ALERTS & ​ADVISORIES

JAS NEWS ADVISORY: GOLDEN WEEK

By
September 17, 2021
Shanghai-Skyline-JAS-Advisory
Shanghai-Skyline-JAS-Advisory

This notice serves as a reminder of the yearly Golden Week holiday in China.

October 1-7, 2021 is the annual Golden Week or Mid-Autumn Festival holiday in China, China's national holiday week, to celebrate the birth of the People's Republic of China. During this week parades, ceremonies, and other events take place throughout China.

During this time, factories typically close, and production is halted or limited. In addition, airlines, shipping companies, railway, and commercial operators also typically suspend their activities or run-on skeleton crews during these days.

Given the current market situation (COVID-19, severe port congestion, equipment shortages, etc.), Golden Week 2021 will likely have a more significant impact on your supply chain than in years past. Backlog is expected to continue to accumulate while activities at ports and airport are halted or reduced. Therefore, it is important you are prepared and take this into account when planning your imports

If you have any questions or concerns, please reach out to your JAS representative. Visit our Market Conditions page for details on current issues related to trade-lanes, ports, airports, carriers, and more.

JAS NEWS ADVISORY: IMPACT OF TYPHOON CHANTHU

By
September 13, 2021
Typhoon Chanthu - JAS Advisory
Typhoon Chanthu - JAS Advisory

Due to Typhoon Chanthu, as of September 13th and until further notice, some activities at port and airport terminals in the typhoon's path have been canceled.

All flights at Shanghai Pudong International Airport (PVG), and Shanghai Hongqiao Airport (SHA), and Ningbo Lishe International Airport (NGB) have been canceled until further notice.

Container import and export services at Ningbo and Shanghai port terminals have also been canceled until further notice.

JAS Responds to Disruptions at Shanghai Airport

In Response to Challenges Raised by COVID at the Shanghai Airport, the JAS LCL Team has Secured Additional LCL Capacity.

By
September 3, 2021

On Friday, August 20, 2021, five cases of COVID were detected among personnel at Shanghai Pudong International Airport (SHA) leading to the temporary suspension of air cargo flights. While operations have begun to slowly resume, a reduced workforce means lengthy cargo delays and reduced capacity, which is leading to serious backlog. The ramifications of the temporary suspension of flights will continue to ripple throughout the market for weeks to come.

In an effort to help customers ensure continuity in their supply chain, JAS has secured additional LCL capacity out of Shanghai. Sea/Air services via Seoul also continue to be offered, providing cost-effective options to air freight.

For more information, contact your local JAS office.

Shanghai Pudong International Airport Temporary Flight Suspension Advisory

By
Gregor Vrhunc
August 20, 2021
PVG COVID News Advisory
PVG COVID News Advisory

After two cases of COVID-19 were detected among personnel at Shanghai Pudong International Airport Cargo Terminal Co Ltd (PACTL), international cargo flights have been temporarily suspended.

The first case was detected in one of the two terminal handlers at Shanghai Pudong International Airport (PVG). The second case was detected in a member of the airlines stationed staff (maintenance).

More than 300 close contacts who work at the terminal have been requested to stop work immediately and go for PCR testing and centralized quarantine.  

According to the notice from the airport, all international cargo and passenger cargo departure operations will be suspended beginning this afternoon (August 20, 2021). The length of this suspension is still unknown. The unloading of incoming cargo flights will be delayed as well.  

Civil Aviation Administration of China (CAAC) East China Bureau and airport authorities are holding a joint meeting on this emergency. Following the meeting an official announcement is expected.

Delays are expected while flight schedules are being rearranged.

Ningbo Port Closure Advisory

Ningbo operations expected to resume in September

By
JAS Staff
August 12, 2021
Ningbo Advisory
Ningbo Advisory

After extensive rounds of testing by Ningbo health authorities showed no new cases of COVID-19, it is expected that Ningbo’s shuttered Meidong container terminal will start a phased reopening on Wednesday August 18th to begin clearing the backlog of cargo.

