Wartime Update
(March 24, 2003)
As a result of the declaration of war on Iraq, a number of steamship
containers were placed in government service at intermodal pools in
the U.S. for storage of military supplies. This has resulted in a
shortage of free containers.
Additionally, the United States Government is using available U.S.
flag carriers to transport equipment containing supplies to the Mideast.
That equipment will be used for storage of goods throughout the war
and consequent reconstruction efforts. The subsequent increase in
U.S. Government shipments has decreased commercial capacity on board
vessels.
One steamship line dropped its Halifax port of call as well as west
coast service to/from Europe. This means other carriers in those trade
lanes may demand higher rates for their services. Some steamship
lines have taken US/Europe and Europe/US vessels off the market for
3 weeks in an effort to get vessels back on track. It appears that
at least one month will be required to pick up stranded cargo from omitted
ports, get vessels back on schedule and replace containers in the commercial
fleet circulation.
At this time ocean and air carriers continue to monitor and assess
the everchanging changing condition; some are implementing war risk
surcharges on vessels calling the Ivory Coast, South Africa and the
waters of the Persian Gulf.
UniGroup Worldwide UTS will continue to monitor the situation and ensure
customer service by keeping updated on security announcements and cost
effective, alternative routing options.
To meet any transit time requirements, however, it is highly recommended
that ample lead time is allowed when registering an international shipment.
Return to News and Events
|