part of CMA CGM's active sales product Switch to Rail focused on development of the rail sector. There is now also a prime time to expand the transport capacity — the new terminal on New Silk Road, Dostyk TransTerminal at the China-Kazakhstan border, is proving to be successful. PTC Cargo LLP is managing it, and for the company it is a real milestone aimed to develop a multifunctional zone and strengthen its presence.
In the wake of rail achievements, the green agenda has not been omitted in this sector. The first zero-emission, fully electric shunting locomotives for the port of Rotterdam are in the production line as a joint initiative of the Netherlands and China that is expected to be implemented by 2024. Meanwhile, Deutsche Bahn will revive 20 lines with a total of 245 kilometres of track with regards to active climate protection.
Even such giants as IKEA are switching to rail understanding where the wind of potential recovery is blowing from. Maersk strives for success — together they are going for a distance of 100 kilometres to and from IKEA’s customer warehouse & distribution centre in Valls, Catalonia.
The UK hops on the rail train since the talks of development of the Great British Railways have been going on for quite some time. The planing has officially begun. The 2023 Periodic Review sets a five-year settlement that will determine the level of funding the network should receive for its activities. Others follow suit with a series of important connections sprawling over Europe. Kombiverkehr and Rail Cargo Group upgrade their services between Hungary and Germany. The two companies will offer six weekly roundtrips between Budapest and Neuss. Three of them will also include intermediate stops in Wels and Wien Süd terminals, both in Austria. The first container block trainconnecting Helsinki in Finland with the Nhava Sheva container port in India has recently departed. For Finland it is an actual momentum of growth — it is history’s first logistics operator that has sent a block train from Europe to India via the Western wing of the International North-South Transport Corridor. A new railway connection between Tilburg in the Netherlands and Kaunas in Lithuania is set to open in July.
Around 21 British logistics companies and associations are seeking Boris Johnson’s urgent intervention regarding the ease of truck drivers shortage. It has already hit the critical point and must be addressed as a priority. In particular, the Road Haulage Association is in need of a temporary work visa to allow hauliers to hire European drivers as the means of solving the staff problems.
Meanwhile, the 2,500 TEU container ship, CMA CGM Neva is under quarantine in Hamburg as five crew members, including the captain and chief officer, tested positive for Covid-19. In addition, according to the reports, it cannot be shifted to another berth or anchorage if there is not either crew replacement or the end of the quarantine period.