No new cargo will be accepted until August 25th with a resumption of full operations on September 1.

Other Ningbo Terminals have reduced the CY Open Time to 2 days. As Meishan Terminal calling vessels will be diverted to other terminals in Ningbo, we expect congestion and delays.

We will advise as more information becomes available.  

Ever Given Agreement Reached

By
June 24, 2021

The Ever Given was successfully refloated within the Suez Canal on March 29 2021. Unfortunately, until now, The Suez Canal Authority (SCA) had the Ever Given formally under arrest, seeking compensation of US$916 million in damages.

It now appears that an agreement has been reached that will allow the Ever Given to continue its journey and as a result, shippers with cargo on board could soon see their shipments moving again.

According to the representatives of the vessel, owner Shoei Kisen Kaisha and its insurers, have agreed to a settlement to free the vessel, currently anchored in the Bitter Lakes region of the canal while the Suez Canal Authority (SCA) continues to demand compensation for the six-day blockage of its waterway.

According to the vessel’s insurer, the UK P&I Club, the parties have agreed a settlement in principle, with formal agreement on compensation due to the SCA now nearing completion.

It added: “Together with the owner and the ship’s other insurers, we are now working with the SCA to finalize a signed settlement agreement as soon as possible. Once the formalities have been dealt with, arrangements for the release of the vessel will be made.”

The UK P&I Club indicated at the beginning of the week that it thought a settlement was near when it revealed it had made a new offer over the weekend – which led to an adjournment of a court in Egypt which was due to rule on the arrest – which it believed “satisfies all the requirements of the SCA”.

JAS organizza treno blocco dalla Cina all’Italia

By
Stefano Castellazzi
June 14, 2021

In seguito al nuovo focolaio COVID-19 divampato nell’area di YANTIAN causandone la chiusura, molte navi stanno omettendo o gravemente ritardando le operazioni in questo porto, provocando a cascata un grave congestionamento su tutti gli approdi del Sud Cina (Shekou, Chiwan ecc…).

JAS Italia in collaborazione con Mercitalia Rail – Gruppo Ferrovie dello Stato Italiane, procederà a breve con un primo TRENO BLOCCO in partenza dalla CINA con arrivo in ITALIA, dedicato INTERAMENTE a JAS e ai nostri spettabili CLIENTI.

La prima partenza programmata a inizio luglio ha già catturato l’attenzione di molti importatori, che hanno provveduto a prenotare lo spazio per le proprie merci. Sono previste diverse altre partenze e siamo certi che questo servizio costituisca una valida alternativa al tradizionale trasporto marittimo, che attualmente presenta gravi criticità negli imbarchi, nel reperimento degli equipment e nei transit time che progressivamente deteriorano.

Il servizio TRENO BLOCCO ha almeno tre indiscutibili vantaggi:

  • garanzia di equipment
  • transit time più veloce rispetto agli attuali trasporti marittimi
  • basso impatto ambientale e ridotte emissioni di CO2.

Con i noli marittimi alle stelle e le generali difficoltà d’imbarco, il servizio treno è sicuramente competitivo. Come accennato, le partenze previste sono svariate e provvederemo ad aggiornare l’operatività in sintonia con quanto avverrà nel mercato nel prossimo periodo.

Attualmente i porti di partenza sono Shanghai, Ningbo, Qingdao e Shenzhen, ma stiamo già valutando di ampliare l’offerta includendo altre origini.

I container arriveranno direttamente al terminal di Milano e avremo a nostra disposizione 41 container treno blocco.

Per maggiori dettagli e informazioni non esitate a contattare il Vs. referente commerciale, oppure scrivete a IT-Tradelane@jas.com e sarete prontamente contattati.

USA TSA Changes to Air Cargo Screening Mandate

Major changes to the process of screening air cargo set to increase shipping costs

By
JAS Staff
June 8, 2021

The International Civil Aviation Organization (ICAO) has mandated that, by June 30th, 100% of international all-cargo aircraft flights receive the same level of security screening and scrutiny that cargo shipments on passenger fights undergo now. This means international air cargo moving with charters/freighters, including cargo moving in with JAS Flight Operations (Blue World Atlantic) from the USA, will be subject to mandatory security screening by June 30th, 2021.

Challenges caused by the new mandate:

  • Cargo arriving at the airport is often already palletized. This can make it impossible to screen completely without breaking up the pallet.
  • Some cargo is too large for the x-ray screening systems most common at airports.
  • Some cargo requires specific methods and/or multiple screening methods that may not be available at the airport.
  • There is only a brief window of time when loading aircraft for departure and often too much cargo to screen efficiently.
  • ADDITIONAL COSTS

Is JAS prepared?

  • JAS has put in place the necessary procedures to implement the new requirement by June 30th.

________________________________________________________

What is ICAO:

  • In 1944, The International Civil Aviation Organization (ICAO) was created by the Convention on International Civil Aviation also known as the Chicago Convention. This agency of the United Nations was created to promote civil aviation security around the world, and is a forum for setting “… standards and regulations necessary for aviation safety, security, efficiency and regularity, as well as for aviation environmental protection.”
  • “Provisions for international aviation security were first disseminated as Annex 17 to the Chicago Convention in 1974, and since then have been improved and updated 16 times.”
  • The U.S. is a Member State of the ICAO.

Ever Given Seized

By
April 15, 2021
Ever Given re-floated in Suez Canal
Ever Given re-floated in Suez Canal

The Ever Given was successfully re-floated within the Suez Canal at 15:04 local time on March 29th.

Yesterday it was revealed that the Suez Canal Authority (SCA) formally arrested the Ever Given pending settlement of around $916 million. An Egyptian judge granted permission for the SCA to seize the vessel after it lodged the compensation claim against its Japanese vessel owner, Shoe Kisen.

The SCA says it intends to maintain the vessel’s arrest until the claim is paid, a position that has caused fury among the ship’s insurers and ship managers, and led charterer Evergreen to investigate whether it could use a court order to treat vessel and cargo separately.

The SCA claim includes $300m for salvage and $300m for “loss of reputation”, which appears set to be rejected by the vessel’s insurer, the UK P&I Club, which revealed it had already made a compensation offer to the SCA this week.  

Release from the UK P&I Club:

“Despite the magnitude of the claim, which was largely unsupported, the owners and their insurers have been negotiating in good faith with the SCA.
“On 12 April, a carefully considered and generous offer was made to the SCA to settle the claim. We are disappointed by the SCA’s subsequent decision to arrest the vessel today. We are also disappointed at comments by the SCA that the ship will be held in Egypt until compensation is paid, and that its crew will be unable to leave the vessel during this time. The SCA has not provided a detailed justification for this extraordinarily large claim.
“The grounding resulted in no pollution and no reported injuries. The vessel was re-floated after six days and the Suez Canal promptly resumed its commercial operations.
“The claim presented by the SCA also does not include the professional salvor’s claim for salvage services, which owners and hull underwriters expect to receive separately. The P&I aspects of the claim are relatively modest, with the exception of a claim for loss of reputation, which is disputed.”

Ian Beveridge, CEO of the vessel’s manager, Bernhard Schulte Shipmanagement (BSM), also voiced his concern over the arrest.

“The SCA’s decision to arrest the vessel is extremely disappointing. From the outset, BSM and the crew on board have cooperated fully with all authorities, including the SCA and their respective investigations into the grounding.

“This included granting access to the voyage data recorder and other materials and data requested by the SCA,” Mr Beveridge added.

Evergreen said it had begun to look at other ways to free cargo trapped on board, adding: “In order to lift the arrest order as soon as possible, Evergreen is urging all concerned parties to facilitate a settlement agreement to be reached.

“Meanwhile, Evergreen is investigating the scope of such a court order and studying the possibility of the vessel and the cargo on board being treated separately,” it said.

BMS said the Ever Given’s classification society, the American Bureau of Shipping, had completed its inspection following the incident and it had “been declared suitable for onward passage to Port Said, to be assessed again before departing for Rotterdam”.

Alerts & ​Advisories

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The current pandemic has caused shipping disruptions across the globe.  

With a 70% reduction in passenger flights since February 2020, the overall global air freight capacity is down about 25% from this time last year.  Limited space on limited flights means frequent delays and interruptions of supply chains globally.

With the unpredictable availability of cargo space, how do we regain control of air freight to ensure service in such a critical time?  

The traditional air freight model is no longer a realistic option, instead Flight Operations are the key for maintaining a reliable and uninterrupted supply chain by providing door-to-door control of the shipping process. With a Flight Operation, every step of the process - from the time the cargo is picked up to its final delivery - is meticulously managed by the service provider.  

Shipments are processed through facilities controlled by the service provider, both at origin and destination. This system avoids the typical congestion at airport hubs, reduces overall transit time, and increases control.

The aircraft themselves offer unmatched flexibility to meet all cargo needs. Freighters have the capability to move normal and specialized cargo such as dangerous goods, oversized pieces, and shipments requiring refrigeration such as perishable and pharma.  

Lastly, a prime network of delivery options carries the cargo to its ultimate destination.

In early August JAS introduced BLUE WORLD ATLANTIC, a weekend roundtrip Flight Operation between Chicago and Frankfurt, utilizing B 747 – 400 F Nose-Load for optimum loading capabilities. The BLUE WORLD ATLANTIC prime schedule is the best solution for supporting customers in the transatlantic air freight corridor!

If your business could benefit from a regular flight operation in the transatlantic corridor contact a local JAS representative for more information.

Reduced global air cargo capacity, blank sailings, carrier solvency, increasing port congestion, and last-mile delivery delays are adding to an ever-growing riskier global environment that threatens supply chains.

Uncertain times often require creative measures. As shippers look to replenish inventory levels as well as budget logistics costs in such an unpredictable environment, partnering with a freight forwarder such as JAS helps to reduce such risks and cost concerns.

JAS has always worked closely with shippers to offer solutions that balance planning with responsiveness and agility. The COVID-19 pandemic highlights this need as shippers continue to benefit from the expertise of JAS during this crisis.

For several years, JAS Italy has worked with several Italian Government institutions by serving their logistics requirements. The relationship has become even closer during the pandemic as JAS took charge of a certain Italian Government institution’s import/export distribution process to obtain and distribute Personal Protective Equipment (PPE) commodities.

JAS initially arranged shipments from China, Brazil, and South Africa mainly through general cargo urgent flights. However, as demand dramatically increased, JAS recognized that the available market capacity was not meeting the needs of its customers. As a result, JAS ramped up the use of charter flights to better meet customer requirements.  

Since February, JAS has moved millions of masks along with protective suits, visors, gloves, respirators, pulmonary ventilators, test tubes, and swabs.

By chartering flights, JAS was able to help other customers as well. For example, a German-based provider of medical and hygiene products turned to JAS to supply N95 masks to the governments of Germany, Belgium, Luxembourg, and the Netherlands. JAS utilized multiple chartered flights from Shanghai to Frankfurt to distribute not only to the governments involved but also to pharmacies for wider distribution to non-governmental organizations and the public at large.

JAS was able to support customers in Peru, Colombia, and Mexico building southbound connections with the charter flights arriving to the USA from Asia.

The ability to rapidly charter flights between countries could not have been accomplished in such a quick and efficient manner without the expertise of the JAS World Air Freight Team (WAT) whose close relationship with a number of aircraft owners allowed JAS to find the right equipment, mostly 747-8 and 747-4 cargo planes, at the right time and in the right location for its customers.

Collaboration with JAS China was crucial as requirements for moving Personal Protection Equipment changed almost on a daily basis. Communication was a key success factor with JAS China establishing a daily communication channel to keep the whole JAS network up to date with the latest information.

JAS has now implemented full scheduled flight operations in the transatlantic corridor. Offering weekend flights from Chicago to Frankfurt and back.

JAS is also continuing special charter flights both with cargo aircraft or ghost flights from Shanghai to Chicago and from Hong Kong to Los Angeles.

Through the We Qare program, the airline is donating 1 million kilos of freight space on its airplanes to selected customers around the world to give to the charities of their choice.

JAS Worldwide took advantage of this fantastic program on behalf of the World Food Program and moved almost 50 tons of Personal Protective Equipment and supplies from Shanghai, China to Dhaka, Bangladesh at the end of July, free of charge.

“This was a great opportunity for JAS to support the World Food Program” says Salvatore Lauro the head of JAS Aid & Relief division.

The whole JAS organization is thankful to Qatar Airways Cargo for the initiative, together we made the difference!

In today’s environment, shippers are faced with numerous challenges, from the immediate need to replenish drastically reduced inventory levels to budgeting logistics costs in a highly unpredictable environment. Blank sailings, carrier solvency, and steadily building port congestion is resulting in increased supply chain risk and lead time fluctuations. Global air cargo capacity has been reduced by over 25% making access to space more constrained due to overall demand and increased dwell time due to testing and customs inspections of PPE goods.

JAS is working closely with our customers to offer solutions that balance planning with responsiveness and agility, while working to provide service options that mitigate the increased costs and risks that exist with current market conditions.

Our Flight Operations solutions address the immediate and urgent needs of our customers. We have scheduled weekly flights from the following areas:

China to the USA with connections to Latin America

Europe to the USA with connections to Latin America

USA to Europe

China to Europe

Additional flights will be added as needed.

JAS SEA-AIR services provide an alternative solution to customers requiring shorter lead times than traditional ocean freight while providing a lower cost option to air freight. We currently offer hubs in Singapore and Korea that connect Asia with the rest of the world.

​For traditional ocean FCL and LCL services, our ocean team aligns our carrier allocations and schedules with our customers’ forecasts. Services such as container and order management offer additional value to our standard ocean freight services.

​While our current priority is to work with your immediate needs, we do not want to lose sight of the need for long-term planning strategies so please contact us at info@jas.com or reach out to your local JAS representative for more information.

On Sunday, March 22nd, JAS Worldwide launched flight operations between Frankfurt (FRA) to the Rickenbacker International Airport near Columbus, Ohio (LCK) with on-forwarding services continuing to LATAM. JAS Worldwide is dedicated to meeting customer demand during the Covid-19 situation by launching additional flight operations in the most important air corridors:

  • Europe to USA and back to Europe
  • China to the USA
  • China to Europe

JAS, the Atlanta-headquartered global freight forwarding and logistics provider, maintains that the goal is to help address the immediate needs of customers who had previously relied on routine air cargo flights between the US and Europe. JAS is enhancing its air service offerings as a result of the worldwide coronavirus pandemic, which is having a dramatic impact on capacity in the airfreight market.

“Because of the volatility of the situation, JAS is bringing its considerable air freight experience to bear to meet the needs of our customers” said Gregor Vrhunc, Senior Vice President, Global Head of Air Freight.

JAS utilizes 747 freighters to meet the heightened demand in key air corridors.

For more information contact your local JAS office.

​JAS Worldwide is pleased to announce the appointment of Carol Kijac as Chief Commercial Officer.

With more than 25 years of industry and management experience, Carol has increased sales performance by creating and implementing programs that focus on the development of business acumen and client solution design.  An effective team builder adept at fostering top performance, her approach includes identifying individual and team capabilities and optimizing their strengths through continuous coaching, training and customized development plans.

She has held positions with increasing responsibility throughout her career, providing extensive field support to build market presence and drive revenue growth throughout domestic and international markets.  The programs she’s led consistently produced double digit growth annually, both as a sales executive and in management, throughout her impressive career.   JAS is excited to have her expertise and talents joining the team.

Carol previously worked with JAS as a consultant in 2015 on projects related to delivering the best solutions to our clients. Our business relationship developed into a strong partnership and eventually led to Carol joining JAS to work more closely with the team.

​Please join us in welcoming Carol to the JAS family!

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